The logistics fraternity has long recognized the challenge of the “last mile” as the most complex and expensive leg of the supply chain. For retailers, the rise of e-commerce has led to a range of “last mile” challenges, including the cost of picking very small customer orders, expensive multi-drop home deliveries and managing the reverse logistics associated with a large volume of returns. Oil and gas companies face their own “last mile” challenges, when equipment and spare parts arrive in the destination country often after a long and tortuous journey. Developing countries pose particular challenges, including lack of port capacity, bureaucratic customs processes and immature logistics infrastructure, which all impact on lead times and cost. Operators in the developed countries are not immune from the infamous “last mile” as they lose visibility of materials when they are shipped from the warehouse to the offshore platform, with a potential hit to production if equipment or spare parts are not available. In this paper we explore the “last mile” challenges faced by the oil and gas sector and how technology is being used to solve this very real business problem.
Key takeaways from this whitepaper:
- Oil and Gas the “Last Mile” Challenges
- Insight on Maintenance, Repairs and Operations (MRO) Supply Chain
- Role of Remote Logistics Management (RLM) on Supply Chain Visibility
Overcoming "Last Mile" Challenges and Solutions