Overcoming common logistical challenges: Practical solutions for Vietnamese SMEs

However, even with ministries, local authorities, and the business community having made notable strides in improving the logistics environment, the sector is still evolving². Despite recent progress in logistics development, Vietnamese SMEs continue to face a number of logistical bottlenecks. These include fragmented infrastructure, high logistics costs, and a persistent shortage of skilled supply chain professionals³. 

Still, even amidst these logistical bottlenecks, in today’s fast-paced business landscape, efficient logistics management isn’t just a backend function—it’s a strategic enabler. Whether for domestic deliveries or international expansion, streamlined logistics can help SMEs stay competitive, responsive, and prepared for future growth.

Identifying common logistical issues for SMEs

Across the board, SMEs often face issues such as stockouts or excess inventory from inefficient inventory management, poor warehousing setups that complicate storage and handling, and unreliable domestic delivery services that hurt customer satisfaction. These challenges directly impact business continuity and profitability. Some of the other common logistics problems for small businesses include:

1. Fragmented delivery and transport networks

Vietnam’s logistics landscape is heavily fragmented, with many small-scale operators working independently. This lack of coordination has led to poor route planning and underutilization of delivery capacity, which in turn drives up operational costs⁴. For SMEs, the impact is twofold—longer delivery times and unpredictable service levels.

These inconsistencies reduce competitiveness and complicate last-mile delivery strategies, especially in rural or high-density urban zones. Without an integrated logistics framework, SMEs are often left to manage their own arrangements piecemeal, which is time-consuming and inefficient. 

To address this, logistics operators are increasingly being urged to adopt multimodal transport strategies that combine road, rail, and sea transport to boost speed and reliability.

2. Rising freight costs and volatile rates

Global shipping disruptions continue to affect domestic maritime transport in Vietnam, causing freight rates to spike and fluctuate frequently. This volatility presents serious challenges for SMEs, who often lack the volume or leverage to negotiate better rates or absorb sudden cost changes. Unpredictable freight charges strain already tight margins and make it difficult to offer consistent pricing to customers. As a result, many logistics providers are now shifting away from single-mode transport models toward optimized multimodal solutions to reduce exposure to price swings and ensure more stable delivery timelines for SMEs.

3. Infrastructure gaps and limited modal integration

Vietnam’s logistics infrastructure still faces major hurdles. Inland warehousing is insufficiently connected to key ports, airports, and road systems, limiting the flow of goods across regions. Moreover, poor integration across road, sea, rail, and air transport hampers the efficiency of end-to-end logistics operations. This is especially problematic for SMEs, which rely on timely coordination to meet order fulfillment deadlines. Inadequate infrastructure not only slows down delivery but also increases handling and transfer costs, making it harder for SMEs to scale or access remote markets efficiently.

4. Administrative bottlenecks and high logistics costs

Despite efforts to modernize customs and trade facilitation, many SMEs still experience delays due to bureaucratic red tape and outdated processes. Documentation errors, unclear procedures, and long processing times continue to inflate logistics costs in Vietnam. 

Compared to regional peers, Vietnam’s logistics expenses remain high, further squeezing SME profit margins. For small businesses with limited resources, these administrative inefficiencies represent significant operational burdens that can disrupt supply chains and deter international expansion.

Addressing logistical challenges in international shipping

For many Vietnamese SMEs, venturing into international markets presents a promising path to growth—but it also comes with a distinct set of logistical hurdles. Unlike domestic delivery, international shipping introduces layers of complexity, from complying with foreign trade regulations to managing longer transit times and fluctuating costs. These challenges often pose serious risks for smaller businesses with limited experience or internal resources dedicated to global logistics.

One of the most pressing barriers is customs clearance. Every shipment across borders must meet a host of documentation, inspection, and compliance requirements. Missing paperwork, misclassified goods, or inaccurate declarations can delay deliveries, incur penalties, or lead to shipment rejections altogether. For SMEs unfamiliar with these processes, even minor oversights can result in significant operational disruptions and lost revenue.

Beyond customs, managing the documentation itself is a major pain point. International shipments often require detailed commercial invoices, certificates of origin, packing lists, and other regulatory forms that vary by destination. Without a solid understanding of these requirements, SMEs risk compliance issues that can derail timelines and diminish customer trust.

Cost is another critical factor. International shipping often involves high freight charges, fuel surcharges, tariffs, and handling fees—many of which are outside the control of the shipper. These expenses can quickly eat into profit margins if not planned for effectively. For SMEs already operating on lean budgets, this makes competitive pricing difficult to sustain.

DHL Express: Your partner for comprehensive logistics solutions

Vietnamese SMEs are navigating a fast-evolving logistics landscape—balancing domestic delivery demands with the growing need for international reach. At the same time, they must manage rising shipping costs, complex documentation requirements, and customer expectations for faster, more reliable service.

DHL Express supports SMEs with an integrated suite of solutions designed to simplify both domestic logistics and cross-border shipping. 

Here’s how DHL Express helps address the most pressing logistics challenges faced by SMEs:

• Seamless Cross-Border Shipping: With a presence in over 220 countries and territories, DHL Express simplifies international shipping logistics. From export documentation to customs clearance, our global expertise ensures your shipments move smoothly across borders, reducing delays and compliance risks.
• Customs Brokerage and Regulatory Support: Dedicated customs specialists manage import/export requirements so your business doesn’t get held up at the border.
• Tailored Domestic Delivery Solutions: For local delivery needs, flexible services ensure parcels move efficiently within Vietnam. From scheduled pickups to route optimization, we help businesses enhance last-mile delivery performance and improve customer satisfaction.
• Flexible Shipping Options: Whether you’re shipping high-value items urgently or sending bulk stock on a timeline, DHL Express offers express and time-definite delivery options to match your pace and priorities. We also support specialized shipping needs, including cold chain solutions for temperature-sensitive products.
• MyDHL+ Platform: MyDHL+ is our all-in-one web-based portal that allows businesses to create shipments, schedule pickups, track orders, pay invoices, and manage shipments—all in one place. Its user-friendly interface offers full visibility and control.
• Preferential Business Rates: SMEs benefit from volume-based pricing designed to support sustainable growth. With clear, competitive rates, businesses can manage costs while scaling operations.
• On-Demand Delivery Services: Customers expect convenience. Our On Demand Delivery (ODD) feature gives recipients control over how and when they receive parcels, reducing delivery enquiries and increasing successful first-time deliveries.
• Real-Time Tracking and Transparency: Our advanced tracking system offers full shipment visibility from pickup to delivery. This enables SMEs to keep customers informed and proactively manage issues—enhancing trust and reducing service-related disruptions.

Proactive logistics audits: Scaling your business without stumbling

As Vietnamese SMEs scale their operations, logistics can quickly shift from a functional necessity to a critical growth enabler—or obstacle. Without regular performance reviews, even the most promising businesses can find themselves weighed down by inefficiencies that stall momentum. Proactive logistics audits provide the visibility and structure needed to keep supply chains agile, responsive, and aligned with business growth goals.

At their core, logistics audits involve assessing how key operations perform against expectations. Metrics like delivery times, inventory turnover, order accuracy, and shipping costs offer tangible insights into what’s working—and what isn’t. Identifying slow-moving SKUs, recurring bottlenecks, or rising transport expenses can highlight inefficiencies early, allowing businesses to take corrective action before they impact customer satisfaction or profit margins.

Here’s how SMEs can implement effective logistics audits:

• Track Core KPIs Consistently: Regularly monitor critical logistics metrics, such as fulfillment speed, warehouse space usage, order return rates, and on-time delivery rates. This baseline data helps identify operational blind spots.
• Leverage Technology and Automation: Adopt inventory management software, digital tracking tools, and logistics dashboards to collect real-time data. The more accurate and up-to-date your insights, the more effectively you can respond to market shifts.
• Adjust for Seasonality and Demand Spikes: Logistics strategies must be dynamic. Regular audits help SMEs anticipate surges and adjust resource allocation, warehousing, and transport capacity accordingly.
• Plan for Expansion: Evaluate whether your existing infrastructure can handle increased order volumes. This includes assessing warehouse scalability, staffing needs, and last-mile delivery capabilities.

Streamline your logistics with DHL Express

For SMEs in Vietnam, the ability to manage logistical issues efficiently can determine whether a business grows or gets left behind. As market demands evolve and competition intensifies, effective logistics management is no longer optional—it’s a core driver of scalability, customer satisfaction, and profitability. From inventory flow to delivery reliability, businesses that invest in efficient logistics processes are better positioned to respond to market changes and seize growth opportunities.

DHL Express is committed to helping SMEs overcome logistics challenges with tailored logistics services that support both domestic and international operations. Whether it's navigating complex customs requirements or managing last-mile delivery, DHL Express Vietnam offers tools and expertise designed to simplify shipping in the country and beyond.

With access to a trusted network, real-time tracking, and flexible shipping solutions, businesses can streamline their entire supply chain. 

Ready to take the next step? 

Open a DHL Express business account today to unlock smarter, faster, and more reliable logistics solutions customized to your goals.