5 types of logistics services you need to know

Logistics services refer to the planning and transportation of both cargo and people. Nowadays logistics play an important role in mainly every sector. In the business sector, for example, logistics services play a big role in the supply chain.

It is because they handle the cargo movement from one destination to another, and from producers to customers.

Here are 5 types of logistics services you need to know:

1. Warehousing services

One of the most used types of logistics services that you should know about is warehousing services. Your goods will most likely be held in one or more warehouses before being transferred from one location to another. You can either use an in-house warehouse (owned by the firm) or employ the services of a third-party logistics company. In most situations, the second option is preferable since it allows the customer to handle and move freight more effectively and at a lower cost. When choosing a warehouse to store your goods, evaluate how much storage it will require, how long you will keep it there, and how accessible and secure the location is.

2. 3PL logistics services

3PL logistics services enable producers and customers to connect. 3PL services do not manufacture products, instead, they assure that the products maintain the same quality when they arrive at the customers’ locations. Logistics companies will ensure that all parties involved in the process fulfil their responsibilities, from the moment the cargo leaves a certain point until it arrives at the predetermined spot.

3. Freight Shipping

These logistics services include cargo shipping via various modes of transport such as railroads, ships, and trucks. Most of them are utilized for high-volume freight transport. For large loads, you can use full truckloads (FTLs), which can transport anything between 2 dozen to 26 pallets. FTLs can also be utilized to transport large loads. Consider using less than truckloads (LTLs) when you have small loads (between a package and a truckload) because it allows you to split the cost with other companies.

In some situations, you may be required to hire haulage services to transport cargo from ports to warehouses for storage. Freight transportation is particularly hard since shipping trends change from time to time.

4. In-house logistic services

In-house logistics may imply having a department within the business solely dedicated to logistics. The benefits of in-house logistics include more control over product flow and, in certain situations, lower costs.

If a business wishes to run its in-house warehousing, it may need to create a department focused only on logistics. In most cases, in-house logistics means more control over product flow and reduced costs. Yet, it would be more effective if you had a budget for hiring third-party services. By doing this you will save time because you don’t have to deal with other challenges such as product manufacturing.

5. Integration services

Companies that offer logistics solutions most of the time have a special application where you can track your cargo. They will take into consideration your business needs, supply chain flow, data requirements and volume, and will offer you a custom integration solution that fits your business’ requirements and challenges. API is one of the integration options that most logistics companies use. It allows you to:

• Track your shipments in real-time
• Get notifications of the ETDs and ETAs
• Get confirmations when your cargo has been delivered or collected