Consider creating a logistics process flow for your company if you want to maintain logistics operations organized and effective. The administration of logistics and transportation is a typical business difficulty, and it is crucial for efficiency that all departments and stakeholders be in sync and adhere to a consistent SLA. Continue reading to find out more about the many logistics workflows, the distinctions between various logistics process, the procedures involved, and how to create one for your company. If you own a logistics business or collaborate with one to move products and services, you are aware that by streamlining logistics flows and procedures, you may increase productivity and even profit.
Logistics process flow is what?
The many steps in logistics management for the transportation of products, services, and information from their point of origin to their destination are described in a logistics process, logistics workflow, or logistics flow chart. It entails organizing, managing, and carrying out a variety of operations. Generally speaking, logistics flowcharts are properly planned and documented, but they still need to be regularly updated to enable more adoption and prompt, effective, and legal transportation services.
Various steps in the logistics process flowing
Since companies typically create their own processes and establish SLAs to conform to, there is no standard template for logistics flowcharts. Numerous elements, such as client location, factory/warehouse location, method of delivery, frequency of orders, etc., have an influence on logistics flows in organizations.
The goal of a logistics flow design is to make sure that all departments, units, and stakeholders involved in logistics operations are on the same page. This includes understanding the logistics system, the significance of each step and how it is related to the next, how adherence to SLAs enable efficiency and keep business compliant, which in turn improves customer satisfaction and increases company profits. Some of the important logistics process flows include the following, depending on the size of the organization and the type of logistical activities conducted:
- Inventory and warehousing
- Materials handling
- Packaging and labelling
- Shipping, distribution, and delivery
- Reverse logistics operations
The many phases are interrelated, so any omission, delay, or mistake in one will have an immediate effect on the SCM activities as a whole. For example, if product inventories are not optimized, order fulfilment cannot start; if packing is not completed promptly, shipment is delayed; and if a SLA for managing returned items is not put in place, the customer experience is impacted. The three types of logistical flows that are most commonly used by enterprises are pull, push, and just-in-time.