Now that you are all set with the basics of the logistics industry, let's dive deeper into its working - services, management, geographical reach and so on.
Logistics industry majorly provides three types of order fulfilment services namely - B2B, B2C and Global Deliveries. Their modes to fulfil these obligations may include providing services like inland transportation, shipping to global boundaries, keeping track of and renewing stock, etc.
The delivery of goods from one firm to another is the focus of B2B order fulfilment services. Imagine a bakery whose final product is bread which customers directly consume. However, there are base products like wheat, powder soda, dried fruits, milk, butter, etc. that constitute the different products being offered by the bakery. Since the bakery can’t produce all these ingredients, they source them from other businesses whose prime business is to sell these raw materials. The essence of B2B logistics lies in delivering these raw materials to the business that will turn them into a consumable final product.
The delivery logistics are easier to carry out within the inland since the involved parties are mostly aware of all the policies and taxes that affect their operations. However, global deliveries face international policy issues like freight rates, taxes on shipments, export barriers, and so on. So, having an effective logistics team that is knowledgeable about these risks and knows how to pan them out is extremely important for any company.
Direct delivery of manufactured items to customers is the main focus of B2C order fulfillment services. Remember the bakery? That bakery is the essence of a B2C business, providing its products directly to the customers for consumption.
B2C operations face risks that affect their target customers directly since the business comes with delivering quality products at the right time and in the right condition. Order fulfilment for these companies is especially a task that requires care without compromising the fast last-mile delivery experience. What lies at risk is more than financial because a poor output can affect the brand image and customer loyalty among various other assets of the business.
Since customer satisfaction is a huge factor in the success of any B2C company, it becomes important for these companies to not just provide deliveries but also provide customers the means to update themselves on their purchases. Here is where the additional services like express/ same-day delivery, tracking, returns, exchanges, refunds, etc. come into play. After the manufacturing of the product, supply chain logistics are largely what the companies need to focus on.
Global logistics is the process of controlling the "flow" of goods via a supply chain from the point of production to last-mile delivery, just like the above services. However, the only difference between B2B/ B2C and Global logistics is the geographical boundaries. While B2B and B2C business may operate within the boundaries of their origin country or may export to other parts of the world; global logistics, as the name suggests, operates within foreign boundaries.
As mentioned before as well, managing a global supply chain requires an extensive knowledge of the policies and various other restrictions levied on foreign goods. An inefficient logistics management may include lack of knowledge of the international trade policies, tax levies, freight charges, etc. which may cause issues in last-mile deliveries.
We, at Lorrigo, provide every solution you need to solve your supply chain problems. Our services include Inland deliveries, as well as, deliveries outbound to global boundaries. We have made logistics analysis more accessible and easy to monitor through our inbuilt tech interface. As a 3PL, we understand the pain points of handling logistics and we are here to offer to take the load off of your shoulders. We are working day and night to provide you with the best inbound and outbound services, providing best last-mile delivery experiences, reducing freight costs, overcoming weight discrepancies, etc. From inland shipping and courier services, outland shipping, express delivery, door-to-door deliveries and pick-ups to having no size and weight restrictions on your packages, we cater to all your needs under one roof.
To know more about our services, contact us through https://lorrigo.com/ or reach out to us by requesting a call directly.