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Logistics organisation

Logistics companies help other companies to run their business smoothly without worrying
about the transportation issues. They help streamline the task of delivering shipments of their
customer companies. They specialize in the field of transportation and can perform all
activities from pick-up of the shipments to assisting on tracking the geographical location of
the shipments and to safely deliver the goods at the right time and in a safe and hygienic
condition thereby attaining customer service and appreciation. By doing this, they retain their
existing customers and prospective customers come their way.

Logistics is regarded as the complete set of functions that are concerned with planning,
controlling and managing a smooth flow of products and services, people, real-time data and
information that are considered to be of utmost importance. This also includes the steps that
are involved in delivering the products and services without shrinking the budget of the
company.

It is commonly believed that no manufacturing, distribution or marketing activity can be


completed without the support of an effective logistics system. The logistics system needs
to be drafted in such a manner that it is able to achieve the business goals of the company
besides being a supporting hand in the successful implementation of the plans and policies
of the company.

A logistics company may face numerous problems or challenges while performing their
duties, namely:

* Globalization of Supply Chain Due to the advances in the field of logistics, supply chains
are now considered to be global as their area of distribution has spread far. Logistics
companies have their network levels, both domestically and internationally. In the present
competitive environment, there is an urgent need for them to manage their complex
operations around supply chains that have characteristics of effective distribution, multi-point
sourcing and global delivery.

* Growth of existing networks and service footprint These days customers are not merely
satisfied with delivery of goods. A logistics company must be able to provide multi-modal
services, additional and unique features, timely delivery and complete assistance across the
life-cycle of the shipments. There must be steps taken by the logistics company for the
development of new routes in addition to the expansion of services offered and networks.

* Transparency in supply chain Logistics companies must be ready to offer visibility of


supply chain to its customers which can enable the customers to effectively plan and manage
any variations in the levels of demand and supply beside inventory.

Thus, it can be said that logistics companies can help ensure cost savings and enhanced
efficiencies in addition to lowering the level of inventory. They also help companies by
delivering infrequently matched enterprise access to important business information using
web-based architecture. They are also helpful in improving the delivery time and thereby
resulting in enhancing levels of customer satisfaction.

india
Logistics in India don't differ too markedly from logistics anywhere else in the world. It's the
the art and science of managing and controlling the flow of goods, products, services, energy,
information and people from the origin point to the destination point. It includes the proper
combination of several activities such as material handling, warehousing, and information,
for the purpose of ensuring supply of the right product, at the right time, at the right place, for
a right cost in the right condition.

In the past, India has been the student rather than the expert when it comes to the field of
logistics. But with its current expertise, valuable human resources and positive plans, it surely
is walking on the path of being a service provider of class. There are several factors that
benefit the Indian economy for reaching success in the field of logistics, namely:

1. India is the fourth largest economy in the world. 2. It is believed that about one-quarter of
the youth population of the world resides in India. 3. India has human resources that are high
in knowledge and abilities. 4. It is the second-largest English speaking workforce. 5. It has
the 2nd largest pool of qualified technical workforce.

India spends 13 percent of its Gross Domestic Product (GDP) on logistics as opposed to the
usual practice of 10 percent by other developing nations. The Indian economy is striving for
improvements in the field of logistics and supply chain management to gain the competitive
edge in today's worldwide economy. The Indian government has favored the logistics market
of India by making some helpful plans and policies to assist in its growth.

There are several events organized for the promotion of logistics in India which are focused
in their approach and relevant to the business solutions besides providing a solid platform for
allowing people from a wide industry spectrum to meet and provide business within
themselves from all over the country. This has been an emphatic source of providing business
solutions and their development.

Several global third party logistics providers (3PLs) have already started developing their
operations and service networks in India with a purpose to explore the rampant Indian
economy.

This has resulted in the creation of the need for a vast range of supply chain management
(SCM) and logistics solutions which cover several factors such as supply chain, logistics,
material handling, storage, Information technology (IT), warehousing and inventory
management. This has benefited the efficiency and productivity of the complete value chain
in several dimensions of profits, speed and customer service.

The Confederation of Indian Industry (CII) is the premier business organization with a known
commitment towards the development of logistics in India. It has established the CII Institute
Of Logistics which is a specialized state-of-the-art institute of excellence with its focus on
SCM and logistics. It is brought up to satisfy the latest industry needs for specialized SCM
and logistics.

India is being treated as the destination of the future in the field of logistical service providers
all over the globe. Indian logistical market players have started to gear up and position
themselves in the global scenario. The true potential of these service providers is yet to be
realized. India is keen to offer transportation and logistical service to grow itself as an
emerging marketplace. The key sectors include fashion, gems, jewelry, pharmaceuticals,
precision tools and engineering goods, all of which need special shipping provisions.

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