Structure of the Company's Logistics System

Today, the automation of processes in a warehouse is essential for an efficient and well-structured logistics system- from inventory management to the profitability of logistics operations. 

That's why in today's post we will focus on how to improve your company's logistics system.

What is a logistics system?

A logistics system is a set of processes, resources and technologies used to efficiently and effectively manage the flow of products, goods or services from their origin to their final destination.

What is the objective of a well-defined logistics system?

The objective of a logistics system is to ensure that products are available at theright place, at the right time and in the optimum condition to meet customer demand.

rollers

What is the structure of a logistics system?

We have already mentioned in other posts that a company's logistics system does not have to be the same as others. Each one will depend on its own needs. However, there are certain areas or activities that may be common to many of them.

  • Procurement: acquisition of products or materials necessary for the production or sale of the company's products or services.

  • Warehousing: this function receives, stores and manages the products or materials purchased (inventory management, organization of products in the warehouse and coordination of incoming and outgoing operations).

  • Distribution: delivery of products or services to the end customer. 

  • Customer service: which guarantees customer satisfaction (complaints, claims, returns, etc). 

  • Information technology: this may involve the use of inventory management systems, real-time tracking of shipments, and integration of logistics systems with the company's sales and production systems.

What do we mean by an efficient company logistics system?

The efficiency of a logistics system depends on the ability to integrate all these activities and processes, using advanced technologies for data management and real-time tracking of the product throughout the supply chain. 

Your success will be determined by your ability to respond quickly to market needs, improve service quality, reduce costs and improve customer satisfaction.

What can I do to improve the structure of a logistics system?

Depending on the logistics needs, we can start optimizing different areas of the whole process. It is therefore important to identify the critical points where bottlenecks are formed and how we can solve them. 

Generally, the use of intelligent learning tools,industrial robots or automation systems will help us find the most productive solution. 

Once these aspects have been identified, improvements and optimizations can be implemented to increase efficiency and reduce costs.

For example, process automation can be a very useful tool for improving the structure of a logistics system. 

In addition, it allows the optimization of different areas of the logistics process, from automated transport systems to product sorting or the use of robots for the automatic alignment of boxes.

Logistics system structure companies

What does a well-defined logistics system solve for my company?

A well-structured logistics system can solve several challenges that arise in supply chain management. We list the most common ones. 

  • Inventory management
  • Order processing
  • Transportation and delivery
  • Supply chain management
  • Error reduction
  • Staff motivation

Advantages of a good logistics system in companies

Taking into account the different solutions it provides, we can summarize the advantages of a good logistics system in different categories, one of the main ones being efficiency and quality of service.

Maximizing and enhancing the use of resources with automated systems or the use of robots for specific tasks within the logistics chain allows us to develop a well-structured logistics system that favors the efficiency of our service to the customer in the medium term.

This brings us to two more advantages: integration and flexibility

A structure that relies on the use of technology allows us to measure more concrete data and forecast execution times. What is not asked for cannot be improved, and with data in hand, we will be able to adapt to new market and customer demands and be more flexible.

In addition, logistics systems must be environmentally and socially sustainable. Technology, loss reduction and improved customer satisfaction lead us to reduce the environmental impact of logistics operations.

How can a well-structured logistics system benefit my ecommerce?

Beyond the mentioned, you will be able to improve your customer's experience by improving deliveries or offering a better solution in the return process

It will alsoallow youto optimize the costs of storing, transporting or distributing packages.

How can a well-structured logistics system benefit my third-party logistics company?

In this case, operational efficiency is extremely important. A well-structured logistics system allows you to optimize the processes of storage, transportation and distribution of products, which translates into greater operational efficiency and reduced operating costs.

This minimizes errors and loss of packages. Better placement and sorting of parcels promotes quicker outbound shipments, thus improving customer satisfaction and company profitability.

Automated conveying systems for boxes

How can Rielec help you improve your company's logistics system?

We offer intralogistics solutions designed to optimize the automated processes of your warehouse.

From first level automations to integral changes in the whole logistic process. Contact us and our experts will get back to you as soon as possible.