Logistics is important for success in any industry. In the shipping and transportation sectors, it’s an integral part of the business itself. Logistics is defined as the efficient planning and implementation of any type of information, product and service in the supply chain. From starting to end point, it is the bridge that supports the supply, storing and control of materials and information between suppliers and customers which helps make the world go round.

1. Importance
Logistics
The History
and
Importance of
Logistics
AG World Transportation

2. transportation
sectors,it’san
integralpart
ofthe
business
itself.
Logisticsis
definedasthe
efficient
planningand
Logistics is important for success in any industry.
In the shipping and transportation sectors, it’s an
integral part of the business itself. Logistics is
defined as the efficient planning and
implementation of any type of information,
product and service in the supply chain. From
starting to end point, it is the bridge that
supports the supply, storing and control of
materials and information between suppliers and
customers which helps make the world go round.

3. The
History
of
Logistics
The
History of
Logistics
In the 1990s, there was an increase
in globalization. Companies began
to import and export at an
exponential rate and transportation
had become an essential part of
business because it offered cost
and time efficiency
Before that, logistics was used largely
as a military term. It became more
important during World War II when it
became viewed and applied as a
scientific subject. After the war, several
U.S. companies realized the
importance of logistics and started to
utilize its philosophy and methods
by implementing logistics services in
1960 and revolutionizing supply as we
know it today.

4. Businesses gave special attention and importance to transportation
to support the existence of logistics in a competitive market.
Distance and time management have also been competitive factors
and companies started to integrate various types of transportation
systems to mitigate these concerns. Many of these companies then
gained control of the transportation systems, which has been an
important component of their success. Many organizations have
considered transportation as strategically necessary to maintain the
speed of their activities and to avoid losing their standing in the
market. It’s wny 2-day delivery has become an appealing prospect
to many companies and their customers.

5. THE
EMERGENCE
OF LOGISTICS
MANAGEMEN
T
The persistent drive to keep up with competitors has allowed
the field of “logistics management” to blossom and has
actively included all types of transportation. Logistics
expenses make a significant portion of many companies’
budget. As a result, many have explored using external
resources to reduce logistics spending. In our global world,
everyone has become a potential buyer, while nearly every
company in all industries have become potential suppliers of
some service or good. Medium-sized companies have also
had opportunities to find customers or suppliers in any
country. The aim of purchasing is to supply cheap, raw
materials with the fastest shipping times at the lowest costs.
The goal is to find the shortest and most cost-efficient way to
sell products to customers all over the world.
THE EMERGENCE OF
LOGISTICS
MANAGEMENT

6. Every country has become a potential market within the
logistics industry. Supply and sales between countries have
demanded that logistics be an essential industry player
because its crucial to economic growth and well-being.
According to some experts, the industry is expected to reach
growth rates up to 20 percent each year.
THE LOGISTICS
INDUSTRY
THE
LOGISTICS
INDUSTRY

7. SOME RESEARCH HAS GONE INTO THE GROWING
INFLUENCE OF LOGISTICS AND IT MAY BE DUE TO
NUMEROUS FACTORS AND COMPLEXITIES WHICH
INCLUDE:
An increase in alternatives for meeting cost
and service standards.
Energy shortage threats.
Closer scrutiny of the complex product line
trend.
Emphasis on effective inventory
management.
Increased involvement of federal and state
agencies.
Some
research h
as gone
nto the
growing

8. As the supply chain became more important, departments within
companies were created to foster supply, while logistics companies
provided a full array of service solutions from planning to stock
management. Through these developments, a full-fledged logistics and
supply chain management industry has emerged and (despite
economic setbacks) will continue to thrive. AG World Transportation is
proud to combine numerous quality transportation and logistics
methods so that we can help our customers thrive in an ever-changing
global landscape.