Logistics is an essential part of any business that has to deal with the flow of goods on a daily basis, but it is an area that is often the source of mistakes, myths, misunderstandings and misinformation.
Logistics myths shouldn’t be an obstacle to your supply chain efficiency goals. That’s why Olicargo is committed to making the supply chain easier to manage!
So, to help you make increasingly confident and informed decisions, today’s post deconstructs some of the myths surrounding logistics.
Understand this sector in a simple way and transform your logistics operations!
Myth 1: “Logistics is about moving goods from point A to point B”
REALITY: Logistics is much more than just moving goods from one point to another. It involves planning, coordination and strategic optimisation at every stage, from selecting the most efficient routes to managing stock and delivering goods.
Myth 2: “Supply chain management is all alike”
REALITY: Two companies do not have identical logistics needs. As a result, the solutions developed are tailored to the specific needs of each company and each customer, whether on road, sea or air.
Myth 3: “Logistics will not be affected by the unexpected”.
REALITY: There are unexpected events that can disrupt even the most carefully planned supply chains. By pooling our experience and taking preventative action, we can help to find a solution more quickly in order to get the cargo to its intended destination.
Myth 4: “Logistics investment in technology is low”.
REALITY: An effective supply chain relies heavily on technology, from warehouse management systems to process automation and real-time tracking. Companies that don’t invest in technology to optimise their logistics processes will not be able to keep up with the competition and could face delays and setbacks in the supply chain.
Myth 5: “Logistics is only relevant for large companies”.
REALITY: Logistics affects companies of all sizes, from small start-ups to large multinationals. Effective supply chain management can help companies of all sizes compete and expand globally.
Myth 6: “Logistics is a simple and straightforward process.”
REALITY: From inventory management to the coordination of transport routes, logistics is a careful and complex planning process with a high degree of specialisation and attention to detail.
Myth 7: “Internal logistics is more reliable”
REALITY: At first glance, managing the supply chain in-house may seem like the most reliable option. However, there are certain aspects that can pose serious challenges, as they require specific training for a number of situations. On the other hand, by outsourcing logistics, you can simplify operations, minimise risk and ensure compliance for more complex operations.
Myth 8: “Logistics costs a lot”
REALITY: It is well known that logistics costs have a direct impact on the value of freight, but they can also generate significant revenue for companies that manage their supply chain effectively by optimising processes.
Myth 9: “Logistics and transport are the same”.
REALITY: Logistics goes beyond transport and encompasses the entire supply chain. It involves coordinating stages such as supply, procurement, storage, inventory management and distribution to ensure that goods are delivered to the right place, at the right time and at the right cost.
Myth 10: “Managing logistics does not affect the relationship established with the customer”.
REALITY: A company’s ability to deliver a specific product at the right time, place and conditions is an essential part of customer relationship management. Doing all this will create more stable and fruitful relationships.
Sources:
ABGS Group. (2023). 5 Logistics Myths Debunked in Seconds With AB Group. Consulted on September 18, 2023, at: https://www.abgroupshipping.com/2023/09/15/5-logistics-myths-debunked-in-seconds-with-ab-group-shipping/
Flexis. (2017). 5 Myths About Transport Logistics. Consulted on September 18, 2023, at: https://blog.flexis.com/5-myths-about-transport-logistics
ATECH Logistics and Distribution. (2023). Debunking the 9 Most Common Supply Chain Myths and Misconceptions. Consulted on September 18, 2023, at: https://www.atechlogistics.com/debunking-the-9-most-common-supply-chain-myths-and-misconceptions/
