The first phase in the supply chain is procurement and logistics management. It’s the hunt for the materials required to manufacture the items. We’re talking about the provision of raw materials, spare components, and other items that that may be necessary throughout the manufacturing process.

Imagine the supply chain management (SCM) to be a soup. Well, logistics is only one ingredient of this recipe. Both professions oversee transporting goods from their point of origin to their destination. They’ll also attempt to synchronise all the components so that the process runs smoothly.

Logistics and inventory management, as expected, is a critical point in supply chain management. This section is in charge of planning and controlling the flow of goods as well as their storage. Those in charge of this management ensure that the final product reaches consumers in a timely and satisfactory manner.

Two distinctions must be made here. The physical transportation of goods or materials between two points is referred to as shipping. In contrast, logistics ensures that this operation runs smoothly.

Transportation management in logistics is responsible of streamlining duties and ensuring that businesses carry out transportation in the most cost-effective manner possible. One of the best things is that it may work effortlessly within your organisation or with a third-party logistics provider (3PL) if your fulfilment is outsourced.

We must establish another distinction here. While logistics is concerned with the proper transit of products (process planning and organisation), distribution is concerned with the present physical placement of the commodities. They are two distinct concerns, but as we shall see below, they complement one other in terms of supply chain management efficiency.