Last-Mile Delivery: trends, technologies and expertise for the logistics of the future

In recent years, Last-Mile Delivery has become one of the most central and debated topics in the logistics world. The exponential growth of e-commerce, consumer expectations for speed and flexibility, and sustainability challenges are profoundly transforming the way products reach the end customer. Delivery is no longer just an operational phase, but a real strategic competitive factor that can influence customer satisfaction and the company’s reputation.

To explore these issues and understand how emerging technologies and new skills are redefining the industry, we interviewed Arianna Seghezzi, Director of the International Full-Time MBA at POLIMI Graduate School of Management, an expert on supply chain innovation processes and last-mile logistics.

What exactly is Last-Mile Delivery and why has it become so central to modern logistics?

Last-Mile Delivery is the final stage of the distribution chain, where online orders are delivered to the final customer, at home or at a selected collection point. Traditionally, this activity is carried out by vans that depart from the last node of the distribution network and travel on so-called delivery tours, stopping at different destinations in sequence.

The centrality of Last-Mile Delivery in modern logistics is based on two fundamental dimensions. On the one hand, the explosion of e-commerce has generated, and continues to generate, an increase in the volume of parcels to be delivered, making this phase of distribution increasingly crucial to ensuring a rapid, precise, and efficient service. On the other hand, the Last-Mile Delivery is the moment of direct contact with the final customer: this is where the shopping experience materialises. The quality and punctuality of the service have a decisive impact on consumer satisfaction and retention. For this reason, today, Last-Mile Delivery is a strategic lever for business competitiveness and, at the same time, a complex process to manage, not only for economic reasons, but also in terms of its impact on environmental sustainability.

What are the main complexities and critical issues that make Last-Mile Delivery a particularly challenging phase?

The main challenges concern both effectiveness, that is, the quality of customer service, and efficiency, i.e. containing operating costs. From the point of view of effectiveness, online customers are now extremely demanding: they expect increasingly faster and more punctual deliveries, often without wanting to incur additional costs. Free shipping is indeed now perceived as standard, but this makes it even more challenging for companies to achieve the highest levels of service while maintaining economic sustainability.

In terms of efficiency, Last-Mile Delivery is the most expensive part of the logistics chain: it can account for up to 50% of the total distribution cost. This is because online orders are often fragmented, consisting of just a few items and destined for geographically dispersed locations. This creates a completely new logistical problem compared to traditional distribution, with high variability and poor standardisation of delivery units.

A further critical issue introduced by Last-Mile Delivery is represented by so-called failed deliveries, i.e. deliveries missed due to the customer’s absence when the courier arrives. Every failed delivery means a new attempt, increasing time, costs and environmental impacts.

All these elements, among others, make Last-Mile Delivery one of the most complex and challenging phases of the entire modern supply chain.

Looking at the evolution of the sector, what are the major trends impacting Last-Mile Delivery today, and how are emerging technologies and solutions helping to optimise it?

In response to these complexities, operators are experimenting with innovative approaches and increasingly diversified technological solutions. Among the most widespread are parcel lockers, automatic lockers that allow customers to collect their package independently at any time, reducing the problem of missed deliveries (but also drastically increasing delivery density). Cargo bikes, pedal-assisted bicycles equipped with cargo compartments, are also becoming popular, as they are ideal for urban areas or zones with limited access to conventional vehicles.

Alongside these solutions, more futuristic technologies are emerging, such as aerial delivery drones and autonomous robots that can navigate pavements and pedestrian areas to deliver parcels. Another interesting innovation is “in-trunk delivery”, which allows the package to be left directly in the customer’s car boot thanks to GPS systems and smart sensors.

All these solutions, however different from each other, share a common trait: the centrality of technological innovation. From artificial intelligence for route optimisation to automation and robotics systems, technology is radically transforming the Last-Mile Delivery paradigm, making it more efficient, sustainable, and customer-centric.

From a skills point of view: what knowledge is now essential to work effectively in this area? And how does POLIMI Graduate School of Management support the education of managers and professionals trained in this field?

Today, the challenges of Last-Mile Delivery require a combination of operational and technological expertise. On the one hand, the complexity of processes requires solid problem-solving skills and an analytical mindset capable of interpreting complex data, optimising flows, and dynamically managing variables that affect time, cost, and quality of service. On the other, the sector’s technological evolution requires a strong propensity for innovation and knowledge of the key digital and automated solutions that are revolutionising logistics.

In this sense, POLIMI Graduate School of Management trains managers and professionals to address both of these challenges. Thanks to the relationship with Politecnico di Milano, the school integrates solid technical training with a managerial approach open to innovation. The educational programmes promote knowledge and the practical application of tools such as artificial intelligence, robotics and automation more generally, preparing professionals capable of combining analytical rigour and design creativity.

The goal is to develop well-rounded professionals ready to lead the transformation of Last-Mile Delivery towards a more efficient, sustainable, and technologically advanced future.