The transportation industry is much smaller and is a significant part of the logistics industry. Transport centres the movement of products from one destination to another, while logistics is just a term that includes freight management, that is, logistics deals with the integration of storage, handling, sorting, packing, and transportation of items.

Though both logistics and transport are necessary for circulating materials and services and products, they tackle various things. Transportation deals with all the movement of products, while logistics handles the supply chain management of transportation through the manufacturer towards the end-user.

What is Logistics Management

Logistics management includes procuring, obtaining, producing, and distributing materials and products to the customer at the correct time and place. Logistics involves planning, managing, and implementing strategies for the operational efficiency of transportation.

Also, different from your typical transport solutions, your logistics project and executive manager will need to deal with various other issues when it comes to packaging, paperwork, storage, insurance, regulations, etc.,  particularly in terms of reverse logistics. Additionally, logistics relate to claims management, risk mitigation, operation management, vendors, partners, lifecycle management, inventory management, and so forth.

What Goes Into an Effective Logistics Management Program?

Proper Planning

Planning is important in a logistics management system. This calls for everything from these products, infrastructure, vehicles, and logistics operations, and also the way all of them are going to work seamlessly together.

Adopt Automation

Within the chronological age of automation, technology plays a task that is significantly enhancing the performance of a business. Automation has a crucial role in business procedure optimization.

Warehouse Management

Effective logistics management is partial without proper warehouse management. Warehouse businesses tend to be significantly determined by the type of goods. For example, perishable goods, like dairy products, need refrigeration facilities. Similarly, the specifications vary according to the products. Similarly, the requirements vary in line with the items. The logistics firm should aim at building the warehouse business so there’s minimum destruction of goods.

Keeping up With the Most Recent Trends 

Logistics administration is continually developing, with advanced technologies and approaches being innovatively introduced regularly. Maintaining up with these latest trends and implementing them wherever it’s appropriate will ensure that you will remain competitive within the market.

What are Transportation Services?

As earlier said, transportation is a component of the logistics industries and concentrates on the movement of goods, via road, sea, and air. Logistic companies in Chennai work with these transportation companies for the deployment of goods. A transport company separately can’t deliver to customers; communication is needed by its channel that enables trade between a supplier and a customer.

How Logistics and Transportation Work Together

Logistics and Transportation are two sides of the same coin. They have to work closely with one another to maximize efficiency and lower costs. 

A transportation company that operates across the country is an example. It might be in its interest that it is best to ensure its truckers tend to be regularly operating the most efficient roads daily. When taking into account various considerations like traffic, road closures, weather, etc., this will become quite complicated. By designing models that use the most information that is up-to-date, it will allow distribution centres to almost always send their drivers on the most efficient routes. 

What is the difference?

If simply put, logistics is all about planning and implementing while transportation is executing the plan for the distribution of the consignment. Both must work hand-in-hand for a successful operation. Transportation forms a part of the freight services and freight services is a part of the logistics. Logistics also takes care of:

• Sorting and storing

• Picking and packing

• Containerisation

• Documentation

• Insurance

• Freight claims

• Customs

• Managing and communicating with vendors and their customers and other parties

• Risk mitigation

How Technology Comes Into Play

The evolving technology incorporates a huge impact on both, the logistics industries as well as on the transportation industries. The moment the consignment is out for delivery, the tracking system begins its work, hence increasing transparency in the deal and between multiple stakeholders. You’ll have minute details and can target the selections that may be smoother.