Question

build a logistic network

Answer 1

Logistic network design is defined as the system of organizations in which it works for design, production, and delivery of a product or service to a market, it presents the systematic proceeding from the use of raw materials to the distribution of finished products or services. Also called the supply stream.

A logistic network presents the supply chain capability of an organization that satisfies customer demand at its best with reliable delivery. so to build a logistic network we need to take case some of these aspects which justify and satisfy the demand of customers and the name of the company.

1. prioritizing customer: here the first and the most important fact for a logistic network is to know your customer and their demand (it may be general or specific).it will give the right path to proceed for the next step and to optimize the activity.

2. understanding the business base: this point will clarify the objective of an organization. it will set the clarity of your working pattern as the company is following cost minimization or service quality maximization.

3. Mode of transport: this segment will define your dedication and quick response to the assigned work. it will also define the delivery reliability. So this logistic network will always have alternative opportunities for transportation on behalf of the customer demand on the value of the product and the emergency of transportation. so it will define the efficiency and the accuracy of the organization.

4. Distribution centers: it will shows your spread and network. As you can reach the remote for delivery with a quick action will define your functionality and that will develop the customer's faith in your system. More storage centers and fast delivery will be the key player for a logistic network.

5. Stocking locations: In this logistic system delivery is the key aspect where the value of time also has significance. if the delivery could not reach the customer on time it may loose in millions so there should be always alternative stock locations to meet such kinds of unseen scenarios.

6. Bulk shipping: bulk shipping is another cost-effective strategy adopted by the organization. when the destination is same it will be more effective to send the consignments in bulk, which will reduce the cost of shipping and save time.

7. Re-evaluation: it will always better to have a re-evaluation of your system. next time always comes with a better and effective strategy so re-evaluating your own process will provide more effective ideas and it will enhance the efficiency of the network.