{"id":19307,"date":"2020-05-20T18:07:00","date_gmt":"2020-05-20T12:37:00","guid":{"rendered":"https:\/\/mobisoftinfotech.com\/resources\/?p=19307"},"modified":"2026-01-07T16:52:45","modified_gmt":"2026-01-07T11:22:45","slug":"growth-in-elastic-logistics","status":"publish","type":"post","link":"https:\/\/mobisoftinfotech.com\/resources\/blog\/growth-in-elastic-logistics","title":{"rendered":"How Elastic Logistics Is Contributing In Overall Industrial Growth?"},"content":{"rendered":"<p><span style=\"font-weight: 400;\">Over the past couple of years, we have witnessed some exquisite developments in the transportation and logistics industry, including truck platooning, autonomous driving, electric trucks, and other smart transportation solutions. But until lately, the industry struggled to keep up with the changes in supply and demand.&nbsp; Elastic logistics overcomes this hurdle; it provides flexibility to increase or decrease the capability to accommodate the fluctuating demands in production, warehousing, and shipping. In this article, we will get into the details, along with the importance, future, and growth<\/span> <span style=\"font-weight: 400;\">in elastic logistics.<\/span><\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><b>Importance Of Elastic Logistics<\/b><\/h2>\n\n\n\n<p><span style=\"font-weight: 400;\">When it comes to logistics, lean business practices do not work. Although they are meant to be flexible, they are not adjusted for logistics, primarily as per the variable demand in modern eCommerce. Lean business models might work well for manufacturing (first-mile) and the shelf stock (last-mile) industries; they are not tailored for logistics (middle-mile).<\/span><\/p>\n\n\n\n<p><span style=\"font-weight: 400;\">Elastic logistics tends to fill these gaps along with the middle-miles and warehousing. Practically, the<\/span> <span style=\"font-weight: 400;\">importance of elastic logistics in the supply chain is still ambiguous; however, it is developed to adjust variables like sailing schedules, container usage, and carrier space, to make the supply chain more effective and function with a minimal amount of waste.<\/span><\/p>\n\n\n\n<p><span style=\"font-weight: 400;\">Some of the problems elastic logistics overcomes include:<\/span><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><span style=\"font-weight: 400;\">Over-manufacturing<\/span><\/li>\n\n\n\n<li><span style=\"font-weight: 400;\">Overstocking<\/span><\/li>\n\n\n\n<li><span style=\"font-weight: 400;\">Half-full vessels<\/span><\/li>\n\n\n\n<li><span style=\"font-weight: 400;\">Price volatility<\/span><\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><b>The Use of Technology<\/b><\/h2>\n\n\n\n<p><span style=\"font-weight: 400;\">The popularity of elastic logistics is because its benefits are solely realized through technical solutions. For instance, data analytics of freight traffic have become more informative. Moreover, volumes can be predicted easily in a short time. Supply chain management software solutions offer enhanced, real-time visibility to logistics companies of their consumer needs.<\/span><span style=\"font-weight: 400;\">&nbsp;<\/span><\/p>\n\n\n\n<p><span style=\"font-weight: 400;\">Several freight marketplaces have adopted elastic logistics and made shipment execution and procurement easier than ever. Components like sensors are helping vessels emphasize on storage and stacking protocols, thereby providing them with improved control by achieving optimal capacity. Technology has enabled manufacturers, delivery trucks, and vessels to scale up and down as per both the real-time and predictive demand.&nbsp;<\/span><\/p>\n\n\n\n<p><span style=\"font-weight: 400;\">Warehouses are even linking automation with elasticity, thus, leading to automated warehouse fulfillment, which works wholly to meet demand. Thus, elastic logistics is the new trend, which requires technological solutions and automation to become more efficient along with freight professionals.<\/span><\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><b>Benefits of Elastic Logistics<\/b><\/h2>\n\n\n\n<p><span style=\"font-weight: 400;\">The trends in supply and demand are becoming difficult to predict and are significantly affecting the logistics industry. The supply-demand co-action has always been the core of the logistics industry. However, the rise of the digital age and eCommerce has inflicted a shift, with the weight being more towards the consumers.&nbsp;<\/span><\/p>\n\n\n\n<p><span style=\"font-weight: 400;\">In a customer-centric market, companies need to respond as per the demands of the consumers. Since consumer requirements can be unpredictable, companies are looking for a solution in the form of elastic logistics to cope with these ever-changing demand rates.&nbsp;<\/span><\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><b>So, how does elastic logistics benefit logistics companies?<\/b><\/h2>\n\n\n\n<h5 class=\"wp-block-heading subtitle-list\"><span>1<\/span><b> Automation<\/b><\/h5>\n\n\n\n<p><span style=\"font-weight: 400;\">The primary advantage comes in the form of automation, which turns out to be the most logical solution for a company that wants to be more flexible in its scaling abilities. Elastic logistics reduces human error and offers a more efficient packaging process in the production line, which directly enables the company to adjust according to the changes in demand.<\/span><\/p>\n\n\n\n<h5 class=\"wp-block-heading subtitle-list\"><span>2<\/span><b> Third-party partnering<\/b><\/h5>\n\n\n\n<p><span style=\"font-weight: 400;\">Another advantage of elastic logistics is third-party partnering, which reduces the risks of investing more in internal operations. Companies can now lease extra warehouses both locally and in distant locations to adjust to short-term demand fluctuations. Besides, using external fleets in the form of third-party delivery options like courier services turns out to be an effective way to stay ahead of unexpected rise or decline in consumer demand. Thus, elastic logistics provide robust scaling capacities.&nbsp;<\/span><\/p>\n\n\n\n<h5 class=\"wp-block-heading subtitle-list\"><span>3<\/span><b> Efficiency, visibility, and control<\/b><\/h5>\n\n\n\n<p><span style=\"font-weight: 400;\">Elastic logistics allows you to manage all the incoming and outgoing deliveries through one dashboard, which directly adds to your productivity as you don&#8217;t need to tinker around multiple platforms. This further simplifies control of unexpected costs and delivery operations irrespective of the method being used for shipping.&nbsp;<\/span><\/p>\n\n\n\n<p><span style=\"font-weight: 400;\">Elastic logistics also offers a better tracking system, which makes it easier for you to track all the shipments. It streamlines warehouse planning for incoming freight and enables prompt responses to order status requests.&nbsp;<\/span><\/p>\n\n\n\n<h5 class=\"wp-block-heading subtitle-list\"><span>4<\/span><b> Enhanced user experience<\/b><\/h5>\n\n\n\n<p><span style=\"font-weight: 400;\">All of this improves your ability to rapidly address issues irrespective of how you are transporting the freight shipment. Thus, it results in improved customer experience and customer satisfaction, which leads to increased customer retention.&nbsp;<\/span><\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><b>Are There Any Downsides?<\/b><\/h2>\n\n\n\n<p><span style=\"font-weight: 400;\">Although the benefits of elastic logistics overpower the drawbacks, there are some potential downsides you should consider.&nbsp;<\/span><\/p>\n\n\n\n<p><span style=\"font-weight: 400;\">You will need to spend time and money at the beginning to fully enjoy the benefits of a supply chain with enhanced flexibility. In some instances, you might need to make significant changes to your workforce as well. There will be a requirement for investment and training, which could certainly slow down your operations for some time.&nbsp;<\/span><\/p>\n\n\n\n<p><span style=\"font-weight: 400;\">Moreover, the adoption of any new technology takes time, and it can be overwhelming and anxious to see machines replacing humans. Also, you might need to hire employees to work on emerging technology like robotics and AI.<\/span><\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><b>Upcoming Trends In Elastic Supply Chains<\/b><\/h2>\n\n\n\n<p><span style=\"font-weight: 400;\">Elastic logistics has already taken over the logistics and warehousing industries, but we are yet to see its full potential. Here is a look-in to the future of elastic logistics.&nbsp;<\/span><\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><b>Increased Adoption Of Elastic Logistics<\/b><\/h3>\n\n\n\n<p><span style=\"font-weight: 400;\">As discussed before, most logistic companies are struggling to meet the fluctuating demand from consumers. An increase or decrease in logistics demand can be due to several reasons, ranging from seasonal spikes to event-based demand hikes. Also, different companies rely on various sources to overcome this challenge of ever-changing demand. Some may depend on 3PL&#8217;s, whereas, logistics giants like DHL, UPS, and FedEx partner with local vendors to meet the surged requirements.&nbsp;<\/span><\/p>\n\n\n\n<p><span style=\"font-weight: 400;\">In the upcoming years, we can see the growth in elastic logistics as more companies will embrace this concept to make their operations more agile and flexible. Aligning the dependence on the latest technologies makes a company capable of responding to fluctuations in demand more effectively, along with reducing internal operating costs, increasing efficiency, retaining existing customers, and winning new customers.&nbsp;<\/span><\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><b>Role Of Elasticity In Warehousing<\/b><\/h3>\n\n\n\n<p><span style=\"font-weight: 400;\">Elasticity is not confined to logistics but has made its way to warehousing as well. As the demand increases or decreases, the requirement for warehousing size also changes. Thus, there is no one size that fits all the warehousing requirements, which is leading to increased adoption of the elastic warehouse model. <\/span><span style=\"font-weight: 400;\">More companies are embracing this concept to manage demand accurately with respect to time and location. There are several elastic strategies used by warehousing businesses to keep up with the surging and plunging demands.&nbsp;<\/span><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><span style=\"font-weight: 400;\">One of the most commonly used methods is <\/span><i><span style=\"font-weight: 400;\">Elastic Overheads<\/span><\/i><span style=\"font-weight: 400;\">, in which you can make your existing technology and people work with more efficiency. This tactic, however, is not scalable and productive in the long run.&nbsp;<\/span><\/li>\n\n\n\n<li><span style=\"font-weight: 400;\">Another way to increase warehouse elasticity is by <\/span><i><span style=\"font-weight: 400;\">Elastic Outsourcing<\/span><\/i><span style=\"font-weight: 400;\">, in which you can outsource your warehousing and distribution requirements when the demand arises. This technique is also not feasible in the long run, as you will need to rely on external service providers. You can also pick the elastic technology strategy, which involves an entire technological implementation.&nbsp;<\/span><\/li>\n\n\n\n<li><span style=\"font-weight: 400;\">However, this method can be costly for the newly formed logistics companies. Here is where the concept of <\/span><i><span style=\"font-weight: 400;\">Elastic Blend<\/span><\/i><span style=\"font-weight: 400;\"> comes into play, which is a mix of all the three strategies discussed above. It helps you get superior control over your processes by spending relatively less money.&nbsp;<\/span><\/li>\n<\/ul>\n\n\n\n<figure class=\"wp-block-image size-large\"><noscript><img decoding=\"async\" width=\"855\" height=\"363\" src=\"https:\/\/mobisoftinfotech.com\/resources\/wp-content\/uploads\/2020\/05\/benefits-of-elastic-logistics.png\" alt=\"benefits of elastic logistics\" class=\"wp-image-19321\"><\/noscript><img decoding=\"async\" width=\"855\" height=\"363\" src=\"data:image\/svg+xml,%3Csvg%20xmlns%3D%22http%3A%2F%2Fwww.w3.org%2F2000%2Fsvg%22%20viewBox%3D%220%200%20855%20363%22%3E%3C%2Fsvg%3E\" alt=\"benefits of elastic logistics\" class=\"wp-image-19321 lazyload\" data-src=\"https:\/\/mobisoftinfotech.com\/resources\/wp-content\/uploads\/2020\/05\/benefits-of-elastic-logistics.png\"><\/figure>\n\n\n\n<h3 class=\"wp-block-heading\"><b>Supply Chain as a Service (SCaaS)<\/b><\/h3>\n\n\n\n<p><span style=\"font-weight: 400;\">Supply Chain as a Service (SCaaS) is another emerging trend to look out for. SCaaS features a flexible cost structure, which allows companies to gain the benefits of collaborating with the best supply chain talent, along with maintaining long-lasting, healthy industry relationships, and utilizing best in class technology without any full-time commitments.&nbsp;<\/span><\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><b>Effect Of Elastic Logistics On Existing Workforce<\/b><\/h2>\n\n\n\n<p><span style=\"font-weight: 400;\">Staff optimization is not necessarily an intermediate of elastic logistics, but an allocation solution, which aims at the adequate allotment of resources. Therefore, the concept of elasticity and its integration with technology is not meant to reduce staff. In fact, in elastic logistics, manpower still remains to be a vital resource.&nbsp;<\/span><\/p>\n\n\n\n<p><span style=\"font-weight: 400;\">Elastic logistics requires freight forwarding workers to work. It provides accurate data about scalability and adjustments, but it still needs freight professionals to analyze the data and use it to improve the core operations.&nbsp;&nbsp;<\/span><\/p>\n\n\n\n<p><span style=\"font-weight: 400;\">All in all, a solution powered by technology might seem daunting, but it is what acts as the tool of the future.<\/span><\/p>\n\n\n\n<a href=\"https:\/\/mobisoftinfotech.com\/resources\/blog\/robots-as-a-service-in-logistics-and-warehousing\"><figure class=\"wp-block-image size-large\"><noscript><img decoding=\"async\" width=\"855\" height=\"100\" src=\"https:\/\/mobisoftinfotech.com\/resources\/wp-content\/uploads\/2020\/05\/Inline-cta-3.png\" alt=\"Logistics And Warehousing: Is Robots-As-a-Service The Future?\" class=\"wp-image-19323\"><\/noscript><img decoding=\"async\" width=\"855\" height=\"100\" src=\"data:image\/svg+xml,%3Csvg%20xmlns%3D%22http%3A%2F%2Fwww.w3.org%2F2000%2Fsvg%22%20viewBox%3D%220%200%20855%20100%22%3E%3C%2Fsvg%3E\" alt=\"Logistics And Warehousing: Is Robots-As-a-Service The Future?\" class=\"wp-image-19323 lazyload\" data-src=\"https:\/\/mobisoftinfotech.com\/resources\/wp-content\/uploads\/2020\/05\/Inline-cta-3.png\"><\/figure><\/a>\n\n\n\n<h2 class=\"wp-block-heading\"><b>How To Make Your Logistics Operations More Elastic?<\/b><\/h2>\n\n\n\n<p><span style=\"font-weight: 400;\">An excellent way to make your operations more elastic is by using a Transport Management System (TMS). Powering your warehouse with additional automation can come in handy to streamline order packaging without increasing staffing.&nbsp;<\/span><\/p>\n\n\n\n<p><span style=\"font-weight: 400;\">If there arises a need for additional warehousing locally or regionally, third-party options are the best pick. You might get tempted to increase your fleet size when you witness a sudden rise in demand, but you may end up experiencing a decreased demand later, which will make the company-owned fleet less applicable.&nbsp;<\/span><\/p>\n\n\n\n<p><span style=\"font-weight: 400;\">Therefore, third-party partnerships are an excellent solution. And, a few years down the line, technological advancements will further improve the elastic logistics. Trends like artificial intelligence, advanced analytics, machine learning, and IoT will come into play as logistics companies are already adopting some of them.&nbsp;&nbsp;<\/span><\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><b>Wrapping Up,<\/b><\/h2>\n\n\n\n<p><span style=\"font-weight: 400;\">The growth in elastic logistics raises the need for businesses to become more agile in their operations and processes. And, there is no doubt the introduction of technologies like AI, IoT, analytics, and drones will impact the future of logistics as well. The increase in these innovations has made it essential for logistics companies to become more flexible and inevitable.&nbsp;<\/span><\/p>\n\n\n\n<p><span style=\"font-weight: 400;\">With today&#8217;s rising unpredictable demand fluctuations, along with the increasing need to maintain excellent user experiences, adopting elastic logistics has become the need of the hour. Although the implementation of elastic logistics might seem daunting, with proper planning, it can turn out to be a revolutionary strategy for your business.<\/span><\/p>\n\n\n\n<a href=\"https:\/\/mobisoftinfotech.com\/contact-us?utm_source=blog_cta&#038;utm_campaign=growth-in-elastic-logistics-cta1\"><figure class=\"wp-block-image size-large\"><noscript><img decoding=\"async\" width=\"855\" height=\"363\" src=\"https:\/\/mobisoftinfotech.com\/resources\/wp-content\/uploads\/2020\/05\/cta-7.png\" alt=\"Improve Your Warehousing Operational Efficiency By Developing A Logistics Solution.\" class=\"wp-image-19317\"><\/noscript><img decoding=\"async\" width=\"855\" height=\"363\" src=\"data:image\/svg+xml,%3Csvg%20xmlns%3D%22http%3A%2F%2Fwww.w3.org%2F2000%2Fsvg%22%20viewBox%3D%220%200%20855%20363%22%3E%3C%2Fsvg%3E\" alt=\"Improve Your Warehousing Operational Efficiency By Developing A Logistics Solution.\" class=\"wp-image-19317 lazyload\" data-src=\"https:\/\/mobisoftinfotech.com\/resources\/wp-content\/uploads\/2020\/05\/cta-7.png\"><\/figure><\/a>\n\n\n<div class=\"modern-author-card\">\n    <div class=\"author-card-content\">\n        <div class=\"author-info-section\">\n            <div class=\"author-avatar\">\n                <noscript><img decoding=\"async\" src=\"https:\/\/mobisoftinfotech.com\/resources\/wp-content\/uploads\/2020\/11\/Shoeb.png\" alt=\"Shoeb Ahmad\"><\/noscript><img decoding=\"async\" src=\"data:image\/gif;base64,R0lGODlhAQABAIAAAAAAAP\/\/\/yH5BAEAAAAALAAAAAABAAEAAAIBRAA7\" alt=\"Shoeb Ahmad\" data-src=\"https:\/\/mobisoftinfotech.com\/resources\/wp-content\/uploads\/2020\/11\/Shoeb.png\" class=\" lazyload\">\n            <\/div>\n            <div class=\"author-details\">\n                <h3 class=\"author-name\">Shoeb Ahmad<\/h3>\n                <p class=\"author-title\">Head of Digital Marketing<\/p>\n                <a href=\"javascript:void(0);\" class=\"read-more-link read-more-btn\" onclick=\"toggleAuthorBio(this); return false;\">Read more <noscript><img decoding=\"async\" src=\"\/assets\/images\/blog\/Vector.png\" alt=\"expand\" class=\"read-more-arrow down-arrow\"><\/noscript><img decoding=\"async\" src=\"data:image\/gif;base64,R0lGODlhAQABAIAAAAAAAP\/\/\/yH5BAEAAAAALAAAAAABAAEAAAIBRAA7\" alt=\"expand\" class=\"read-more-arrow down-arrow lazyload\" data-src=\"\/assets\/images\/blog\/Vector.png\"><\/a>\n                <div class=\"author-bio-expanded\">\n                    <p>Shoeb Ahmad, with an experience of 22 years in Digital World, heads Digital Marketing at <a href=\"\/\/mobisoftinfotech.com\" target=\"_blank\" rel=\"noopener\">Mobisoft Infotech<\/a>. He has a rich experience in SEM, SEO, Social Media &amp; other verticals of Digital Media. He also has been a consultant for a variety of industries, enterprises &amp; startups. He loves reading &amp; traveling. He often writes on various forums since he believes 'Knowledge increases by sharing.'<\/p>\n                    <div class=\"author-social-links\"><div class=\"social-icon\"><a href=\"https:\/\/www.linkedin.com\/in\/shoebahmad\/\" target=\"_blank\" rel=\"nofollow noopener\"><i class=\"icon-sprite linkedin\"><\/i><\/a>\n                     <a href=\"https:\/\/twitter.com\/shoeb_ahmad\" target=\"_blank\" rel=\"nofollow noopener\"><i class=\"icon-sprite twitter\"><\/i><\/a><\/div><\/div>\n                    <a href=\"javascript:void(0);\" class=\"read-more-link read-less-btn\" onclick=\"toggleAuthorBio(this); return false;\" style=\"display: none;\">Read less <noscript><img decoding=\"async\" src=\"\/assets\/images\/blog\/Vector.png\" alt=\"collapse\" class=\"read-more-arrow up-arrow\"><\/noscript><img decoding=\"async\" src=\"data:image\/gif;base64,R0lGODlhAQABAIAAAAAAAP\/\/\/yH5BAEAAAAALAAAAAABAAEAAAIBRAA7\" alt=\"collapse\" class=\"read-more-arrow up-arrow lazyload\" data-src=\"\/assets\/images\/blog\/Vector.png\"><\/a>\n                <\/div>\n            <\/div>\n        <\/div>\n        <div class=\"share-section\">\n            <span class=\"share-label\">Share Article<\/span>\n            <div class=\"social-share-buttons\">\n                <a href=\"https:\/\/www.facebook.com\/sharer\/sharer.php?u=https%3A%2F%2Fmobisoftinfotech.com%2Fresources%2Fblog%2Fgrowth-in-elastic-logistics\" target=\"_blank\" class=\"share-btn facebook-share\"><i class=\"fa fa-facebook-f\"><\/i><\/a>\n                <a href=\"https:\/\/www.linkedin.com\/sharing\/share-offsite\/?url=https%3A%2F%2Fmobisoftinfotech.com%2Fresources%2Fblog%2Fgrowth-in-elastic-logistics\" target=\"_blank\" class=\"share-btn linkedin-share\"><i class=\"fa fa-linkedin\"><\/i><\/a>\n            <\/div>\n        <\/div>\n    <\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>Over the past couple of years, we have witnessed some exquisite developments in the transportation and logistics industry, including truck platooning, autonomous driving, electric trucks, and other smart transportation solutions. But until lately, the industry struggled to keep up with the changes in supply and demand.&nbsp; Elastic logistics overcomes this hurdle; it provides flexibility to [&hellip;]<\/p>\n","protected":false},"author":57,"featured_media":19315,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_s2mail":"","footnotes":""},"categories":[286],"tags":[1433,1434,1430,1431,1432],"class_list":["post-19307","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-blog","tag-elastic-logistics","tag-future-of-elastic-logistics","tag-growth-in-elastic-logistics","tag-importance-of-elastic-in-logistics-and-supply-chain","tag-popularity-of-elastic-logistics"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.2 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>How Elastic Logistics Is Contributing in Overall Industrial Growth?<\/title>\n<meta name=\"description\" content=\"The growth in elastic logistics is expected to show a steep graph in coming years. 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