How could a logistics company offering customers services that they don't really need risks eroding profitability and competitiveness by adding unnecessary cost? Flexible and differentiated logistics service....could be an option?
Yes, 'partisan logistics' can subvert the support and supply chains of the respective competitors in the field; exponential technologies are pointing to this flexible and intelligent delivery management.
Dear Stephen I. Ternyik , thanks...."partisan logistics". What does it mean by "flexible" in the context of logistics and supply chains?
The main purpose of strategic planning is to enable a company to gain efficiency and a sustainable edge over its competitors. logistics is an important components of business profitability in the entire business profitability matrix. permutation, combination and differentiation of different components of logistics services applied for business profitability matrix will definitely improve competitiveness.
Notably, flexibility is a key factor dominating efficiency in logistics management and it refers to an organization's ability to satisfy different consumers' expectations without imposing on them excessive costs. The main reason is that the supply chain in various industries and businesses is continuously undergoing change which can influence the involved stakeholders enormously. Therefore, by resorting to the flexibility concept, companies formulate a formal strategy for logistics which has a flexible nature and can help them to curb the likely impact of alterations in the supply chain effectively. This in turn ensures that the natural flow of customer services is not adversely affected.
Effective logistics has to ensure right delivery at right time and at the right cost. If a company is engaging a third party logistics company(3PL), the scope of supply should be clearly specified. As customer rating depends on timely delivery, the logistics company role is strategic through out the supply chain. Either they meet the schedules at each stage ( inbound or out bound) diligently or vacate the space for more efficient operator. There are no two ways here, since, logistics is the biggest differentiator in the success of a business.
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