In this industry, every company seeks to optimize its operations, particularly in logistics. Implementing these measures can significantly elevate your business.

Are you aiming for similar improvements?

Check out the full video below!



Boosting logistics performance can feel like juggling. Below are my tips to enhance your logistics performance effectively.


Logistics Performance: 10 Proven Strategies


1. Inventory Management

Many companies still struggle with inventory management, leading to stock outs or excess stock. Start with an ABC analysis, not just by product group but by line item. Check reorder points, minimum order quantities, and pack sizes. Accurate master data is also crucial for proper inventory management.


2. Transport Fleet Optimization

If you have more than six vehicles, use routing and scheduling software to optimize delivery times, vehicle capacity, and time utilization. This can lead to significant savings, especially for fleets of 20 or 30 vehicles.

3. Supply Chain Strategy

Around 40% of companies lack a documented supply chain strategy. Even a one-page document outlining objectives, enablers, KPIs, and targets can align all functions towards the same goals.


4. Warehouse Design

Design your warehouse from the inside out. Determine storage and handling requirements first, then find a facility that fits those needs. This prevents ending up with a facility that’s the wrong size.


5. Logistics Outsourcing

When seeking a new 3PL partner, allow at least 4-6 months for the process. Collaborative tendering can yield better results. Rushing this process often leads to suboptimal partnerships.


6. Freight Tendering

Freight costs are rising, but the focus shouldn’t just be on rates. Map out the process with your freight carriers to identify areas where you can simplify tasks and reduce costs. This often leads to easier, cost-effective solutions.


7. Performance Management

Ensure you have the right KPIs in place. Simplify them at each organizational level and understand what good performance looks like. Benchmarking can help you compare your logistics performance with competitors and set realistic targets.


8. Distribution Network

Regularly review your distribution network. Changes in customer base, product range, or channels can misalign your network, leading to inefficiencies and increased costs. A health check every couple of years is advisable.


9. Sales and Operations Planning (S&OP)

Many companies think they have effective S&OP, but often it’s incomplete. Ensure all core functions are engaged and focus on getting accurate sales forecasts. A robust S&OP process aligns supply and demand, improving logistics performance.


10. Customer and Product Profitability

Understand your costs at a granular level. Knowing the cost to serve per order, item, customer, and region can uncover profitability issues. Many organizations unknowingly lose money on a significant portion of their orders. Identifying and addressing these issues can drastically improve your bottom line.


Learn more about each tips by watching the full video above.


If you need personalized help to enhance your logistics performance, feel free to book a call with me directly:


Related articles on this topic have appeared throughout our website, check them out:


Editor’s Note: The content of this post was originally published on Logistics Bureau’s website dated June 26, 2024, under the title “Boost Your Logistics Performance With These Top 10 Tips! (Plus Extra Help)



Contact Rob O'Byrne
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Rob O’Byrne
Phone: +61 417 417 307