AI for Better Last Mile Delivery Services

The optimization of last-mile services has become extremely important for supply chains around the world, as companies have to look for ways to have faster deliveries. A Chilean company aims to contribute to the improvement of logistics of the last mile in Latin America through AI, explains T21.

SimpliRoute, a startup created in 2014 to optimize firefighting routes, now specializes in implementing cutting-edge route algorithms engines to allow companies to reduce their logistics costs, improve customer satisfaction and boost their last-mile logistics performance, as the company states on its website. SimpliRoute allows both companies and consumers to set new standards for package deliveries purchased through digital channels. “Customers demand swifter delivery as logistics departments struggle with high volumes, longer routes and less flexibility in delivery time slots. Today, with the help of artificial intelligence, algorithms collect and analyze key business data to provide the most efficient, most convenient and quickest delivery route,” explained Mario Gamboa, CEO of Intelimetrica, in an article for MBN.

SimpliRoute has successfully implemented several solutions in recent years and received financial support from startup accelerators in Latin America and Silicon Valley. Today it is present in 26 countries including Mexico, where it has over 120 clients. Álvaro Echeverría. CEO of Simpliroute, explained to T21 that the proper implementation of AI in logistics requires the efficient use of technology to develop the right algorithms that optimize routing for shipments and package distribution.

These systems provide the route information to the customer to give them greater visibility of the process and the units being used. This way clients know when the trucks, vehicles, or bikes leave the distribution center, with which packages, and how long until they arrive at their destination. Giving the customer access to the information they care about through the most convenient channel, allows for more customer satisfaction. “As more businesses turn to technology to optimize delivery operations, constant innovation will drive efficiency and profitability in route planning. Staff will be able to focus on different tasks such as face-to-face interactions with clients, which also provides valuable data to be further analyzed,” continued Gamboa.