As the transport and logistics sector explodes and grows across the globe, it is useful for those who are interested in the sector or already in the sector to know what not to do. There are five common mistakes made by transport or logistics firms that serve to either irrevocably damage their brand or lead to business failure.
Failing to deliver when and as they said they would
It is critical for brand and business authenticity to be able to keep your word. In the world of logistics and transport, times and dates for delivery and collection are critical and may mean the difference between a startup being successful or not making it at all.
Unprofessional care and attention to packages
Although there will be insurance for all the packages and goods in transit, it is critical for a transport startup’s success that the mainstay of the business, the parcels and packages, are looked after. They must arrive at the destination in the same manner that they were dispatched. Whether you have a large fleet or a small compact group of drivers, they should all be on the same page when it comes to looking after customer packages and product. Staff development will be key to ensure this and fleet driver training, manual handling and the logistics processes that your start-up uses are essential training areas.
Poor vehicle maintenance
There is nothing worse for the supply chain or production cycle to be told that the vehicle carrying your goods, raw materials and components will be delayed due to a breakdown. Having a professional maintenance and servicing team is probably the main component of a successful logistic firm. Keeping the vehicles on the road and moving is the most important aspect of your business if it is transportation.
Transport and delivery need to be flexible, and as a logistics start-up, the main requirement will be the delivery and collection of goods and products in a manner that is professional and on time. However, there is also the need to be flexible, in that those who require your services may need to change their pickup or delivery time or address at the last moment. This is the uncertain nature of logistics, and your logistics must be flexible enough to cover this and be able to assist your customers in this regard.
Not making use of third parties
With the need from customers to have their goods delivered next, or same day, even some of the larger logistics concerns are struggling to meet the localized demand. As a start-up, one of the biggest mistakes is not to make use of third parties who are able to deliver in a small localized radius and ensure that you meet the same day or next day delivery requirements.
A large percentage of startup businesses don’t make it through the first year and the mistakes detailed herein are some of the main reasons as to why these business failures occur.
Logistics is a fast paced and ever-changing sector and as such those businesses that manage to survive, and flourish will need to be aware of these common pitfalls and avoid them.