Logistics processes: examples for you to build your company’s
- 20/06/2024
- 18 minutes
A director or manager of international logistics looking to maximize their company’s results in the market needs to pay attention to their logistics processes, successful examples, and best practices that help achieve an optimized and well-structured operation.
If your main challenge today is projecting import and export flows and processes, it’s worth reviewing some concepts and checking out insights that work well in the market in general. After all, those who think that logistics is only related to the final delivery of the goods are mistaken.
Import and export flows and processes are complex, and the biggest challenge, for example, is to get on board at the optimal time, at the best cost. In fact, any difference makes the profit lower in relation to other brands, and the operation has to be very detailed.
So, how to set up an efficient logistics process? Check out the practical content we’ve prepared and take advantage of it to reduce costs, make deliveries on schedule, always rely on standardized processes, and even keep internal communication flows of the operation running smoothly. Check it out!
What are logistics processes?
Logistics processes are a set of strategies and related activities from contacting the supplier to delivering the product to the customer. Therefore, it presents several stages, such as raw material request, receipt, storage, internal handling and cargo transportation.
For all phases to work correctly, it is necessary to carry out an efficient mapping of logistics processes, especially when it comes to import and export. By defining well all the necessary phases and their respective actions and responsibilities, you find the most agile and effective way to produce and distribute the inputs of your business.
What are the best examples of logistics processes?
There are several examples of logistic processes that can be applied in a distribution center, and you can draw inspiration from these models to optimize your company’s operations. By understanding the characteristics of each one, it’s possible to know how to avoid recurring problems and other challenges in the sector.
Cargo Handling
It is essential to be very attentive and careful when moving cargo in a distribution center. If the logistic process is not well executed, it can result in financial losses, and customers may risk receiving damaged goods — which harms the good relationship between both ends.
In this sense, during the process, it is valid to count on the aid of specific equipment, such as forklifts suitable for the types of containers you work with. They make all movements more optimized and safe. In addition, they guarantee the integrity of the products. Remember that employees also need to be properly equipped at all times.
Receipt of inputs
The receipt of inputs is an important example of a logistical process. As it doesn’t involve just receiving goods, it’s recommended to adopt a good system so that the quality and quantity inspection of the cargo can be carried out quickly. This also helps simplify the issuance of invoices, for example.
A business that wants to act in a practical and efficient way in its market niche needs to bet on data collectors and barcode readers. Technology is a great ally in the logistics sector and, when well applied, can provide excellent results.
Storage of products
When the distribution center is not well organized and does not have good technological tools, it is difficult to find a product quickly. In fact, this problem is caused by failures in the storage process.
It is recommended that products be separated and organized by category so that employees can easily find any product when this is the case for the company. In addition, all items must be separated by routes and dates, in order to meet the established deadlines.
Picking
Picking is the collection of unit loads. It can be done in all types of warehouses and happens when it is necessary to gather the goods to carry out the transport. This process needs a lot of labor, as it is the time when the products are separated.
However, there are already tools available to assist the team in this activity, such as the voice system, which provides information on the product’s location and the quantity to be separated. Thus, the process becomes simpler and faster, improving the performance of the entire chain and generating greater satisfaction for end customers.
Shipment
Shipping is an example of the most important processes, as it consists of the last step carried out at the distribution center. It must be carried out accurately, as it involves checking the cargo to be loaded onto the transport, validating the orders, and preparing the necessary documents for the carrier to make the delivery.
The expedition needs to be done quickly and cannot present failures and errors — this is not discussed. Here, automation is a good solution in logistics, since systems can help in the conferencing process and make the entire operation more agile.
How to set up a logistics process?
Every logistics process begins with a planning of all products produced and marketed in the company. If you haven’t reviewed yours in a long time, it’s a good idea to revisit your operation and map it accurately. Thus, it is established what should be created, adjusted, rethought and what will be the inputs and tools necessary for the production process.
After this step, the manager needs to establish if the items will be in stock or if they will be directed to the sale. In the first case, it will be necessary to have a place for the products to be stored correctly. It’s important to emphasize that this is crucial during the setup of a logistics process, as any slip-up affects storage costs and can lead to additional expenses.
Considering helping you in your logistics management, we have separated important tips on how to set up a good logistics process. Check it out!
Rely on trusted suppliers
No company can develop its activities and offer quality products without reliable suppliers. In this way, it’s necessary to deal with various partners, whether they are associated with raw materials, linked to production tools, or involved in the delivery of the final product. Therefore, it is essential to know how to choose them.
When setting up your logistics processes, it’s necessary to carefully evaluate distributors and several variables such as the price charged, transport quality, excellence in delivery, distance from the supplier to the company, and commitment to customers.
Wilson Sons, for example, always puts the relationship with its partners first. That’s why, even in a challenging scenario for the maritime sector due to logistical bottlenecks and geopolitical conflicts impacting the industry worldwide, we handled over 900 thousand TEUs (Twenty-foot Equivalent Units) at our container terminals in Rio Grande do Sul and Bahia.
According to CEO Fernando Salek, “With national coverage and the most advanced fleet in the country, we carried out approximately 55 thousand port maneuvers in 2022, maintaining our leadership in tug services in Brazil.”
Inventory management
As mentioned, inventory is a fundamental step in the assembly of the logistics process. Working with a very large amount of products is not easy and can cause several financial problems for companies. This is because large inventories require high costs.
However, small inventories may not be enough to meet the demands of your customers. For this reason, it’s necessary to assess your business needs and implement efficient management to avoid high costs and prevent damage to your reputation.
With optimized management, it’s possible to measure inventory levels, assess the quantity of products needed to meet demand, quantify market needs, and identify the right time to request new supplies from suppliers.
Efficient Transportation
A company that deals with import and export requires the assembly of a good logistics process. Therefore, it is necessary to choose a transport model that performs all delivery steps with quality.
If you are still unable to have your own fleet to support the process, you can outsource this service. However, you need to be careful when choosing the company responsible for transporting the goods of your business. Any problem ends up affecting your reputation, even if it wasn’t your company’s fault.
Meeting deadlines
One of the main objectives of logistics planning is to meet deadlines. This need is essential for those who want to stand out in the market and retain consumers. By meeting the established delivery date, or even advancing it, customers are very satisfied.
In addition, meeting deadlines is key to maintaining the company’s reputation. Constant delays can lead to dissatisfaction and even loss of customers. Therefore, it is important that logistics is well structured and planned to ensure that everything is fulfilled efficiently.
What are the main types of logistics?
International logistics is related to the process of storing, monitoring, transporting, packing, importing and exporting cargo and goods. Knowing the types of logistics helps you know if you are operating in the most productive way, considering your company’s niche. Check it out!
Production logistics
Production logistics is one of the most important pillars of a company. From the raw material to the delivery of the product to the final consumer, each step must be executed with excellence. Therefore, it is essential to have well-defined strategies to ensure efficient and competitive production in the market.
To stand out from the competition here, it is essential to know the industry and competitors in depth. Only then will it be possible to draw assertive actions that allow to offer quality products with shorter production time.
Reverse logistics
Reverse logistics is fundamental in a company, since it is the part of the production line that is concerned with environmental impacts and the preservation of natural resources. For this reason, ways are created to reuse the material used in the process.
Understanding how reverse logistics works and working to make it possible is paramount — and it must be shared among citizens, companies and public entities.
Consumers, for example, must deliver the waste of the products they used to the places defined by the reverse logistics system. The organizations provided have an obligation to carry out environmentally sound waste management, which is possible through the creation of more sustainable products, recycling and reuse, and waste prevention.
Supply logistics
In supply logistics, all steps necessary for the storage and movement of inputs are controlled. The main purpose is to ensure that all practical supply needs for the logistics operation happen without major unforeseen events.
Many managers have doubts about the operation of supply logistics, but it is necessary to know that it happens throughout the chain. It is up to the manager to evaluate the suppliers, verify the planning and forecast of delivery of the product to the customer. Therefore, before buying the supply, it is essential to plan how it will be chosen.
Distribution logistics
Distribution logistics is the model that has a direct relationship with the consumer, considering that it is responsible for deliveries. It optimizes the stage of distribution of goods and contributes to the realization of safer work and more affordable value.
To have good results, it is necessary to carry out strategies capable of positively impacting the company. In distribution logistics, the routes are determined, the products are monitored, the items are replaced in stock, the deliveries are tracked and the need for more professionals in the operation is certified.
Attention needs to be paid to this type of logistics, as it is from it that the products are taken to the distribution centers and then delivered to the final customer. For the company to offer the best service, it is necessary to request feedback from customers. This makes it simpler to notice delivery bottlenecks.
Understanding logistics processes, examples and applying them correctly can bring numerous benefits to companies. From reducing costs to increasing customer satisfaction, investing in efficient chain management is essential to achieving business success.Did you like this article? So, take the opportunity to understand the advantages of betting on the digitization of logistics processes.