Overcoming the last mile distribution challenge (part 1)

Abstract

The purpose of this paper is to describe what a last mile delivery is, the various aspects of a last mile delivery, as well as the challenges faced by the logistic service providers and the solutions to those problems. It also looks at the conflict of interests between the three stakeholders that we identified- the logistics service provider, the shippers, and the government. The methodology used in this paper includes detailed analysis of the literature review and analysis of the interviews and survey conducted. The author also attended a conference on Last Mile Fulfilment (LMFAsia 2016) to gain insights from the presentations and industry leaders. This paper shows that the key challenges faced by logistics service providers include operational inefficiencies in their work, as well as the threats that they face currently or will face in the future. Through research and interviews with industry players, it is evident that these challenges can be dealt with by various methods. However, due to the fact that these solutions are relatively new, the effectiveness of them needs to be further researched. In addition, the conflict of interests between the LSP and the two stakeholders were identified and elaborated on. The purpose of this portion of the report on the conflict of interest is to fill up the research gap in the last mile delivery problem as it has not been reported in previous research.