Paper Example on Logistics Industries: Managing Complexity for Customer Satisfaction

Paper Type:  Case study
Pages:  6
Wordcount:  1525 Words
Date:  2023-09-20


Logistics industries are generally detailed entities and how complex operations are implemented by ensuring proper management of flow in things from their origin to the point of consumption, satisfying the customers' requirements. The resources handled in logistics are diverse, involving items as equipment, food, among other edible goods, materials, and also supplies where the physical items involve warehousing, production, transportation, and packaging (Baird, 2017). Reviewing the Verks Global Logistics (VGL), it majorly provides solutions to cater to supply management answers which include, freight forwarding, international and domestic transportation of goods, trade consulting services, warehousing, and customs brokerage. VGL has well planned logistic centers situated within and outside the institution bonded area that easily caters to its client’s logistics necessities locally and internationally, avoiding all minor mistakes and hindrances.

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Role of Performance Measures (CLO.1)

Performance measures comprise a process within an organization where it is mandated to monitor vital areas of its programs, care programs, and how to run its systems. The data collected is the first lead to reflect the measure levels of operations and how functional every part of the organization is and equally used to make various judgmental calls from time to time. There are observable and assessable characteristics that can be utilized to show variations or progress an institution’s operations made towards achieving a precise outcome (Nguyen et al. 2019). The performance measures that are necessary for VGL involve several aspects as the company is complicated with numerous fields of operation, all targeted to increase the profit margin.


Monitoring and evaluation are significant aspects of adaptation and setting plans which are implemented for more significant results. Three features of adaptation planning indicators ensure that a firm is well monitored. An organization should track the performance of tasks that are done during the advancement of the adaptation strategy, like the presentation of engagement undertakings at all stages in the development cycle. They also ensure tracking pre-identified risk triggers, which are identified when adaptation activities should be done. When determining the efficiency of strategic output and results from an adaptation plan, key indicators are followed to bear fruits. The key to observing is to identify the specific indicators that ought to be examined.

The examination of indicators should be prepared early during the creation of a thorough adaptation plan, which ensures that the chosen indicators are suitable for the applied activities. It triggers and stimulates activities that are applicable and well linked to the possible accomplishment in the edition sequence (Van et al. 2016). Indicators are connected to detailed objectives and strategies. It is significant that they are measured during the planning of adaptation strategies, and contained as part of the proposal. VGL organization has various fields of performance that each requires an indicator to develop; thus, a sample of one is the indicators for stock availability and the system performance. The data requirements involve a total tally on products in the entity, the recorded inventory that is quickly restored from the stock cards, and the logistics management information system reports. The planned indicators will be; total facilities that maintain accurate data to run the inventory management. The percentage facilities that uphold correct and precise completed and provided a logistics report on the previous reporting duration. Indicators are equipped with various characteristics like exhaustiveness comparing with the tasks involved, like a collection of reports and analyzing them than coming up with a predictable solution for a problematic case. The indicator activities appear monotonous as they repeat the same series of events with an expectation to gain a different result to aid in the decision-making system.

Categorized Operations (Inputs, process and Outputs framework) CLO.2

The input-output strategy was utilized to measure the related effects in the logistics industry and other industries in the line, thus calculating the dynamic degree of impact logistics business applies to those industries at the diverse periods. According to the analysis, the results are termed as the position of the logistics industry is to be further ranked higher. The logistics industry offers reduced added value and robust leading force as its primary trend while of service industry ultimately changes, thus linking the logistics industry with the other industries (Kucukaltan et al. 2016). To stimulate the sustained healthy progress of VGL and give full play of its anticipated role in the national economy, the management has to put forth countermeasures and proposals. The ideas will aid in developing them to encourage the specialization level of the most profitable sector. The accomplishment of the process will speed up the improvement of the other VGL business activities and set up a realistic layout of the transportation of products that cause drastic growth of the network. An acceleration of the logistics data and standardization will improve logistics enterprises' management and service plans.

The process sector is a complex environment for the organization. It deals with all the organization's involvements and investments and executing all errors to put the organization running and in the proper order (Baird, 2017). Implementation in the work processes enables an entity to control its operations and to ensure all the design requirements are met with ease, using suitable performance measures in line with buyers and supplier input as required. Improvement in work plans helps achieve more excellent performance, reduces inconsistency, and has products and services of good value that satisfy the customers' thirst. Advancements with other units in the organization trigger learning and innovation; thus, the VGL takes shipments of products and makes internal production in its facilities. The products are then distributed to various outlets that act as collection premises for buyers and clients who seek involvement in the organization.

Solving Complex Problem

The general performance indicators for VGL company are majorly the number of shipments, delivery time, shipment time, the warehousing costs, and transportation costs as the indicators reflect on the aspects of the entity dealings (Van et al. 2016). An indicator pointing at transportation costs can be solved by the performance measurement system by taking a functional analysis of the existing data and come up with a solution. The management will look into former shipment quantities and what they exactly ferried. They will adjust the sum of profits made from the loads through sales and deliveries to numerous customers. The company data will direct how the loads result in significant problems and enable alternative options to solve it. Quality improvement can only be concluded to prevail if the strategic plan schedule is met. The customers portray a sense of satisfaction regarding the company's implementations and the suggested opinions for the greater good.

Evaluation of the Performance Indicators

Evaluation is the general assessment of the results of a strategic plan that has been set to test as a performance measurement to quality output. The plans laid for an organization are meant as an objective purpose to determine the progress and development in an entity, all starting from the data that is collected in the different facilities of the organization operations (Nguyen et al. 2019). The results of an assessment are gained through non-tangible qualities that are rather seen by the general appearance of satisfaction where the customers are happy with the services, and the industry enjoys substantial profit margins in the sales and services of its numerous shipments. The way a management body thinks and implements its ideas in an industry motivates the general outcome by supporting the workers to perform their daily assignments with the aim of success and gaining a reward at the end of the day. Evaluations are majorly expressed by many subjects by an experience of the real capacity margin of subject discrimination as the results involve aggression of many practices.


The indicators involved in our case of study to improve the VGL Company on the inventory sector can be assessed through data collection in the facilities and warehouses. Maintaining accurate data on the facilities will enable us to cover even the least errors in terms of storage and distribution as every product brought in and taken out is well listed down and handled (Kucukaltan et al. 2016). The organization can analyze its advancement to the profit or negative side of the facilities that hold the logistic reports and make their submission from time to time. It is easier to assume that the data triggers a sense of right predictions in making decisions with decisions being directed on facts rather than possible outcomes. The performance measurement results are achieved by comfort, sufficient security, materials, and timekeeping, and all meant to enhance overall success.


Baird, K. (2017). The effectiveness of strategic performance measurement systems. International journal of productivity and performance management.

Kucukaltan, B., Irani, Z., & Aktas, E. (2016). A decision support model for the identification and prioritization of key performance indicators in the logistics industry. Computers in Human Behavior, 65, 346-358.

Nguyen, N. T., & Tran, T. T. (2019). Raising opportunities in strategic alliance by evaluating the efficiency of logistics companies in Vietnam: a case of Cat Lai Port. Neural Computing and Applications, 31(11), 7963-7974.

Van Buren, N., Demmers, M., Van der Heijden, R., & Witlox, F. (2016). Towards a circular economy: The role of Dutch logistics industries and governments. Sustainability, 8(7), 647.

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Paper Example on Logistics Industries: Managing Complexity for Customer Satisfaction. (2023, Sep 20). Retrieved from

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