Changing focus

Logistic companies are usually part of larger transport networks or chains. The primary focus of many of these companies is to show a good performance as link in these chains or networks, i.e., to be cost effective, realize a high customer satisfaction, and operate sustainably. However, performing well as a link in the chain is important, but not always sufficient. The end customer is usually more interested in the performance of the chain as a whole, than a link in particular. Reasons for the end customer to choose to a specific chain are: what are the total costs for transportation, how realible are the deliveries, what are the transit times and so on.

The primary focus of companies on their performance as link in the chain is understandable. However, a major challenge we face today is ‘how can we increase the added value of (transportation) chains’. This requires that companies not only focus of their own performance, but also how their operations affect the performance of the chain as a whole. Next>>