So, you have a proper logistics department and you’ve already set up your business. Now what? These departments are a little more complicated to run than you might think, but even if you’re new to this area of business, running them doesn’t have to be difficult. Below are five ways to make sure this one very important department is run efficiently year after year.
1. Always Plan Well
First and foremost, you need a solid, well-thought-out plan if you want this department to run efficiently all the time. This plan should include ways to put out various fires that tend to happen a lot, learning how to follow the supply chain at every step, and most importantly, sticking to the plan no matter what. You should also have a good follow-up plan – a Plan B, if you will – in case things don’t work out with the first one.
2. Have a Good Backup Plan
If you’re experienced in logistics, you’ll know exactly when to switch from your original plan to your backup plan, which can produce invaluable results. Things don’t always go as planned, and you need a contingency plan for every section of the original plan, not just one general backup plan. You can’t possibly prepare for every single thing that could happen, so this backup plan is crucial, and it should also be very detailed.
3. Make Sure the Manager Is Personable
The manager of this department has to have great interpersonal skills. This is a must, pure and simple. If these managers are good with people and have a reliable network of contacts within the industry, nearly any problem can be solved successfully. After all, they frequently have to sort out a variety of messy situations, and this can’t be done without someone who is good with people. Because of all these things, if you cannot find someone within your company that meets these qualifications, you should definitely look outside the company for this position.
4. Make Sure You Are as Updated as Possible
This is the digital age, and your company – especially your logistics department – needs to make sure all systems are automated so that there is no guesswork when it comes to planning your supply chain. The right inventory and fleet software helps, and if you have to periodically refine your processes, that’s all right, too. Keep yourself updated and use those advances to make the entire department more efficient, saving you both time and money in the long run.
5. Consider Each Mistake a Learning Experience
When you make a mistake, ask yourself what you learned from the process and how you can improve something because of the mistake. Regular team meetings help, because when everyone sits down together and discusses what is happening within the department, solutions to problems can be the result. Poor management of this department can cost your company a lot of money each and every year, and learning from your mistakes also helps you determine ways to eliminate the chances that the problem will occur again in the future. Find more info at 3PL Links and learn from their helpful resources.
