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The 7 “Rights”: Towards Better Supply Chain and Logistics Management

Today, we know that successful supply chain and logistics management is vital to every company operating across multiple industries. One of the most important concepts in logistics management is the concept of 7 R’s or 7 “Rights”. These 7 “Rights” lay the foundation of smooth functioning of all processes from lading to the procurement of goods to customers, and managers should memorise and analyse these in order to acquire the fundamental knowledge of logistics.

According to a logistics definition, it is the delivery of the Right Products in the Right Quantity and the Right Condition, to the Right Place at the Right Time for the Right Customer at the Right Price. These are the 7 “Rights” for effective logistics management.

So let’s study the 7 “Rights”:


Supply chain managers should have complete information about the kind of product they are going to make, treat and transport. The net approach is to pick a product that is in demand which can guarantee income. Knowledge of not only the existing market but of the product’s liability is essential. While the market for a particular product may be high currently, it might have a history of low demand or a consistently declining ROI. Getting the right information and using the right product would help maximize time and money efficiently.


This, in most cases, is one of the most neglected steps that in turn, lead to things like backorders. It is important to know the right quantity of goods distributed to the customers. Thanks to modern AI systems, companies can make the right prediction for the number of goods to be sent based on past records. This gives an idea about truck bookings to be done in advance. The right quantity varies from business to business and from season to season. All things should be handled wisely. While packing, it must be checked that the quantity should be according to the demand and what has been ordered. Less quantity will mean the wrong perception of the company.


On-time deliveries are of little significance to your customer if the products are defective or damaged. The procurement department should ensure the product's condition when it reaches the end customer. The products shouldn’t be broken, and the packaging must be intact. It is important to understand how to store and handle goods to ensure building a positive relationship with customers. The quality of your product is the lifeblood of your supply chain. So ensure your goods are packaged accordingly to arrive in the right condition.


Supply chain administrators should ensure that they have competent and qualified logistics personnel to deliver the content at the proper place. Managers should build a comprehensive position-tracking distribution system so that both consumers and suppliers could monitor the products at the exact location & deliver it to the right spot.


In logistics, the duration is a crucial factor. There should be no delay when it comes to the delivery of the product to the end customer. Prior planning and management of delivery needs to be done in advance, for shipping in the right time. The happiness of consumers and long-term partnership or repeat custom, are only possible if the goods are delivered to consumers at the perfect time.


Customers are the cornerstone of supply chain operations. The managers need to learn their target audience so that they can identify their potential customers. Targeting the right customers in the market gives a better chance of gaining leads. Seeking out customers who require your products, goods, or services on a regular basis will ensure that you remain relevant in the marketplace.


The companies have to take care of price along with managing all the shipment processes. The supply chain manager will need to analyse industry dynamics and place the products and services at reasonable prices and monitor better freight routes and forecast exact lading units for cost efficiency. This ensures the lowest cost from their end. Having a program in place that maintains a record of costs and periodically checks them so that the goods are sold at the correct cost would also be beneficial.

7Rs is important to facilitate an efficient end-to-end operation while avoiding delays and loss of resources. They explain the function of logistics services and the process by which items meeting specific criteria, such as time, quantity, and price can be moved concurrently.

This, in turn, will aid in the control of product flow, as well as the effective planning and management of goods and information storage, resulting in meeting customer needs, lowering costs, and increasing profits. Talk to one of our sales consultants today regarding your business and its logistics and supply chain requirements, we are happy to help! Call +61 2 9773 1378 OR email us today


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