Enhancing Last Mile Delivery: Top KPIs for Optimal Routing Performance

In the competitive realm of last-mile delivery, understanding and optimizing key performance indicators (KPIs) is paramount to success. By utilizing an Analytics Dashboard that provides detailed insights into routes, orders, and driver performance at one glance, businesses can fine-tune their operations and provide an exceptional customer experience. In this blog post, we’ll delve into some of the most crucial KPIs for last-mile delivery businesses to monitor — categorized by routing, orders, and driver metrics.

Routing Metrics

Duration (Executed vs Dispatched): This KPI offers a comparison between the planned route duration and the actual duration for executed routes, allowing businesses to assess the accuracy of their routing decisions.

Duration Breakdown: It provides a detailed breakdown of route duration, including driving time, idle time, service time, and break time for both dispatched and executed routes, aiding in route optimization.

Distance (Executed vs. Dispatched): This metric enables businesses to evaluate the variance between the distance calculated for dispatched routes and the actual distance traveled during executed routes, assisting in cost efficiency.

Completion Rate: By comparing the number of orders completed to the number dispatched for a specific route and driver, this KPI measures the efficiency of order fulfillment, ensuring high completion rates.

Efficiency (Distance per Order): This metric evaluates the average distance traveled to deliver a single order per route and driver, helping in assessing delivery distances efficiently.

Order Metrics

Status: This KPI provides a detailed status breakdown, including completed, not completed, undeclared, and not available orders for both dispatched and executed routes, helping in identifying issues affecting order fulfillment.

Total Ordered Delivered On Time: It categorizes orders as delivered on time, early, late, or not available, offering insights into adherence to estimated delivery times and customer satisfaction.

Service Time: This KPI classifies orders based on service time, such as less than one minute, 1-5 minutes, 5-10 minutes, over 10 minutes, or not available, which is crucial for understanding service efficiency.

Efficiency (Orders per Hour): This KPI calculates a driver’s efficiency by determining the number of orders dispatched or executed per hour, with a higher value indicating increased efficiency.

Driver Metrics

Working Time: Displays the breakdown of a driver’s working time, including driving time, idle time, service time, and break time for dispatched or executed routes, helping businesses optimize driver schedules.

Distance (Executed vs Dispatched): Similar to the route metric, this KPI focuses on the difference between the calculated and executed distance, ensuring that drivers are following optimal routes.

Efficiency (Orders per Hour): Assesses a driver’s efficiency by measuring the number of orders dispatched or executed per hour, allowing for performance benchmarking.

Efficiency (Distance per Order): Evaluates the average distance traveled by a driver to deliver a single order, which can be used to make informed decisions about route optimization and driver allocation.

Monitoring these KPIs through an Analytics Dashboard empowers last-mile delivery businesses to make data-driven decisions, enhance route planning, and improve overall efficiency. By gaining deeper insights into routes, orders, and driver performance, you can not only meet customer expectations but also drive profitability and sustainability in a highly competitive market. Click here for a quick one-page overview of all the KPIs you’ll find on our dashboard, and feel free to reach out to us with any questions or to schedule your free demo!