If you’re a SaaS company or another service-based business, you may think that delivery really only concerns businesses trading in goods – well, you’re wrong.
Delivery is a concern for every single business in at least one of two ways – both if you’re a business that sells physical items.
Firstly, there’s the internal side of deliveries – items delivered to your business.
Secondly, there’s the external area of deliveries – goods that you’re delivering.
Now, that I’ve impressed on you the need to pay attention to deliveries, I’ll look at each of these areas in detail. I’ll explain their importance, the things they cover, and how you can make improvements – you’re welcome.
Why delivery is an internal concern for businesses
Internal deliveries are something that may go under your radar as a business owner, and I get why – they’re a given, something you order, that arrives, and then becomes your property.
But if I can pause you for a moment, consider this – have there been any examples of deliveries not arriving on time, of being incorrect/damaged, or never making it to your office?
You and I both know the answer is yes. But that’s not the important part of my point, what really matters is the knock-on effects of internal deliveries and there are two that really impact your business – employee satisfaction and your ability to do work
This can cover small details and items – water, coffee, milk etc… These may not seem like a big issue, but they chip away at your employees, causing them to drop a couple of productivity points – a short-term issue that could have a long-term impact on your company.
Your ability to work
This includes items that are crucial to your business, with IT equipment the obvious example – imagine if you and your workers didn’t have working laptops for a day or two. It would mean you couldn’t do the work you needed to and deadlines might be missed.
It’s clear that internal delivery really is a concern for your business, but it really isn’t difficult to fix – it’s all about choosing the right suppliers.
While it’s glaringly obvious to say that Amazon should be a go-to for your internal deliveries, the obvious answers are such because they’re just right – so pick Amazon where you can.
But even then, you can still secure an extra level of assurance. How? By paying for your internal deliveries (goods and transport fee) with your business credit card. Why? Because this will insure your purchases, protecting you against financial loss
Why delivery is an external concern for businesses
It’s crystal clear why external deliveries is a concern for companies – if you’re in the business of selling goods then these need to be delivered to your customers (it’s that simple).
This affects millions of businesses all over the place and it does so in some incredibly important ways, concerning your profitability – how much you’re spending to deliver your goods
How much you’re spending on your deliveries covers two things – your drivers, your fuel, your vehicles. Each one of these is a cost-concern that need to be managed correctly:
Are you spending too much money on fuel? Stop this dead by tracking your spending and establishing if your drivers are refuelling in the most cost-efficient way.
The simplest way of doing this is by using fuel cards to put gas in your vehicles because they come with tracking software, along with fuel deals. The key is finding the right one and using a fuel card aggregator site like iCompario is a quick way of doing this, as it allows you to enter the requirements of your business.
That being said, I would advise that you speak to business owners with a similar reliance on deliveries. Find out what’s worked for them and then consider if it’s right for your business – advice from your peers is never a bad idea.
Are they delivering your goods quickly enough? Make sure they are by incentivizing them.
You can do this in a number of ways and it depends what’s best for your business. My personal recommendation is that you offer a bonus scheme. Why? Because I believe positive incentives are better for productivity than negative ones.
The key, though, is to do what works for your business – even if that means opting for negative incentives.
Recommended reading: 4 Ways a Start-up Independent Design Business Can Stand Out
The question shouldn’t be whether delivery is really a big concern for your business – it is and that’s a fact. Instead, after reading my advice, what you have to have to ask yourself is just how big a concern it is for your business.
If you’re already following the tips that I’ve given you then it’s not that big a concern. But if you’re not then it might be a huge concern, one that’s making your business less profitable.