Taking an agile approach
Operating in the South African environment comes with its own unique challenges for courier companies. SA’s failing infrastructure, high levels of crime and a scarcity of skills all have an impact.
RAM MD Graeme Lazarus explains that under “normal” circumstances the business operates in a fast-paced and cost-sensitive environment, and having to deal with ongoing and prolonged periods of loadshedding, failing infrastructure and rising fuel prices does have an impact on its ability to deliver a reliable, efficient and costeffective service.
He says RAM has responded with an agile approach to how it runs its business to ensure it can adapt quickly. “We have strategies and back-up support in place to deal with loadshedding at our hubs, as well as on the road; we’ve become creative and innovative in terms of how we plan our routes around failing road infrastructure, and we continue to focus on managing our costs.”
A long-term thorn in the side for the courier industry has been the hijacking of its delivery vehicles or theft out of its vehicles.
“As courier vehicles typically transport high value commodities, they have long been soft targets for criminals,” says Garry Marshall, CEO of Saepa. “The challenge is that industry players are not security companies and drivers don’t carry weapons. The biggest consequence of this is the impact on staff and their physical and mental health and wellbeing.”
Pre-Covid one of the biggest headaches for courier businesses was home deliveries. It was not uncommon to find that two out of every three deliveries failed either because nobody was home to take delivery of the parcel, or because the delivery vehicle was unable to access the address if it was situated in an estate, for example.
Delivery failures add to the cost of delivery which is why local courier companies have responded by becoming more innovative and implementing specialised technology, including predictive software, to ensure a lower failure rate.
They’re getting better at delivering to township areas by employing drivers who are familiar with the area. “Courier companies have no choice but to get to grips with delivering in areas even when there is a lack of street signage,” says Marshall. “Fortunately, this is a resilient and agile industry which adapts where necessary.”