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In order for any company to survive in today’s competitive market, it is essential they maintain proper logistics management procedures. While it may not seem like a very important part of business enterprises, the logistics management part of any business is the dominant factor in its success or failure.
You have to know how to assure customers they will receive their products on time, and you can only control those supply chain management processes through the implementation of procedures that all the employees within the company can follow.
Every company should develop logistics management procedures before they begin their operations. This will allow them to have something to provide each new employee they hire; with logistics management procedures to follow, there will never be a question concerning the proper way to handle the process of transferring material from warehouse to customer.
It can be difficult for new people to know exactly what they should do, but having some kind of road map or set of procedures for them to follow will help them along the way. This is especially important in the case of some order fulfillment processes your staff may not perform on a regular basis–they will have logistics management procedures to which they can refer to refresh their memories.
There is no general set of logistics management procedures that will work for every company. The process must be different based on whether the company is production-based or supplier based meaning do you make the complete product on your premises or do you order finished products from a supplier? The way you handle logistics management is directly connected to the type of company for which you work. Those companies that work with raw materials in order to create a finished product will have a different process for both logistics management and inventory management than those who purchase finished products to ship to customers.
The logistics management tools you need will also depend upon the type of business venture that is involved. There is no one answer to logistics management by any means nor is there one solution to every supply chain management question. As a manager or even supervisor or foreman, it is your responsibility to know what works best for your company, your employees and your customers. Do not rely on what a vendor or competitor may be doing because their needs will not be the same as yours.