JNE and MileApp: Strengthening Last-Mile Delivery in Indonesia

Logistics brings both opportunities and challenges. With both in mind, JNE keeps innovating, especially in technology, by partnering with MileApp. Since 2017, JNE has trusted MileApp to support its business growth and its last-mile delivery operations so it can keep delivering the best service to customers. Today, MileApp and JNE serve logistics needs nationwide. Read the full story below.

Opportunities and Adapting to Change

The logistics business keeps growing, driven by rising consumer demand and the growth of online shopping. According to McKinsey, e-commerce growth in Indonesia was expected to generate an estimated 1.6 billion shipments in 2022. The number of consumers shopping via e-commerce was also projected to reach 65 million in 2022, up from just 20 million in 2017.

This growth must be supported by efforts to build an effective and efficient logistics system. Beyond these trends, Indonesian logistics still faces challenges such as infrastructure gaps and processes that are run manually. If changing trends are not matched by the right solutions, logistics businesses will struggle to keep up.

JNE has been one of Indonesia’s leading logistics players for 30 years, with a network that reaches 1,500 points nationwide and a wide range of services. JNE needs to keep taking strategic steps to serve its customers well, which is why MileApp supports JNE with technology that makes its logistics processes more effective and efficient.

Efficient, On-Time Last-Mile Delivery

One way JNE keeps deliveries on time is by managing courier tasks well. Assigning tasks to couriers (dispatching) can take a lot of time and effort when done manually, and steps such as weighing parcels, issuing waybills, sorting, and consolidating shipments make the process even longer.

The MileApp platform automates JNE’s courier task management. The admin team simply enters data into MileApp, either manually or in bulk. Admins can then organize the data, for example assigning couriers by area and by shipment flow (delivery, pickup, handover, and so on).

After that, admins only need to press a button to automatically distribute tasks to the right couriers based on the configuration set earlier. This makes daily admin work easier because the data stays stored and can be reused.

Couriers automatically receive their tasks in their mobile field app and simply tap ‘Start’ to begin. Key steps in the courier app include:

Geolocation: The courier’s location and time are recorded when they start a task, so the management team can monitor couriers in real time via the MileApp dashboard.
Task details and recipient contact: Couriers work from the recipient address and contact details shown in the app. Addresses link to a road map and contact details link to the courier’s smartphone, so couriers no longer struggle with wrong addresses or unreachable recipients.
Proof of delivery (photo and signature): Handover is no longer recorded on paper. The courier takes a photo of the item with the MileApp camera and the recipient signs in the app as an electronic proof of delivery (e-POD). Both are recorded directly in MileApp along with the location and time.

Fast, Secure, and Accurate Data Transfer

For JNE, fast and accurate data exchange with every partner’s platform is a must to make sure millions of parcels are handled on time every day. With MileApp, distributing tasks from admins to couriers not only speeds up data transfer but also improves data security and real-time data processing. Key features include:

Real-time big data dashboard: All past and ongoing data and transactions are stored in the MileApp dashboard. Users can configure their own data visualizations by time range and chart type, and choose what to display, such as delivery service type, parcel status, delivery area, and more.
Live tracking map: MileApp provides a map that shows each courier’s position in real time. Beyond location, the company can see each courier’s status, how many tasks they have completed, how long they have been at a location, their smartphone battery level, how long each task took, and the distance traveled to complete it.
Custom reports: Manual processes are prone to human error and data mistakes, yet reports based on accurate data are vital for management and scalability. MileApp is a SaaS (Software as a Service) platform, so data is stored centrally and is easy to save and retrieve. Companies can build the reports they need by selecting the relevant variables and applying filters, keeping reports organized and easy to access.

Easier COD for Sellers Outside Marketplaces

One of JNE’s services is retail COD, which lets businesses that do not sell on marketplaces still offer Cash on Delivery (COD). COD reaches a wider market and builds customer trust because buyers can check the goods before completing the transaction.

With MileApp’s COD and cash management features, JNE couriers can collect cash from recipients more easily. Recipients pay the courier directly, and the courier counts and records the amount in the MileApp app. Recorded COD transactions are saved automatically to the MileApp dashboard, keeping them organized and repeatedly verified to minimize counting errors.

Results: Efficient Delivery, Happier Couriers and Customers

JNE’s work with MileApp, from the start of the logistics process to the end, has helped improve the efficiency and effectiveness of its logistics operations. JNE remains a go-to courier for Indonesians, especially amid digital change and the pandemic. This is reflected in JNE’s revenue, which grew by up to 37%, and its shipment volume, which grew by up to 20% as of September 2020.

“Fast and accurate data exchange between JNE and all of its partners’ platforms is a must. That requires a solid information system with the right, secure technology and infrastructure. To make sure millions of parcels are handled on time and efficiently every day, JNE also uses Paket.id to manage its data management system. Good data management allows JNE to meet demand far more effectively, even in peak season, for example with parcel tracking that can now be accessed simultaneously from multiple channels so it is transparent to everyone.”

Ridhatullah Hambalilah
Strategic Management Division Head, JNE

Want more efficient last-mile delivery operations like JNE? MileApp simplifies delivery, tracking, and fleet management so you can run all your field operations in real time, faster, more accurately, and at lower cost. Talk to our sales team to book a free demo and start your logistics digital transformation.

Sources:

mckinsey.com
jne.co.id