Logistics refers to a step-by-step procedure of moving goods, services and other materials from one place to another place. It includes material handling, assembling, manufacturing, packing, transportation, warehousing and many more. The main aim of a logistics partner is to move the goods in an organized manner which is both cost effective and efficient for the business. In logistics services transportation plays an important role in providing mobility to goods and other needed. To succeed in terms of market share and reputation every business owner use transportation provided by services providers. An important part of the revenue is invested managing suitable transporters. Some of the reasons why transportation is so important for a logistics company for managing the activities of the business:
1. Mobility: Transportation provides mobility to the goods, services and information of the business. It becomes the important role the goods to be supplied from one destination to another destination on time.
2. Stocking: With the limited storage facilities in one place, the stock of goods is generally stored at some other place than the place of manufacture. The modern concepts bring the transportation so the that the quantity of goods should be stocked which is cost effective. It plays a key role in logistics companies which provides the customers with facilities of transport to ensures mobility.
3. Serving the Customers: With the increasing globalization now, people can opt for door step delivery for their products and services. A business needs to provide its customers with transportation facilities of goods and services at their nearest place.
Transportation in logistics it is the physical link connecting the firm to its suppliers and customers. In a nodes and links scenario, transportation is link between fixed facilities. It adds value to the product by providing time and place utility for the firm’s goods.