Known as the ‘plumbing of global commerce,’ supply chains are growing, and business dependence is also increasing. However, gone are the days when supply chain management was mere delivery of goods and services. Today, market volatility, evolving customer needs, and the boom of eCommerce have made supply chain management more complex.
The conflict between Ukraine and Russia evidently highlights the impact of global situations on supply chains and how end consumers suffer. Hence, supply chains must be more agile to ensure optimised operations and customer satisfaction.
However, businesses can’t achieve so in today’s dynamic environment as they rely on manual supply chain management. Not to forget that supply chains are a closed and delicate system, and any disruption can affect operations. It demands seamless coordination between multiple stakeholders–managers, drivers, customers, vendors, etc. Businesses need to have the highest level of supply chain visibility to detect potential errors early on and gain control over entire fleet management.
Technology-driven solutions can help mitigate challenges associated with supply chain management and boost customer satisfaction. Fleet tracking software is one such innovative solution that can revolutionise and transform supply chain operations.
Fleet tracking solutions enable companies to track and monitor supply chain activities in real-time. With the ability to have higher control and supply chain optimisation, companies can ensure smooth operations from the first mile to the last mile. It empowers companies to take immediate action to deal with any uncertainty, resolve issues faster, and ensure minimum obstruction.
Here’s a detailed guide on how fleet tracking software benefits supply chain management.
Higher Visibility
Supply chain management has always been complex, and not being able to know the status of consignment is troublesome. But with the help of fleet tracking software, companies can enjoy greater visibility into operations throughout the supply chain in real-time.
Fleet tracking software provides real-time location updates of vehicles or assets and helps companies closely monitor delivery progress. With real-time monitoring of fleets, supply chain admins can detect a delay or potential problem beforehand and take swift action to tackle such challenges.
Tracking vehicle movements allow users to be in constant touch with drivers and keep everyone informed about the status through a unified dashboard. With increased visibility, companies can make timely decisions and improve supply chain efficiency. This is extremely important for large-scale fleets as they have hundreds of deliveries in a day, and tracking each package can be daunting.
Optimised Routes
If admins spend time manually setting delivery routes, the supply chain is bound to be affected. Additionally, increasing road traffic, even air congestion, can affect deliveries and customer service.
But fleet tracking software can help set optimised and the fastest routes by collecting information on traffic, roadblocks, and weather conditions. It helps save time, increase fleet productivity, and reduce fuel costs. Additionally, managers can dispatch the nearest delivery personnel to the site with location tracking and optimised routes. Instead of manually choosing time-consuming and erroneous routes, companies can thrive on data insights, bolstering enhanced delivery scheduling.
Plus, route optimization allows delivery personnel to take up more jobs or deliveries in a day in the same job time and increase customer satisfaction.
Delivery Updates to Customers
If you order something online or are expecting a package from someone, you’re keen to know the delivery progress and ETA (estimated time of arrival) status. Nowadays, customers want to be on top of their orders and want maximum information.
With real-time location updates, fleet management solutions can help customers know about their order delivery status. Companies can send them accurate delivery or shipment details through fleet management software and keep them informed about each update. Companies can intimate customers even if there is a delay, which customers want, improving business service and boosting customer loyalty.
As last-mile delivery is becoming crucial like never before, fleet tracking software is of great help to keep customers happy, ensuring customer service enhancement.
Reduce Operational Expenses
Fleet tracking software can help transportation companies to reduce operational overheads and ensure improved logistics efficiency. One of the ways is through preventive maintenance. Breakdowns can result in delayed deliveries and affect customer service, and with multiple job locations and several vehicles, managers can often forget maintenance schedules.
Fleet management solutions monitor and collect vehicle data to set preventative maintenance schedules and notify the admin team if there is any issue with vehicle performance. It helps to save on huge repair costs and mitigate the chances of accidents.
Talking about accidents, how drivers drive vehicles affects supply chain management. For example, speeding is one of the leading causes of accidents, resulting in massive damages and more expenses. Also, speeding consumes more fuel than usual. Here, fleet tracking devices alert managers in real-time if drivers are engaged in reckless driving so that they can take necessary steps and talk to drivers.
Preventive maintenance scheduling and driver monitoring can reduce fuel expenses, decrease wear and tear of vehicles, cut down on maintenance and repair expenses, and ensure seamless operations.
Data Insights and Reports
Access to valuable data insights empowers businesses to make precise decisions and improve supply chain management. Fleet tracking device provides data on location, delivery updates, vehicle health, driver performance, and much more. With fleet performance analytics, companies can foster precise allocation and utilisation of resources, adapting to demand fluctuations and operational requirements.
It helps to understand areas of improvement or resources required to deal with potential problems. For example, fleet tracking also highlights engine idling, which can explain the cause of rising fuel expenses. Henceforth, businesses can adjust their strategies to streamline operations and optimise the supply chain further, bolstering timely and smart decisions.
With a deeper understanding and transparency of how the supply chain is performing, companies can fine-tune operations and achieve greater efficiency. Achieving supply chain excellence is challenging, but with a fleet tracking system, businesses can automate certain aspects and drive data-driven decision-making.
We can expect the dependence on faster supply chains to grow in the future, but it is essential to have a robust supply chain management practice in all companies. We can ensure cost-effective supply chain management and profitability with fleet tracking solutions.
