How to Best Understand Transport Logistics or Logistics Transportation
Executive Summary
- There are important distinctions between supply chain, logistics, and transportation.
- We cover the terms to draw distinctions between enhanced transportation and transportation services.
Introduction
Transport logistics is a relatively popular term but not well defined. Several companies have the term “transport logistics” in their name. So let us discuss the real meaning of this term.
Transport Logistics as a Term
The term logistics means the combination of different factors from warehousing to transportation.
Historically, supply chain management has tended to encompass the broader sense of including “everything” from sourcing, manufacturing to final delivery.
On the other hand, logistics has tended to mean the management and holding and movement of material through the supply chain. Transport logistics are similar to logistics transportation. In many ways, logistics tends to be synonymous with transportation, even though it was not originally defined.
How the Term Supply Chain Replaced the Term Logistics
In a way, the term supply chain management took over for what the term logistics used to mean, and then the term logistics had its definition shrunk to dealing with transport and sometimes warehousing. At many companies, the “Logistics Department” actually transports management.
- The terms transport logistics, freight logistics, logistics transportation combine the term “transport” or “freight” with logistics, emphasizing the transportation or truck transport side of logistics.
- Truck transport because, as we will see, the services that fall under the umbrella of these terms of primarily related to truck transport.
Definition of Transport Logistics and Logistics Transportation
These terms mean essentially transportation or all of the things that are included in transportation.
This can mean the following:
- Pool Distribution
- Transportation Management
- Managing Transportation
- Freight Brokerage
- Parcel
- Intermodel
- TL & TLT
- International Transportation
These are the more specific terms that are the exact item. All of these items or terms fall under the category of logistics. A logistics department could do some of these things or all of these things.
Conclusion
These terms are somewhat useful because they effectively differentiate transportation management and various transportation services from the simple activity of transportation or truck transport. Therefore when one finds a company that uses any of these terms in their marketing literature or on their websites, they clearly distinguish basic transportation and a more enhanced offering.