Importance of Quality in Logistics Systems

Quality ought to be a fundamental concern for any organization that wishes to, at the very least, survive in the marketplace today. In a logistics system, quality entails ensuring that customer needs and expectations are met by delivering the right products, for the right cost, in the right condition and quantities, and at the right time and place (Korinek & Sourdin, 2011). The concept of total quality management is born when the quality imperative is integrated into a logistics system. It can, therefore, be defined as a concept "supported by a managerial system focused on meeting customer expectations with respect to all needs, from all departments or functions of an organization" (Bowersox, Closs, Cooper & Bowersox, year).

Total quality management is crucial because it enables an organization to meet the requirements and expectations of its customers and to subsequently ensure that they stay loyal to it. No organization can afford to fall behind in the provision of quality because, thanks to globalization and the internet, consumers have a wide range of suppliers and an even wider range of products to choose from, and can easily switch to a company that they consider more efficient -- one that is able to deliver products, quality products for that matter, at the right time (Bowersox, Closs, Cooper & Bowersox, year). The quality of an organization's logistic system, therefore, determines the demand for its products and how loyal its customers will be (Korinek & Sourdin, 2011).

A unit with a high-quality logistics system would most certainly have an effective information system (Korinek & Sourdin, 2011). Thanks to the increased coverage and quality of ICT, most units rely on electronic systems for information storage, processing, and distribution. However, information systems cannot work effectively in an environment with poorly-developed logistics and infrastructure (Korinek & Sourdin, 2011). Information is highly perishable; it is useless if not delivered and used in time. Poorly-developed logistic systems automatically translate to poorly-developed information systems, which implies that information on new products does not reach the customer in time, stakeholders do not get notices of AGMs in good time, and employees do not acquire information in time.

The significance of the quality imperative does not only apply to organizations. Even countries that wish to participate fully on the global platform have to put in place quality infrastructure for the facilitation of trade and transport (Korinek & Sourdin, 2011). They have to upgrade their custom systems from manual to automated ones and develop digitalized mechanisms for tracing and tracking goods on transit; they have to adopt pre-arrival clearance, and Single Window systems, and automate their custom form submission procedures (Korinek & Sourdin, 2011). Without these, resources cannot be efficiently allocated; traders get to incur unnecessarily high costs and end up moving their ventures to countries whose infrastructure facilitates business (Korinek & Sourdin, 2011).