Top 5 Challenges Of Parcel Management

In the aftermath of COVID-19’s shutdown of brick-and-mortar establishments, workers were sent home, shopping shifted to the internet, and the shipping industry’s focus shifted to parcels.

Streamlined delivery with full end-to-end tracking and notifications is expected by downstream consumers, while upstream, opaque carrier zone rates and charge structures continue to drive up prices in the supply chain. Parcel shippers need a multi-carrier approach that automates procedures and leverages real-time shipping data in order to improve visibility, manage costs, and increase customer satisfaction.

These are five major challenges that every parcel management faces as they try to improve parcel delivery processes.

1. Inability to Meet Delivery Deadlines

Meeting client expectations is a big difficulty in parcel management. Customers who are dissatisfied with their purchases may choose to return them or shop elsewhere.

Whether a company’s truck breaks down or severe weather occurs, customers don’t give a hoot. The speed of delivery isn’t as crucial as meeting customer expectations. Rather than offering one-day delivery and failing to deliver, it is best to offer a five-day shipment.

2. The Use of Outdated Technologies

Errors are more likely to occur while using obsolete technology. In addition, obsolete technology and insufficient visibility slow down the entire delivery process, which could lead to consumers and profit being lost. IoT-enabled devices can reduce misunderstandings and delays by supplying real-time information on location and other parameters before any issues develop.

Courier services that do not use IoT-enabled equipment, such as GPS monitoring and automated alerts of ETA, are more likely to encounter problems and delays than other types of delivery providers. Delivering on time and in full is easier with shipment-level visibility made possible by cutting-edge technology like the Internet of Things (IoT).

3. Limited Visibility

Courier network visibility helps shippers determine where and when to change their routes in order to ensure client loyalty in both B2B/B2C transactions and direct-to-consumer sales. Businesses have employed this method.

However, couriers need and demand real-time information on the goods ready for collection and modifications to delivery schedules. For courier services that call for visibility, technology allows cloud-based, centralized control of their routes without sacrificing real-time data.

4. Keeping Tabs On Parcel Costs

Shipments are weighted based on their size, weight, and origin-to-destination zones, all while considering the customer’s specific needs and the current state of available capacity for calculating freight rates. As a result, different carriers charge different prices for the same shipment. Inability to see how shipping patterns over time correspond with carrier routes, specialties, and prices can cost shippers a lot of money.

Extra space in a container can increase the SKU size, which in turn can increase the rate. Ground shipments can arrive sooner and for less money by skipping the airports at either end of the journey if some planning is implemented. When carriers want to focus on a particular market, they usually change their DIM formulations.

Carriers can be selected, and rates can be negotiated more effectively if you are aware of these subtleties. The capacity to factor in all of these variables and filter in seconds for certain business rules, especially during peak or crisis moments, has become a need in the parcel environment.

5. Organizing and Controlling the Data Flow

Parcel lockers are used to store products that are too large to fit within a Cluster Box’s individual compartments. A parcel locker key will be left in the mailbox. This key is marked with a tag that identifies the parcel locker where the item is being stored.

Shipments of parcels generate a plethora of information in the form of paper forms, spreadsheets, and even electronic files and emails. Internally, valuable data might be segregated within departments of major firms or among supply chain partners such as suppliers, vendors, 3PLs and 4PLs, transporters, and warehouses. It’s worrying and time-consuming to fix problems that arise during transport.

One trusted source can provide an instant, shared, control-tower picture of cargo characteristics and status by centralizing and normalizing data in a single location. That allows for real-time tracking of shipments and carrier performance in transit, as well as early reporting and engagement with customers for the benefit of all parties involved.

Computer files are typically imported and converted either directly or via regular database or API software connections in the typical process. It is necessary to scan and enter important data from paper documents and communications into standard fields. The process of entering and converting data can be time-consuming, but the information will follow the shipment electronically, reducing the risk of errors and miscommunications in the process.

What Are The Best Ways To Deal With Courier Delivery Management Issues?

Using courier management software is the simplest solution to this problem. The use of such software can help courier services solve a number of difficulties. In addition, it can benefit both e-commerce enterprises and end-users by reducing delivery costs while providing safe and timely service.

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