Every business owner today has heard the term e-logistics , but not everyone knows what it entails. In short, it is the coordination and management of the flow of goods or services from the supplier to the customer.
E-commerce has caused logistics to take a major turn. Priority has been given to the way in which products reach customers. We know how complex it can be to face this as a company. We have a complete guide to help you get into e-commerce on the right foot.
E-commerce logistics
E-commerce logistics manage the movement from the manufacturer to the customer. It also often involves various transportation methods such as trucks carrying large loads or smaller vehicles making the delivery. E-commerce logistics also include warehousing, order processing, and returns management.
As long as logistics is well organized, companies will be able to significantly increase customer satisfaction. Packages will always arrive on time and there will be no room for damage. Furthermore, errors, damages, and incidents are reduced, which results in savings for companies.
Another advantage brought by this type of logistics is the reduction of environmental impact. Because it promotes the use of alternative vehicles and the number of unnecessary trips is reduced to a minimum. For all these reasons, the application of logistics 4.0 to the operations of a delivery company is vital.
How to understand how electronic logistics really works?
As we have seen, logistics plays a crucial role in the success of a brand today. It provides a considerable advantage over the competition by reducing delivery times and making customer satisfaction a priority. Therefore, we are interested in understanding the processes that require good systematization.
Inventory management
Inventory management has become one of the essential parts of electronic logistics . Because it consists of the exact tracking, planning and forecasting to ensure that the products are on time at the place of delivery. As a result, these actions directly influence satisfaction levels.
Suppliers
Having the right supplier can make the difference between your company growing and staying stagnant. When you finally find the right partner, it allows you to access better services and even technologies. This allows you to offer customers an efficient and reliable experience. It also provides the opportunity to reduce costs by streamlining operations.
Fulfillment of logistics goals
Fulfilling the logistics required by e-commerce requires companies to have an effective fulfillment strategy. Only then can they ensure that customers receive their orders when they request them and with precision. This would involve creating efficient processes to manage inventory, track shipments, record payments and finally make deliveries.
Drivers for delivery service
Although drivers are the last stage of the chain, they are essential because they are the direct contact with the client. It is up to them to use the tools provided by online logistics and to know if the ones previously applied worked. When working in this way, transport drivers are 100% involved in business logistics.
Current logistics tools that you could apply
Just as electronic logistics has its stages and processes, it also has tools. These are some of the ones that have been in trend over the last couple of years thanks to their effectiveness. The positive thing is that they are applicable both to transport services and to delivery services.
The famous 3PL logistics
When 3PL or third-party logistics is applied to e-commerce, it is aimed at coordinating and managing transportation. It can include order fulfillment services, such as storage, packaging, deliveries, returns management, and customer service. As you can see, there is a lot that can be covered by applying it, which is why it has become so popular lately.
Dropshipping or direct shipping service
Implementing dropshipping in e-commerce logistics is an excellent way to ensure fluidity and efficiency in the business. Since services that apply delivery or direct contact allow for subcontracting, this means that any company that needs deliveries but does not have vehicles can partner with your transport service.
Internal logistics
By managing transportation and delivery processes, internal logistics allows companies to maintain control, ensuring that products are at their destination on time and with minimal margin for error. It also allows companies to make accurate predictions about delivery times and costs.
Actions you should apply with logistics 4.0
There are decisions and actions that must be a priority for logistics processes to be completed satisfactorily. For example, giving priority to fast shipments because work has already been done during all stages to achieve this. Let's look at some more for you to work on on your way to business success.
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Offering a reverse logistics service helps ensure that e-commerce companies have an efficient way of managing customer returns better.
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The application of predictive analytics should be considered to create an effective inventory management system, helping to anticipate potential customer demands and optimize stock levels to meet them.
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Consider implementing delivery management software. There's nothing like having a tool at your fingertips. ToolRides can help you invest in a quality app.
Adapt to new alternatives
Whether you have a small company that delivers orders or a large company with fleets for various transports, these tips will help. You can check our numbers and access points to get your customized software. Don't forget, electronic logistics is here to stay, don't leave your company in the past.