Understanding the importance of a good logistics strategy is one thing; putting plans into action is another. To assist in the creation of strategies, here are three ways some manufacturers strengthen their logistics organizations and improve services. Three strategies for creating effective logistics strategies such as:

Connected

One way to create an effective logistics strategy is to always connect with suppliers, partners and companies. Digital transformation enables manufacturers to design logistical strategies that connect them with suppliers, partners and companies wherever they are. Whether in cities or around the world. And it makes a difference in several ways:

Purchase

Forming closer relationships with suppliers and partners helps in the planning process, increasing sourcing, managing supplier risks. And increasing cooperation to support long-term plans for company growth, innovation, and sustainability.

Transparency

Producers no longer only react to logistical disruptions – they can anticipate them, create network models. Make scenarios of what will happen and make adjustments as conditions change.

Analytics

With direct access to data, producers get a clear understanding of how well they handle operations. With metrics related to speed, inventory, and finance.

Smart Factory

One way to create effective logistics strategies is to implement smart manufacturing. Smart manufacturing is about using real-time data. And technology anytime and anywhere that people and machines need the most – and in the forms they need. The technology that makes waves in logistics is smart sensors.

Equipped with GPS, smart sensors will track the location of assets, vehicles, inventory, and even workers. Manufacturers now use smart sensor data to see at what point delivery locations, fleet trucking locations, and much more. Data also helps predict and confirm when assets arrive and when they leave warehouses, distribution centers, and retail stores.

Notification that an asset is not in its place should also alert producers to potential problems. Or even theft in the supply chain. This can facilitate the company

Lean Manufacturing

One way to create an effective logistics strategy is to use lean manufacturing. Lean manufacturing is not only profitable because it streamlines production operations. But it is also profitable because it streamlines warehouse and fleet operations. Considering the cost of the product is largely dependent on the factor of transportation and storage costs in the warehouse. If we can make efficiency of these factors, the company’s profits will be increased. For example, a common problem that often occurs in operational processes is the length of time required for shipping goods. The lean manufacturing method will ensure that the storage system of goods in the warehouse becomes easier to track goods. Speed up shipping and build better communication between warehouse employees.

Outside the warehouse, lean manufacturing may involve finding more efficient routes for the factory fleet. Tracking unscheduled stops or rounds from drivers, or simplifying the flow of traffic in and out of company facilities.

The logistics strategy that is successfully implemented becomes very important for companies. That is dedicated to maintaining service levels at the highest level despite changes in the supply chain. Remember, the ultimate goal of any logistics strategy is to deliver the right product to customers. With the right quality, at the right price, at the right time. In the right place by spending as little money as possible.

By reviewing logistics organizations, and creating or reconfiguring logistical strategies. Companies will be able to better meet the demands of customers and end-users of products that are always changing.