- Many things happen between the manufacture of the products and the circulation of the same in a market. Or maybe not so many, but what is certain is that they must be aligned. We speak, in this case, of two essential elements to guarantee the positioning of a brand: logistics and distribution.
Logistics and distribution, how do you understand your link?
eCommerce delivery are all those resources, tools or elements that a company has to carry out its business activities. It is such a wide category in which they have a place from the ballpoint pen that uses an operations director, to the machinery of last technology used in the productive cycles.
If we relate it to the distribution, that is to say, the moment in which the product leaves the dependencies of our company to begin its journey towards the stores, premises and the market itself, we realize that there is a link between both concepts, perhaps narrower than we could imagine.
What kind of link are we talking about? Simple: there can be no distribution of a product without having previously made available the logistical resources for it; at the same time, efficiency in the distribution of products is a factor that allows us to measure our logistics capacity as a company.
How to apply logistics to the distribution phase?
- It is clear that the relationship between both concepts is fundamental for our products to reach the destination that we have set at the beginning of the production chain. Now, speaking in practical terms, how does logistics influence at the time of distribution? What functions do you deal with? Let’s review some:
- Define the number of products that are sent from each store to the stores, either owned or from suppliers or intermediaries. At the same time as it seeks to meet the demand of a target audience, the idea is to reduce Container Trucking costs to a minimum.
- Determine if it is necessary to close plants for distribution or if, on the other hand, others are needed for an efficient distribution of the products. In both cases, the main driver of the decision must be the reduction of costs, both fixed costs of operation and those resulting from transportation.
- Predict the quantity of products that will be manufactured in the active plants, as well as the shipment of the same to customers, warehouses, premises or stores. All this should ensure the same logic of cost reduction.
Logistics and distribution: elements for efficiency
These goals are not achieved by themselves. For a perfect combination of logistics resources in the distribution phase, companies require some organizational elements, especially three:
Container Trucking adequate to satisfy the needs in the phase of distribution of the products. Recall that there is no single distribution model; each company can choose the one that suits you best.
Effective information channels that are accessed by those responsible for the most important tasks in the distribution process.
Availability of the resources of the company to satisfy needs or to correct inconveniences that may arise. Here, too, is the adequacy of the necessary infrastructures.