Inherently, manufacturing and logistics go hand in hand. Manufacturers must receive raw material inbound and send out product to customers outbound without disruption. Logistics efficiency means that manufacturer has looked at the scope of shipments across the field of competitors and shipping providers and determined what will save the most money, without sacrificing quality, time, or visibility.
A poor supply chain management can bring production to a halt. Without reliable delivery of inputs, assembly lines can lie dormant while employees have no work to perform, which could leave a company unable to fulfill time-sensitive orders. If the supply chain breaks down before inputs arrive, a manufacturer can be forced to procure materials from alternative sources quickly, possibly resulting in higher prices and lower profitability.