What is the Difference Between the Logistics Industry and Transportation?

The logistics industry is much broader than the transportation industry. While transportation focuses on the movement of goods from one place to the other, the logistics industry implies a broader spectrum and refers to the whole ‘flow’ management. This includes not only the transportation and delivery of goods but also the storage, handling, inventory, packaging and various other aspects. So, what are the main differences between the logistics industry and the transportation industry?

Transportation is a function within the logistics industry operations. It is focused purely on the definition and deployment of transportation modes, such as sea, road and air. It is also important to differentiate between logistics and the supply chain. The supply chain refers to the entire value chain from the suppliers to the end customer, including after sales services and reverse logistics (recycling).

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