E-Commerce Dictionary
Logistics
Definition
The overall process of managing how resources are acquired, stored, and transported to their final destination.
Deep Dive
Logistics is the intricate and overarching process of planning, implementing, and controlling the efficient, effective forward and reverse flow and storage of goods, services, and related information from the point of origin to the point of consumption. It encompasses a wide array of activities beyond simple transportation, including procurement, inventory management, warehousing, materials handling, packaging, and security. The objective is to meet customer requirements in a timely and cost-effective manner, ensuring that the right products arrive at the right place, at the right time, and in the right condition.
Examples & Use Cases
- 1An e-commerce giant managing the entire process from order placement, warehouse picking and packing, to final mile delivery to customers' doorsteps across the globe.
- 2A manufacturing company coordinating the acquisition of raw materials from various suppliers, their storage, movement through production lines, and distribution of finished products to wholesalers.
- 3A humanitarian aid organization planning and executing the complex transport, storage, and distribution of emergency supplies to remote disaster-stricken regions.
Related Terms
Supply Chain ManagementFreight ForwardingInventory Management