Daunting Challenges Executives Face in Logistics Operations

Supply Chain Industry The supply chain industry has grown adversely in the last decade. With new technology and globalization, the industry faces some challenges that have to be addressed for the industry to operate profitably. The executives are the people running these operations, so it is their burden to get solutions to these challenges. Here are the problems these executives are facing.

International knowledge

Many logistics companies engaging in parcel services, such as Atom Logistics, are operating across the globe. There is a need for executives to have knowledge of currencies across the globe, the treaties between and among different nations as well as the rules and regulations of these nations.


Any executive working in a logistics firm should be in a position to identify areas that are high risk. Protection is needed in high-risk areas, and some of the extremely dangerous areas should be avoided. The executive should secure their crew when they are working in these high-risk areas.

Transportation management

Transportation is the main function of any logistics parcel services. Effective and efficient transportation must be achieved to ensure on time delivery. Transportation in the supply chain is the largest expense. To achieve the profit maximization goal of a firm, minimizing expenses is paramount. Therefore, the executives have to find ways to minimize transportation cost without interfering with quality and timeliness of services.

Negotiations with local transporters

The executives should negotiate with transporters in foreign companies to ensure fair charges and quality services. The executive should understand the religion, culture and work ethics of people in foreign countries. Knowledge of these issues will help create teamwork which is a major contribution to the provision of good services.

Intermodal transportation

The executive should be in a position to address complex sequences in the supply chain. These are processes involving planes, ships, and trucks. The executive should always be ready to handle any problems that occur to avoid delay in the provision of services.

An efficient supply chain means high profits. There is high pressure on executives to improve performance so as to ensure high profits are earned.