Key Factors Influencing Logistics And Supply Chain Management

Abstract

The Logistics and Supply Chain Managementis the process which links and co operate the operation in producing product or offering services to the needful customers.The efficiency in logistics and supply chain management can eventually make the business successful by optimizing the profit, reducing the cost, eliminating errors, etc. This ultimately meets the customer’s demand which leads to customer satisfaction. This mechanism is true with all sorts of business enterprises despite the size of the company which could either be small, medium or large. The motto of the efficient logistics and supply chain management is to ensure sustainable competitive advantage over the competitors.The Transport and Logistics sector is considered to be the crucial sector with respect to the Indian economy. It is the key which facilitates other sectors like primary sector, secondary sector and tertiary sector particularly in operations of Agriculture which is considered to be the back bone of India. The Logistics and Supply chain management faces enormous changes and up gradation in the functioning process in order to suit the customers’ demand. This eventually led to many key factors influencing the logistics and supply chain management in order to maintain efficiency and sustainable competitive advantage. In this article the key factors such as cost reduction, Eco friendly mechanism and other relevant aspects are analysed. The transportation cost cutting is essentially the fore most priority in Logistics and supply chain management. Above all cost cutting is the foremost challenge faced by the Logistics Sector. Hence Innovation in process or technology can be the solution expected by the Logistics Industry.