There is a growing need to manage shipping logistics. With increased competition in the field of shipping, shipping logistics management grew to become essential. Shipping logistics management involves resource planning, organization, management of trailers across the carrier's offices, execution, and control of the transportation of your shipped items. It is well known that the idea of logistics began in the military. It was used in operating supplying the military with arms, ammunition, and rations.
Logistics management is a part of the supply chain management that governs the business of shipping freight with its vital needs. It also ensures the suitable implementation and control of the business of shipping freight that will provide the most efficient and effective results.
Shipping logistics management is faced with a big challenge to develop solutions for various shipping needs, varying from labor to fossil fuels. This challenge extends to solving the problems of increased labor and fuel costs due to growth in freight transportation and consequently the increased demand of labor and fossil fuels.
Also, shipping logistics management includes finding solutions for the negative environmental impact of increased consumption of fossil fuels. It is also concerned with safety and security of the transported items. Shipping logistics management extends to the management of fleets of vehicles used in the shipping process. By using Global Positioning System (GPS) vehicle tracking systems it is easy to increase the productivity of the fleets and decrease fuel consumption.
Shipping logistics management can be automated to improve efficiency and effectiveness. Typically, automation of shipping logistics management also includes automation of warehouses. Examples of warehouse automation include automated cranes, automated conveyors, sorting systems, and robots. The application of bar codes or tags is a type of automation for logistics management too as it uses different types of software to control warehousing.
Automation can extend to software, scheduling of containers to freight trains, and an information management system for the whole shipping company. This software would be used for controlling customer inquiries, booking orders to ship, managing sales, accounting, and personnel. Software can control the work process and increase productivity and efficiency of the company's systems.
Outsourcing is becoming more popular. Logistics systems providers are increasing rapidly and the logistics industry is in greater demand by many sectors, mainly industrial, shipping and transportation. Carriers do not have to handle both shipping and logistics management, but can outsource logistics management to a logistics service provider.