From sales forecasts to customer service, the following is a summary of basic logistics activities in traditional companies.
Basic logistics activities in traditional companies
1. Forecast
Sales forecast
The first stage of logistics is to determine the amount of sales that the product will obtain, in order to plan the entire production process.
2. Planning
Materials Planning
It consists of determining the total quantity of inputs (including labor that will be needed in the production process
Production planning
It consists of determining the process, forms and stages to be developed in the production part (schedule and goals)
Distribution Planning
Determine the channels and distribution needs that the product will have (form of transport,
conservation needs, etc.)
3. Initial logistics management
Orders
It consists of ordering production, effective demand and ordered merchandise flows
Inventories
It consists of properly managing all the stock of materials and merchandise in the factory or warehouse
Reception
It is the logistics part that is responsible for receiving the purchase orders and sending them to the corresponding place
Entry
It consists of verifying the entry of goods to the plant
4. Packaging
It consists of protecting, preserving and strengthening the product through a protection system.
5. Storage
Gather or save supplies or finished products, either for custody or sale.
6. Transportation of goods.
Take the goods to the points of sale, warehouses, distributors or consumers directly.
7. Distribution centers and service strategy.
Distribution
It is to apply the merchandise delivery channels, taking into account the forms of payment, costs and facilities, in order to properly reach customers.
Service
It is to have a sufficient structure that can serve clients with all their concerns, doubts or complaints.
Includes: Sales, direct service, technical assistance, warranty management, etc.
