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What is the present situation in logistics?

  • Competition to collaborate with conglomerates,
  • Developing a system that provides better transparency of operations to clients,
  • Cutting costs while upgrading automation in the supply-chain processes.

While it may not have covered everything, it is what every logistics company in India is working on. What you are looking for is- “Latest Logistic Practices in India”. The trends discussed here are compatible with Indian logistics of 2019.

So, without further adieu, have a quick look at what you’ll be reading here.

I. Shifting From B2B to B2B2C Trend

Traditionally, logistics services were mainly hired by companies as part of their supply chain. However, end-customers are getting directly involved in the channel at times even omitting middlemen like retailers and even wholesalers in some special cases.

The main reason for this is the growing popularity and use of e-commerce platforms like Amazon, Flipkart.

Point is that it has led many of these companies to outsource their delivery services ensuring smooth and fast operations. This has led to the emergence of a new model of B2B2C.

Though it is not that new a concept, according to experts it’ll shape the next 10 years of logistics.


II. Elastic Logistics

As the word suggests, it is a logistics system with the ability to expand or shrink its operations depending on factors like demand fluctuations, customer preferences, etc.

It is one of the latest and most impressive trends in logistics worldwide. As it ensures optimization of all logistics operations and avoids any resource wastage or mismanagement.

It includes-

  • Hiring additional staff,
  • Adding extra work hours to the existing personnel,
  • Mobilizing transportation assets, and so on.

Forecasting market’s state plays a very important role in this logistics trend as optimizing the operations is dependent on it. It is done by what is called “Digital logistics” the next in the list.

III. Digital Logistics Trends

You’d have to be a bit more attentive to understand this-

  • Data-driven decision-making is extremely crucial to supply chain activities as the big data improves quality and performance by offering effective supply and demand forecast, inventory management, route optimization, and efficient labor management.
  • The use of Big Data and Data Analytics in the logistics industry allows investors to make informed investment decisions.
  • Companies now anticipate busy periods, potential supply shortage and other insights to make strategic decisions improving their market positions and gain a competitive advantage in the market.
  • Shortcomings including transportation delays, operator errors, poor monitoring of cargo, outdated IT failures, and thefts are being overcome by the integration of IoT in the logistics industry.
  • This next generation of successful supply chain management will leverage IoT and edge computing to give real-time automated insights and increase visibility with the tracking and monitoring mechanisms to improve transparency and promote integrity throughout the supply chain.

With these logistics has now become part of a connected system which runs a company.


IV. “Pay-For-Use” Trend

Recent practices adopted by companies like are based Pay-For-Use basis, i.e. renting extra assets for transportation, back-end data management in the cloud, etc.

  • These methods are far better than investing in untested technology,
  • They ensure improved functioning while keeping costs to the minimum.
  • It helps in keeping logistics operations elastic and agile.


V. Optimized Reverse Logistics

The recent logistics trends revolve around the fact that India is one of the most unpredictably fluctuating markets. It is also one of the biggest markets thus, companies are willing to invest and bear reasonable setbacks. This involves returned orders, meaning reverse logistics is very prevalent here.

If not managed properly, reverse logistics can bring huge losses to companies especially large volumes of returns can put unprecedented pressure on supply chain processes, especially in terms of logistics expenses.

To address this, draft proper return policies to determine the reason for the order’s return. It will help you to predict the same when they look like they will recur.


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