Industry Insights

Last-Mile Delivery Software: Routing, Tracking and Proof of Delivery

Updated October 20, 2020By the CalliArc team

Key takeaway

Route optimisation gets the attention, but the savings usually come from fewer failed deliveries: accurate time windows, live tracking that reduces inbound calls, and proof of delivery that ends disputes. Optimise the exception handling before the algorithm.

Last-mile delivery is the most expensive leg of the journey and the one customers judge you on. Software helps in three distinct places, and only one of them is the routing engine.

The three components

  • Planning — assigning stops to vehicles and sequencing them against time windows, capacity, and driver hours.
  • Execution — the driver's application: the manifest, navigation handoff, status updates, and capture at the door.
  • Visibility — customer tracking, notifications, and the operations view of what's running late.

Where the money actually is

  • Failed deliveries — a redelivery costs the full margin of the first attempt. Accurate windows and a working notification cut them more than any route improvement.
  • Inbound "where is my order?" calls, which live tracking largely eliminates.
  • Disputes — photo and signature capture with timestamp and location ends most of them immediately.
  • Driver time per stop, which is affected far more by a clear manifest and access notes than by the route itself.

Routing is harder than it looks

Real routing has to respect time windows, vehicle capacity and type, driver shifts and breaks, access restrictions, and service time per stop — and it has to re-plan when a vehicle breaks down mid-morning. Unless routing is your product, use an established optimisation service and spend your engineering on the data quality feeding it. Bad address data and unrealistic service-time assumptions ruin an optimal route faster than a mediocre algorithm does.

Build the driver app for reality

  • It must work with intermittent signal and sync when connectivity returns.
  • Large touch targets, minimal typing, and one-handed operation — drivers are standing, often in the rain.
  • Battery consumption matters: continuous GPS over a ten-hour shift is a real constraint.
  • Capture exceptions as first-class outcomes — nobody home, refused, damaged — because they're what operations needs to act on.
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