How Logistics Management is Improving Business Efficiency
Logistics management deals with the coordination of organizations’ flow of goods, raw materials and information from their origination to the intended destination. Logistics management can also be needed for the supply chain in the areas of transportation, shipping, receiving and storage. Also important are the areas of inventory, warehousing, packaging, disposal and security.
When supply and distribution systems become more complex, logistics management professionals work out systems to deal with them. Making sure materials and finished products get to where they are needed at the right times for maximum efficiency. Although most larger businesses now use logistics management, the concept started in the military in order to get supplies to troops in the field.
Logistics is Essential
Whether it’s a company or the military, organizations need logistics to find suppliers and materials for their manufacturing processes. They also need storage for their inventory and distribution channels for their finished products. Although these processes may not seem complicated, they must be handled the right way for a company to run optimally.
If an organization can find less expensive raw materials, they could increase their profit margin significantly as a result. Cost-cutting is only one aspect of logistics management. Cutting the time it takes from raw material to finished product and keeping everything safe is key.
Globalization and Third Party Logistics
Organizations have become increasingly global entities, which makes logistics even more complicated. Many organizations have found that third party logistics can improve efficiency by bringing needed expertise to the overall operation.
An organization with supply chains in different countries, for instance, may need companies that know how to operate in those countries to provide logistics support that others would not know how to provide. A third party may know the laws and regulations and be able to navigate more successfully than someone within the company without that knowledge.
Logistics management improves efficiency for organizations.
Another growing specialty of logistics management is logistics consulting services. In this field, logistics experts give advice and help to those looking to create efficient supply chains and distribution channels for their organizations.
Careers for logistics management professionals are growing faster than jobs in other areas. Consequently, it has become a lucrative and needed profession. Florida Tech’s Master’s in Logistics Management focuses on military logistics and covers supply chain management, transportation, marketing principles and organizational behavior.
Relationships with military agencies offer Florida Tech students unique opportunities for hands-on learning. Specializations within the degree include humanitarian and disaster relief, acquisition and transportation logistics and supply chain management. Students can develop skills in all areas of logistics management to build a career in the military or anywhere in the world.
Interested in learning more? Download the Master’s in Logistics Management brochure to find out about our program.