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Product Management Root Cause Analysis Question: Investigating Delhivery's on-time delivery rate decline in Delhi NCR

Why has the on-time delivery rate for express packages dropped by 15% in the Delhi NCR region over the past month for Delhivery?

Data Analysis Problem Solving Strategic Thinking Logistics E-commerce Last-mile Delivery
Data Analysis Performance Metrics Root Cause Analysis Logistics Operational Efficiency

Introduction

The on-time delivery rate for express packages in the Delhi NCR region has dropped by 15% over the past month for Delhivery. This significant decline in a key performance metric requires immediate attention and a thorough root cause analysis. I'll approach this issue systematically, considering various factors that could contribute to the problem while focusing on identifying the core reasons behind this performance drop.

Framework overview

This analysis follows a structured approach covering issue identification, hypothesis generation, validation, and solution development.

Step 1

Clarifying Questions (3 minutes)

  • Looking at the timing, I'm thinking there might be seasonal factors at play. Has there been any significant change in order volume or patterns compared to the same period last year?

Why it matters: Seasonal fluctuations could explain the performance drop and help us differentiate between systemic issues and temporary spikes. Expected answer: Order volumes have increased by 20% compared to last year. Impact on approach: If confirmed, we'd need to focus on scalability and capacity planning.

  • Considering the specificity of the Delhi NCR region, I'm wondering about local factors. Have there been any recent changes in local regulations or infrastructure that might affect delivery operations?

Why it matters: Local changes could disproportionately impact this region compared to others. Expected answer: New traffic regulations have been implemented in certain areas. Impact on approach: We'd need to adjust routing algorithms and delivery schedules accordingly.

  • Given the express package focus, I'm curious about our delivery fleet. Has there been any change in the composition or size of our delivery fleet in the past month?

Why it matters: Changes in our delivery capacity could directly impact on-time performance. Expected answer: No significant changes in fleet size or composition. Impact on approach: We'd need to look at other factors like route optimization or package handling processes.

  • Thinking about system reliability, I'm concerned about potential technical issues. Have there been any reported problems with our tracking or routing systems in the past month?

Why it matters: Technical glitches could lead to misrouted packages or inaccurate delivery estimates. Expected answer: Some intermittent issues with the routing system have been reported. Impact on approach: We'd prioritize a technical audit and potential system upgrades.

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