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What are the functions and objectives of logistics?
12 November, 2018
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Every activity, whether industrial, commercial or services, coexists with various factors that influence its performance and competitiveness. Successful logistics management is the key to making a difference in the entire process in order to optimize results.

“Getting the right product to the right place at the right time” is a logistics dictionary definition. But to achieve the purpose that seems to be described in a sentence, it is necessary to recognize the complex circuit involved.

The functions of professional logistics include:

The knowledge, management and control of the physical flows of raw materials and products.

The notion and administration of the environment by virtue of human resources, consumer goods such as fuel, energy, etc.

The administration of assets necessary for the provision such as warehouses, vehicles, computer systems, etc.

Indirectly, logistics also entails the function of influencing financial flows and productive information flows. This is why the professional task of logistics greatly helps in decision-making and its conscious analysis within the production budget is important.

Logistics functions in industrial companies include different types:

  • provisioning
  • of production
  • of distribution
  • after-sales service

For their part, commercial companies that buy directly from the manufacturer skip the production and after-sales function that involves supply and distribution tasks to the final consumer.

Meanwhile, in service companies, logistics functions consist of goods that are acquired to carry out a specific activity and are rarely stored.

Particularly, in different cases, the hiring of professionals who have distribution centers in strategic production areas is an ally to achieve greater revenue in the specific task of cargo transportation.

Currently, services optimized with new intelligent location technologies make it possible to streamline processes and provide customers with greater control over the distribution chain, both in national and international cargo transportation.

Now, whether in manufacturing, marketing or service provision, it is necessary to recognize the central objectives of all logistics. Specialists define them in three:

  • Efficiency
  • Answer's capacity
  • Cost savings

The achievement of these objectives indirectly implies that the company can:

  • Increase competitiveness
  • minimize errors
  • Increasing quality levels
  • Decrease spending
  • Increase productivity
  • Improve performance

In short, if the objective of a company is to improve performance in both logistics and cargo transportation services, there are two points that deserve separate paragraphs: safety and sustainability.

The first focused on the importance of reducing risks, from operator training to equipment maintenance. The second is aimed at mitigating the environmental impact and human footprint by taking advantage of resources in the most effective way, such as energy savings in transportation by optimizing fuel use.

FUENTE: http://www.tradelog.com.ar/blog/funciones-y-objetivos-de-la-logistica/