Everything CPG! How live logistics planning boosts customer retention and lowers costs
The top challenges, especially for CPG companies, are lack of proper delivery movement visibility, lack of control of actual on-ground logistics, delayed reaction time if anything goes wrong on-ground, over or under-utilized truck capacities, lack of proper load balancing at hubs, frequent delays and service level agreement (SLA) violations, inaccurate estimated time of arrivals (ETAs), no communication with the receiver about exactly when the delivery would reach them, and little to no live tracking of moving trucks.
The reason we stand out at the top here is helping companies deliver on time with live logistics planning.
Live logistics planning and delivery route optimization
What this means is that companies can handle all their 3PL carrier partners with complete visibility, allocate the right shipment to the right truck and right driver (suited to the shipment, whether it falls under cold chain or heavy goods), find out the right route with minimal traffic and delays based on live traffic analysis, assign the drivers the routes and a clear delivery schedule with accurate estimated time of arrivals which they can follow through (LogiNext’s) apps within their phones, reach their destinations on time, securely validate their deliveries with electronic proofs, capture receiver feedback, and then move on to the next delivery.
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All in all, the drivers can deliver at least 20-30% more using the same resources with this delivery schedule and faster route. Companies can better control their logistics and handle their 3PL carrier partners with complete and real-time ground visibility, planning and executing live within an interactive map interface.
Capacity optimization and boosting delivery experience for customers
When it comes down to it, it’s not only about the cost. It’s about the optimization of current capacity and resources while pumping efficiency to improve the end-customer experience. This transformation is here to stay.
Needs evolve over a period. Some years ago, the rise of malls bought in the idea of consolidated shopping, ambiance, and buying experience putting upfront the customer need for the same. These needs have evolved. The delivery experience has grown to include high availability and responsiveness. This means that the logistics must be agile, backed by a system which enables live planning, delivery allocation, tracking, and quicker reactions.
CPG companies need to improve the way they handle their 3PL partners to improve on the capacity utilized, the freight rates, and deliver more on-time to make their merchandise available to all customers at the right time. And do this consistently over a long period. This builds their brand and breeds, loyal customers.
On top of that, viewing all their entire supply chain movement in a single dashboard gives them control over each aspect of their logistics. Such innovation or disruption, depending on which side of technology you stand, is often led by fast-growing companies like LogiNext.
A winning use-case from a globally-leading CPG players
One of our clients, a top international consumer packaged goods company with a growing presence in India, had primary issues with how to better direct their 3PL carriers. They had a vast range of products, some which required special handling like confectionaries. They were also battling the need for better management of capacity (from their 3PL partners). This often led to delays and capacity wastage. It added on to delays at the retailer level which affected the final shelf presence. Their major concern, proper ground movement visibility, wasn’t achieved with any previous software or solution.
With LogiNext they were able to predict how many trucks and how much capacity they would require at any point to plan for it with much more efficiency. They could optimize the capacity, not just by weight, but also by volume for each product type, further (automatically) assigning them to the right truck and right driver for immediate dispatch. The faster routes, as indicated earlier, cut down their transit time and the truck’s turnaround time.
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They could even pinpoint the delivery time as per each retailer, distribution center, or customer’s preferred timelines (exactly when they wanted it delivered) which helped sustain a lean supply chain. They could view all their truck movement in a single screen, something we call the ‘control tower’ so that they could react immediately, with timely notifications, whenever any delay or service disruption happened.
It helped them cut down on their logistics costs, improve their supply chain efficiency, and delivery on-time consistently.
Advanced technology pumping through these top features
We are constantly improving our technology. We have close to 2 billion location data points which fuel our machine learning powered core algorithm. These machine learning-algorithms plan the best delivery routes for our clients.
Last year, we introduced live logistics planning and voice-controlled logistics. Live planning is when you handle and control all your logistics from a single screen as it is happening on the ground, not early in the day or when it was all done and finished. Voice-controlled logistics is our exclusive innovation where you can just talk to the system to plan your entire logistics for you. Just ask the system to ‘Assign the shipment of Tetra pack milk crates’ and it would do it for you automatically.
Further ahead, we are constantly improving all our features with more accuracy, customization, and a more intuitive user interface.
Why LogiNext has risen in the ranks to the first-choice logistics solution?
We have been named one of the fastest growing companies by many respected platforms like Inc, Deloitte, and Forbes, that too in the top 10. So, companies from FMCG and other industries have great incentive to partner with us. What works in our favor is the fact that we have risen based on ground realities and a working product-market fit. This means our software and all our features/enhancements are well established around the current market needs.
We know how important it is, in current market conditions, to ensure a great delivery experience for the customers, and the business impact it has. There’s a reason why the biggies like Amazon and Walmart are doing so well, they have focused on aligning their logistics to deliver better, especially in the last mile. Our expertise places us in the unique position to recreate the same for top CPG companies around the world, some of whom we already cater to.