_______________________________________________________________________________ Supply chain optimization
success
Organizational alignment in final mile delivery – an executive view .
By Mat Witte
Recently , final mile delivery has finally been getting its time in the logistics spotlight . This is occurring for a variety of reasons , including new technology , artificial intelligence , modern optimization tools , improved visibility , and the rising costs of operating a robust , efficient , and safe delivery network . However , despite these myriad opportunities for success , execution remains the biggest challenge . For every supply chain executive who feels their organization has never been truly successful in final mile execution , there is another executive who has seen that success , but has since seen performance stagnate .
Stagnation , and lack ( or loss ) of product adoption is not uncommon in the software world , unfortunately . If we look further into the realm of final mile delivery software , the same challenges apply . Three of the most common causes include :
■ Turnover of key users , resulting in loss of skillsets
■ Drifting or lack of clarity of organization goals
■ Executive awareness and / or alignment
One or more of these causes are typically present regardless of the technology stack in use . For delivery companies using legacy , ERP based standard routing setups , the lack of optimization and ‘ what if ’ visibility can greatly restrict efficiency . Further , turnover of key users exacerbates the problem , as original users train their replacements , who train their replacements , and soon daily routing becomes a very manual process with no direct intention of savings or predictive modeling .
For those using an optimized solution , the potential for success is there , and efficiency and savings may well have been achieved at some point , and to
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