Ready to move up the food chain. You'll find many hurdles when climbing the ladder. Are you well equipped?
An industry that has so much competition that it is difficult to survive. But that may change if you know the tricks of the trade.
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Over 50 million people are employed by the Logistics industry in India. It is believed that a lot of businesses can perk up their earnings simply by cutting costs and reducing their turnaround time (by having in place a well oiled logistics network). While logistics in India has a huge scope for growth, there are challenges associated with running it — one arising on account of the scale of business management required, and the other, because India predominantly is a cash economy. So it is key to have a strategy in place, which also provides a window for improvisation and need-based adjustments.
Here are a few tips that can help your logistics business be more effective:
Figure out an efficient logistics strategy
Good coordination and management is key to running a successful logistics business. Here are a few techniques to adapt if you haven't already done so, to increase the productivity and reduce the risks in your business:
Sales and Operations Planning
This is perhaps the most basic of things, but overlooked the most, when it comes to logistics. Sales and Operations planning or S&OP basically means a setting where all primary functions of a team come together to discuss, review and plan their business activities. These primary functions include sales, marketing, product management, manufacturing, warehousing, finance and transport. It is imperative for the team to collaborate and have a communication channel — either physical or through digital platforms—because, in logistics, the whole game is around communication.
Like in any business, in logistics too, there are chances of loss occurring. It could be in terms of money or wastage of products. It is important to manage these negative outcomes, adjust to the market when required, and keep patience. Because sustainable businesses are not built overnight.
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