Logistics is a field that covers all planning, organization and management processes for the supply of goods and services at the right place, at the right time and in the right quantity. This process includes all stages, starting from the procurement of raw materials until the products reach the production facility, storage areas and finally the consumer.
The basic components of logistics are:
Transportation: Moving products from one place to another. This includes land, sea, air and rail transport.
Storage: Areas, warehouses where products are temporarily stored. Warehousing is about managing the inventory of products.
Inventory Management: Determining the stock levels of products, monitoring them regularly and arranging them according to needs.
Packaging: Proper packaging of products for transportation and storage.
Distribution: The process of delivering products to the final consumer.
Information Flow and Management: Information technologies, software and systems used for monitoring and coordination of logistics processes.
As part of supply chain management, logistics helps ensure businesses operate efficiently and costs are kept under control.