With the pandemic creating havoc, remote work for almost every industry came to the forefront. This creates a gap for companies to employ remote logistics managers.
One of my lecturers always said: “In the world of Logistics, the only constant is change”.
If you are a person that likes consistency, then logistics can seem daunting. Do not let this fool you. Logistics are only as scary as what you believe it is. Anyone with the following skills can be a great Logistics Manager:
- Be able to adapt quickly to any situation
- Have the ability to see the bigger picture
- Be great at problem solving and be calm and collected under pressure
- Continuously seek to improve systems and procedures
- And be an effective project manager, with a good ear to listen when problems arise (as this will happen very often)
What is logistics?
Before we delve into how logistics have changed the remote work industry, let’s talk about what logistics is.
Logistics management is easily one of the jobs with the most responsibilities in any company. Effectiveness has a direct impact on the bottom line. And a profitable bottom line makes everyone happy. Logistics managers handle the supply chain, implements and control the effective forward and reverse flow of goods, services and information between the point of origin and point of consumption (end user) in order to meet the customers’ needs.
The flow of information between origin and consumption is especially where remote logistics come into play. Now the employee can work remotely on anything logistics without even being at the point of origin where services and goods are stored. With effective process systems and applications for logistics and project management, remote work can be handled efficiently and in real time.
Real time management is especially important when it comes to logistics management, information, goods and services. These functions all need to flow in real time to make sure that the product, service or information is delivered to the customer at the right price at the right time. When real time management is not handled correctly it can cost a company money, you could lose information and potentially lose a customer.
Logistics managers strive to effectively control the following 6 fields when a company is product driven (remember if inventory is not sourced at the correct price there will be no profit margin for expanding):
Control the profit margin
It may seem that the logistics manager has nothing to do with profit, but this is not true. From sourcing, import duties, cost of freight, transportation and the production and how all of this is handled has a direct impact on profit.
Reduce operational cost
What is the best kick for a logistics manager? Being able to save on production or finding that bargain. Finding that great quality inbound product at the lowest price and using that for production.
This is where the logistics manager comes into play in a big way. They handle trade negotiations, transport and delivery negotiations and negotiate the best price for the company and the customer.
The logistics manager makes sure that warranties and what the product has to deliver, is true. Maximizing on reverse logistics of unwanted products in the production line, ensuring recyclability and a stable carbon footprint, lets your company stand out and make contract winning easier.
Work with the rest of the team
The logistics manager needs to make sure that collaboration between all departments happen efficiently and effectively to ensure that profit margins are made, accounts are paid, and employees know where the products are in the production line.
Keeping the customer happy
The logistics manager will make sure that the customer feels like the winner by delivering a great product at the best price at the right time. This process will ensure a greater need to your product which in turn will generate more profit.
Let us get back to the process of remote logistical management. Remote logistics management provides the function and system for supply chain management from any base point at a remote location. Materials like dry goods, services and many more are ordered to the remote location for the starting of production.
If there is not enough stock to start production, make sure to order as quick as possible. Always have an eye on buffer stock, this will decrease lead times or no production at the worst. All of these processes can be managed remotely through online collaboration tools like Asana; Monday.com; Bitrix24 and Easy Projects.
Remote logistics is especially important in material and product tracking. It is always good to have a reporting tool from the beginning that tracks materials to post point and destination. Make sure to have a status report to document flow in each level of production and delivery.
All of these seem like big words with many moving parts, which is in fact true, but it does not need to be a daunting task. Remote project managers need to stay focused, consistently check process flow and use the team on hand to minimize costs and losses.
Logistics can be fun and rewarding as the world will never stop working. As a business owner you do not need a logistics manager sitting in an office to be effective, you just need someone that is on the ball and great at managing your supply chain. At the end, if your logistics manager is sitting at home, and your client is happy, no one can lose.