Essay Sample on Importance of Logistics Management

Published: 2023-01-24
Essay Sample on Importance of Logistics Management
Type of paper:  Course work
Categories:  Government Supply chain management
Pages: 2
Wordcount: 415 words
4 min read


The significance of logistics management has been growing over the last few decades due to increasing competition in the market. Increased competition means businesses have to deliver timely and high-quality products to the customers (Janakiraman, 2011). Today, delayed delivery could result in significant losses both to an organization and customers.

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Logistic management involves the management of materials, physical distribution, and supply chain management. Previously, logistics management relied heavily on transportation but with improving infrastructure, technology, legislation and globalization bringing closer warehousing and logistics facilities to the customers, a need to plan and implement adequate controls to facilitate a smooth flow of goods and services has been created.

The Role of Government in Transportation

The federal government has played a significant role in developing infrastructure since the late 1700s (University of Minnesota, 2007). The government realizes that for the economy to prosper, facilitating trade is at the center of it. Transportation is an essential component of the supply chain as it facilitates the movement of raw materials and finished products to the desired locations. Any delays in an organization implementing lean operations (just-in-time with zero inventory) may result in huge losses.

The federal government has invested in roads, harbors, inland waterways, and airlines. Besides, the federal government regulates raw materials and finished products entering and leaving the country at the ports. Improved intermodal transportation has facilitated the movement of people and goods, as it links communities and businesses to the world. Ports and waterways serve as vital links to domestic and international trade.

The Impacts Economic Deregulation

The government aims at reducing or removing restrictions in a given industry to increase competition and improve business operations. Although economic deregulation impacts different industries differently, generally, I believe it is the best strategy to allow global competition by removing regulations that impede competition. Besides, reduced barriers to market entry mean there are many players in the market, which allows market forces to control industries, guarantee product varieties, and high quality and low priced products to consumers. Also, lack of government interference not only enable businesses to formulate their strategies but also relieve taxpayers from paying for expenses of running regulatory agencies, and as such, taxpayers can use the money to spend on other items.


Janakiraman, S. (2011). Importance of the logistics industry for growing economies. Retrieved from:

University of Minnesota. (2007). The government's role in ensuring a strong transportation infrastructure. Center for Transportation Studies. Retrieved from:

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