Logistics… what is it?
When you clearly understand its meaning you realize that business success directly depends on the well-developed logistic department and its strategy, because reduction of the logistic costs will easy make profit up to 20%. Actually logistics is a system of material, financial and informative resources planning, management and control. Quality of logistic systems depends on how you can realize your ultimate aim that is connected with “7 rules of logistics”. If you follow these rules it will be easier to reach your business aims.
- Product (goods)
- Place (location)
If the goods with proper quality and quantity are delivered to the consumer it time with minimal expenses, the logistic activity aim is considered to be reached! Right organized delivery influences business success that in its turn influences the last price for the consumer (logistic expenses can be from 5% to 50%).
When define an optimal delivery service, need to take into account different factors. Among them the main are the route, weight and product price – according to it logistic specialists choose an appropriate way of transportation. That is rather important moment because directly influences delivery price and delivery terms.
Air, sea, auto delivery claims serious attention of the experienced specialists. That is why many organizations ask logistic companies to be in charge for it. Their specialists better understand the situation with cargo transportation and related questions and can better solve arising problems. It is regarded to be the advantage of forwarders compare with the other companies. Because of their experience and exact logistic direction of their activity, they can use more abilities and ways to improve logistic processes.
Anyway such step allows companies concentrate on their direct activity as well as avoid additional material and financial expenses, improve their position and competitive ability.
Growing competition, modern technologies developing allow logistic companies’ customers to get the highest service up to delivery “door to door”. The customer just needs to name his goods and pay for the service and the forwarder is in charge for the rest aspects such as storage, transportation, custom clearance and other questions related to the international delivery, forwarding, certification.