How to audit your current logistics processes - Featured Image | CEO Monthly

How to audit your current logistics processes

Logistics processes are often some of the most complex processes involved in running a business. There are so many different moving parts that it can be difficult to stay on top of them, let alone ensure that the approach you’re taking is the most efficient option available to you.

An important step in the process of optimising your logistics processes lies in auditing your current approach. From getting clear on the scope of your audit, to exploring potential solutions based on the audit’s findings, here’s how you can effectively assess your current logistics processes.

Get clear on the scope

Before you start with any kind of audit, it’s crucial that you define the scope. Will you be attempting to gain an overview of your entire logistics operation, potentially sacrificing some depth as a result? Or are you trying to gain specific insights into one or two areas, such as warehouse management or last-mile delivery?

Working out where you’re going to be focusing your efforts is an important first step. It will ensure that the following steps involved in organising and carrying out your audit will be maximally effective, allowing you to gain the most from the process as a result.

Internal vs external audits

Next, you’ll want to decide whether you want to carry out an internal or external audit. In some cases, internal audits can be the most efficient. The people carrying out the audit will already be familiar with the processes involved, and their labour will likely be a lot more affordable than hiring another service.

In some cases, however, it will be incredibly important to have some kind of external perspective. External auditing services will have a lot more experience in assessing businesses of a similar kind to yours, and will be able to spot inefficiencies that you might otherwise miss. If you’re planning a proper overhaul of your systems, this can be an invaluable foundation on which to start that process.

Exploring solutions

Based on the findings of your audit, there will likely be a number of areas that you can improve upon. What you’ll have to do next is decide which solutions will be best to achieve the kinds of optimisations you’re hoping to gain.

Some of these might require making reasonably substantial investments in your logistics infrastructure. That being said, while something like an automated loading solution from Joloda Hydraroll might seem expensive at first glance, the impact they can have on improving efficiency can be so significant that you can experience a complete return on investment in just a few years.

It’s worth looking into these kinds of details before writing off any given solution, to see if your initial reaction is based on an accurate perception of reality.

Auditing your logistics processes is something that should be done at regular intervals. It will allow you to ensure that your operations are running at peak efficiency, potentially giving you that edge you need to remain competitive in the modern market.

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