Inbound logistics refers to the inflow of raw materials from suppliers to manufacturing facilities. It includes the process of storing the material that flows into the company and distribution of that material to the respective manufacturing facilities.
It is the first stage in the value chain and also involves optimising the movement of the goods from the supplier’s point of origin to the manufacturing facility or in some cases the warehouse. The centre point of inbound logistics is thus the transportation and storage of incoming goods.
As far as inbound logistics is concerned, while signing contracts between a seller and buyer it’s important to have clarity over who will be held responsible in case of cargo damage.