2020 Trends in the Transportation Logistics Industry

By Editor Logisticsbid - SnVuZSA5LCAyMDIw

birds eye view of a shipping port

In 2019, the Chartered Institute of Logistics & Transport of the United Kingdom has defined 7 R’s that are now vital in understanding the complex world of transportation logistics. These principles are the secret of big logistics companies. According to experts, each of these ’s work well with each other, and failing on one of them will result in a transportation logistics disaster.

Right Product

Knowing the right product is vital in any logistics model. The product or goods to be transported will prove how well you are as a logistics provider. That is why, it is important to research beforehand, to know which mode of transportation will be using.

Right Quantity

The number of products to be transported is as important as well. Since logistics is focused on the efficient transportation of goods or services, you might as well strategize your supply chain depending on how much you are transporting. It is better to maximize the capacity of your cargo than doing less than truckload transportation.

Right Condition

Another important factor is letting your clients know how much you care about their products. Having the best logistics path won’t matter if the products will be transported in undesirable conditions. Know how fragile the products, moisture or temperature needs, or other requirements that can affect the quality of the goods.

Right Customer

This goes hand in hand with marketing to know more about your customers. Build strong relationships with your clients to level up your service. Conduct market research, and gain insights to know the customers in the area of your strategy.

Right Place

After knowing your customer, you will be able to learn the places to deliver. This is where strategy comes in. It is not just about sending your vehicles on the road, but is more on learning the distance and the ability to navigate conveniently. Advanced technologies are readily available to aid you in the road. Its a matter of utilizing the best software and committing to master navigation.

Right Time

Being too early is as bad as being too late in the world of transportation logistics. Products vary in needs and requirements. Knowing the product and location can help you deliver just in time.

Right Price

The final R is a culmination of the first six factors. Knowing what’s optimal for your business will lead you to the right price. Remember that transportation logistics is also a big part of your overhead. Getting the correct calculations and the best strategy can help you price your goods or services right.

This may either be existing in your process now, or may be a new discovery that you can apply for yourself. These basic principles can be the foundation to have the best transportation logistics strategy for your business. Simply knowing the 7 R’s can give you an edge against your competitors in the logistics industry of the Philippines.