A flexibility to expand & shrink - Elastic Logistics

 Hi all, I am Priyadarsini currently pursuing 2nd year MBA at Amrita School of Business, Coimbatore. Here's my new blog post!!

Lean business strategies do not work when it comes to logistics. They are not adapted for logistics although they are intended to be flexible, mainly as per the variable demand in modern e-commerce. For manufacturing (first-mile) and the shelf stock (last-mile) businesses, lean business models can work well; they are not optimized for logistics (middle-mile).

Together with the middle miles and warehousing, Elastic logistics appears to fill these holes. The significance of elastic logistics in the supply chain is still basically ambiguous; however, variables such as sailing schedules, container use, and carrier space are designed to adjust to make the supply chain more efficient and operate with a minimum amount of waste.

Use of Technology

Elastic logistics success is because its advantages are realized solely by technological solutions. Data analytics of freight traffic has become more informative, for instance. In addition , it is easy to predict volumes in a short time. Software solutions for supply chain management provide logistics companies with enhanced, real-time awareness of their customer needs.

Several freight markets have adopted elastic logistics and made it simpler than ever for shipment execution and procurement. Components such as sensors help vessels emphasize protocols for storage and stacking, thereby providing them with enhanced control by achieving optimum capacity. Technology has allowed manufacturers, delivery trucks, and vessels to scale up and down according to both real-time and predictive demand.

Warehouses also relate automation to elasticity, thereby leading to automated fulfilment of the warehouse, which operates entirely to meet demand. Elastic logistics is therefore the latest trend that, along with freight professionals, needs technical solutions and automation to become more efficient.

Benefits

Supply and demand patterns are becoming difficult to forecast and are having a huge effect on the logistics industry. The co-action of supply and demand has always been the core of the logistics industry. However, a change has been inflicted by the rise of the digital age and eCommerce, with the weight being more towards customers.

The adoption of elastic logistics has become the need of the hour with today's growing unpredictable demand fluctuations, along with the increasing need to sustain excellent user experiences. While the introduction of elastic logistics could seem daunting, it can turn out to be a revolutionary strategy for your company with proper planning.