Logistics Essay Example | Topics and Well Written Essays - 250 words

Logistics - Essay Example The effectiveness of logistic is improved through alliances with local suppliers that reduce cost of transportation. Porter (1985) asserts that logistics is key component of value chain that greatly facilitates business activities. In the company, technology is intrinsic part of strategy that facilitates inbound and outbound logistics for effective supply chain for raw material and network of distributors for finished goods. The parts are sent to offshore business partners where assembling is done and local transports are used to send the goods to dealers and stores. Thus, outsourcing partnership across the region significantly reduces transportation costs and helps gain competitive advantage in the current recessive environment. This saves time and effort as the assembling of products could be easily altered to suit the demands of the local customers across geographical boundaries. The products therefore, reach the customers timely and efficiently. Hence through creative logistic st rategy, the company is not only able to survive but is also able to maintain its market position. The use of technology facilitates improved communication and enhances efficiency in delivery of goods and services. Most importantly, good logistics has helped to expand business across the globe and provided the company with sustainable source of continuous income.