Supply Chain Digital Magazine July 2023 | Page 75

LOGISTICS

T

he COVID-19-sparked ecommerce boom has shown few signs of fading , and the omnichannel retail model is an increasingly important part of many businesses ’ logistics solutions . With omnichannel , come new logistics challenges and opportunities . It has made logistics more complex , because the last mile now involves multiple sales channels , such as online platforms , physical stores , and mobile apps .
Logistics providers must handle diverse order types , fulfilment methods , and delivery options . Retailers need excellent inventory visibility across multiple channels , as well as flexible micro-fulfilment solutions to ensure goods can be delivered in good time , often on a postcode-by-postcode basis .
Adaptability and flexibility are the watchwords of last mile , because it ’ s about being as physically close to as many

“Analytics can reduce inventory , identify underperforming areas and help find efficiencies ”

LINDSEY MAZZA , GLOBAL RETAIL LEAD , CAPGEMINI
The global last-mile delivery
market is projected to reach

$ 288.9bn

by 2031
customers as humanly possible . It ’ s a challenging , dynamic landscape , and that ’ s before retailers have even factored in rising operational costs .
Advanced tech – such as AI , machine learning and IoT – plays a vital role here , helping to optimise delivery routes , manage real-time tracking and to enable efficient resource allocation .
“ Automation , AI , and other leading technologies can make all the difference , and I am seeing the benefits with our clients ,” says Capgemini Global Retail Lead Lindsey Mazza .
She adds that Industry 4.0 technologies in product and supply chain planning processes not only maximise the use of labour , and help companies meet sustainability objectives , but also help ensure that last-mile consumer fulfilment can support optimised costs .
She adds : “ For example , analytics can be used to reduce inventory , identify underperforming areas , and recommend solutions to increase efficiency .
“ Using real-time data and intelligent integrated planning , consumer products companies and retailers can customise the right assortment mix , and have the right inventory for each store or channel .”
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