What is a Logistics Park?

July 30 , 2022 | CATEGORY : SERVICES

A logistics park is a physical industrial area that is custom-built for the sole purpose of conducting logistics operations. It provides a holistic solution for logistics-related needs with state-of-the-art facilities. Logistics parks offer some of the best facilities for a company looking to outsource logistics.

The global logistics market has been one of the fastest-growing industries and is on track to be worth $12,975.64 billion by 2027. Logistics is an important part of business operations, but its many moving pieces and resources make it a very complex and expensive process for companies. Companies tend to prefer outsourcing logistics as it is usually not a part of the core competencies. Outsourcing logistics not only ensures the company is in good hands but also allows the company to focus on the core aspects of the business.

How logistics parks are transforming supply chains

While traditional logistics operations are stand-alone setups, logistics parks provide companies with the option of choosing from several organizations that have their operations represented in the park. It also enables companies to work out and conduct certain operations out of specified spaces in the logistics park.

Every logistics requirement under one roof

A logistics park provides companies with ample warehouse space that may also include custom-built storage facilities, office working spaces, transport depots, fuel pumps, ports, labor accommodations, retail facilities, and many more. In some cases, they also offer catering facilities and lodging.

Logistics parks are strategically located in areas that are well-connected to the various modes of transport such as rail, sea, road, and air in order to provide companies with the best transportation facilities. A logistics park ensures that the supply chain remains as long as it is needed to be, thereby increasing productivity and reducing costs.

Latest digital solutions

Since these are specifically designed for the sole purpose of logistics operations, a logistics park guarantees the best and latest digital platforms and automated solutions.

Easy-to-use digital platforms help connect buyers and sellers and facilitate a smooth exchange of products and services. They also provide secure modes of transactions to clients, apart from insurance cover.

Automated solutions determine the most optimal routes and modes of transportation that not only minimize the cost, but also streamline the shipping process. Digital solutions also enable all parties involved to track their orders in real-time.

Contributing to community

A logistics park is an enormous space that attracts logistics service providers of all nature to set up operations in the park. This not only develops an area but also creates employment opportunities for the local community, given the variety of operations, such as supply, transportation, construction, consultation, food, beverage, and hospitality. With the ability to attract many players, logistics parks are able to offer businesses a lower distribution cost as well.

Protected Facilities

The inventory and assets of a logistics park are the heart of its operations and hence, are protected by top-of-the-line security facilities. Logistics parks are equipped with round-the-clock security to ensure the safety of their inventory and infrastructure since

a breach in security could essentially put a logistics park out of commission.

Apart from the standard barriers, a logistics park’s 24/7 security includes a trained security force, CCTV cameras, cyber security software, and state-of-the-art alarm systems.

A smaller carbon footprint

As opposed to traditional logistics operations, logistics parks acknowledge their carbon footprint on the planet. Given that logistics involves a lot of brick-and-mortar operations, there is a substantial consumption of fossil fuels and the emission of harmful gases that contribute to global warming and pollution.

Logistics parks are designed in a way where all necessary resources are either available in one place or nearby. This helps significantly cut down on fossil fuel usage and enables logistics providers to opt for environment-friendly transportation, effectively reducing their carbon footprint.

Why logistics parks are the future of the industry

Logistics parks offer a level of customization to business operations that other outsourcing options simply cannot. There is no better and more feasible way to optimize the supply chain than with a logistics park. It offers multiple options to choose from and tailors the logistics operations as per business requirements, all while reducing the carbon footprint.

Given the rapid growth rate of the global logistics industry, logistic parks are an interesting solution to sustainably grow with the industry.