Importance of inbound logistics in Supply Chain, it is defined as the transportation of goods which we purchase from the vendors this means the upstream supply chain network. Inbound logistics is used for the transportation of locally purchased goods and transportation of imported goods.
For Local Purchased and Movement
For locally purchased goods mostly raw material, consumables, stores & spares, and assets required for the manufacturer. It also includes the logistics of the following movements:
- Movement of finished goods from one warehouse to another warehouse
- Packaging material movement
- Movement of stores and spares
- Plant and machinery movement
- Arrange transportation for the finished goods produced by sub-contractors
- Logistics for other required indirect materials
For Imported Goods
For the transportation of imported goods, we require the following logistics partners to complete the transportation from supplier’s premises either charged on seller or buyer:
- Freight forwarder
- Shipping companies (By air)
- Courier companies
- Clearing agent
- Port of destination
- And local transporters
Freight Insurance
Transportation insurance of goods is a mandatory part of logistics for the goods to have high value, insurance companies take responsibility for insurance. The party has to inform us about the total value of the transported goods for insurance. In case of any damage, theft, or accident the insurance company recovers the value of goods which are in transit.
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