Challenges We need to Know that we face while Implementing an effective logistics Strategy

 

What are the main challenges in implementing an effective logistics strategy?

There are many variables to consider: the type of organization, the maturity level of the organization, the industry the organization operates in, how experienced and qualified the people that work in supply chain/logistics areas, technology capability, etc.

Likely/Possible Logistics Strategic Challenges

·         Maintaining Strong Supply Chain Visibility (preferably in real-time)

·         Managing Logistics in Emergency Situations

·         Handling Rising Fuel Costs

·         Building in the ability to deal with Supply Chain disruptions

·         A drive to improve sustainability, environmental friendliness, and waste reduction

·         Developing an “elastic” logistics capability

·         Meeting the ever-increasing customer expectations (increasing customer service levels)

·         Becoming more flexible and adaptable

·         Maintaining high levels and increased levels of cyber security

·         Having logistics strategies driven and supported from the top down

·         All the most senior people in the organization must overtly embrace and back the organization’s logistics strategies

Think about organizational alignment all the (logistics) strategies developed in the business must be tied to its mission, vision, and goals both long and short term.

It is important to recognize that every company is unique, and no two businesses are the same, this also means that the challenges each company faces may be similar but they are also unique in their way.

I can highly recommend a supply chain/logistics orientated SWOT analysis, this will help the organization be clear about where they stand while delineating and fully understanding the challenges it faces, — purely from a supply chain and logistics focus.