Onesphore RAKOTOMALALA

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 What is Inbound logistics?

➝ Inbound logistics is the way a company gets the materials and goods it

needs from its suppliers.

It involves :

ordering transporting receiving storing managing

supplies

Inbound logistics focuses on the supply part of the supply-demand equation.

➝ Its key relationships :

Supplier vendor distributor

 Importance of Inbound Logistics

➝ Inbound logistics are crucial for a supply chain's success. It directly affects:

Quality Production
Ensures the right materials arrive on time, leading to high-
quality products.

Cost Savings:
Optimizes processes to reduce expenses and increase
profitability.

Sales Growth
Timely material availability facilitates meeting demand and

driving sales.

Mini mized Wastage

Reduces material waste through efficient handling and
inventory management.

Continuous Operations
Maintains smooth operations to prevent disruptions
and production halts.
 Inbound Logistics Processes

➝ This process comprises 12 sequential steps , each essential to

ensure the efficiency and effectiveness of operations.

Sourcing and This step involves finding and evaluating potential suppliers ,
Procurement ,
getting price quotes and negotiating contracts with them.

Ordering / Buying the necessary goods and materials in the right

Purchasing ,
quantities at the right time to meet the company's needs.

3
Deciding ,
how to transport the goods whether by truck airplane , ,
ansportation
Tr ,
train etc. It also involves choosing delivery speeds hiring third- ,
,
party carriers and negotiating transportation deals.

Handling the arrival of materials , unloading them from the

Recei ving
,
trucks and verifying that they match the order.
 Inbound Logistics Processes

M aterial Moving goods within the facility and organizing them for

H andling an efficient use.

Taking goods from the receiving area and storing them in

Putaway
their designated locations.

7
Managing the storage of materials before they are used in
Storing and
,
manufacturing or customer orders ensuring proper organization
Warehousing
and storage conditions

8
Deciding what types and quantities of materials to stock
v y
In entor
,
and where to keep them to meet demand while minimizing
Management
x
e cess inventory.
 Inbound Logistics Processes

9
Keeping track of the progress and schedule of materials as
Expediting
they move towards your facility to ensure timely arrival.

1 0
Sending materials to their intended destinations within the
Distribution
company.

11

Monitoring incoming orders, their locations, and associated

acking
Tr
documents like receipts.

12

Managing the return of goods from customers due to

v
Re erse
reasons like defects , or repairs , and handling recycling or
Logistics
salvage processes.

 Advantages of Inbound Logistics

,
➝ Inbound logistics offers numerous advantages including :

Timely and cost-controlled deliveries

Lower shipping and receiving costs

Improved inventory management

Stronger vendor relationships

Predictable raw material cost

Superior product quality

 Challenges of Inbound Logistics

➝ Managing inbound logistics comes with its challenges, comprising :

Communication Gaps

Shipping Inefficiencies

Lack of Information on Shipments

Fluctuations in Supply and Demand

High Inbound Transportation Costs

Inability to Process Returns Efficiently

 Best tips for Inbound Logistics

➝ Simplify inbound logistics operations with these helpful tips :

Analyze your current processes and performance.

Identify inefficiencies and areas for improvement.

Develop strategies to address inefficiencies system-wide.

Build strong relationships with supplier

Use transportation management systems (TMS)

Use warehouse management systems (WMS)

 + Follow

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