Shipping vs Logistics: Is There a Difference?

For most industry outsiders, there may not appear to be a difference between shipping vs logistics. Yet, it makes dollars and sense for you to have a clear understanding of the relationship between shipping and logistics —no matter how much you ship. Fortunately, the team at On Track Freight Systems has created a quick, helpful guide on the relationship between shipping vs logistics. Read on to learn more, and don’t hesitate to reach out to the team at On Track Freight Systems for all of your shipping and logistics needs

What Is Shipping? 

As the name suggests, shipping is the transference or movement of your goods from one place to another. Whether it’s moving your goods from New York to New Jersey or from Florida to Texas, it’s all considered broadly to be shipping. And there are several types of shipping, including:

  • Less-Than-Truckload (LTL) Shipping is one of the most popular ways to ship freight because it’s timely, cost-effective, and reliable. LTL shipping helps businesses save money by combining their freight with other businesses and essentially sharing the cost of the trailer. 
  • Full-Truckload (FTL) Shipping is usually used whenever a business needs or wants to reserve the entire trailer for its cargo. Because there are no extra stops, FTL shipping is usually faster. 
  • Next Day Shipping is an expedited solution where your packages are delivered the next day. At On Track Freight Systems, we offer fast next day shipping for the entire New York and New Jersey Metro area
  • Intermodal Shipping involves the use of two different modes of freight, such as rail and truck to move goods. 
  • Air Shipping involves the use of air freight carriers to handle the movement of goods. 
  • Rail Shipping involves the use of trains and railroads to move goods.
  • Sea shipping involves the use of ships to move goods overseas or across an area. 
  • Hazmat Shipping involves the movement of dangerous goods.

While each type of shipping may involve different handling, arrival times, documentation, and means of transportation, they all involve the movements of goods from point A to point B. 

What Is Logistics?

Although shipping is all about moving goods, logistics is a bit more complex. Logistics involves the obtaining, producing, and distribution of materials and products in the right quantities to a user. Logistics encompasses the science of planning for and implementing procedures that deliver the most effective and efficient storage and transportation of goods and services. 

It’s important to understand that logistics involves several smaller, more compartmentalized areas of specialization. In general, there are five areas or elements of logistics:

  1. Logistics planning (warehousing, storage, and material handling) serves to interface and synchronize the overall supply chain as a continual procedure. Planning is fundamental for robust supply chain connectivity. 
  2. Unitization and packaging. This phase includes the care and conditioning of the products or goods. 
  3. Inventory control refers to the process of making sure proper measures of stock are maintained by the business. This is necessary to keep clients happy and keep storage costs low. 
  4. Transportation or shipping is the connecting link between other activities. As we previously mentioned, shipping is all about moving raw materials, components, finished goods and products from the production line to inventory to the final destination. 
  5. Information and control are critical for the smooth functioning of different logistics procedures and processes. 

What’s the Difference Between Shipping vs Logistics? 

The key differences between logistics and shipping are scale and scope. Put simply, logistics operate on a larger scale than shipping. As a matter of fact, logistics is an important link in supply chain management, which is an essential component of a firm’s overall business strategy. Even though there are differences between logistics and shipping, most companies who sell products rely heavily on them both to meet the needs of their clients and operate smoothly. 

Why Choose On Track Freight Systems for Logistics and Shipping

Since 1991, On Track Freight Systems has been a leading provider of shipping and logistics solutions. And we make it easy for you to transport your cargo and achieve your goals. We will handle and manage every aspect of your shipping needs from:

  • Booking loads 
  • Document preparation
  • Confirming pickups
  • Follow through to delivery
  • Providing proofs of delivery, and 
  • Every step in between 

Through a range of valuable strategic marketing partnerships, we are able to offer a full suite of logistics and transportation solutions to best meet your evolving needs. No matter your the complexity of your circumstance, we will go the distance to exceed your expectations. Some of the most common logistics solutions we offer include:

  • Nationwide Intermodal Rail Solutions 
  • Nationwide Full Truckload Brokerage & Logistics
  • Nationwide Less Than Truckload Freight Solutions
  • And more

When you partner with On Track, we’ll do the heavy lifting and the load moving, so you can focus on other matters.

Contact On Track Freight Systems 

At On Track Freight Systems, we will use our interconnected network of partners to help you make the most cost-effective decision. Whether you’re looking to ship cargo between New York and New Jersey or ship freight across the country, the team of experienced professionals at On Track Freight Systems will work to understand your requirements and guide you to the best solution. 

Contact On Track Freight Systems today for tailored shipping, transportation  and logistics solutions.