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Understanding Logistics And The Shipping Industry

Many companies in the shipping and freight industry are choosing to outsource their logistics as a way to reduce operation costs and streamline efficiency. Logistics companies offer many different services that integrate highly knowledgeable people with advanced technology and the proper tools to provide the solutions that customers need. Some of the key players that are connected this way are logistics service providers, and the supply chain end of the market, and the freight carriers.

Logistics Providers

This segment of the industry can work with marketing and sales, customer service, operations, human resources, and finances. They can customize the solutions companies need with regards to the supply chain including warehousing. They can supply the manpower for loading, the storage facilities or actual warehouse, and even the storage crates needed for the cargo. The next logical step they take is coordinating with the freight carriers to get your cargo where it needs to be.

In addition, technology used to provide electronic tracking helps reduce lost shipments and facilitates on-time deliveries. Many providers also work with additional insurance protection for their customers above the amounts the freight carriers offer.

Supply Chain

The supply chain includes many groups and individuals that are necessary to get your cargo to and from the freight carriers. For instance, IT support is required in order to handle inventory and tracking of shipments. Container leasing companies may be required so that a company doesn't have to try to purchase all of the containers for its cargo. The terminals also play a big role here as manpower and equipment is required to handle the cargo as it is packed, stored, and loaded onto and unloaded from the freight carrier's vehicles.

Freight Carriers

Transportation of cargo can be by ship, aircraft, railroad, or truck. Logistics providers analyze the cargo and its location and coordinate with the best freight carrier for each job. Working with a variety of different clients, they may use combinations of LTL and FTL loads as they expedite the movement of goods and products. They work with international freight carriers, local freight carriers and common carriers to allow for the most effective and efficient means of getting cargo to its destination in good condition and on time.

By working with logistics providers, a company can focus on the product they are manufacturing rather than having to spend resources on creating their own in-house team to handle logistics.

About Author John V :

Whether it is getting the raw materials for their processes from another manufacturer or sending the finished product to customers, logistics companies that have experience in this area can be an invaluable asset. to learn more visit <a href="" target="_blank"></a>

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Article Added on Wednesday, April 17, 2013
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