What are The Three Types of Logistics

Navigating the business world can feel overwhelming. There is a plethora of knowledge that goes into making decisions that will guarantee your success. The same goes for logistics when you are a company selling a tangible product.

To get a full view of what logistics are and how they work within your business, you need to understand the different types of logistics. Overflo is here to help you do that.

The following explains the three types of logistics, inbound, outbound, and reverse. We’ll also discuss how your company can successfully master all three types.

What is Inbound Logistics

The phrase inbound logistics refers to the process of the supplies or products coming into a company. In the instances of what we discuss here on the Overflo blog, the term refers to the process of new products coming into a warehouse. It’s the act of receiving the product from a manufacturer, loading it into the warehouse, and entering it into the chosen inventory system.

Think of inbound logistics as step one in the order of operations for selling a product.

What is Outbound Logistics

Next, we move on to outbound logistics. This phrase refers to the process of products leaving the warehouse. It is the act of getting your products from the warehouse to the store or final customer. Outbound logistics begins when a store or customer places an order for your product. It is essentially order fulfillment. You need to pick, pack, and ship the order.

Outbound logistics is what we will call step two in the order of operations for selling a product.

What is Reverse Logistics

And finally, it’s time to discuss reverse logistics. The phrase reverse logistics refers to the process that companies utilize for an order return. Although this form of logistics can be frustrating, it’s necessary for efficient inventory and profit tracking. Similar to inbound logistics, the process begins when the order arrives back at your warehouse. The warehouse needs to receive the product, assess it for any damage, and, if applicable, enter it back into the inventory system.

Reverse logistics is the third phase of logistics, but it doesn’t always occur, unlike the first two phases.

Successful Logistics Management

After reading this, you may be thinking that managing every phase of logistics is out of the realm of your company’s abilities. It can be a wide range of information to keep track of. Even with the help of innovative AI systems, logistics takes copious amounts of time, money, and effort to maintain successfully.

But it doesn’t have to be that way!

With the help of a third-party logistics company, also known as 3PL, managing logistics is a breeze.

These companies dedicate themselves to ensuring your products arrive at their destination safe and sound. They will receive inbound deliveries, fulfill orders, and accept returns. It is their duty to help you have an effortless inventory tracking system for all inbound and outbound logistics.

Overflo can be the perfect solution to your common logistics issues!

Overflo Is The Place To Go!

Do you need logistics services? If so, you need to contact Overflo today for a free rate quote!