In the past several years, TNT Express has delivered about 3.3 million dispatches across 200 countries every week, which is a fantastic figure. In the international world, renowned names like TNT, DHL and UPS are always ready to provide supply chain management globally.
Some of them have revolutionized themselves. Globalization has opened up new opportunities for courier and cargo companies. That is why many courier and cargo companies have built strategic alliances with manufacturers by taking over the inbound and outbound traffic matters and developed the required supply chain management service. Hence, the presence of courier and cargo companies are most welcome. The law of efficiency in this global era has compelled manufacturers to leave the more sophisticated distribution system to third parties so that they can concentrate on their core business.
In the old management style, a manufacturing company usually handles all aspects of the logistics, meaning inbound logistics of raw materials to the factory and the outbound traffic of product distribution to sales units. The assembled products are later sent to distribution channels before finally reaching customers. As a result there is a huge flow of goods and services around the world, involving the transfer of raw materials, components and final assembling. Therefore, many manufacturers turn to outsourcing to reduce the business process and transfer it outside of their country’s borders. Resources are not only raw materials but include more competitive manpower. That is why many producers in developed countries try to find competitive resources outside their countries. Next to product innovation, tight competition has made manufacturers look for the most efficient methods in production. GLOBALIZATION has diminished country barriers for expansive economic activities.
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