Through 4 keys, the optimisation of logistics operations and subsequent cost reduction is possible. Through the correct implementation of logistics 4.0 solutions and the guidance of an expert logistics operator in this area, business success will be assured.
We find ourselves in a highly competitive context in which companies need to reduce their logistics costs in order to remain on the crest of the wave. However, this approach is no easy task. Logistics is directly related to the quality of the services provided and, consequently, to customer satisfaction.
However, although it may seem challenging, it is possible to increase our competitiveness without losing quality. The key lies in one verb: optimise. This is because optimisation makes it possible to reduce the final costs without negatively affecting the quality of the product or service.
In order to achieve optimisation and thus cost reduction, we need to keep in mind four key points that we will outline below. This is the only way to achieve our goals without jeopardising the loyalty of our customers.
4 key tips to optimise processes and reduce your company's logistics costs
- Implement proper route planning
Focusing on this link in the chain is paramount because transport is responsible for 63.5% of total logistics costs. To achieve this, it is necessary to make a freight routing plan that aims to select the best possible route (taking into account traffic, road closures and access difficulties), optimising the time and costs related to the transport of goods.
2. Rapid processing of customs formalities
In the case of international freight transport, having an optimal and agile customs management is essential to ensure the quality and punctuality of shipments. Having the advice of an expert logistics operator with an AEO certificate is highly recommended if our objective is to avoid delays and stoppages.
3. Optimising last mile deliveries
The more flexibility we offer in delivery, the more satisfied end users will be. In the era of logistics 4.0, we find multiple alternatives to minimise the ratio of failed orders due to absence. The most prominent and efficient are:
- Collection pointsThis solution is based on a network of shops (physical establishments) that offer their space for use as parcel delivery and collection points. The high demand for pick-up points by consumers has led to an increase in their network and, therefore, to more and more convenience and flexibility in delivery.
- Smart LockersSmart lockers: As the name suggests, smart lockers are lockers that can be installed as a mailbox in multiple locations in order to manage the receipt of goods. This solution is highly secure, as the cubicle can only be opened via a code known to only two parties: the delivery company and the recipient of the parcel.
- DronesAlthough this solution is not yet commonplace, it is getting closer and closer to flying over our skies. The benefits of using drones to transport goods will be many, such as cost reduction, greater access to the population (as they will be able to deliver to areas that are difficult to access or rural areas) and the reduction of CO2 emissions.
4. Make use of KPIs
Monitoring your company's key logistics performance indicators is essential to assess your company's performance and to pinpoint weaknesses in your supply chain. Problems such as bottlenecks or non-optimised processes can then be identified for further solution.
The choice of KPIs will depend on the strategy and objectives of each company. Therefore, having the advice of a logistics operator with extensive knowledge in the different logistics performance indicators will be essential to identify the most important metrics to achieve your business goals.
In short, the implementation of these keys will mean that optimising your logistics operations and reducing costs is no longer a utopia. Through logistics 4.0 solutions and the guidance of a specialised logistics operator, your objectives will become achievable and real.
