Determining the Types of Logistics Services

Logistics refers to the coordination and assistance in the movement of goods in an organized and effective manner. It is a part of every sector and considered to be the core of the supply chain.

When it comes managing your supply chain, you should rely on the best logistic providers. However, before that, you should understand the kind of logistics you need to choose. There are different types of logistics that make up for the top 100 logistics companies. Following are some types of logistics services you can avail.

Warehouse Logistic Services

Prior to transporting the products to the final destination, you need a safe place to store them in one or multiple warehouses at different time points. You can either opt for an in-house warehouse or hire third-party logistics warehouse providers.

Typically, the latter option is the most commonly used by the companies as they handle and transport your products more securely and in significantly less cost than the other option.

Before you choose a warehouse, know the kind of space you need, ease of accessibility, and time period. Evaluating these factors is important to ensure that you make a decision that aligns with your needs.

Freight Shipping

This is a type of logistics that include trucks, cargo ships, and trains to transports goods. Freight shipping is primarily used when companies have to make shipment in large bulk. While some offer international shipping, other freight companies stick to domestic shipping of goods.

Based on the location and type of goods being shipped, the mode of transportation may change. And, it is not necessary that a freight company offer all different modes of transportations. With shipping trends constantly evolving, this logistics domain is quite complex. Therefore, you must be updated with the latest trends in order to get cost-effective freight shipping services.

Third-Party Logistics

Third-party logistics work to bridge the gap between product manufacturers and the end-consumers. These companies are not responsible for manufacturing the product; instead, they make sure that the product reaches the consumers in the same state as it was shipped.

They ensure that all parties involved in the shipping process adhere to the obligations. From the time the goods leave the warehouse to the time, it reaches the final destination; third-party logistics ensure the necessary process has been followed. Their responsibilities are extensive and may spawn to related areas such as custom relations, storage, supply chain management, analysis, terminal operations, etc.

In-House Logistics Services

In-house logistics services include establishing a different department within the company for the purpose of managing logistics. These services offer more control over the movement of products and can also be cost-effective.

However, you are likely to get less-efficient services than third-party service provider. This is because generally, these companies are handling an array of situations simultaneously. If you choose a third-party logistics service provider, they focus solely on the shipment of the goods. Therefore, they hold better expertise in this regards, and you are likely to have improved services.

Courier Shipping

Courier shipping is ideal for small orders. They are also preferred while transporting fragile products that need special attention. In comparison to freight services, courier shipping is time-saving and more efficient in transporting goods from the warehouse to the customers. However, it can prove to be more expensive for products that are essentially meant for freight shipping.

Logistics focus on multitude activities including managing assets, manufacturing, packaging of products, warehousing, movement, and security of the goods. With the expansion of your business, you need to get assistance of right logistics services in order to maintain efficiency in your supply chain and services provided to the customers.