In order to achieve the success of your business, you must resort to new techniques or general concepts that help you exceed the expectations of the service you're looking to offer. Being a new company that provides logistics services, there are basic concepts that will not fail when wanting to improve its development.
The important thing about knowing the basic concepts of logistics in this digital age is that, in addition to increasing the number of e-commerce that seeks your services, you will relate a little more to the area of digitalization of companies. It should be noted that the latter is of great value, since in these times of a pandemic it has been necessary for the entire world for processes to have greater and special digital attention, and even more so if it's a logistics business.
A business that is responsible for the distribution of products allows the supply of society despite the health difficulties at a global level. Therefore, it's necessary to give it much more specific attention so that it develops efficiently.
Logistics Basics
In case you're completely unaware of the basic concepts of logistics, these represent a variety of elements that will benefit different areas that operate within a company. By understanding these basic concepts, you will be able to efficiently meet consumer demand. In addition to that it will help you to clearly understand how key is an adequate coordination and management of resources to apply operational and commercial strategies.
By being clear about the following concepts, you will explicitly know the services that you intend to offer to the public through your business. Pay special attention to each of these, as they will all be equally important to your logistics services company.
What is logistics exactly?
When we talk about the concept of logistics, we want to refer to the coordination and management processes that are carried out through transport. In many cases, it refers to commercial goods that start their service from the place of distribution to the final customer. Logistics is responsible for the product in terms of storage, inventory, transportation, delivery or return.
For any company, logistics refers to what happens behind closed doors, including purchasing and delivering materials, as well as packaging, shipping, and transporting goods to distributors. Your company, by specializing in this service, must clearly know what each of its functions are.
eLogistics
The concept of eLogistics is considered important among the basic concepts that you should know, especially if you want to offer a logistics service. Even being a recent term, this is of great relevance. It refers to the operational processes carried out through an e-commerce. The purpose of this is to satisfy online customer demand.
By correctly implementing this concept, online customers will have a satisfying shopping experience. eLogistics is also classified as electronic logistics and carries out stages such as inventory management, storage, logistics transport, as well as many others. This process will make logistics more adapted to the new demands of the digital age and to the trends of electronic commerce.
it's important to note that eLogistics has its center in an almost impersonal transaction and direct contact points with the customer are crucial. This will determine the success of a sale, providing the best conditions for the distribution of the product and its delivery to be carried out effectively.
Supply chain
The reason why the supply chain is a basic concept of logistics, is that this is a network of facilities and processes that intervene in the life cycle of the product. From the supply of raw materials, which go through the manufacturing process, to the delivery of the final product to the consumer.
The supply chain is a fundamental part of a logistics business. it's a process that is involved and specializes in satisfying the needs of the customer in a meticulous way. That is to say, in the development of the same one works step by step without the possibility of ignoring any of the stages.
What is a logistics center?
The logistics center is defined as the infrastructure where a product is stored and where guidelines are established for the reception, transport and distribution of the product. This is very important because the products are located there and there they will have a greater possibility of being distributed. With the logistics center, synergies between companies are improved, in addition to increasing productivity and reducing logistics distribution costs.
Figure of manager or operations director
Within the basic concepts of logistics, we find those of operations manager or operations director. This is the same profile that is responsible for planning, directing and ensuring the management of logistics resources to meet market demand.
Logistics transport fleet
When talking about a logistics transport fleet, it refers to the set of vehicles that a company that provides services of this type has. Without a fleet, distributing goods, whether for long-distance shipments or last-mile deliveries, would be impossible.
Special attention should be paid to the fleet, because in case of failure in any detail, it could affect the entire service process. This also leads to a negative impact on the needs of a large public. This can result in losses for your logistics business.
How many concepts exist within logistics?
Determining the number of concepts that exist within logistics services is complex. The concepts and elements increase according to the evolution of the process. However, some other concepts that you should know are the following:
● Logistic distribution.
● Reverse logistics.
● Last mile deliveries.
● Failed delivery.
● Safe delivery.
● Logistic indicator.
● Route planning.
it's important that a company that seeks to dedicate itself to logistics knows each of the elements that comprise it. On the other hand, they must also have technological tools that optimize logistics processes. By mastering each of the basic concepts of a logistics service, you will be able to design and execute an effective business model that we are sure will be successful.
