What is Inbound Logistics? Detailed answers from AZ

x Businesses, online business shops want to optimize the supply chain to reduce costs, improve product quality and customer service, so need to learn about Inbound Logistics?
X You want to know how important Inbound Logistics plays an important role for the business?
X You distinguish Inbound Logistics from Outbound Logistics and the operating process of Inbound Logistics?

Proship.vn we will help you understand what Inbound Logistics is, Inbound Logistics plays an important role, how the operating process of Inbound Logistics takes place, ... along with challenges and factors affecting Inbound Logistics.

What is Inbound Logistics?

What is Inbound Logistics? Is input logistics or material supply is the process of controlling raw materials or semi -finished products from manufacturers or suppliers.

What is Inbound Logistics? Detailed answers from AZ
Inbound logistics (input) is the process of transporting, storing, delivery and receipt of goods to a business, also known as the supply logistics.

Inbound Logistics is like the starting stage in the supply chain and is the decisive stage of the operating status of the later stages so it is quite complicated and needed in the first place.

All knowledge needs to know about Inbound Logistics

What Inbound Logistics is answered above. Next is other knowledge to know about logistics input:

The importance of Inbound Logistics

Input logistics brings many important benefits such as:

  • Save input costs:

Good management of Inbound Logistics helps the shop negotiate with good prices with suppliers, optimizing shipping costs, storage and reducing the cost of input materials.

  • Increase flexibility and response ability:
You may be interested in  What are the rules of origin of goods? What is the role?

Effective input logistics helps the shop take the initiative in supplying materials, quickly responding to production and fluctuations of the market.

  • Improve product quality:

Input logistics ensures quality supply of raw materials, meeting production requirements and creating high quality products.

  • Optimize warehouse usage space:

Planning and managing scientific Inbound Logistics to help shop owners arrange and store raw materials reasonably, optimize warehouse space and reduce waste.

Factors affecting Inbound Logistics

Inbound Logistics is affected by many factors such as:

  • Raw material characteristics:

The core attributes of raw materials such as size, volume, easy -to -damage, frequency of use, and value will determine the method of transportation, storage and order frequency.

  • Conditions for infrastructure, logistics services:

The development of transport infrastructure, warehouses and quality of external logistics service providers will facilitate or hinder Inbound Logistics.

  • Relationship with suppliers:

The reliability, stability and response of the supplier affects the quality, price and time of material supply.

  • Inbound Logistics team capacity:

Professional qualifications, management skills, creative thinking and the ability to handle the problem of personnel making Inbound Logistics greatly affect this activity results.

  • Technology application level:

Equipping advanced technological solutions in order management, inventory monitoring, transportation coordination helps increase the accuracy, quickness and efficiency of Inbound Logistics.

Challenges, optimization of Inbound Logistics

The challenges encountered by logistics input:

  • The supplier has a problem that cannot supply raw materials:

It is necessary to diversify supply, contract agreement, accurate demand forecasting and close monitoring of the supplier's activities to reduce the risk of interruption.

  • Delayed shipping risk:
You may be interested in  What is 3PL? Learn about 3PL strategy in Logistics today

In order for the goods to be transported on time and safely, choose a reputable shipping partner, closely monitor the transport route, choose the appropriate shipping method.

  • Management operation lacks accuracy and errors: 

Shops should apply management software, standardize the process and inventory periodically. Thereby supporting improving management efficiency, reducing errors, increasing accuracy in Inbound Logistics.

  • Difficult with warehouse system:

If small and medium shops are not capable of owning private warehouses, the shop should use a third -party warehouse service such as Bonded Warehouse's cheap warehouse rental service (Bonded Warehouse) of Proship to ensure the best storage conditions.

  • Returned goods:

Business shops need to control input quality, carefully packed, provide accurate product information, develop reasonable return policies and analyze the cause of the goods.

What is Inbound Logistics? Detailed answers from AZ
The role of logistics input is very important, but there are also the accompanying challenges that shops and businesses need to understand to apply Inbound Logistics and Outbound Logistics effectively.

The difference between Inbound Logistics and Outbound Logistics

What is the difference between Outbound Logistics and Inbound Logistics? That is:

Criteria Input logistics

(Inbound Logistics)

Logistics output

(Outbound Logistics)

Implementation process Is the process of searching, purchasing, transporting and delivering materials, tools, ... to the warehouse, factory, production facility or retail store. Is the process of planning, carrying out the distribution of goods to the final consumer.
Relationship Between raw materials suppliers and factories, manufacturing companies. Between the manufacturing company and the final consumer.
Optimal Just in time Expense
Mainly Purchasing, storing and distributing materials to the production site. Packing and distributing goods to the final consumer.

How is the Inbound Logistics operating process?

The operation process of Inbound Logistics takes place as follows:

Step 1: Search for materials supplier

Investigate and report potential supplier information. Proceed to receive quotes, agreements, classification and management of suppliers.

Step 2: Buy

When choosing the right unit, businesses will order essential materials. At the same time, notify the purchase time so that the production process does not affect and take place continuously.

Step 3: Transport of goods

Enterprises consider choosing the form of transportation, delivery speed and signing a price contract with the roadmap with the shipping party.

Step 4: Receive and process goods

Receive goods at the location of agreement, loading and unloading goods down to the yard and checking the number of orders.

What is Inbound Logistics? Detailed answers from AZ
Description of the operating process of Inbound Logistics is done step by step.

Step 5: Warehouse and archive

Transporting materials to storage or handing over to the goods.

Step 6: Inventory management

Managing goods/raw materials before delivering to customers or serving production. Goods must be placed in the right position and preserved under general conventions.

Step 7: Distribution of goods

Raw materials from the warehouse are distributed to production parts or retail points on demand. The distribution should be implemented promptly and in the right quantity and locations for production and business activities to be continuous.

Step 8: Perform reverse logistics

Reverse logistics is the management of goods from consumers about the shop. In Inbound Logistics, reverse logistics includes the handling of goods returned due to errors, packaging recovery, boxes for reuse, ...

What is Inbound Logistics and all the knowledge about logistics inputs has been conveyed by Proship. Participants in the supply chain can apply the input logistics model so optimally and effectively. We are currently the Bonded Warehouse bonded warehouse rental unit, the service of transporting sea, rail, road, etc. Contact 0909 344 247 for advice and best quotes.

Was this article helpful to you?

Select the number of stars to vote for this article!

Average score / 5. Total votes:

Be the first to vote for this article!

You may be interested in  What is Logistics? What is the role of Logistics in the world economy?

Reply

Your email will not be displayed publicly. Required fields are marked *

Call 093 9999 247ZaloMessengerKinhdoanh@proship.vn