How does optimizing supply chain management system bring big gains to Ecommerce and Retail businesses
It is not unknown today that retail businesses are on an all-time high and one of the main reasons being the exponential growth of E-commerce. This has enabled a lot of small and medium-sized businesses as well as stores to be able to sell their products and services online.
Irrespective of the industry, with more and more retailers switching their style of business from the traditional brick and mortar to selling online it has only paved way to tighter competition and with a galore of products and services in the market.
According to the latest statistics the e-commerce retailers are expected to acquire almost 54% of the market by 2021. There is a consistent decline of around 2% to 3% in the brick and mortar stores across the globe which is a sure indication of the popularity and profitability e-commerce retail providers.
It is quite certain that a perfect and flawless supply chain is the only way to cater to the ever-growing market demands. Only with immaculate operational supply chain planning one can be sustainable in this highly volatile scenario.
So what does it take to earn the optimum advantage of the E-commerce wave? Well, the answer is simple, have an effective product lifecycle management and a well structured, planned product flow via customized and state of the art e-commerce logistics solutions.
Let us try to evaluate and bring out some of the most important factors in optimizing the supply chain management and how well it can improve in bringing gains to the retail business.
TECHNOLOGY AT THE HELM
If you need to address the difficulties of the e-commerce business and streamline your retail logistics then the foremost thing to do is to have a good supply chain management system. A holistic outlook is key in upgrading the performance of your supply chain management system.
Technology can be used to integrate multiple cost centers with the help of state of the art logistics app development that will also enable in gauging the supply chain cost structures.
ADDRESSING THE SAME DAY DELIVERY REQUIREMENTS
Online buyer preferences are constantly changing with the increase in buyer capabilities. If you need to successfully run an eCommerce business then one of the top priorities today is to cater to same-day delivery especially when it about customers residing in metro and cities.
According to a recent study, almost 96% of online customers expect faster delivery of their product or even same-day delivery.
If your business has to live up to these expectations then the delivery process has to be supported with a very efficient route planning engine.
That’s not all with the advent of machine learning it would be an apt scenario to integrate the same to your supply chain management software along with artificial intelligence.
That will surely guarantee utmost accuracy and 100% real-time higher visibility as well as the speed of delivery.
HAVE A VERY COST EFFECTIVE SUPPLY CHAIN PROCESS
The entire e-commerce success completely relies on two very critical factors and that being speed and cost-effectiveness. The mantra of becoming a successful e-commerce logistics provider is how well one can blend speed and affordably in the most effective manner.
One needs to speed up the order processing and delivery operations that will allow a lower revenue turnaround time.
This will, in turn, reduce the cost required to be shed out on technology. Hence one needs to start evaluating the logistics process to find out the gaps and churn out ways and means to improve delivery standards.
ESSENTIAL TO HAVE LIVE DELIVERY AND END-TO-END VISIBILITY
Technology has rightly become a blessing for many industries enabling it to efficiently deliver services to the best possible optimum levels.
E-commerce logistics is one such sector that has been able to create engines to automatically allocate the nearest driver to enable the timely delivery of goods.
This will not only help in better delivery but also picking of canceled orders thereby increasing customer satisfaction.
You can have a user-friendly User interface for live tracking providing real-time information and visibility of the movements to your customer.
The system will have the best algorithm to suggest the most optimized routes which will also suggest driver live traffic updates prompting them to choose an alternative route for their delivery.
Logistics houses have started to become more innovative and find out all possible resources to implement the best technology to see their customers happy and satisfied. It is the best time for E-commerce logistics providers to work closely with solution providers to integrate the best methods that will help in assortment and order fulfillment which is offered to customers.