Logistics is a systematic process where goods are transferred from the place of production to the point of consumption. There are some listed functions that are the responsibility of a logistics company. These functions are very important as they make the storage or moving process timely and convenient.

Weighing the 7 Broad Roles of Top Logistics Companies

Order processing

The initial and valuable function of these agencies is to generate the order requested by the clients. Orders are placed on the basis of specifications requested by customers, such as delivery payment, payment methods, product descriptions, time period and much more. Orders are received online and can be modified according to the customer’s wish. This feature is of utmost importance for organizations as they can easily determine future requirements such as stocks to consume and much more.

Stock management

For any top-tier logistics company, it is necessary to maintain the proper amount of stock or merchandise to deal with shortages or contingencies. This particular function is a balance between Customer demand and stock availability. You need to evaluate certain costs, such as maintenance costs, inventory costs, and much more.

Warehousing service

A warehouse is a place or building where finished products are stored or held until requested for use by customers. The various decisions regarding no. of the warehouses, their location, design, ownership and distribution are carried out.

Transportation facilities

The next function of these companies is to select the stable and reliable source to deliver the goods to the end users in a proper manner. Decisions are made such as the mode of transportation and the costs that will be incurred. Other factors are also measured, such as the nature of the products, and then a suitable mode is selected based on urgency.

Material or product handling

The other function of these companies is to ensure that the product to be delivered is protected with adequate protection to avoid danger. Decisions are made such as the automation of handling, the volume of material to be protected, the requirement of speed for the movement of goods and much more.

packaging

Another function of these agencies is to prepare a secure packaging of the material while it is sent to the retailers or wholesalers. It is important to cover the basic products with careful packaging so that they do not get dirty.

Provide all the information throughout the process

Logistics companies work with an information exchange mechanism throughout the process. From order processing to shipping, they provide very useful information to various stakeholders through well-designed software and IT tools.