How Are New Age Logistics Optimization Models Enabling Innovative Delivery Capabilities

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With rapid urbanization and the proliferation of the internet, customers now expect faster product deliveries and, in many cases, same-day delivery. This has led to a huge growth of the global logistics industry, which is expected to cross 6.8 Trillion USD by 2028.

Delivery and logistics go hand in hand in supply chain operations. With increasing customer expectations, companies should improve their delivery processes flow to remain relevant in the market competition. Though many logistics optimization models and automation solutions are available, these are still not enough to optimize the complex process of last-mile deliveries. Mojro now offers its users several innovative new-age logistics optimization models to help businesses fill the gaps in their logistics process and revolutionize their supply chain.

Supply chain and logistics optimization

The new-age logistics optimization models in the supply chain help businesses improve their delivery performance and efficiency. This can be realized with the help of innovative resources and technologies like AI and big data. An enterprise's supply chain is a fundamental business operation essential for a positive customer experience. Clients can easily meet their demands with the help of an efficient and responsive business model that is lucrative for the company and promotes supply chain sustainability.

Optimization models for logistics planning

Logistics has undergone a lot of changes in recent years. Now logistics management is about optimizing the logistics processes to enable businesses to efficiently transport tons of deliveries from one point to another. Any efficiency in the logistics system can cause decreased customer satisfaction and even loss of customers.

New-age logistic optimization models that can help companies realize rapid and efficient deliveries include the following:

Continuous/ Ad-hoc planning optimization

Customers in this digital age are increasingly expecting same-day or even same-hour deliveries. Such orders' successful and efficient fulfillment requires dynamic ad-hoc or continuous order planning. Mojro offers best-in-class real-time ad-hoc planning that uses numerous parameters to decide how the ad-hoc delivery is fulfilled.

The most important constraints considered include the availability of resources like vehicles, vehicle proximity, space available in the vehicles, and the time at which the goods will reach the warehouse. The SLAs of the drivers is also crucial before deciding whether to allocate a new vehicle for the ad-hoc order or to re-route a vehicle already running on the ground. This dynamic planning will reduce costs while enhancing the efficiency of logistics operations and customer experience.

Sourcing automation

The dairy industry faces several major challenges, including optimizing routes and tanker utilization to keep the milk fresh. A lack of flexibility in planning prohibits company managers from making the best choices, which results in low resource utilization and high costs. Variations in the availability of tankers, their capacities, and the different plant requirements for different kinds of milk can also pose challenges to dairy businesses. Tanker travel distances and wait times can also increase due to manual planning and scheduling, compromising milk quality.

All these issues can be solved effectively using Mojro's Dairy Tanker Optimization tool. The platform offers a sourcing automation feature that can help businesses automate the selection of the milk-sourcing location based on network constraints, supply, and demand capacity, and minimum transportation costs. Dairy businesses can also optimize their routes based on many criteria, including the number of tanker compartments, fleet mix, chiller sites, and product shelf life.

Cross dock-based deliveries

Cross-docking helps businesses do away with in-transit warehousing of products. When managed correctly, it allows for quicker selection and delivery of items, which lowers operational expenses. It also shortens delivery time and makes the supply chain sustainable and agile. Mojro's multi-leg planning capability allows businesses to optimize their deliveries by considering parameters like delivery requirements from the mother warehouse to cross-dock and customer location.

Multi-modal procurement

Multi-modal transport integrates at least two and maybe more different means to convey consignments from one place to another. Typically, businesses use different means of transport like rail, road, air, and sea. A multi-leg, multi-modal, multi-day logistics optimizer is essential to recommend a pick-up date to companies considering constraints like the capacity of their warehouse and delivery SLA requirements. Mojro's multi-modal logistics optimizer offers optimization features for road and rail transportation.

E-commerce models

The rising demand for efficient and fast deliveries has increased the requirements for dark stores and parcel lockers that help online retailers with their last-mile delivery issues. These are also influenced by freight congestion that can negatively affect the delivery of products to end customers. The Dark Stores, Lockers, and Hub-Spoke Models help businesses to plan, optimize, and automate their distribution

requirements to dark stores, lockers, and hub-spokes based on the different business constraints. This optimization will help e-commerce companies deliver goods to clients quickly and affordably.

Conclusion

The new-age logistic optimization techniques can help businesses get an edge in their industry over their competitors by making their supply chain efficient and cost-effective. The logistics models provided by Mojro are the best in the market and can help you streamline your operations. Not only do we provide you with the most efficient way to get your products to your customers, but we also provide a wide range of services.

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