Objectives of the logistics area in a company
Logistics is one of the areas of the company that is responsible for planning, coordinating and controlling the flows of materials and energy necessary for the production process. Consequently, an important objective of logistics is to minimize the total cost of these flows, in such a way that the company can compete in the markets in which it operates.
Other objectives of logistics are the reduction of inventory levels, the improvement of the quality of customer service and the optimization of company resources.
To achieve these objectives, logistics must coordinate the activities of transportation, storage, distribution, security and handling of materials, as well as the activities of planning, control and management of information flows.
What are the objectives of logistics in the company?
Logistics in the company has as its main objective to optimize its resources, for this it is in charge of planning, coordinating and controlling the flow and storage of raw materials, materials in process and finished products, as well as the information flows associated with these . All this with the aim of minimizing costs and increasing efficiency.
In general, the objectives of logistics in the company can be summarized as follows:
- Optimize the use of company resources
- Minimize logistics costs
- Increase efficiency in the management of material and information flows
- Improve the quality of the logistics service
- Adapt to changes in the environment
How many general objectives does logistics have?
Logistics has four general goals: efficiency, effectiveness, safety, and sustainability . These goals can be achieved by planning and controlling the resources necessary to meet customer needs at the right time, in the right place, and at a reasonable cost.
Specific logistics objectives include:
- Ensuring that products and services are delivered to customers at the right time and place
- Ensure that products and services are delivered in the right conditions
- Ensuring that products and services are delivered at a reasonable cost
- Ensuring that company resources are used in the most efficient and effective way possible
- Ensure that company processes are carried out safely and sustainably
Logistics is a vital function for the success of any company. Its objective is to ensure the efficient and effective flow of raw materials, semi-finished products and finished products from the supplier to the customer, as well as their storage at the point of sale. Logistics must be efficient and effective to keep pace with production and allow the company to maintain a competitive advantage. In short, the goals of logistics are to minimize total cost, maximize resource utilization, and ensure the right level of service to the customer.
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