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Top 10 Challenges Logistics Companies In India Are Facing

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Top 10 Challenges Logistics Companies In India Are Facing

Logistics companies in India are the foundation behind every industry in India. Whether it be agriculture sector, manufacturing industry or mere shipping of goods. It’s impossible to imagine an economy without proper logistics and transportation in place. Especially in the subcontinent, logistics companies in India play a huge role in strengthening the economy.


The logistics serve a great responsibility in facilitating trade and taking care of the fluent operations. However, the evolutionary changes in time– technological innovations, changes in consumer demand, and ever-updating regulations bring bigger challenges even to the top logistics companies in India.


To be an aid in facing the troubles, here we are providing the top 10 challenges that even international logistics companies in Mumbai are facing today. Go ahead and figure them all.

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Top 10 challenges for logistics companies in India – 


If you have a stronghold in the logistics industry, or you want to establish it, you will be able to relate to these challenges that come up the ladder to become the best logistics company in India.


1. Cutting Transportation Costs – 

Transportation constitutes the major part of the business with logistics covering almost 1/3rd of the expenses. Adding to it the fluctuating fuel prices and maintenance can make it go up.


To save good on transportation costs, it is necessary to –


  • Reduce Carriers- not causing over-dependence on fewer carriers but managing them properly.
  • Control Fuel Expenses- to save on the biggest chunk of money spent in delivering logistics.
  • Combine Shipments- to manage resources, time and save multiple trips but avoiding late deliveries.
  • Install Routing Software- to follow the shortest route avoiding violations and risks while saving money.


2. Improving Business Performance – 


Everyone expects the best from logistics as its customers are the first business on their own. Logistics companies are expected to deliver the best services that reflect and guarantee- experience and knowledge.


The crucial thing about this challenge is that the logistics industry is highly competitive and if you don’t care to improve your performance; somebody else will grab the opportunity and deliver it. 


To stand out as the top logistics company in Mumbai, you need to perform like one with timely and best delivery.


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3. Uplifting Customer Experience –


Another challenge brought up by sheer competition is the ever-evolving need for enhanced customer experience. Although, it’s the responsibility of a business to serve the best customer experience.


Every customer expects assistance at various touchpoints and providing it through all channels assures a better customer experience. 



4. Manpower Management –


Logistics is the industry in which manpower plays a significant role, as drivers and staff are mostly distant and need to have clear and effective communication.


The transportation industry can’t run without manpower and that’s why it is challenging to employ consistent and appropriate manpower that helps to maintain the efficiency of the business. 


Ghatkopar is the hub of best logistics companies in Mumbai, and to deliver the top logistics services in Ghatkopar it is a must to have active and ample manpower.


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5. Supply Chain Visibility –


Logistics companies must have complete control and visibility on all stages of the supply chain. They must be able to track the shipments to ensure they are following the correct route to counter risks and deliver on time.


The logistics companies must have visibility over the entire workflow to have a foresight over what’s coming. It must be done to avoid any loopholes in the supply chain.


6. Economical Impacts – 


Logistics companies also get affected by the economic changes arising due to political instabilities, inconsistent manufacturing sectors, inflation etc.


The economical changes not only affect the consumer demand but freight demand too. It is a challenge that can’t be controlled but can be managed through consolidated shipments and cutting costs.


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7. Regulations –


Even though logistics helps to facilitate various industries, yet the regulations and passing of the vehicles through check-posts has always been a hassling challenge.


Zonal permit laws, taxation and clearance impact logistics and the timing of delivery due to lengthy processes. In wait of different approvals, the efficiency of logistics gets hugely bothered.



Recommended Read: Logistics Solutions : 3 Simple Steps to Reduce Logistics Costs & Delays in Your Supply Chain



8. Driver Shortage –


Driving hefty trucks is one of the most difficult and demanding jobs anywhere on the planet. Every now and then new regulations are introduced for employing drivers, which makes this job a more selective one.


Shortage of drivers is a never-ending challenge that logistics companies have been facing since long. Having a number of skilled and consistent drivers can surely make you the best logistics company in Ghatkopar though.



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9. Sustainability – 


With the constant wear and tear of the trucks, and the emission reduction regulations by the government, it becomes a challenge for logistics companies to sustain in the market.


To tackle such challenges, companies must comply with load and route optimization, along with opting for the latest truck models with best engine performance and emission compliance. A company must can sustain this way to compete with the logistics companies in Mumbai.


10. Technological Advancements –


In the era of technological innovations, it is a must to adopt technical solutions to counter the challenge of technological advancements in logistics.


To become one of the top logistics companies in India, adopting shipment tracking systems, automation systems, data analytics and even IoT is a smart move to compete with the best.


These are the Top 10 challenges that Logistics companies in India are Facing. To get the best logistics and freight services in India and abroad, contact us here.



Recommended Reads: 

Warehousing and Distribution Services in the Digital Age

Facts You Need To Know About Ocean Freight Services

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Top 5 Benefits of Using Air Freight Services 

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