Author: TASS GROUP

While the pandemic certainly was a catalyst in accelerating record e-commerce advancement, the sector was growing quickly just before the coronavirus outbreak. E-commerce is the existing as well as the possibility and it is presently crucial for industries to ramp up their digital fun. Logistics plays a significant part in e-commerce; while most of the transactions are done electronically, physical products must be delivered to customers by conventional means of transport. To meet the growing market from e-commerce channels and fulfill consumer demands, companies will require to invest in their warehouses and distribution centers, while boosting progress and implementing advanced logistics and supply chain methods. Here are some benefits of e-commerce logistics:

Valuable insights

Ecommerce technology proceeds to deliver enterprise-level insights at an expense that’s reasonable for e-commerce industries. Recent reporting and distribution metrics enable you to discern what is functioning and what isn’t in your supply chain.

Cost-efficient

An additional advantage of e-commerce is that it’s manageable in your purse. An online store excludes the demand for a physical one, and you come out conserving a lot. E-commerce logistics facilitates you to take benefit of negotiated pricing and bulk order percentage. It can considerably minimize the shipping expenses for your e-commerce type. A physical shop requires regular provision, more crew, and huge rents. Nevertheless, with an online supply, once the algorithm is assigned, everything is automated and you don’t have to retain a schedule of entities or inspect it often. The website performs anything for you. With the benefit of targeted transactions, SEO, and expended ads, your shop will earn the necessary business.

Concentrate on core business

E-commerce logistics will facilitate you to focus on improving and broadening your online industry. You can assure seamless e-commerce logistics for both internal and external resources. Therefore, you can regulate high-priority industry goals like providing online orders much sooner, comfortably, and more accurately while building a constructive customer experience.

No reach limitations

Online-only dealers can save on logistics expenditures and be rest convinced of consumers.  A vendor with a physical shop starts trading their goods to local customers and may merely be competent to achieve a specific number of clients. They can provide to the consumers’ residences but there can be distance constraints. Numerous e-commerce marketplaces have their logistics and delivery network. Dealers that want to broaden their sphere to discover different buyers can profit from this.

Customer experience

Gratifying clients is the crucial motive of all enterprises that steer commitment. With exceptional logistics, you can effortlessly please your buyers. You can even create a wonderful experience by proposing real-time order tracking, transmitting farseeing shipping notifications, and curating an outstanding unboxing experience with custom packaging.

Shipping Capabilities

Multiple e-commerce industries are presently directed on amassing the logistics system required to deliver fast shipping for their clients. You can earn the advantages of multi-warehousing. It can assist you to deliver lightning-fast shipping to your clients. With the inventory distributed throughout the nation or provinces, they can export orders from warehouses closest to consumers to get orders provided quickly.

Flexibility and scalability

One of the promising benefits of e-commerce logistics is that they operate fulfillment aids based on your prevailing necessities. E-commerce industries can scale far sooner while having the logistics system crucial to keep their clients optimistic. It also assists you to govern the instabilities in order proportion effectively without incurring extra expenses or compromising on exporting norms on the other hand.

Product and price comparison

It benefits to save time when creating this comparison, as all components are accessible on the shopping site. In e-commerce, dealers can compare the commodities using devices or on their own. This provides them a promising notion of product choices accessible, and the standard prices if a product want is not fulfilled. Comparison is quicker online and encompasses multiple commodities. In a physical shop, dealers may not be able to get entry to so many features they merely have sufficient proficiency in their inventory. This is one additional advantage for the client too. When people discern various elements inclined for purchase, they believe more convinced about spending.

Save capital in the long-run

You may feel that employing E-commerce logistics in the enterprise model is expensive, but aside from you can earn a cost you can afford regardless of where you are present, you’ll protect money possibly a lot of them in the long run.

Wrapping up

The differences in shopping fads are certainly a significant facet that has propelled the growing need for air freight.  This is a crucial facet of e-commerce as it enables the movement of commodities from the manufacturer to the client.  Without logistics, e-commerce would have never prevailed feasible. It’s logistics that gives rise to online orders for the customer. It’s logistics that reserve goods near to the needs. It’s logistics that replenishes the e-commerce repositories. Online logistics make the whole freight and logistics industry into one solitary outlet. This one-stop specializing strategy brings it a lot simpler to govern a multitude of institutions and bureaus from one consolidated position. This digitalized edition renders the logistics system incredibly effortless.

Warehousing and logistics are often used together or in tandem because they are essentially two sides of the same coin. Warehousing deals with the storage of goods while logistics focuses on transportation of the goods. Hence you should know each of these terms separately. 

It would be evident from how the two topics are handled that they are each a separate head of operations and at the same time they are intertwined with each other, that they become inseparable for the most parts. The most progressive of organizations aim to have both an integrated logistics and warehousing activity rather than two separate entities. 

Warehouse Management

As the name would suggest, warehouse management is the management that primarily focuses on how products are kept stored in a premise which would be the warehouse. It involves a range of activities that is not restricted to receiving of goods, shipping of goods, picking up the consignment etc. 

The warehouse essentially is a storehouse that is used to store finished goods or partly finished goods as they are transported between different manufacturing facilities. Simple as it might seem, warehousing is something that keeps most businesses engaged full time in its management. 

Logistics Management

Logistics management or logistics is basically a part of supply chain management. It involves the entry and handling of goods at the factory or company premises and ensures the smooth running of the business. 

Basically logistics involve the internal movement of goods, inventory management, transportation management and so on till the goods are eventually sold to the end user. It is essentially dealing with moving finished goods or intermediaries between premises. 

The Connection Between Warehouse & Logistics Management

Both warehouse management and logistics management are dependent on each other for existence which is evident from how they’re handled. The fact is, one would not exist without the other. Such is the strong bond between the two. 

By using warehousing and logistics in tandem you will be able to set up an efficient supply chain process in any industry. It does point to a requirement to translate customer demand to bring out finished products to the markets, so to speak. 

Differences Between Logistics Management and Warehouse Management

Despite the interlinks between logistics management and warehouse management, the activities are indeed different from each other. We shall discuss the differences  below. 

• Focus

In logistics management, the focus is on moving goods efficiently from one place to another. In case of warehouse management, it is the storage and associated activities that take precedence. 

• Handle

The handle in logistics management is on flow of products to meet customer needs. Warehouse management on the other hand is all about physically controlling finished goods or intermediaries. 

• What It Deals With

Logistics management deals with the integration of material handling, information flow, inventory transportation, security of goods, etc. Whereas warehouse management deals with the management of stock, receiving and despatch of goods, inventory management, and so on. 

• Different Categories

Logistics management offers different categories like recovery logistics, recycling logistics, sales logistics, production logistics, etc. The different types of warehousing include fulfillment centers, controlled warehouses, distribution centers, etc. 

• Processes Involved

The processes involved with logistics management are organizing and implementation activities. It also includes storage of goods at different locations. Warehouse management processes include unloading, storing, checking, receiving and distribution of merchandise or goods. 

• Objective

The prime objective of logistics management is to control costs to the businesses using the services. When it comes to warehousing, it aims to maximize profits by keeping operational costs to manageable levels. 

• Benefits

The benefits to a good logistics management are reduced costs and improved efficiencies. The operations should be able to provide better service to the principal business and in turn keep costs low. In the case of warehouse management, the benefits are better inventory visibility, minimizing business risk, optimized supply chain, spot stocking, etc. 

From the details given above, it is evident that both warehouse management and logistics management go hand in hand. In fact, business operations become smooth when both complement each other in the business.  

Every business’s aim, no matter the field of operations, is to try to reduce operational costs. There is no better way of optimizing costs in the long run than to better control the logistics support as well as the warehousing activities. 

Often it is possible to come across companies that are focused on warehousing or on logistics management alone. Thus, it is to be noted that each of the activities, that is logistics and warehousing, are huge areas of activities that have to be taken care of separately. The best results come when organizations get to integrate the working of the two to have a single unified entity that is the logistics part of the venture. 

And if you’re looking for a reliable and cost-effective warehousing and logistics partner, look no further than Trans Asia Group. We offer a full range of services, from storage to order fulfillment, so you can focus on what you do best. 

Plus, we’re always up for a challenge, so whether you need help with a one-time project or ongoing support, we’re here for you. Contact us today to learn more!

Warehouse logistics is the process of storing goods for sale or distribution in an efficient and cost-effective manner. There are many different aspects to warehouse logistics, such as storage, transportation, and distribution. In this guide, we will walk you through the basics of warehouse logistics. 

What Is Warehouse Logistics? 

An integral part of any supply chain management is warehouse logistics. Products, when they are not moving from one part of the country to another, are stored in a warehouse. At any point of time, there are products being shipped, received and stored in warehouses. 

Warehouses are places where finished or partly finished products are stored before they are shipped out to customers or onto the next stage in processing. 

It is important to optimize the use of warehouse space. As often, there is a cost associated with storage and handling of products at the storehouse. It is thus important for any business to have a well-developed plan to use warehouse space optimally. 

At this point, it must be pointed out that warehousing also produces data that needs processing. By analyzing product demand and delivery schedules, it would be possible to keep costs of warehousing to optimal levels. There are some points that spring to mind immediately when someone speaks of warehouse logistics. They have been outlined below. 

• Getting the location just right. 
• Need for sufficient capital to set up and manage the warehouse. 
• Have an optimized floor plan. 
• Get qualified professionals to man the operations.
• Select the right machinery and equipment for the operations. 

Benefits Of Warehouse Logistics 

Here are some benefits a good warehouse logistics plan brings to businesses: 

• Efficiency

It is seen that introducing a workable warehouse logistics policy brings greater efficiency to the whole activity. Wastages of products are kept to a minimum, and customer orders are fulfilled with the least bit of fuss and cost to the organization. 

• Inventory Management

A proactive warehousing plan produces efficiency in the management of inventories. The sum of money that is tied up as inventory would be kept to the least possible. 

• On time delivery

The very need for efficient warehousing is to deliver the products to the end customer or to the next stage of manufacturing in a timely manner. 

• Operational Costs

There is no denying that by using an effective warehousing policy, it becomes easy to optimize the operational costs of a production line. 

• Customer Satisfaction

The most desirable result of an effective warehouse logistics plan is that customers are always satisfied. By customer, we could mean the immediate end use of the products or the next stage in a manufacturing process. 

Types Of Warehouse Logistics 

Warehouses can be classified into 5 different types: 

• Private Warehouses

These are warehouses that are established by companies and individuals for their private use. Examples of this type of warehousing include the ones done by farmers, wholesale warehouses near shopping centers, etc. 

• Public Warehouses

Warehouses owned by governmental and semi-governmental bodies that are established for public use come under this categorization. Most public warehouses can be made used by people by paying rent to do so. 

• Bonded Warehouse

These warehouses are custom notified and used to store restricted items of trade. They are also known as licensed warehouses. 

• Co-operative Warehouses

As the very name would suggest, these warehouses are established and run by co-operative societies. They use the collective power of societies to bring in efficiencies that are otherwise not possible. 

• Distribution Centers

The defining aspect of the distribution warehouses is the time that is spent in keeping the products in storage. This is kept to a bare minimum in the case of distribution centers. Most distribution centers have large areas with a quick movement of goods in and out of the space.  

How To Budget Warehouse Logistics? 

Budgeting for warehouse expenses is taken in five different ways. Each part of the budget has a vital role in the efficient functioning of logistics. This applies to almost all the different types of warehouses discussed here and does vary in intensity with each type as well. 

• Line Supervision

This is the cost associated with establishing a line of movement from entering the warehouse to exiting the facility. The longer the storage at a facility the more the supervision cost incurred. 

• Clerical costs

The manpower costs involved in verifying the storage and movement of goods come under the clerical cost of setting up a warehouse. 

• Information Technology

The cost incurred in purchasing and implementing the controlling software in a warehouse constitutes this cost. 

• Supplies

Supply material like paper, packaging material and so on constitute this part of budgeting. 

• Insurance and taxes

Most governments have taxes and policies that govern warehouse use, that involve the taking out of insurance policies to protect the interests of the people who use the facility. 

Warehouse logistics is an essential part of the supply chain and plays a major role in ensuring that products are delivered to customers on time and in the correct quantities. By understanding the basics of warehouse logistics, businesses can optimize their supply chains and improve their bottom line. 

Also Read: Different Types of Logistics

And if you are looking for a warehouse logistics service that can take care of your inventory for you? Look no further than Tassgroup. We are experts in the field and can handle all of your needs, from storage to distribution. Contact us today to learn more about our services!

The complexity of providing timely and cost-effective distribution of finished goods from industrial facilities to customers all in the correct amounts in a timely fashion and coordination with production processes, despite suspicion due to the self-sufficient decision-making of clients, is daunting. As your business needs to know the freight costs of your logistics, this blog will try, unpack and help you understand the freight charges and their different types.

Freight is the transportation of goods, thus, the charge that gets levied to deliver cargo from its site to its destination by any carrier is recognized as freight charges. The freight charge is calculated based on the type of mode of transportation that you select for the transportation of your goods and that includes packaging, palletizing, load or unload costs, carrier fees, and insurance costs. The amount of freight charge depends on the distance between the pickup place and the place of destination to deliver the cargo and is paid by the person who wants the goods transported. 

Freight companies charge different freight charges as the total weight of the goods, and the distance that the goods will travel is also taken into account while calculating. 

The shipment of goods may be transported from one location to another using freight prepaid or freight collected based on the incoterm rules. For calculating freight charges, many shipping services, especially air carriers, use a dimensional weight that takes into account both weight and the volume of the transporting goods. 

The purpose of taking the volume into account is to assess the space that the freight will take up in the transporting mode and you can select to transport your freight on a ship or airplane among other modes. 

There are over ten types of freight charges and among those; the prevalent type is the consignee collect.  Let’s check out the detailed explanations of the different types of freight charges that are important for smooth and profitable freight shipping.

1. Consignee Collects

The consignee is a buyer responsible for paying all the freight charges once they get the delivery. The consignee, typically the buyer, is considered responsible for customs declarations (a statement showing goods being imported) and they will also have to fill out forms and file necessary taxes.

2. Cash on Delivery (COD)

Once the goods are delivered, the carrier collects freight charges and then forwards the payment submitting them to the shipper for reimbursement. For this type, the carrier usually charges an additional fee for the service. 

3. Third-Party

A third party typically refers to a professional logistics company that pays the freight charges on behalf of a shipper or consignee. This option is especially helpful when the freight order is more complicated or the consignee receiving the shipment is new to the business and lacks experience. 

4. Prepay and Add

In this type of charge, the shipper pays for freight and then charges the customer. This option benefits the customer and works if the customer-shipper relationship is good. In this situation, the shipper can often negotiate better deals than the customer could do on his own. 

5. Free-on-Board (FOB) Origin

Free-on-Board (FOB) implies that the supplier gives up its rights to the merchandise and pays for the shipping cost which usually includes insurance costs from production to a specified destination, after which it becomes the responsibility of the buyer. 

In FOB Origin the buyer is accountable for freight and damaged goods even if no FOB terms were communicated or mentioned in the contract or purchase order and in a FOB charging situation, the same goes for consignees at the shipper’s dock. The same rule gets applied to the consignee, the consignee pays all of the associated costs and it will be the buyer’s responsibility if the goods get damaged in any way. 

6. FOB Destination

In this case, the freight charges are paid by the shipper after the title for goods passes at the consignee’s dock. Therefore, the charge of the freight is prepaid before shipment.

7. FOB Origin, Freight Prepaid

This charge is similar to FOB Origin because the freight becomes the responsibility of the consignee at the shipper’s dock and here, the shipper pays all the necessary local freight charges.

8. FOB Destination, Freight Collect

As part of FOB Destination, the title for goods passes at the consignee dock, and the consignee must pay all freight charges.

9. FOB Origin, Freight Prepaid and Charged Back

In this system, the freight becomes the responsibility of the consignee at the shipper’s dock while the charges for the freight are paid by the agent of the consignee at the origin. The shipper later sends an invoice to the consignee for the freight charges paid by the shipper.

10. FOB Destination, Freight Collect, and Allowed

Once the goods reach the destination after the title for goods passes at the consignee dock, the consignee pays the carrier’s freight charges along with the local carrier charges. Then deducts the freight charges from the seller’s invoice for the goods but here the risk and responsibility fall on the consignee to pay and settle all the charges at the destination.

Technology is breaking the boundaries and is accelerating its ability to help businesses do more with less. The effects of technological change are creating immense transformations and changing how people do business globally. 

Disruptive forces are always at work, reshaping the way companies think about innovation, and the disruptive innovations originate in low-end or new-market footholds. They operate a business, developing strategic thoughts on technology and the future. 

Logistics evolved into a business concept and now leads to a significant increase in workflow flexibility and performance. 

The logistics industry has always been one of the most critical industries in any country and has been facing several challenges in recent years, from new regulations to changing customer demands and more. 

As more companies join this dynamic sector, the industry will undergo significant change and will have important implications for businesses around the globe. Newer technology has also improved the logistics sector by lowering costs and reducing mistakes as the latest trends connect them to capitalize on established and traditional technologies. 

Logistics trends show that it also results in a significant impact on customer service and a major increase in customer loyalty. Knowing the industry trends, the logistics sector is already being set in motion to help shape how we live and work for generations to come. Like every other industry, it becomes increasingly important to stay ahead of trends and innovations shaping the future of logistics. 

In this blog, we’ll cover the top ten trends shaping the future of logistics.

1. Artificial Intelligence

Advanced AI-based cognitive automation technology helps to make more accurate predictions and route planning. Artificial Intelligence plays a crucial role in managing warehouses, enhances administrative intelligence, and speeds up data-intensive operations in the logistics sector. AI solutions have numerous applications and can be combined with machine learning to cope with market fluctuations.

2. 5G

The digital management of logistics with the advent of 5G opens up a whole new set of opportunities as warehouse efficiency, performance management, and the most efficient use of logistical resources can all be improved with data analytics. 5G might potentially push the logistics industry to full digitalization and the logistics industry could add so much to the global economy in the future.

3. Blockchain

Blockchain technology is a distributed, encrypted computer filing system designed to allow real-time, free from tamper records that is a relatively new concept in the logistics sector. It will enable smarter logistics automating commercial processes offering new solutions that could make logistics operations more efficient, secure, and transparent.

4. Environmental regulation and sustainability

The drive to have a sustainable environment is integral and businesses in the past have adopted a compliance-led approach to sustainability or have taken steps to minimize the environmental effect. The objective of attaining a net-zero environment will considerably impact operators’ logistics and warehouses’ construction. 

5. Last-Mile Delivery

The trend of businesses moving towards last-mile delivery is often ineffective and represents a substantial proportion of the total cost of the movement of goods. To achieve sustainability, logistics firms will also direct a lot of their strength into last-mile efficiencies. Seeing how this shift will affect their future business models and methods, various technical outcomes can be deployed.

6. Globalization

Globalization has a dramatic impact on strategic sourcing, and logistics excellence as ‘international’ has become the standard and logistic solution providers need to enable that trend. As businesses go global, mature and emerging markets have become a part of the overall business growth strategy for many companies.

7. Cloud Computing

Cloud-based logistics systems are becoming more and more popular in the logistics industry as they eliminate connectivity barriers, allowing businesses to collaborate and exchange data without risk. Businesses in logistics can find significant benefits by adopting this new technology and pay-per-use models with a low capital investment are even possible with cloud computing solutions for logistics companies.

8. Internet of Things

IoT devices provide information to logistics companies and increase inventory management efficiency by increasing visibility. The Internet of Things will connect nearly everything in logistics together, increasing efficiency, real-time inventory visibility, and fleet management. This allows for more precise visibility of goods and helps in theft reduction.

9. Electric fleets

Gaining a foothold now in the electric mobility sector will give you an edge over your competitors and logistics companies can do a lot. Electrifying an entire fleet often poses greater challenges than electrifying individual vehicles and those vehicles will have the capacity to run dense and short routes when providing retail practice.

10. Autonomous Vehicles

Autonomous vehicles are to be a trend in the logistics industry and can reduce human errors, boost vehicle safety, and transport products safely. These vehicles improve first- and last-mile delivery quality making it easier than ever before to ship goods around the world without worrying about driver shortages.

The logistics industry is a global and complex business that has significantly benefited from recent technological advancements and it will continue to do so as further progress is made. Due to fast development in emerging technologies staying up-to-date on the latest trends in logistics is more important than ever. As technology advances, the right strategy can help you thrive for the future of your business.

Shippers play a vital role in the economy of most countries and international trade. It is a global network that connects nations, economies, enterprises, goods, and consumers. 

Sea transportation and air transport are the most common types of transportation in international trade. With this technology, goods can be imported and exported in a timely and efficient way that was otherwise not possible.

The term shipping refers to the process of dispatching goods for export. 

Organizing a shipment involves many steps and stages and is a labor-intensive process. It comprises booking the goods with a transportation company and delivering them to their destination. The exporter and importer interact throughout the entire supply chain facilitating international shipping.

Exporters can choose between two shipping options when shipping by the sea – Full Container Load (FCL) or Less Than Container Load (LCL). 

The full container load shipping method occurs when the consignment fills a whole shipping container. Transport of large consignments by the sea in the shortest possible time can be accomplished via this method.

For exporters with smaller shipments, sharing a container with other exporters is an option that requires paying only for what they need. This type of shipping is known as LCL, and it can be used for low or moderate volume, non-time-critical shipments. 

What is international shipping?

International shipping can be defined as the process of transporting goods and materials from one country to another. It is a vital part of the global economy, and enables businesses to trade with customers in other parts of the world. 

There are a number of different methods for transporting goods internationally,  including air freight, sea freight, and road transport. Each method has its own advantages and disadvantages, so it is important to choose the right option for each shipment.

There are many rules and regulations involved in international shipping, which can be a complicated process. 

To effectively import or export freight, you must be aware of and adhere to various procedures and documentation for your shipment to clear customs. It is for this reason that most businesses dealing in import and export partner with freight forwarding companies. 

International Shipping Process

 1.  Request freight quotes  

The initial step is to request a freight estimate. Before you do that, you must make sure to share with all freight forwarders in your network the following information: shipping date, origin and destination port, commodity and packing details, and type of freight. 

When this is done, you will either be able to request quotes directly from your freight forwarders or you will be able to opt for digital freight forwarders to automate these processes and get quotes within seconds.

 2. Select freight forwarders

We must finalize the freight forwarder or carrier whose rates & other factors like network and support are the best match for our needs. 

Recommended Read: How to Choose a Shipping Carrier?

It is best to choose the best freight forwarders to get real-time delivery. Only digital freight forwarding provides real-time quotes, and the shipment process is monitored through the application, enabling exporters to maintain monitoring of their supply chains.

3. Preparation of Required Documents

After deciding on a freight forwarder, the following step is to prepare the relevant paperwork. The following documents are included:

• Performa invoice
• Commercial invoice
• Packing list
• Certificates of origin
• Shipper’s letter of instruction
• Bills of lading
• Dangerous goods form
• Bank draft

4. Validate the shipment’s details

When you’ve finished preparing for the shipping procedure, double-check and validate the shipment information. The origin of the shipment, the B/L number, the type and quantity of containers, and the reference type and number must all be verified. 

5. Raise booking request/ delivery order to the carrier

You can now book your freight provider once all of the confirmations have been completed. All you have to do now is update all of the information with the freight forwarder you’ve chosen. Date and location of origin, destination date and location, container type, and so on. 

6. Keep track of shipments

You can begin tracking your shipment after you get a booking email confirmation from the freight forwarder. They provide more than simply tracking service and real-time management; they also provide platforms for invoicing, document, and contract management. 

7. The shipment passes through customs

Customs will evaluate your shipment to see if it complies with their requirements. The shipment will not be set up with an issue and can pass through. Unless you pay the balance, your shipment will be held in customs custody. 

8. The bill for customs duties and taxes should be reimbursed

Taxes and duties are included in the bill directly from the forwarder, so they must be paid by the forwarder. Several forwarders do not accept checks or bank transfers. You will be billed immediately whenever you order an inspection service. 

9. Receive the shipment

You will receive the consignment as soon as it arrives at the port if everything goes correctly. 

As a result, the shipping process encompasses the movement of commodities and documents from one location to another. The movement of goods and papers from one country to another must be highly coordinated for the procedure to be completed properly. 

In conclusion, there are a few things to keep in mind when shipping goods to other countries. Remember to research the country’s customs regulations, choose the right shipping method, and package your goods securely. By following these tips, you can ensure that your shipment arrives safely and on time.

If you are looking for a reliable international shipping service? Look no further than TASS group! With years of experience in the industry, we can get your packages to their destination safe and sound. Contact us today for a free quote!