Business and Trade

The Different Types of Logistics Management That Industries Use Today

Though often taken for granted, logistics management is essential to the health and wellbeing of a company. It helps lay a firm foundation of operational procedures. Additionally, it guides the development of SOPs, production, distribution, client relationships, etc.

If you’re involved in business (especially management) it’s essential to have a working knowledge of what logistics are.

Read on to learn about the logistical process, and how different types of industries use them.

What Are Logistics?

Logistics are processes and procedures regarding the acquisition, storage, and general management of a company’s assets. The practice first came about in the military with the need to organize and transport supplies, weapons, and troops, and evolved from there. Since then, logistics have grown to fit the needs of many industries. Today we use different types of logistics services such as White Glove logistics services that are used to transfer goods that need special care and handling.

While there are many logistics practices, they can be broken down into a few simple categories. We’ll cover them in-depth in the next section.

Types Of Logistics

We’ve established that logistics center around organizing processes surrounding the management of assets. Now let’s take a look at how wide-ranging those management processes can be.

Inbound And Outbound Logistics

Inbound and outbound logistics focus on the management of raw materials coming into a production workflow and the delivery of end products.

Inbound logistics handle the business’ interactions with suppliers that work upstream. They source the raw materials that are needed to create the end product, manage the distribution of those resources throughout the production process, handle inventory details, etc.

Outbound logistics focus on the delivery of products. Historically, this step focused on delivering products to retailers. However, with the rise of e-commerce, it has expanded to include direct shipping to customers.

Third And Fourth-Party Logistics

Third and fourth-party logistics focus on using an outside company to oversee certain aspects of the management process. Historically most companies handled all aspects of logistics in-house. In recent years, companies have found that outsourcing logistics enables them to save time and boost productivity.

Aftermarket Logistics

Aftermarket logistics focus on products that have made it through the supply chain and are starting to work their way backward. Usually, this refers to items that are defective and have been returned or the recycling of packaging materials.

Learning More About Logistics Management

Logistics management best practices are constantly changing. One of the best things you can do to stay on top of new trends is to take a course on the subject from an industry expert. Sites like androsysinc.com are a great place to start when continuing your education.

You should also follow industry blogs. You’ll learn about different use cases and techniques other logisticians are using. Some great blogs to start with are:

  • Logistics Viewpoints
  • Freightos
  • Inbound Logistics
  • Logistics Management
  • Logistics Business Magazine

Continue Learning About Logistics and Business Management

We hope you’ve gained a better understanding of how different types of logistics management influence industries.

Want to learn more about logistical processes and other business management techniques? Check out our blog for more informative guides!

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