What are the most effective ways to ensure logistics operations run smoothly?
Logistics operations are crucial for any import/export business, as they involve the planning, coordination, and execution of the movement of goods across borders and markets. However, logistics can also be complex, challenging, and unpredictable, especially in today's globalized and dynamic environment. Therefore, it is essential to adopt some effective ways to ensure logistics operations run smoothly and efficiently, while minimizing risks and costs. In this article, we will discuss some of these ways, such as:
Before you start any logistics operation, you need to have a clear idea of what you want to achieve and how you will measure your performance. This means setting specific, measurable, achievable, relevant, and time-bound (SMART) objectives and key performance indicators (KPIs) for your logistics activities. For example, you may want to reduce your lead time, improve your delivery accuracy, increase your customer satisfaction, or optimize your inventory levels. By defining your objectives and metrics, you can align your logistics strategy with your business goals, monitor your progress, and identify areas for improvement.
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Deixar claro e objetivo as responsabilidades atribuídas é de grande valia, pois, quando se há clareza nas funções a “engrenagem” da logística tende a fluir melhor. A Logística mapeada e bem entendida fica algo riquíssimo.
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In my experience defining metrics and objectives not only makes our team have a clear vision on our current and future situation, but it helps us save costs in our daily operations to have better results by the end of the year. The most important thing is to understand that your team feels valued while they help you perfect and maintain high the kpi. There’s always room to be better, even when you are meeting your goals and standards.
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Setting clear objectives and metrics is crucial for effective logistics management Eg, reducing shipping errors by 20% within six months Aligning logistics goals with broader business objectives contribute to overall success Eg, linking logistics strategy with the goal of expanding market reach Regularly monitoring KPIs for proactive management and adjustment Eg, using real-time data to identify bottlenecks and streamline warehouse processes Analyzing metrics helps identify areas needing improvement Eg, discovering correlation between delayed deliveries and lower customer satisfaction Utilizing data for agile decision-making enables adaptive responses to changing conditions, Eg, rerouting shipments during unexpected weather disruptions.
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Clear Communication (SMART) and Commitment (KPI) I have learned and observed that the Supply Chain never gets any easier, but most definitely it is an interesting complex journey. Your SMART Objectives need to be communicated with constant reminders to your team and also motivating employees through reward programs Remember the supply chain is an ever-evolving profession Your KPI needs commitment shown, this should be shared with your team, through weekly meetings or monthly meetings clarifying the team's strengths and weaknesses and how to meet the target by giving direction. Objectives and metrics are further clearly defined and achieved if the above are actioned, broken down as per above
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Robust Planning: Develop a detailed logistics plan that encompasses procurement, transportation, warehousing, and distribution, aligning with your business objectives. Clear Communication: Maintain open communication channels among all stakeholders, including suppliers, carriers, and internal teams, to ensure everyone is informed and aligned. Technology Integration: Implement advanced logistics technologies like GPS tracking, warehouse management systems (WMS), and real-time analytics to enhance visibility and efficiency. Risk Management: Identify potential risks and develop contingency plans to address disruptions, such as delays, shortages, or unforeseen challenges in the supply chain. Inventory management implement effective control
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Use the SWOT technique to investigate your Strengths, Weaknesses, Opportunities, and Threats. It would be also interesting to set a meeting with your client to set expectations and, based on that, ensure everything will go well.
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*Ensure process chart is well defined and communicated to all, with dedicated objectives. *Keep the formats & Communication & Notifications simple. *Redefine roles if required *Establish corrective & preventive actions for all kinds of past errors. *Seek feedback on a regular basis until the corrected process is stabilized
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No meu caso o serviço é contratado. Se for o seu caso, essencialmente planeie. Adicione a esse plano planos alternativos e de contingência para situações imprevistas. Inclua todos os intervenientes no processo de planeamento. Conheça os parceiros que contrata para desempenhar a função. Faça uma seleção rigorosa baseada essencialmente no histórico das empresas. Ás vezes as maiores empresas não são as melhores para fazerem o serviço.
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Very easy. -Plan Properly & Forecast. -Clearly understand your requirement or the customers. -Lastly communicate from start to finish.
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- Track and understand your partners flexibility and limitation - Planning the market forecast - Keep a good communication channel with your customer and make the information clear for both sides, you and customer - Everything need to be documented
One of the most important factors that affect your logistics operations is the quality and reliability of your partners, such as suppliers, carriers, freight forwarders, customs brokers, and warehousing providers. You need to choose partners that can meet your expectations, deliver on time and in good condition, comply with regulations and standards, and handle any issues or changes that may arise. You also need to establish clear and frequent communication with your partners, share relevant information and documents, and build trust and collaboration. Additionally, you need to have some flexibility and contingency plans in case of unforeseen events or disruptions that may affect your logistics operations.
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Choosing your partner for a logistics operation is a fundamental step. You may need different suppliers during your operation, so what you can do is have a pre-written shipping/price quote text that you can send them to investigate the best offer. If you have experience with different logistics providers, choose the one you have had the least problems with and which gives you the best offer, then send the offer to your customer for approval.
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And always have a backup plan. Is it possible to ship by plane to ensure a timely deliver? Is there a local supplier? Don't go all out in the first operation, just do a small one to try it out.
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O uso de parceiros é inevitável quando trata-se se portos/aeroportos com procedimentos mais específicos. No entanto, precisamos deixar muito alinhado a função de cada um na operação, de modo que não impacte do andamento e liberação.
Technology and automation can offer many benefits for your logistics operations, such as increasing efficiency, accuracy, visibility, and security. For example, you can use software tools and systems to manage your orders, inventory, transportation, and distribution, as well as to track and trace your shipments, generate reports, and analyze data. You can also use automation devices and equipment to speed up your processes, reduce human errors, and enhance your productivity and quality. However, you need to ensure that you select the right technology and automation solutions for your needs, budget, and capabilities, and that you train your staff and partners on how to use them effectively.
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The best way to learn about and implement technology and automation is to learn about them through your business network, ask colleagues, and also go to a business meeting where you can meet several technical representatives and ask for information and ask about their experience. After choosing a few companies, research them on the web to find out their feedback and the one that best meets your needs.
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Implementation and technology improved the customer service your company will provide. Many times ours colleagues spend a lot of their time doing tasks that can be automated and this prevents them or many times overwhelms them with activities that can diminish the quality of customer service care they can provide. This is why using, implementing, developing and applying technology and automation of processes is key for better performance and satisfaction of internal and external customers.
Another way to ensure your logistics operations run smoothly is to follow the best practices and standards that are relevant for your industry, market, and product. This means complying with the rules and regulations that govern your import/export activities, such as tariffs, duties, taxes, licenses, permits, certificates, and inspections. It also means adhering to the quality and safety standards that apply to your goods, such as packaging, labeling, handling, storing, and transporting them. By following best practices and standards, you can avoid delays, penalties, damages, and losses, as well as protect your reputation and customer loyalty.
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It is always important to have the Incoterms anual book avaibale and also, be sure to be up to date with all the rules in your country and also, with the other country you are dealing with. Always ask Always ask questions to the customs broker, who will be able to give you more information.
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Logistics is a field where if a person doesn’t follow the rules it can imply in very huge costs for an organization. This is why it’s very important to always follow the law, commercial agreements, rules imposed by diverse countries and institutions, follow schedules. Always be as clear as possible to ensure a successful and efficient operation.
Finally, you need to recognize that your staff are the backbone of your logistics operations, and that their skills, knowledge, and attitude can make a difference in your performance and results. Therefore, you need to invest in training and empowering your staff, so that they can perform their tasks efficiently, effectively, and professionally. You need to provide them with the necessary resources, tools, and support, as well as with clear roles, responsibilities, and expectations. You also need to encourage them to learn, improve, and innovate, as well as to communicate, collaborate, and problem-solve. By training and empowering your staff, you can boost your morale, motivation, and retention, as well as your customer satisfaction and loyalty.
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In view of follow best practices and standards it is important to train the staff. Without train you will have a outdated information what can bring fines, unnecessary delays and loss of customers. Train is the best option.
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Reyes Ortega
Supply Chain Analyst
(edited)Training & empowering your team is key to success. I’ve seen a lot of well-prepared, capable & skilled teams not achieving its objectives. The lack of motivation & the lack in providing useful trainings can make an important negative impact on any team. If you work on having a well-motivated & empowered team more than on having a skilled team, I can assure you that results will surprise you. Constant & specific trainings will motivate people to see that they are capable in ways that they didn’t know they can be. Take care of your team and they will take care of your business.
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