The Evolution of Logistics Management

With the evolution of the logistics area, year after year, many improvements have emerged in processes and the development of people and systems with cutting-edge technologies, always with the aim of serving customers at a healthy cost for the company.

In several companies around the world, logistics management has always focused on deliveries to its customers. Those who have the best ability to balance costs and quality increasingly achieve success in sales guaranteed by the provision of delivery services.

In the case of Brazil, for example, when we compare high levels of management in the logistics job market, it is still a common perception that for every 100 logistics executives, being generalists, only five executives are specialists in transport, with a large representation of importance. , there is the last mile, which consists of deliveries to end customers.

However, if within the cost of logistics, the cost of transporting and delivering orders to customers are the most important accounts and if not the most relevant depending on the business the companies are in, why is there still this shortage of allocated executives and or with experiences for the last mile.

"In logistics management, the importance of the transport area is growing and becoming a differentiator for companies, consolidating customer satisfaction through the delivery service"

Why were improvements in people, processes and technologies, focused on the transport area, not such a priority for many companies?

The Covid-19 pandemic arrived in 2020, and for almost two years, people had major restrictions on coexistence and were often restricted to their homes, changing consumption models and triggering new trends, impacting several areas of logistics.

Order preparation times were reduced and even greater accuracy of ordered items was required. Delivery networks also adapted, with faster and more customized service provision.

The evolutions were initially just operational to serve consumers in their homes, and later, a revolution in technologies began to emerge, or rather, the innovation process not only appeared but also accelerated in several areas.

Artificial intelligence, Machine learning, mobile for deliveries, online routing, TMS sophistication, among others, and innovative technologies focused on transportation were also accelerated during and continue post-COVID; it is common today to have many startups with the most comprehensive innovation portfolio.

On the other hand, this push for faster and more reliable delivery services in relation to customer orders has increased logistics and especially transport costs.

Currently, executives in the area are trying to balance costs and quality of services again, now supported by a range of new technology possibilities to choose from.

The priority objectives of serving customers in the basics well, that is, deadlines and serving the customer according to the order, type of product, correct quantities, sizes and colors, continue to be the most important pursuits for companies.

The scenario is very promising for new executives in the transport area to be prepared, trained and absorb a gap that still exists due to the lack of specialists in the area.

The management of the transport area is no longer just a provider of services and management of freight costs, but rather a strategic arm in logistics, where better ways of delivering orders to customers will generate business differences, enabling increased sales.

The biggest challenge for executives in the area will be the convergence between identifying, training and enabling the transport executive with the best choice of technology that adheres to the business and how to transfer the best level of logistics service to customers with a balance between costs and quality.