Planning is a critical function that offers direction on how to execute things. The logistics process is no different. Whether it is about warehouse management, packing strategies, transportation, or supply chain scheduling holds a lot of importance. As planning is about decision-making to achieve fixed goals, there are related IT systems for smooth execution. Planning systems related to inventory, logistics, supply chain scheduling, transport, and labor enable seamless operations.
Let us consider the example of transportation planning here. Transportation managers have a fleet of trucks that they need to use for the efficient delivery of goods. They also have a list of loads that may differ in layout, volume, and weight. Other critical differentiators include the temperature range and liftgate.
Another essential consideration could be truck drivers who handle specific vehicles. It gives rise to several permutations and combinations to assign loads to trucks. Transportation managers also need to ensure higher service levels and reduced operational costs. There is thus a need for digital transformation in the logistics industry and using Artificial Intelligence (AI) systems for efficient planning.
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Table of Contents
What is Supply Chain & Logistics Scheduling?
Supply chain and logistics scheduling are all about planning the delivery of goods on particular days and times. Some pipelines and workflows are vital components of the process. The scheduling process is multifaceted and includes both loading and unloading of goods for production or delivery purposes. Timing is critical here as businesses commit to their customers a specific duration for the delivery of goods.
Why is Supply Chain Scheduling Important in Logistics Industry?
The performance of supply chain operations has a direct impact on its revenue streams. According to a 2019 GEODIS statistic, 57% of companies agreed that efficient supply chain management gives them an edge over their competitors for business growth.
Automated scheduling also helps managers understand and mitigate delays by understanding where the issue lies. They can then take corrective steps to ensure the supply chain remains uninterrupted. Here are some tangible reasons why supply scheduling software holds a lot of importance for businesses:
Improved Risk Management and Scalability
If you want to scale your supply chain operations, it is essential to understand the different steps in the process and how long each of them takes to execute. There is a lot of data involved here that supply chain scheduling leverages to make decisions for attaining business goals. A scheduling system will give you an overview of the supply chain or human resources you need for seamless operations. You can plan for a day, week, or month in advance by forecasting the requirements.
This also benefits risk management. The workflow does not get disrupted, and there are no last-minute changes that can take anyone by surprise. These changes can derail smooth operations, leading to delays in delivery schedules. Customer satisfaction could also ultimately get affected.
Reduced Overhead and Stock Issues
Without a supply chain workflow, you might deliver a very high or less quantity. It will not be an ideal scenario for the long term. A supply chain scheduling app ensures that you send just enough amount needed to get the job done successfully.
The balance is critical as it will ensure that you never run out of stocks or have too much of it that the warehouse begins to overflow. When the deliveries do not get executed as desired, there is also a risk of customer churn.
Reduced Expenses and Increased Time
An efficient supply chain schedules enable you to plan well without the need to go haywire with planning. When you have enough stock, you will have no need for urgent orders that come at higher costs.
Efficient transport scheduling also reduces the risks of goods returning to the warehouse without delivery. There will also be no haphazard routing, which can incur higher fuel costs and other vehicle expenses. Vehicle routing and scheduling in supply chain and logistics can overcome this.
A proper supply chain scheduling app saves time and leads to better management of the inventory and warehouse.
Improved Deliveries and Satisfied Customers
When you don’t plan the delivery of goods appropriately, there is always a risk of customer dissatisfaction. It can directly affect your revenues and reputation in the market. However, when you deliver on time every time, you can get a range of benefits.
Proper last-mile delivery ensures that you deliver the goods on time. Your customers would feel elated upon reaching their parcels at the desired time. They would not feel shy about leaving positive reviews online, which is crucial in today’s online world.
Improved Staff Scheduling
56% of online shoppers in the 18-34 age group expect their parcels to arrive on the same day. The same report also shows that 25% of shoppers are likely to cancel their orders if they don’t receive delivery on the same day. It is clear that businesses of all sizes need to improve their last-mile delivery game.
Giants like Amazon, through their quick delivery schedules, have only raised the bar for everyone. Technology in logistics scheduling can reduce the last-mile delivery time by 90%.
Challenges in the Supply Chain Industry for Appointment Scheduling
Carrier businesses can often struggle with scheduling arrangements. Furthermore, inaccurate appointments can directly affect your operations and revenues. It can also affect the transportation of goods and lead to trucks going on the wrong paths.
Your business would also need dedicated resources to take care of appointment scheduling. But this is only a part of the problem. Here are some other significant challenges related to appointment scheduling.
Inefficient Appointment Scheduling Systems
Businesses need to have multiple carrier appointment systems for creating and editing appointments. These disparate systems require numerous entries, which need to remain synced for ease of operations. Appointment systems also come at a cost. When you set up multiple appointments, it will directly affect your revenue and reduce the profit margin.
Lack of Customized System
Appointment systems are available in plenty for wide-ranging uses. For example, doctors can use them to schedule patient appointments. However, the supply chain industry is unique and comes with its challenges. The data structures and terminologies differ, which requires customized solutions. In the absence of efficient appointment systems, the customer experience takes a hit.
Inefficiencies in Labour and Operations
A lack of planning can lead to the overbooking of docks. Warehouse labor staff will then have to quickly unload the goods to clear the space for the arrival of other loads. The absence of effective dock scheduling also hinders space allocation and planning sufficient labor for unloading purposes. If there is too much incoming cargo, it can hamper smooth operations and lead to chaos. If it continues for a long time, there can also be resentment among staff and increase their turnover rate.
Must-Have Functions of a Supply Chain Scheduling Software
Here are some functions you should look out for when investing in supply chain scheduling software:
- Accessibility: The system should remain accessible round the clock to both suppliers and carriers. It will enable everyone to book appointments and update the schedules whenever required.
- Notifications: Users should receive automated notifications via email for various actions like the confirmation of an appointment. You can control which actions should generate notifications and who should receive them.
- Smart planning: The transportation scheduling software should have a provision for the creation of rules and constraints, which lead to improved management. You should be able to define actions for various aspects of the process related to the products and shipment. It will lead to optimized operations and improved management.
- Automation: Automated scheduling in supply chain and logistics can lead to the processing of tasks automatically without any interference from users. You should also have the ability to customize appointments and automate permitting requests. Some customers can have automated service, while others can have a customized offering for increased attention.
- Other functionality: You should be able to book the dock space, labor requirements, and space for goods in the warehouse. There should also be an option for cancellation that notifies other users about the free space.
The Role of AI in Automating Logistics Appointment
As supply chain operations remain time-bound, even minor issues can hamper smooth operations. As processes remain dependent on each other, the problem with one can have a cascading effect on the entire supply chain. A few hours of downtime can lead to an increase in delivery time by day. AI in the supply chain can predict unforeseen circumstances to reduce the chances of operational mishaps.
Several benefits of AI in the supply chain are automating appointments, reducing costs, improving productivity, and saving time. Cognitive automation helps free the staff from time-consuming processes that do not hold much value. Businesses can save time and money and forecast demand much better. Route optimization also helps in reducing transportation costs. It leads to improved profit margins.
AI systems make informed decisions in seconds, which could otherwise take days for humans. As warehouse operations lead to the generation of significant data, businesses can optimize their operations better through related insights. Robotics is already finding increased adoption in warehouses for inventory management.
Some supply chain warehouses also have open scheduling, which is nothing but a first-come-first-serve rule. Drivers can deliver or pick up goods in a range of hours. Similarly, many other warehouses require delivery appointments and remain strict about them. Businesses need to ensure that their drivers reach the spot at agreed times. A driver scheduling software comes to the rescue here.
Even in warehouses with the first-come-first-serve rule, businesses need to notify about expected delivery or pick-up schedules. It avoids issues related to inventory management and other warehouse issues. When you manage appointments well, you can prevent fines and rescheduling of deliveries and pickups. The business goodwill and relationship will also remain intact.
However, the lack of it can be detrimental to the business’s reputation and profits. So, it is crucial to have a supply chain and logistics scheduler in place and follow it comprehensively. It leads to improved efficiencies in operations. Your customers will also trust you better and have improved satisfaction levels.
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