When we talk about proof of delivery, also known as Proof of Delivery (POD), we refer to the record to confirm that the recipient or end customer has received the correct product. The most basic form of Proof of Delivery is the recipient's signature collected by the driver upon delivery. This signature is recorded when filling in the details of the time and date the item was delivered.
This process is taking place as last-mile delivery logistics operations become more sophisticated. That is, for them the test must have also evolved. Ideally, this test should be modern and meet all the necessary details. Such as: the client's signature, date and time, images, among others.
Previously this process was traditionally carried out with pencil and paper. Nowadays it is totally different. This article will serve to explain the importance of proof of delivery for last mile optimization.
The importance of proof of delivery
As mentioned above, this testing is an essential component of both an efficient supply chain and sales process. It is directly related to the generation of income, to the extent that it offers responsibility between the carrier and the end customer.
This essential component allows you to track whether a given order is delivered to the appropriate party. Recording the delivery helps ensure that the following are accomplished efficiently:
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That the correct recipient received the package from the correct sender.
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Proper identification of where and when an error occurred, if any, in cases of claims for damage or missed deliveries.
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Proper and easy resolution of shipping claim disputes, especially for e-commerce purchase transactions.
Typically, delivery drivers are the ones who present the delivery document for recipients to sign to acknowledge that all elements of the package are intact and complete. Basically, proof of delivery provides shippers or sellers with the necessary documentation to verify order fulfillment and invoice accuracy.
How has proof of delivery evolved?
Currently there is nothing new in package signing. In fact, in history we can see that there is enough information about this essential component until the 18th century. Since this type of documentation is a receipt and has become popular for its way of guaranteeing proper deliveries of important financial and legal documents.
The value of proof of delivery these days is more than obtaining the recipient's signature. It also consists of the volume of shipments for each delivery. It should be noted that this increases every year due to the rapid adoption of e-commerce around the world. Which results in a greater possibility of errors and confusion in deliveries.
The United States has reports showing that more than 11% of annual shipments are delivered incorrectly, damaged or lost. Last year alone, approximately 64% of supply chain executives and leaders said they had experienced many more delivery-related issues than in previous years.
It is important to note that refunding or replacing an item is not the only delivery-related cost for businesses. In fact, today consumers demand a delivery experience that is accessible, easy and of high quality. This is reinforced by studies revealing that a positive delivery experience encourages shoppers to patronize the same retailer or brand again.
Limitations of traditional proof of delivery
proof of delivery amplifies benefits of having delivery receipts, while saving the effort of manual accounting. On the other hand, the traditional POD guarantees efficiency to companies due to a number of different reasons:
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Reliance on manual, error-prone processes.
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Lost work hours and reduced driver efficiency due to repetitive and time-consuming tasks.
In reality these disadvantages pose additional risks to the company's operations and delivery processes. Which also threatens potential income. Fortunately, a digitized proof of delivery allows carriers to automate processes to increase efficiency and offers a better delivery experience for customers since there are fewer errors in delivery information.
Advantages of electronic proof of delivery
The priority of this electronic proof of delivery is to allow companies to overcome the problems we previously mentioned. The digital solution allows businesses to get rid of their paper delivery receipts, paving the way for more streamlined workflows.
Some real benefits are:
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Paperwork will be reduced.
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It will improve productivity.
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Reduces delivery problems.
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Among others.
In the end, the right approach is to allow companies to address problems in the delivery process to improve customer satisfaction. Testing of delivery can help with the elimination of costly errors and time-consuming tasks. With this one you get all these benefits that result in a real boost to results.
