What can be a consequence of poor logistics planning?

Poor logistics planning can lead to increased operational costs due to several factors. When logistics processes are not well-coordinated, resources may be wasted, such as time and materials. For example, delays in transportation can result in expedited shipping fees, higher storage costs from excess inventory, or penalties from suppliers for late shipments. Furthermore, inefficiencies in handling logistics can cause supply chain disruptions, which may force businesses to spend extra on troubleshooting issues or upgrading systems. Ultimately, these elevated expenses can significantly impact the overall profitability and efficiency of an organization.

In contrast, options such as enhanced customer satisfaction, stronger supplier relationships, and higher market share are typically outcomes of effective logistics planning rather than consequences of poor planning.