Have you ever heard about logistics flow? Logistics flow is a common term in the supply chain sector. This process can’t be separated from the supply chain, referring to a series of operational activities from the production system towards distribution to increase efficiency without reducing product quality.
Several parties are involved before the product arrives in the hands of consumers, from foreign manufacturers, importers, distributors, domestic producers, wholesalers, and modern stores.
For a clearer picture, see the logistics flow below.
There are several types of logistics flows that are applied by companies. Make sure to choose the type of flow that can provide significant benefits to your business.
Type of flow that is not fixated by the market demand. The company continues to carry out production activities to anticipate market needs. Production results are stored while waiting for incoming requests.
This type focuses on the number of demands. Production will be executed only when the demand exists. This method is applied to reduce storage fees as much as possible.
A combination of push flows and pull flows. The company manages the flow of raw materials and is ready to sell products to match market demand.
Raw materials/spare parts are adjusted to the needs in the production process.
Read More: From Warehouse to Stores, What does Analytics Do to Your Supply Chain?
Optimizing the supply chain through the right flows provides many benefits, such as reducing spending, saving resources in the supply chain, and minimizing waste generated in various logistics phases.
In addition to choosing the right type of application for your business, choose among products that support your company’s supply chain needs the best.
Click here to find out more about Advotics products.
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