What is Logistics: Definition

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Logistics involves the management of supply and timely transportation of products in good condition while keeping it cost-effective and efficient. It is a complex task as delivery time expectations are becoming shorter, and effective management of the entire supply chain is required to achieve them.

Any cargo movement from one point to another requires coordination and resources. Timely cargo deliveries to the end user require aspects like sourcing, warehousing, equipment management, and fleet management to ensure.

The global logistics market is estimated to reach $12,975.64 billion by 2027. The main factors contributing to this growth are the evolution of the eCommerce industry, new-age technologies, and improved logistics infrastructure.

What is Logistics
What is Logistics?
Logistics is planning, storing, managing, and shipping goods from their point of origin to the end consumer (point of consumption).

Importance of Logistics
Effective logistics management leads to lower costs, increased efficiencies, proper romania phone number list inventory control, better production rates, optimal usage of warehouse space, and increased customer satisfaction. All these factors together contribute to the success of a business. Effective management of returns also helps generate revenues for the business.

Globalisation has created increasingly complex supply chains in the national and international markets. The movement of products, especially in the eCommerce sector, must be handled safely, timely, and cost-effectively. The boom in technology and the complexity of logistics processes have led to the growth of specialised logistics-focused aggregators like Shiprocket that help accelerate the movement of resources along the supply chain.

How Are Logistics Different From Supply Chain Management?
Logistics and supply chain management are often mixed up, but they aren’t the same thing. Logistics is all about the tasks within a single company, like buying materials, packing products, shipping orders, and getting them to customers.

Supply chain management is broader and involves multiple companies working together – from suppliers and shipping providers to call centers and distribution hubs – to get products to businesses and customers.