Cloud Telephony For Logistics

Before we learn and discuss various cloud telephony technologies driving the logistics industry of the day, let us get a brief idea of the traditional business model and methods earlier used in the field. Pen and paper methods of creating and maintaining a physical copy for transactions were the norm. Though some companies still use this method to keep a track of their deliveries, the problems associated with the same are pertinent. Misplacing files, wrong input, and other human errors were common. The delivery agent updates the order status summary but only after finishing, the day’s work. The same is collated and forwarded to all stakeholders. This can lead to delays and often inaccuracies.

Modern solutions involve the use of smart devices like smartphones or tablets. Delivery agents use the custom-built app installed in these devices to track and complete their deliveries. Once the delivery is complete, the same application is used to update and share the status with all stakeholders. The solution offers a great alternative to the taxing pen and paper method, however, fails to address some operational issues, like:

Unreliable Internet Connection

The prerequisite for the custom-built app is a stable internet connection. However, last-mile data connectivity is still a challenge, especially in a developing country like India. Hence, improper internet connectivity can make this solution obsolete, doing more harm than good. This inefficiency can further result in delays and inaccuracy disrupting the logistics cycle.

Dispute Resolution Issues

In case of issues of misplaced deliveries, prolonged delays, incorrect status updates, etc., most logistics service providers either do not have a contingency in place, or the lead-time to find out the inconsistency is very long and strenuous for both the business and customer. These issues and related delays are caused due to a lack of proper communication infrastructure that allows real-time updates throughout the supply chain with or without internet connectivity.

Errors in Data Entry

The logistics industry Missed calls for near-perfect data entry to ensure proper functioning. Relying on timely and accurate data, the business cannot afford errors. However, there is no infrastructure in place to facilitate the same for its employees and most importantly for its delivery agents. There is an urgent need to adopt a more convenient method for agents on the go.

These are only some of the many challenges faced by 3PLs. Other challenges faced by 3PLs are order delivery status clarity, lack of communication between the customer and delivery personnel, which leads to high reimbursement costs and in worse cases, increase in COD orders returns.

Cloud Telephony Solutions Change the Game!

Cloud-based communications add another dimension to the entire supply chain. It offers a plethora of benefits for 3PL companies like real-time tracking, fastened resolution time among others. Let us now understand in detail how cloud telephony solutions can help and enhance supply chain efficiency for logistics service providers.

Real-Time Tracking

Using cloud telephony solutions like automated IVR, agents can readily make a call, which automatically updates the delivery status based on the option so selected.  Integrating this service with the company’s CRM system, which can facilitate that all stakeholders get instant notifications. Cloud telephony technology facilitates these advances without relying on internet-connectivity, thus ensuring true last-mile integration.

Easy Monitoring

Cloud telephony solutions allow in-time monitoring of all customer-facing calls by recording and analyzing the same. Using analytics tools managers can now easily understand and intervene in case of any discrepancies. These tools thus, allow businesses to develop and deploy strategic processes, which help avoid supply chain disruptions due to lack of proper communication.

Speedy Redressal

By providing real-time updates across platforms and robust communication structure, cloud telephony solutions help inefficient inventory management and consistent reports throughout the supply chain. Thus, any discrepancies are quickly found and timely addressed; thereby, speeding up issue redressal to a great extent.

Convenient Communication Channel

Logistics service providers endure heavy losses due to failure delivering Cash on Delivery (COD) orders. At times customers are not available and sometimes deny to accept and pay for the products. Delivery agents, therefore, call customers before delivering the order. This is called ‘confirmation before delivery’ and helps to ensure the authenticity and availability of the customer. Cloud telephony solution eliminates the need for added expenditure, allowing delivery agents to make work calls using as many extensions as needed.

Top to Bottom Optimization

Cloud telephony solutions allow the logistics companies to update the order statuses in real-time and grant them the ability to review and optimize the efficiency of other processes like distribution, supply chain, procurement, payroll, etc. Also, Bulk SMS API helps notify customers and other stakeholders of the current status. These solutions make consumer data readily available, along with work suites to facilitate on-the-go working.

In Conclusion

Cloud telephony solutions can easily revamp the entire 3PL landscape and provide solutions for some of the most beaming challenges faced today. IVR, Bulk SMS Add-on among others can facilitate real-time updates and avoid unnecessary disruption due to improper communication channels. Companies using cloud telephony services have already reported success and benefits. 3PL businesses have described a significant 18% increase in on-time deliveries, in addition to a 30% decrease in losses due to non-acceptance of COD orders. A direct result of these advances along with on-time deliveries and a reduction in dispute resolution time is a sharp drop in customer complaints.