Did you know that 100 billion packagesΒ were shipped worldwide in 2019?

Without a doubt, logistics worldwide keep growing, both in volume and value. However, more people are aware of what supply chains are and how they work. It comes from the publicity given to them by global cargo ships.

Do you want to know more about the differences between supply chain vs logistics? Then look no further, for below you’ll find a brief guide on both topics, describing how they differ.

Read on to find out.

Defining the Difference: Supply Chain vs. Logistics

Supply Chain Management Best Practices

Supply chain management is the process of coordinating and managing all the activities that are necessary to bring a product or service from the supplier to the customer.

This includes everything from sourcing the raw materials to manufacturing the product to delivering it to the customer. Other key differences of SCM include:

  • SCM is strategic
  • More planning and coordination
  • Covers the entire value chain

Logistics is a subset of supply chain management that deals with the transportation and storage of the finished product. The logistics team is responsible for ensuring that the product gets to the customer on time and in the correct quantity.

What are the Important Factor In Logistic and Supply Chain

Logistics and supply chain is focused on the movement of products. It includes transportation, warehousing, and inventory management.


Transportation is the lifeline of any supply chain. It is the link between the various stages of production, from raw materials to finished products.

Logistics is the process of planning, implementing, and controlling the efficient, effective flow of goods, services, and information from the point of origin to the point of consumption.

Without transportation, goods would never make it to their intended destination.


Warehousing is a critical link in both supply chains and logistics systems. Warehouses store products and materials until they are needed. They can also be used to assemble, pack, and ship products.

An effective warehousing strategy can help businesses save money and improve customer service.

Inventory Management

Inventory management is the process of tracking and managing inventory. It includes forecasting future needs, ordering and receiving inventory, and managing storage and distribution.

Inventory management is a vital part of the supply chain, as it ensures that the right inventory is in the right place at the right time.

Order Fulfillment

Order fulfillment begins when the company receives the customer’s order. The order is then processed, and the necessary raw materials are acquired.

The raw materials are then transformed into the finished product, and finally, the finished product is delivered to the customer.

Which Logistics Jobs Should You Choose

The Importance of Supply Chain and Logistics

The importance of the supply chain cannot be understated. A well-run supply chain is crucial for any business that wants to be successful.

A supply chain that is not well-managed can lead to disruptions in the flow of goods, which can ultimately hurt a company’s bottom line.

That’s why it’s so important for businesses to have a good understanding of the supply chain and to have a supply chain management strategy in place.

While Logistics will ensure that the materials and products are delivered to the customer in a timely and efficient manner. And you can sum it up in 4 main points:

  • Play a vital role in the economic development
  • Improves the efficiency of supply chain
  • Reduces the cost of transportation and storage
  • Proper and timely distribution of goods and services

The Impact of Technology on Supply Chain Management

Technology has had a major impact on both supply chains and logistics. Perhaps the most significant impact has been the globalization of supply chains.

With the advent of the internet and online shopping, consumers can now purchase goods from anywhere in the world. This has led to a sharp increase in the number of multinational corporations and the need for complex supply chain management systems.

Technology has also made it possible to track goods as they move through the supply chain, which has made supply chains more efficient and responsive to customer demand.

The Impact of Technology on Logistics Management

Technology has had a big impact on the way that logistics companies operate. They now have access to information that they never had before.

They can track shipments and know exactly where they are at all times. They can also communicate with customers and suppliers much more easily.

The advances in technology have made logistics more efficient and more effective. They have also made it more important than ever before.

And with the help of technology, a logistic recruitment agency can now reach a global pool of talent, making it easier to find the best candidates for the job.

The Future of Supply Chain and Logistics

The future of supply chain and logistics will be driven by the need for organizations to be more agile and responsive to changes in the marketplace.

Logistics Services

This will require a greater focus on collaboration and information sharing between all supply chain members. In addition, the use of technology will play an increasingly important role in supply chain and logistics management.

All About Knowing the Supply Chain vs Logistics Today

After reading this article, it’s clear that there are some key differences between supply chain vs logistics. And both supply chain and logistics are important to a company’s success, and both can have a positive impact on the bottom line.

So, when planning your supply chain or logistics operation, you can follow this supply chain and logistics guide. It is also important to consult experts in both fields to ensure that your operation is as efficient and effective as possible.

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