Do kilometres alone explain the cost of delivery per shipment?

Work, stops, failed tests and selected network costs are also required. Shipments of different sizes or service requirements may have a similar distance but different work volume.

How do you allocate the cost of one stop to multiple shipments?

A consistent basis is chosen to reflect the available detail: quantity of shipments, service time or a combination of the two. Distributed amounts are checked against a common source, and unreliable detail is not provided as an accurate measurement.

How do you check if the redirection to the recall network was economically beneficial?

Additional transport, sorting, local service and the course of unreserved shipments are included. At the same time, agreed recipient service is assessed. The reduced number of courier stops alone does not indicate the full result.

When can delivery cost data already be used to make commercial decisions?

When basic costs, revenues and costs of failed deliveries and returns are included. Comparisons are made between similar shipment flows based on seasonality and service conditions. One-off disruptions are separated from recurring losses, and pricing changes are assessed by the team along with the impact on customer service.

Delivery cost and network analytics system

The handbook assesses the revenue and costs of shipments and routes.The comparison includes re-deliverys, returns and the cost of pick-up points.

Route and network costs are divided by differently calculated shipments or tests, excluding part of repeats and returns. This makes it impossible to compare zones and services correctly, and lower cost can only mean unincorporated costs.

How the solution works

The delivered or returned shipment is linked to its routes and any significant delivery attempts.
Actual costs are allocated directly or distributed on a harmonised basis.
Reasons distinguish between an additional service, an execution error and an unconfirmed circumstance.
Zones and delivery channels are compared to include the same cost groups and similar service conditions.
The solution of operations or the commercial team is subsequently checked against the actual result of the service.

Key challenges

The cost of a single delivery is seen through a generalized

Solution capabilities

Services and test limits

Consignments, delivery tests and successful deliveries are counted separately. Cost of all tests remains at self-cost regardless of the indicator chosen.

Allocation of common costs

Route work, kilometres and overall network maintenance are assigned according to an approved method, with assumptions.

Reasons for additional work

A failed attempt or return is assessed on the basis of available evidence; an unconfirmed courier code does not automatically determine the responsibility of the recipient.

Comparison of channels and zones

Delivery to the address and withdrawals are compared according to service level, stop density, and the same groups of included costs.

Business context

The cost of a single delivery is seen through a generalized: Route and network costs are divided by differently calculated shipments or tests, excluding part of repeats and returns. This makes it impossible to compare zones and services correctly, and lower cost can only mean unincorporated costs.
Delivery conditions are shaped by the cost of service: Different zones, re-tests and returns can change the profitability of the agreed rate. Linked analytics allows for discussion of customer flows and bid options. The provider can base the price and service changes on specific service data.

Core features

Services and test limits
Allocation of common costs
Reasons for additional work
Comparison of channels and zones

Key integrations

Delivery Management System: Actual route, delivery tests, verified causes of failures and final result of the shipment.
Withdrawal Network System: The presence of the shipment, real withdrawal, redirection and network service facts.
Sources of accounting and labour costs: Actual amounts and their attribution period.
Customer Contract Source: Tariff, agreed service and approved surcharges.

Potential impact (%)

The ranges indicate an illustrative relative change in the metric under the stated assumptions. Results depend on the starting position and actual use of the solution. Percentages for different metrics must not be added together.

Preparation work for delivery cost analysis

12–36%Decreasing

This illustrative scenario assumes that 30-60% of manual data entry and handover work can be addressed. That share is assumed to fall by 40-60%. Company data is needed to verify both the addressable workload and the resulting change.

The active preparation and reconciliation time is measured for a comparable service volume.

Unattributed re-work costs

12–42%Decreasing

This illustrative scenario assumes that 30-60% of errors can be addressed through the data and rule checks described. That share is assumed to fall by 40-70%. Company data is needed to verify both the addressable share and the resulting change.

The portion of unexplained or unassigned amounts is valued; its finding is separated from the savings achieved later.

Conditional calculation scenarios. The assumptions have not been validated against client measurements.

When this solution is relevant

The comparison of different delivery channels uses unequal input or failed attempts.
The amount of re-work is assigned to the overall network and does not achieve the result of a specific service.

Implementation requirements

There is consensus on how costs are allocated to shipments, stops and network periods. Channels are compared to include successful and failed attempts. The report indicates which cost available data do not allow for accurate allocation.