What is the Evolution of Logistics Industry

People often misinterpret the term logistics as transportation. In reality, it is much more than just transporting items and services. It is a process that guarantees the systematic and smooth transportation of products within the whole supply chain, ensuring timely delivery. The logistics process includes packaging, storage, handling, transporting goods, and information flow. 

One of the most integral aspects of Logistics is the 7Rs which means getting the right product, in the right quantity, at the right place, in the right condition, at the right time, to the right customer, at the right price. Inbound and outbound logistics are two essential types of logistics. Inbound logistics deals with raw material and supply parts flow from the supplier to the manufacturing plant. In contrast, outbound logistics deals with the movement of finished goods from the manufacturing plant to the end customer. 

Brief History of logistics 

The word logistics originated in the 19th century from a French term called “Logistique.” It was extensively used within the military. The French used this term throughout World War, and later on, this term was renamed ‘military Logistics’. The term logistics back then shared similar key research areas to the logistics today, i.e., ensuring smooth supply chain management. Military logistics primarily focused on moving war equipment and ammunition to the required places. Along with time, the domain of logistics has grown. Now it has become a very crucial aspect of the e-commerce business. 

Advancement of logistics in e-commerce 

The logistic industry witnessed change and revolution over time. Before 1950 there was a system of direct deliveries where goods were delivered directly from the suppliers or wholesalers instead of the retailers. A decade later, the concept of distribution centres emerged, and retailers began centralizing store deliveries. A few years later, the notion of e-commerce arrived, and it became necessary for the retailer to rework their distribution system to keep up with the ever-rising demand of the end user. With the commencement of e-commerce logistics industry witnessed a considerable growth increment. 

Logistics and technology   

Today with the incorporation of technology in logistics, it has become a very advanced process. Logistics with the combination of technology has given ways the most efficient ways to manage the whole logistic. The evolution of the most advanced digital technologies has provided the logistic industry with plenty of benefits.  

Some of the most common benefits are discussed below: 

Smooth functioning 

Through digitalization, factories can now stay informed about the time of arrival of goods which helps in the smoother functioning of their operations and help increase their management and productivity levels.  

Higher efficiency 

Through the incorporation of digital technology, operational efficiency can be increased. The supply chain can be digitalized with the help of cloud-based software. Higher efficiency will lead to better quality and consistent services for the customer. 

A smaller margin of error 

A computerized system or machine will always be less likely to make mistakes compared to human beings, resulting in a smaller margin of error. 

Better customer experience 

A customer will always opt for a better experience over an average one during a buying decision. Therefore, customer experience is significant for every business. Technologically adept companies will do everything possible and provide customers with the best possible facilities so that the customer gets a great experience from their business. 


With a digitally adept system, expenses can be easily minimized as the team can select an appropriate degree of centralization. While centralizing, the main aim of an organization would be to provide better quality services and have a higher productivity level. 

 With time, the logistics industry has witnessed much change and development. Originated from the world war era, the realm of logistics has now grown vastly. With the inclusion of the most advanced and latest technologies, the working of the logistics industry has become a lot easier than it was before. The importance of digitalization in the logistics industry can be seen through increased efficiency, fewer errors, better customer experience, and so on. 

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