Posted on Sep 12, 2022

Hiring consulting services in logistics is a strategic decision made by companies looking to have a competitive differentiator. Thanks to consulting, companies gain expertise, knowledge, and skills to make better decisions and efficiently reach the goals set for the supply chain.

In this sense, consulting companies specializing in logistics help clients understand and improve their supply chains and logistics operations: procurement; product processing and kitting; warehousing; and shipping. Its role is to analyze information to identify and solve logistics problems and give advice on productivity, management, and materials transportation issues using planning; design of distribution networks; technology and specialized software; and reengineering processes.

Consulting is a relationship between a company and an expert in logistics that aims to achieve the company’s goals and develop professional competencies by incorporating new knowledge, perspectives, values, skills, and expertise, with which we may:

• Lower the costs of logistics with greater service levels for clients
• Understand current management methodologies and techniques
• Search for technological solutions applicable throughout the supply chain
• Increase productivity and customer loyalty
• Increase the coverage or presence in points of sale and distribution
• Transform the supply chain into a competitive advantage
• Face the challenges of logistics with greater confidence
• Negotiate better with suppliers and clients
• Lower the invested capital and cash flow for activities that are not adding any value
• Learn how to respond to crises or risks that may arise in any process
• Develop competencies and skills such as leadership, flexibility, collaboration, and self-management

Usually, consultants are people or companies that know the area very well and have been in the industry for many years. Even though they do not make decisions, they do advice the company on which aspects and viewpoints to consider, such as production performance, logistics processes, and buying behaviors, making sure in this way that the company is getting the biggest potential for growth and sustainability.

Stages in Logistics Consulting

Consulting helps top logistics executives to break paradigms and face unforeseen situations and factors. It supplements methods, procedures, and methodologies already in use and greatly supports culture change processes.

Diagnosis: An analysis is carried out to identify the company’s issues and expectations. By analyzing the processes, we understand, build upon, and strengthen the competitive advantages in terms of costs, speed, quality, and maintenance. Likewise, and from a logistics standpoint, we improve the integration of the operational and functional departments and the facilities through layouts and an analysis of the distribution.

Definition: The goals of logistics are set, as well as the employees’ competencies, strengths, and weaknesses.

Intervention: Action plans and solutions are sought and proposed both within and outside the company, in terms of the logistics and strategic goals.

Follow-Up: Constant assessment and supervision of the performance.

Through this relationship, the consultant becomes a strategic partner that improves the performance of employees by broadening their possibilities and capacities, which increases effectiveness and profitability.

Original Post: The Role of Consulting in Logistics