The last mile in logistics—namely the final stretch that delivers goods from a warehouse or distribution center to the end recipient—is one of the most critical phases of the supply chain. Despite the short distance, the last mile can account for up to 50% of total transportation costs. In a world where B2B customers demand ever faster and more reliable deliveries, even a single delay or error in this stage can jeopardize the entire distribution chain: it’s estimated that around 80% of companies change supplier after a delivery issue. For this reason, investing in improving the last mile is essential to ensure efficiency and competitiveness in industrial logistics.
Importance and Challenges of the Last Mile
The complexity of the last mile stems from both inherent and evolving market factors. The main challenges include:
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High costs and fragmentation – Final-stage shipments are often small and dispersed, losing the economies of scale typical of long-haul transport.
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Surge in delivery volumes – The boom in e-commerce has caused an explosion in urgent shipments. As a result, carriers and logistics operators must manage an ever-growing number of packages within tighter delivery windows.
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Congestion and urban constraints – Urban traffic congestion slows deliveries, while local regulations add further complexity.
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Customer expectations – Even in B2B, the demand for transparency and punctuality is rising. Clients expect real-time tracking and fast delivery
These common issues create cost pressures and threaten a company’s reputation: mistakes or delays in the last mile can lead to stockouts or dissatisfied clients. In this context, digitalization and system integration become key levers for optimizing final delivery processes.
The Last Mile in Industrial Logistics
In the industrial B2B context, the last mile has specific implications compared to retail. For instance, it may involve the delivery of raw materials to production lines or the resupply of manufacturing plants and distributors. In such cases, last-mile deliveries are crucial to prevent production halts: deliveries must be frequent and highly accurate. The B2B nature of these operations typically involves larger shipment volumes (pallets or full loads) but even tighter timing constraints than warehouse logistics. Moreover, delivery schedules are often tied to clients’ production rhythms: any delay may cause line stoppages or require emergency stockpiling.
The Last Mile in Pharmaceutical Logistics
The pharma sector adds further complexity to the last mile. Pharmaceutical deliveries must preserve the quality and safety of sensitive products: many drugs—especially biologics and vaccines—require constant temperature control. Any deviation from the cold chain can compromise the product’s effectiveness. Moreover, pharma logistics is governed by strict regulations (Good Distribution Practices), which require rigorous tracking and documentation at every step. Essentially, every stage of the last mile must be logged and auditable to ensure legal compliance and patient safety.
External conditions also matter: delivering medicines in congested cities or remote rural areas is logistically demanding. Poor infrastructure (narrow roads, limited storage facilities) and unexpected events (heavy traffic, bad weather) can cause critical delays. These factors make the last mile a high-stakes challenge in pharma: ensuring accurate deliveries means safeguarding both patient health and corporate reputation.
AR/VR-Integrated Solutions for B2B Last Mile
To overcome these challenges, many companies are adopting system integration solutions based on AR/VR technologies. B2B integration connects internal systems (ERP, WMS, TMS) with those of partners and suppliers, allowing for continuous real-time data exchange. This ensures that all supply chain actors have synchronized information on order status, inventory availability, and delivery routes. The result is greater traceability across the entire delivery chain: each pallet or package is digitally tracked throughout its journey, reducing coordination errors and costly data gaps.
Augmented Reality (AR) and Virtual Reality (VR) enhance this ecosystem with advanced capabilities. AR overlays digital information onto the physical world, while VR creates immersive simulated environments. In the last mile, this translates into improved operational visibility and training efficiency:
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Real-time visibility and tracking: AR devices (smart glasses or tablets) display real-time delivery data to operators. This enables end-to-end visibility over the delivery process: traffic conditions, weather, and stop sequences appear as overlays, improving route planning. Integration with management systems ensures these data are instantly accessible to the entire organization and its partners.
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Immersive training and VR simulations: Virtual reality enables operators to train in realistic but controlled environments. This shortens training time and reduces on-the-job errors.
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Remote support and maintenance with AR: AR allows remote experts to guide field operators in real time. Platforms like TeamViewer Frontline enable live, two-way communication: the on-site worker receives voice and visual instructions from a remote expert, speeding up troubleshooting and reducing errors. In pharma, supervisors can also remotely validate the correct application of procedures (e.g., sealing thermal containers), enhancing delivery reliability and safety.
In summary, AR/VR-integrated B2B solutions enable a smarter, more connected last mile. System integration ensures up-to-date, accessible data at every step; AR makes that data actionable in the field, while VR builds stronger workforce capabilities. The result is a significant reduction in errors, faster deliveries, and full supply chain visibility—key ingredients for industrial innovation in logistics.
Business Benefits
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Higher operational efficiency: AR tools (smart glasses, AR tablets) guide operators in performing tasks (picking, loading/unloading), reducing errors and optimizing workflows.
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Improved traceability and coordination: The integration of B2B systems ensures that inventory, orders, and shipping data are shared in real time among warehouses, couriers, and customers.
- Enhanced training and safety: VR enables staff to be trained in realistic environments without risks. New hires can learn complex procedures through immersive simulations, drastically reducing training time and costs.
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Instant technical support: AR-powered remote assistance reduces downtime. Internal experts or external suppliers can virtually intervene in case of equipment failures or loading issues, providing instant visual instructions.
- Industrial innovation and competitiveness: Overall, integrated AR/VR technologies represent a step forward in industrial innovation, setting new standards in last-mile logistics.
The last mile is a critical challenge in B2B logistics, especially for industries like manufacturing and pharma. AR/VR technologies are now key to improving efficiency, safety, and real-time decision-making.
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