What does a last-mile delivery company’s missed-delivery rate say about its operations?

Start with the definition. One company may count a parcel as missed when no one is home, another when it was not attempted at all. Ask how the rate is measured, over what period and from which data. Then ask for the causes: bad addresses, tight routes, vehicle breakdowns, driver absences, customer unavailability or poor handoffs from the client. Ask whether weather or seasonal volume plays a part.

Break the numbers down. Look at the rate by route, driver, day of the week and client. A single driver or route with repeated misses points to a management problem. A spike on busy days points to capacity. Ask how misses are recovered, how quickly customers are told and how the client contract treats penalties or credits.

Look at the process behind the number. How are routes planned, and how do drivers report problems? Is there proof of delivery and a way to check it? Clients watch this rate closely, so it can show how safe the contracts are. Ask whether drivers are paid in a way that rewards speed over care. Ask for client complaints and see how they were handled. Your accountant can help find out whether missed deliveries cost money through reattempts and credits. Compare the rate at busy and quiet times.

Key takeaways

• Ask how a miss is defined and measured.
• Break the rate down by route, driver, day and client.
• Check how misses are recovered and what they cost.