6 Best Ways to Increase Productivity in Logistics (2024)

how to increase productivity in logistics

Logistics companies play a crucial role in the smooth running of the economy in all countries across the world.

They perform a wide range of functions, but their main responsibilities are to ensure the proper storage, monitoring, and distribution of goods for companies.

From small e-commerce businesses to large players in the manufacturing sector, logistics companies serve businesses in all industries. Therefore, their performance and productivity have a direct impact on business operations and performance.

In other words, it would be impossible for most businesses to function without the services provided by logistic companies.


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The global economy relies on the transportation of goods from one place to another, so a world without logistics is simply inconceivable.

Thanks to logistics, businesses and consumers everywhere have their needs and requirements met daily.

Being such an indispensable piece of the puzzle, logistics is also a highly competitive field.

According to statistics, in 2020, the logistics industry worldwide was valued at approximately 5.7 trillion euros, and it’s expected to exceed 6.8 trillion euros by 2024.

This goes to show that to remain relevant and competitive in the market, logistic businesses have to put in extra effort and constantly look for ways to improve their operations and increase their productivity and efficiency.

It’s a never-ending battle to come up with better solutions to overcome new and old challenges. 

So, if you’re running a logistics business and you’re wondering what strategies you should employ to increase productivity and stay in the race, here are some important aspects to consider. 

Table of Contents

How to Increase Productivity in Logistics

Invest in technology

Technology has made its way into every aspect of our lives lately, making everyday tasks a lot easier to accomplish.

Most businesses these days are making use of tech advancements and innovations to streamline their operations and tackle ongoing demands and challenges efficiently. So, it’s only normal for logistic companies to follow this model and embrace technology.

New technologies and advanced equipment can assist logistic businesses in a variety of ways, increasing the speed and efficacy of their operations. If you’re still relying on manual tasks to perform many of your business activities, it’s a good time to take consider automation.

Automating business processes by employing relevant tech tools can help you cut back on operational costs, increase the overall productivity of your business, and give you a competitive edge.

You don’t have to replace your entire workforce with machines, but implementing tech and automation in key areas of your business such as warehouse management or shipment tracking, can make a significant difference in terms of performance. 

Related: Top 10 Ecommerce Fulfillment Services in the UK

Review your standard operating procedures

To ensure operational efficiency, every step and action performed by your employees should follow a well-defined plan.

In the logistics industry, having clear standard operating procedures (SOP) that outline the norms, standards, and directions to be followed is essential to avoid miscommunication, reduce the risk of human error, or failure to comply with industry regulations.

However, the development of standard operating procedures does not suffice to guarantee trouble-free business processes.


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You also have to review these procedures regularly to gain a better understanding of how they influence business operations and identify the areas that require improvement in due time.

Prevention is key to keeping your logistic business safe and ensuring its long-term success.

Focus on employee training

The success of any company, logistic business included, largely depends on the skills and efficiency of their staff.

As your logistics business continues to grow and evolve, you have to make sure your employees are kept up to date with the latest developments in the field and are equipped with the skills and knowledge that would allow them to perform their daily tasks at the highest standards.

For that, you have to focus on employee development by implementing adequate training programs.

This will not only boost employee productivity but will also help you keep everyone safe and minimize risks and hazards in the workplace.

Employees who are properly trained and know exactly what steps to follow to perform their tasks safely and efficiently are less likely to get involved in work accidents and pursue a personal injury claim against your company.

Therefore, a solid training program will benefit both workers and your business. 

Related: 10 Best Delivery Companies in the UK

Ensure efficient communication

You can’t have a high-performing business without proper communication at all levels, both internally and externally.

You have to pay attention to how the information is transmitted between managers and employees, co-workers, and between your company and your clients so that you can spot the gaps and address them effectively.

Leaving communication issues unaddressed inevitably leads to confusion, frequent errors, and poor performance. Therefore, it’s worth taking the time to re-evaluate your communication channels and systems to bring improvements and tackle potential problems.

It’s also important to promote open and transparent communication in the workplace by encouraging employees to express their opinions and provide feedback regularly.

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Optimise warehouse management

Warehouse management is a key component in the proper functioning of your logistic business and, as such, it requires special attention. There are multiple ways to optimise warehouse space and the way it’s being used.

The most effective solutions include:

  • Design a warehouse layout that would facilitate the storage of large quantities of goods
  • Ensure proper storage of goods based on their specific requirements
  • Keep track of warehouse inventory
  • Implement adequate technology
  • Evaluate warehouse procedures regularly

Related: 10 Best Food Logistics Companies in the UK

Keep an eye on your competitors

While it’s important to focus on your trajectory, you should also keep an eye on other players in the industry and learn from their mistakes and successes.

There’s a lot of useful information you can find out by analysing your direct competitors, especially in the early days of your business. This will make it easier for you to stay on top of industry trends, identify and meet customer demands and expectations, and avoid making common mistakes.

Use your competitors as a source of inspiration that allows you to refine and improve business practices.

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6 Best Ways to Increase Productivity in Logistics (2024)

Remz is a professional who has been writing content for almost 10 years. He's a shipping and logistics enthusiast and the head of the Trust Heritage Logistics content team. He bagged an MSc degree shortly after graduating from the university with flying colours. When it comes to creating content, Remz loves to do in-depth research and provide amazing pieces of information that every reader will find helpful.

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