What is Courier Software and How Does it Work?

by Matt Corby,
May 31, 2024
courier management systems
courier management systems

Table of Contents

Courier delivery management software, or courier software, is designed to meet the needs of courier companies involved in various delivery businesses.

Courier software enhances the efficiency and reliability of courier services, serving as a critical tool for the modern delivery business with features tailored for courier companies of various sizes and industries.

At its core, courier management system improves operational efficiency through route optimization, barcode scanning and subsequently, live tracking. Modern courier software are also cloud based, so you can easily access data anytime, anywhere.

But hey, we’re getting ahead of ourselves. Lets break down what courier management software is, how it works, and the many ways it benefits your delivery operations.

What is a Courier Management System?

As the name implies, courier systems help you manage the processing and delivery of packages from your depot to the recipient. Its main goal is to automate and speed up the shipment process, while ensuring you have real-time visibility and data so you can optimize your process as you go.

Today, there are hundreds of courier management software available, helping businesses with route optimization, workforce management, and last mile delivery.

Features of courier management software

A full-featured software will improve efficiency across every stage of the journey:

  • Order entry

  • Label printing

  • Dispatch management

  • Route scheduling, including planning efficient delivery routes with real-time tracking and automated route planning for cost-effective operations

  • Driver allocation

  • Managing and optimizing delivery schedules for improved operational efficiency

  • Invoicing and rate cards

  • Reporting and analysis

If you’re looking to run a successful courier delivery business or if you’re running a store on existing ecommerce platforms, then you’re more than likely to benefit from this platform!

Courier software automates many of the tasks involved in the supply chain. But not all courier dispatch software are created equal. So it’s important for you to understand not only what the software can do, but also what you want to get from it.

Let’s talk more about why you might use courier software.

Key Features for Courier Companies

There are many useful features within courier software, lets dive into the key features we mentioned earlier and expand on them a bit:

  • Delivery scheduling and dispatch. Plan deliveries and consolidate shipments so you can plan runs for your courier business. You can optimize schedules according to location and frequency as well.

  • Route optimization. More than just GPS tracking, this feature not only allocates but also optimizes routes for efficiency as part of its advanced route planning capabilities, ensuring that you save on time, fuel, and labor while enhancing delivery operations through auto route planning and optimization.

  • Mobile communication. Communicate on the go and in real-time with drivers and warehouse personnel.

  • Powerful reporting and analytics. Access data easily to give you real insights into performance and know what works, or where you can improve.

  • Customize workflows. Set up a range of workflows so your staff can save time and standardize their processes.

  • Electronic proof of delivery. Utilize sign on glass technology to turn your drivers’ device into a signature portal and send instant, paperless POD.

  • Customer portal. Give your customers somewhere they can login to check details and status of current deliveries, view quotes and pay balances.

Who Can Benefit From Courier Systems?

Aside from a courier business, small businesses and online stores (who need to move beyond manual, paper-based processes) to national players delivering across expansive networks can all benefit from a courier software.

Types of business using courier software could include:

  1. Small businesses and online stores who want to automate delivery management and remove human error

  2. Delivery organizations with in-house couriers who need to increase efficiency

  3. Businesses that contract out to couriers and need to be able to integrate systems easily

  4. Large enterprises that need optimal efficiency on a large scale, and powerful data to co-ordinate many moving parts.

  5. Food delivery businesses are very time-sensitive. Courier software can calculate the most efficient routes for delivery, reducing travel time and ensuring food arrives hot and fresh.

Businesses focusing on on-demand delivery services also benefit greatly from using courier software for its real-time tracking and optimization features.

How to Make the Most Out of Your Courier System

1. Manage your drivers’ schedules with courier dispatch software

When you implement courier software, you’ll manage your driver schedules in the most efficient way possible. That means you’ll tighten costs and save time.

How? Use your courier dispatch software to manage your runs.

You can manage runs according to location or frequency. A comprehensive courier service software will let you view maximum loaded weights and see overloaded vehicles, so you can pre-plan jobs with multiple legs. A handy feature is also being able to bulk-edit and re-assign jobs to different drivers or dates. A fully-featured courier software will also provide you with detailed reports so you can calculate fleet data, check weights and measure delivery efficiency.

This all helps you to make informed decisions, tightening your whole operation and ultimately raising your profits.

2. Use route optimization to deliver in full and on time

Today’s consumers and retailers expect your delivery to arrive when you say it will (and if you can’t, your competition will).

That means you need to be sure your drivers will meet every allocated time window over their full work day. When a delivery service arrives early, it can be just as disruptive and frustrating as arriving late.

If your courier software is full featured, it’ll be able to turn route allocation into a one-step process.

Simply scan deliveries into the app, press one button and your courier dispatch software will calculate the most optimal routes for you.

In just moments, your courier software will take into account things like:

  • Driver’s workflow

  • The order of their stops

  • Distance between stops

  • Required time windows

  • Historical delivery data

Once the software generates the most efficient route, your drivers can be guided by turn-by-turn navigation.

Being sure you have accurate timings means you know you’ll meet time windows. So not only will you increase efficiency, you’ll meet your KPIs and performance metrics.

3. Real time driver tracking

A fully-featured courier service software gives you 100% visibility at any given time. Available drivers are sorted by location, so you’ll know who’s closest to the pickup point.

As well as knowing their GPS position, you’ll see what’s on board and where they’re going next. You can see real-time load details and match this to available drivers. As quick as you can say ‘agile’, drivers are on the road again.

With real-time information on the status of live jobs, it’s never been easier to quickly match the best driver when something changes.

4. Make the most of powerful analytics & reporting

When it comes to reporting, one size definitely doesn’t fit all.

That’s why it’s important to know that, within your courier software, you can personalise how you capture your data (and make it work the way you need it to). A good courier software will give you flexible reporting, from simple spreadsheets and customisable PDF’s to in-depth business analysis.

As an added bonus, we also recommend using last mile delivery software especially when you’re dealing with multiple stops.

Ready to Implement Courier Software in Your Business?

Has this helped you get clearer on just what courier software can do for your business? If you know someone else who might benefit from reading, please share this guide with them.

And if you have any questions, get in touch or call us on 1800 975 305. We’re here to help.

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