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SPENDING IN LOGISTICS
Spending in the US logistics and transportation industry:
 $1.48 trillion in 2015
 Represented 8% of GDP
SUBSECTORS IN LOGISTICS
 Transportation management
 Fleet management
 Warehousing
 Materials handling
 Order fulfilment
 Logistics network design
 Inventory management
 Supply and demand planning
The subsectors of the logistics industry are:
CHANGING CUSTOMER NEEDS
Customers are becoming more demanding. They demand:
 On-time delivery, same-day
delivery and next-day delivery
 Full transparency of orders
 Visibility through the supply chain
to final sale
 Reverse logistics
SECURITY IN LOGISTICS
Security is a growing concern in the logistics industry:
 Goods pass from one provider to
provider
 Managing transportation to the
warehouse
 Materials handling and inventory
management
 Transporting goods from warehouse
to customer
CHALLENGES IN THE SUPPLY CHAIN
The main supply-chain challenges are:
 Unknown risks:
Longer supply chains have greater exposure
to risk. Companies need to identify and
assess potential issues
 Greater variability:
There may be several deviations from the
plan. Large buffer inventories can add
significantly to costs.
 Low visibility:
Maintaining visibility is difficult since the
goods are moving in remote locations.
NEEDS FOR BETTER CONTROL
Logistics companies today need to ensure:
 Real-time tracking
 Reach across the country
 Cost efficiencies
 Timely delivery
 Anticipating problems
 Backup plans
 Heightened security
IMPROVEMENT CHALLENGES
Given stiffening competition, there’s a pressing need for improvements in the
following areas:
 Capacity forecasts
 Inventory management
 Alignment of manufacturing and
logistics
 Systems integration
 Information sharing
SOFTWARE SYSTEMS TO STREAMLINE LOGISTICS
A software solution for managing logistics better should:
 Increase visibility of time sensitive
information
 Impress customers with quality online
shipping, tracking and mapping
 Reduce invoicing time with built-in
accounting
 Improve cost efficiencies
 Provide customizable reports
 Real time tracking
ARE YOU LOOKING FOR LOGISTICS SOFTWARE?
Visit: www.keysoftwaresystem.com
OR
Call: 732.409.6068

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Challenges Faced by Logistics Companies

  • 1.
  • 2. SPENDING IN LOGISTICS Spending in the US logistics and transportation industry:  $1.48 trillion in 2015  Represented 8% of GDP
  • 3. SUBSECTORS IN LOGISTICS  Transportation management  Fleet management  Warehousing  Materials handling  Order fulfilment  Logistics network design  Inventory management  Supply and demand planning The subsectors of the logistics industry are:
  • 4. CHANGING CUSTOMER NEEDS Customers are becoming more demanding. They demand:  On-time delivery, same-day delivery and next-day delivery  Full transparency of orders  Visibility through the supply chain to final sale  Reverse logistics
  • 5. SECURITY IN LOGISTICS Security is a growing concern in the logistics industry:  Goods pass from one provider to provider  Managing transportation to the warehouse  Materials handling and inventory management  Transporting goods from warehouse to customer
  • 6. CHALLENGES IN THE SUPPLY CHAIN The main supply-chain challenges are:  Unknown risks: Longer supply chains have greater exposure to risk. Companies need to identify and assess potential issues  Greater variability: There may be several deviations from the plan. Large buffer inventories can add significantly to costs.  Low visibility: Maintaining visibility is difficult since the goods are moving in remote locations.
  • 7. NEEDS FOR BETTER CONTROL Logistics companies today need to ensure:  Real-time tracking  Reach across the country  Cost efficiencies  Timely delivery  Anticipating problems  Backup plans  Heightened security
  • 8. IMPROVEMENT CHALLENGES Given stiffening competition, there’s a pressing need for improvements in the following areas:  Capacity forecasts  Inventory management  Alignment of manufacturing and logistics  Systems integration  Information sharing
  • 9. SOFTWARE SYSTEMS TO STREAMLINE LOGISTICS A software solution for managing logistics better should:  Increase visibility of time sensitive information  Impress customers with quality online shipping, tracking and mapping  Reduce invoicing time with built-in accounting  Improve cost efficiencies  Provide customizable reports  Real time tracking
  • 10. ARE YOU LOOKING FOR LOGISTICS SOFTWARE? Visit: www.keysoftwaresystem.com OR Call: 732.409.6068