When we talk about a courier service, the term logistics is often used. Logistics refers to the planning, coordination and management of the flow of goods. This includes providing information as to the whereabouts of the goods and showing transparency from the beginning to the end of the journey.
According to a recent report, the global logistics industry is worth over ten trillion U.S. dollars
Certain terms are commonly used when we talk about logistics, such as inbound logistics, outbound logistics and reverse logistics. In this article, we take a look at these three important terms.
Inbound Logistics
Inbound logistics refers to the processes involved in sourcing and acquiring the goods. This stage of the logistics chain plays an important role in ensuring that a company has the necessary inputs in place to provide the demands of the service.
Efficient inbound logistics reduce lead times and minimise inventory carrying costs. They also help to set up good working relationships with suppliers, by ensuring inbound goods are transported and managed into warehouses and sufficient inventory processes are in place.
Outbound Logistics
Outbound logistics focuses on the distribution of finished products or services and getting the goods to the customer in a timely manner. Outbound Logistics involving courier service providers such as All About Freight, must provide a balance between delivery speed, costs, and customer satisfaction. Companies have to take into account the cost involved in delivering a same day courier Liverpool, for example, while also ensuring product quality.
Reverse Logistics
Reverse logistics deals with the return of goods. Over the years, online shopping has created a culture of reverse logistics. For example, customers can try on clothing at home and then return the items that they do not want to keep. Reverse Logistics not only deals with the collection of the item but also with recycling the packaging and processing the item’s return.
There have been environmental concerns regarding this, with new regulations to ensure that reverse logistics not only reduces waste but also enhances a company’s reputation for sustainability and responsible business practices.
