The Types Of Services In Logistics You Need For Your Business

When running an e-commerce business, reliable logistics services are vital. What does a logistics service mean? What different types are discussed here for physical and online businesses? How can you ensure you can optimize the aspects of the logistics process? You will learn more by reading here to answer all your questions about logistics.

Logistics service

Logistics service has different operations that involve the transport of goods from the seller to the final destination. The services include:

• Transportation

• Warehousing

• Inventory Management

• Freight Forwarding

• Customs Clearance

• Distribution

Each service ensures the products can reach into their destination on time and in good condition.

Types of logistics service

Some types of logistics services are based on the company’s needs.

Inbound logistics

The process of receiving and keeping the supplies or raw materials used for the production is where inbound logistics service worked on. The inbound logistics process is about the following:

• materials

• components

• inventory

It focused on sourcing, purchasing and storing goods before being used for production. It collects the right materials in the right place.

Outbound logistics

Outbound logistics service manages the flow of the finished goods, from the where it is manufactured to the customers, which includes:

• • Order fulfillment. It involves receiving, processing, and preparing customer orders for shipment.
  • Warehousing. The service includes storing finished products and managing the inventory for the orders to be prepared for dispatch.
  • Transportation. It is about selecting the right shipping methods and coordinating with the carriers. The shipment of goods is delivered on the scheduled date or timely.
  • Delivery. It encompasses the final stage of delivering products to the doorstep of the customers, including:

• last-mile delivery

• potential returns management

It is a process of getting products from the production area to the users. Transportation of finished products to recipients is what will happen in inbound logistics. The focus of this logistic service is on the demand side of the supply-demand equation.

The steps of the logistics service are:

• order fulfillment

• packing

• shipping

• delivery

• customer service

Outbound logistics service works on effective supply chain management. 

Third-Party Logistics

Third-Party Logistics is outsourcing logistics operations to external service providers, such as:

• warehousing

• transportation

• fulfillment

It is when the company uses a third-party company to manage its supply chain. 

Cold chain logistics

These are special logistics for goods or products requiring temperature-sensitive systems, such as:

• food

• medicine

• chemicals

The specialized logistics process manages the supply chain of temperature-sensitive products, such as:

• manufacturing

• transportation

• distribution

E-commerce logistics

E-commerce logistics handle online retailers, including:

• last-mile delivery

• returns handling

This type of logistics service involves managing, storing, and delivering the products purchased online to customers. It encompasses activities from receiving the inventory to the final delivery and returns processing.

Conclusion

The different services of logistics are giving you an idea of which better fits your shipping needs.