Getting goods from A to B promptly is key for any logistics company. If you don’t deliver on time, you run the risk of losing business and customers. Therefore, you must ensure your supply chain management and delivery are as efficient as possible for both you and your customers. But how do you do this? We look at ways to get your goods to your customers quickly and reduce your fuel costs along the way.
Focus on Order to Delivery Time Management
The end goal of any business should be customer satisfaction. Customer satisfaction starts with your logistics chain. You need to have efficient procedures and processes in place to ensure lead times are kept to a minimum and your customers get what they want quickly. If this isn’t happening, your current procedures may need to be reassessed and, if necessary, improved.
Examine Your Transport System
Transport costs are one of the biggest expenses for any logistics business. If you don’t have a clear plan of what vehicles you are going to use and when, this may significantly affect your delivery timeframe and, ultimately, your ROI. One way to keep on top of your expenses is to install a GPS tracking system to monitor and record journeys and driving behaviors, such as acceleration, speeding, hard braking, and idling.
By building a personalized network through electronic tagging, geofencing and beacons, a tracking system always has the precise location of all your vehicles and provides both real-time and historical tracking of your assets. The data from the tracking system can be turned into customizable reports which can be used to improve fleet safety and fuel consumption and also help you to optimize your routes. The systems also provide real-time notifications and feedback to the driver and the data generated can be accessed 24/7.
Reduce Fleet Fuel Costs
Fuel costs can be up to 60% of overall operating costs, so reducing these costs can significantly improve your bottom line. With a GPS tracking system in place, it’s possible to cut your fuel costs by up to 10%. Something as simple as the idling time of a vehicle can affect how much fuel a vehicle uses. By understanding how a vehicle is being driven, you can take steps to reduce the negative driving behaviors that increase petrol consumption. In addition, the ability to optimize fleet routes can reduce the number of miles driven which, in turn, reduces the amount of fuel used.
Improve Fleet Efficiency and Compliance
GPS tracking systems and solutions provide the data you need to improve driver and vehicle safety, but they offer more than that. With a tracking system in place, you can manage and optimize routes and assign new jobs while the vehicles are still on the road. As trips are automatically recorded, the details can be easily retrieved and viewed online, meaning less paperwork and fewer opportunities for user error. Plus, data can be easily transferred to enforcement officers if required. A more efficient fleet means faster, safer, and more punctual deliveries and happier customers. This also means happier employees with less desire to make a career change as a result of stressful and antiquated processes.
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