What is Logistics?
Logistics is the process of planning, implementing, coordinating and controlling the flow of transportation and storage of goods, materials, people, services from the point of origin to the point of consumption in an effective and efficient manner to meet the requirements of the customers or corporations. Today it has become one of the foremost activity of supply chain management. Logistics was initially a military-based term and one of the primary function of logistics is overseeing and managing inventory and arranging proper transportation and storage for the inventory. It has evolved over a decade with the advent new and improved technologies like dedicated simulation software to analyze, visualize and optimize the complexity of logistics thereby assuring the best delivery of goods all across the globe.
What is E-Commerce?
E-Commerce which is also known as electronic commerce or internet commerce is the process of buying and selling of products and services over the internet and the transfer of money and data to execute these transactions. The growth of e-commerce has been rapid over the past five years and more and more new initiatives have been propping up over the internet to make E-shopping more convenient to the end users.
Why is Logistics important?
One of the most important benefits of good logistics is providing superior service and meeting the demands of a customer where ever they are. Consumers demand better service and this has a rippling effect on the supply chain compelling shippers to provide fast, accurate and quality service. Logistics is also important for generating visibility in a company’s supply chain process. Proper logistics increases the rate of revenue and better customer services improve the reputation of the company’s name and generate more business. In this flourishing era of E-commerce and E-payments, it is imperative to say that logistics is the key player in meeting the growing demands of the consumers and challenges of the manufacturers.
Some of the benefits of Logistics are:
- Monitor the supply of material you have for the profit of the company.
- Logistics applies to the transportation services to move the product and deliver them to the customers in a timely and efficient manner.
- For better customer service & timely delivery of products thereby solving order-related problems, a company should have a logistics management service provider.
- A logistics management service provider will help you with troubleshooting unusual, day-to-day problems.
- Customers can be kept informed about the shipping details of their products via up to date visibility.
Benefits of integrating a good Logistics provider with E-commerce operations:
- It increases sales especially when freight rates are given for heavier items which cannot be shipped in a small parcel.
- It decreases the chance of losing a customer because a customer doesn’t want to endure to the changing freight rates while shopping.
- It can improve your quoting accuracy as many logistical factors can be consulted and taken into account.
- It improves your operational efficiencies with centralized access to all shipment information.
- Shipment routes are automatically determined for your shipping department when a customer places an order. This eliminates the need for your staff to run quote rates and gives your staff free time that can be used elsewhere hence, a faster order processing.
- It enables you to display multiple services and delivery options to your customers.
E-commerce is the way forward in this new age era of business as consumers are well aware and educated of the products they purchase along with the various choices they have when it comes to the providers as well as the prices. Hence if you need to stay ahead of your competitors in the field of E-Commerce then one of the most important aspects would be the quality and speed by which you deliver your goods to the end consumers. Here is where a good logistics plays a pivotal role. There are many great logistic and shipping companies in Singapore that provide great services and a well-evaluated choice has to be made while choosing the right logistics partner.