Google+ Twitter Pinterest Facebook LinkedIn Wordpress

Logistical Elasticity

Logistical ElasticityIn these technological times, the interplay between supply and demand, has transformed from a supplier push to a consumer pull, and is what now defines modern day operations in the logistics and supply chain industry.

A great deal more flexibility is not only required, but is more importantly received, thanks to a clever combination of both innovative software and hardware, including but not limited to customer facing ecommerce platforms, warehouse management systems, enterprise resourcing planning, and materials handling equipment, to facilitate the automation of monotonous tasks within the 21st century warehouse.

This new-found flexibility, has been synonymously dubbed ‘Elastic Logistics’. An appropriate term, which metaphorically describes the need for today’s supply chains to expand and contract, in line with the demands present in the supply chain model at any given time.

Elastic Logistics, was born from the increased recognition given to ‘Logistics’ as the vital support system within a wide variety of industries, including but not limited to: automotive, e-commerce, healthcare, and retail; all of which are dependent upon the consolidation of supply chain processes, including robotics, artificial intelligence (AI), and machines, to support existing and ever-emerging, innovative tech trends, which serve to improve the strategies of supply chain present, and future.

Recognised as a resilient and versatile Supply Chain Strategy, Elastic Logistics is adopted by many in favour of wishing to implement an infrastructure which effectively and flexibly meets market fluctuations; where the importance of the elasticity of logistics is proportional to the volume of the workload.

Put simply, Elastic Logistics refers to the continual, and flexible expansion and contraction of a warehouse’s operations, dependent upon the supply of and demand for required inventory, based up sound financial control.

Elastic Logistics is based upon a spectrum, wherein a drastic change in demand for a product, balanced against a considerably small change in price, is considered highly elastic. Comparatively, products which present a usually static demand, with a notable change in price, are considered highly inelastic.

Whilst Elastic Logistics provides an attractive amount of flexibility and scalability by replacing manual processes and paperwork with automatic data capture and mobile computing devices; it is not a “one size fits all” solution. It does however, provide a customized answer to requirements like cost control, warehouse management, geographic restrictions, distribution channels, priority deliveries, to name but a few.

The warehouse of today may rely on supply chain strategy to be implemented, based on thorough network analysis; yet the future of the Logistics Industry it seems, lies in the hands of the need to focus on acquiring new value-adding technologies and innovations whilst assessing forecast analytics.

With the increased growth of ecommerce changing demand and the fluctuations in orders, in turn putting pressure on supply and demand and the requirement for an increased amount of omnichannel efulfilment processes; supply chain professionals are experiencing an undeniable shift, from supplier push to consumer pull, wherein subsequently their organization’s business strategies are becoming ever customer-centric; suitably preparing supply chain professionals for the predictions of a future, of Elastic Logistics.

With optimal utilisation when implemented, it is proposed that Elastic Logistics could prove to be a sustainable strategy to enable companies to suitably deliver on-time whilst keeping costs to a minimum, despite a rise in demand.

 

⇐ Back to Featured Articles




Testimonials

More Testimonials

Latest News

SCCG Team attend SCEA 2018

  Tonight, The Supply Chain Consulting Group team will be attending The Supply Chain Excellence Awards…

Continue Reading

Zenoot 2019

Following the success from articles distributed from Gideon Hillman Consulting (GH) and following their merge with Go…

Continue Reading

More News Stories

Featured Articles

‘Black Friday’, Ecommerce Economy, and Omni-Channel Solutions

  As the evenings draw longer, and the days shorter, it can only mean one thing, the festive season is nearly upon us, and the arrival of Black Friday…

Managing Damage Limitation within Supply Chain Cyber Security

 As we approach the end of 2018, and technology undeniably exponentially expands its intelligence and purpose, the question on everyone’s lips, is…

UK Manufacturing - What's The Trade Off?

Problems prevalent specifically within the manufacturing sector, combined with upcoming National Manufacturing day - honoured annually on the first Friday of…

Digital Drives Delivery Within Charities

Any business, within any sector, including charities, will experience a mixture of reactions to the ever-increasing availability of operational digitisation,…

Shrinking the Surplus Within the Supply Chain

Official statistics from the environment, food and rural affairs committee, report that the UK throws away a staggering 8.1 million tons of food every…

Is Digital Visibility vital for Survival within the Fashion Industry?

McKinsey Global Fashion Index’s predictions for the global fashion industry, were for sales to grow by 3.5 to 4.5 percent in 2018. Yet, as new figures…

Sustainable Fashion; Idolised Ideal or Attainable Attire?

Fashion plays an important role in the global economy and is responsible for annual worldwide revenues of in excess of £1 trillion; supporting hundreds…

How 3D printing is changing supply

After 30 years in development, practical applications of 3D printing are now becoming commonplace and disrupting traditional businesses. Supply chains…

Supermarket Mergers and Supply Chain Consequences

Since their acquisition of Argos back in 2016, it seems Sainsburys have been left with an insatiable appetite for more; and as we approach mid-year 2018, the…

CVA shapes world of Retail and Fulfilment

Attributed to the deadly combination of ever-changing consumer behaviour, the current economic pressures on high street retailers, and the lucrative era of…

Gideon Hillman Consulting is a trading name of The Supply Chain Consulting Group Ltd is registered in England and Wales.
Company Registration No: 09751027. Registered office at Highdown House, 11 Highdown Road, Leamington Spa, CV31 1XT. UK
A supply chain and logistics specialist with knowledge of material requirements planning, warehouse management and stock management tools

CMI Awards Finalist 2010 SHD Logistics Awards UKWA Customer Service Award Finalist 2014 SHD Logistics Awards Finalist 2016 UKWA Winner 2016 SHD Logistics Awards Finalist 2015 ISO 9001 RegisteredLogistics Awards Finalist 2018Supply Chain Excellence Awards 2018