Turning Logistics Networks into Strategic Assets

An integrated approach between strategy and operations.

Economic volatility is increasing on the demand side, due to the need to quickly meet changing consumer needs, and on the supply side, due to the instability of energy/oil and capacity prices.

This volatility, together with ever-higher competitive pressures, is placing greater demands on logistics operators—whether mail, express, freight, or integrated—to optimize their mainly road-based networks and turn them into a source of competitive advantage. Working with transport logistics providers, Oliver Wyman has identified new strategies for improving competitiveness for road-heavy operations. By viewing the network as a strategic asset, and applying an integrated approach that involves both the operations and sales departments, logistics providers can generate more benefits from existing customer relationships and from product and service innovations. Additionally, companies can derive competitive advantage and create more value by engaging senior management in the strategic decision making process for network management.

Turning Logistics Networks into Strategic Assets