What are the Five Basic Elements of Logistics management? Logistics is more than just a supply branch into an organization. It is the contact medium between the two ends of business systems. Which are the internal structure and the external associates (such as companies, vendors, customers, carriers, etc) Logistics is basically an interaction between the company and its clients. It manages the flow of products from the vendors to the end-users. In the age of online marketing, the importance of logistics management has significantly increased.
What are the Effective Elements of Logistics Management?
An effective logistics includes certain specific factors. Paying a little attention to which may bring a great shift to your business growth. The key elements of logistics which have a great impact on logistics/supply chain management are –
1. Always deliver on time
“Service delayed is service denied” is true for any business. Any delay in service may spoil the purpose or value of your service or product. This will build a negative reputation of your business in the views of clients. To avoid this unwanted situation, all the branches need to work in tandem with each other. This will allow logistic to perform.
2. Movement of the information
Movement of the product and material is not enough if you are targeting an effective logistics. You have to keep a complete account of information related to the service you are offering. The accuracy of service and time builds a positive frame for logistics. The flow of information related to the inventories is mandatory for effective logistics management.
Logistics is a process which acts as a bridge between the company and its customers. The link is established with the help of several channels present in the business system. Hence, it becomes important to develop cooperation and faith among all. Once all these channels are integrated. They can bring satisfaction to your users and growth to your business.
4. What is the cost?
Cost is indeed an important factor in logistics management. Lowering the cost of logistic elements can increase their effectiveness and your turnover. Smart usage of supply chain management with meticulous planning will not only reduce your costs but also your storage expenses incurred.
5. Movement of the products
The supply chain is usually considered as a business process. That doesn’t bring any direct profit to your company. Shipping order is the key priority for all of them. However, there is enough space to add a little more to the movement of products. In this, the foremost thing is to deliver your products with consistency. The basic idea here is to ensure the flow of the product instead of merely moving it from one end to the other.
Conclusion – Logistics the invisible workhorse
Please check out our other posts related to logistics courses