Importance of On-Time Delivery in Logistics Management

In any industry, on-time delivery is critical to a company's efficiency and service. In today's technology-driven world, customers want to receive their goods as soon as possible. As a result, in logistics, your ability to efficiently meet the needs of your customers. Small businesses must deliver on time because a good reputation is critical to their bottom line and customer loyalty.

Why is it essential?

Delays in shipments, whether to customers or businesses, are costly. Late deliveries disrupt supply chains and damage customer relationships. After receiving one late shipment, 17% of customers say they will not shop with that retailer again. Furthermore, after two or more late deliveries, more than half of consumers would not shop with a retailer.

With more competitors entering the market and increasing customer demands, high-level service is no longer optional. You will fall behind if you do not adapt to market demands. There are numerous ways for small businesses to provide on-time shipping while also providing a positive customer experience to their target audience.

Reasons for delayed deliveries

It is critical to understand how to make efficient deliveries, especially during the peak shipping season. However, knowing the most common causes of delivery delays can help you avoid them in the future.

  1. Peak shipping season: The peak shipping season occurs during the holiday shopping season when everyone orders gifts and expects their packages to arrive as soon as possible. Companies become overburdened and must keep up with the demand for orders. During the holiday season, proper planning and staffing can ensure that you are prepared and avoid delays.

  2. Malfunctions in technology: Technology is everywhere, but it is not always perfect. Technology keeps packages on track and allows customers to track their packages as they are shipped and delivered. When the system is out of date or malfunctions, technology can cause problems. To work effectively with companies and 3PLs, technology must be on the same level.

  3. Unsuccessful delivery attempts: When a delivery is delayed, it is not always the driver's fault. When the customer is not present to sign for the delivery, they are at fault. Some packages must remain with the driver in the absence of a signature. Drivers can't wait for the customer because they need to get to the next delivery and keep the process moving.

How to ensure on-time delivery?

  1. Analyse internal processes
    Are some of your inbound materials arriving late or damaged? Are some customers affected more frequently than others by delayed deliveries? Late deliveries are sometimes caused by suppliers, customers, and freight carriers. With the visibility provided by a transportation management system, you can identify which partners in your supply chain are causing problems and collaborate with them to resolve them.

  2. Create visibility into freight movement
    Small businesses typically ship via less-than-container load (LCL) shipping. While LCL service is convenient and quick, you are especially sensitive to delays. Because LCL trailers are filled with multiple loads from different companies, the route is longer, and more freight handling is required, increasing the risk of damage. Avoid delays and damage when shipping LCL by ensuring a track and trace feature is available to keep an eye on your freight. It's also useful for properly scheduling shipments, taking into account minor disruptions that can cause delays.

  3. Estimate dwell time at your facility
    The shipping methods you use may slow down the transportation process and result in late deliveries. Dwell time is the amount of time a driver must wait at your facility or location, and it is critical. Due to hours-of-service regulations, if the dwell time is too long, the driver must take an extra day to arrive at the destination. Long dwell times reduce a driver's willingness to haul your freight, leaving you with a carrier with a bad track record of out-of-service drivers and trucks.

  4. Lean on 3PL expertise
    Small businesses rely heavily on themselves in all aspects of their business. However, this could be a problem if you lack the personnel to coordinate an intricate supply chain and demonstrate promising results. To avoid shipping delays and other disruptions, some businesses collaborate with international freight forwarders and third-party logistics providers. PLS logistics services, for example, have proprietary technology and a large carrying capacity to assist your business. These resources provide visibility into your transportation process and can result in some of the market's lowest linehaul rates. These carriers have been pre-qualified for safety and security, resulting in fewer disruptions. A 3PL expert will assist you in increasing shipment speed and reliability while decreasing costs. It will also handle the transportation of your goods while you focus on other core competencies.

  5. Always inform customers of late delivery
    While notifying customers of an impending disruption will not prevent the shipment from being delayed, it will help to mitigate the negative impact on reputation and perceived service. Having global shipment tracking capabilities from logistics allows you to notify customers of late deliveries. 24% of online shoppers say they'd buy from a company that provides efficient shipment tracking more than once. When your customers are informed of a shipping delay, they can plan to notify their customers or prepare to receive the shipment at a later date, reducing inefficiencies on their end. Finally, companies that want to ship faster will benefit from a good planning strategy and tracking technology. Process analysis will help you understand the gaps and, as a result, will lead to the results.

IAP Logistics is a Saudi Arabian logistics company with a bonded warehouse that provides the best logistic services, competitive rates, safety, and on-time reliability. To be the most reputable, trusted, competent, and innovative logistics solution provider, utilizing exceptional strategies in business infrastructure, equipment, and ideas to ensure that clients always receive the best service value while adhering to the highest safety and security standards. Our superior services and customer satisfaction have propelled us to the top international logistics company in Saudi Arabia.