Logistics manages the flow of resources from the point of production to the point of consumption

 

Logistics
Logistics

The term "logistics" describes the overall process of controlling the acquisition, storage, and delivery of resources to their intended location. Choosing potential distributors and suppliers and evaluating their efficiency and accessibility are all part of logistics management. The term "logisticians" is used to describe logistics managers. The term "logistics" was originally coined by the military to describe the methods used by military personnel to acquire, store, and transport equipment and supplies.

The phrase is now frequently used in the business world, especially by organisations in the manufacturing sectors, to describe the management and movement of resources along the supply chain.

The Global Logistics Market is estimated to account for US$ 8627.4 Mn in terms of value by the end of 2027, exhibiting a CAGR of 5.3% during the forecast period (2020-2027).

Simply put, logistics management aims to have the proper quantity of an input or resource at the proper time, deliver it to the proper internal or external customer, and get it to the right location in good condition. Managing the pipelines, trucks, storage facilities, and distribution centres that handle oil as it is transformed along the supply chain is an example of how logistics is used in the natural gas industry. To cut costs and maintain and boost efficiency, an efficient supply chain and logistical processes are crucial. Poor logistics result in late deliveries, a failure to satisfy customers, and ultimately negative effects on the business.

Since the 1960s, the idea of business logistics has changed. Supply chain logisticians are needed due to the complexity of providing businesses with the materials and resources they require as well as the globalisation of supply chains.

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