Many people think logistics is just about moving goods from one place to another, but it’s much more than that. In the article "Logistics: Essential to Strategy," published by the Harvard Business Review in 1977, the authors explain why logistics is a crucial part of a company’s overall success. Even though the article is decades old, its lessons still apply today.
Logistics involves everything from transportation and storage to managing the flow of information. If a business can deliver products efficiently, it can lower costs and improve customer satisfaction. Companies that integrate logistics into their strategy can adapt quickly to market changes and gain an advantage over competitors.
The article points out that logistics should not be an afterthought—it should be part of a company's core strategy. Businesses that treat logistics as a key function can:
- Save money by reducing transportation and storage costs
- Improve customer service by ensuring products are available when and where needed
- Stay competitive by responding faster to changes in demand
Even in today’s digital world, logistics is just as important as it was in 1977. With the rise of e-commerce and global supply chains, businesses must focus on logistics to succeed. Companies like Amazon, for example, have built their success on efficient logistics, ensuring fast deliveries and keeping customers happy.
The Harvard Business Review article showed that logistics is not just about moving products—it’s a powerful tool for business success. Companies that invest in smart logistics strategies can cut costs, improve efficiency, and stay ahead of the competition. Whether in 1977 or today, logistics remains a key factor in building a strong business.