logistics supply warehouse chain interview good questions

27 Essential Logistics Interview Questions and AnswersAlmost every week I get several messages on LinkedIn and other socialplatforms usually circle coaching and mentoring requests to aid candidates inpreparing for next Logistics Interview Questions.Lots of supply chain and procurement professionals have found my blogs Top 23Supply Chain Interview Questions and Answers Guide and 21 AuthenticProcurement Interview Questions and Answers Guide very useful and given verypositive feedback, therefore, I thought I should spend good time in writing adetailed blog on Logistics Interview Questions.It has taken me 2 months to put this together, and I hope you find it useful.If you do, then please share further to benefits others.In my opinion, being in logistics it is a tough job because something isalways wrong somewhere! Delivery is late, PPE’s are not adequate, its hot inthe warehouse, someone has got bad back and should be on light duties,customer services are chasing for overnight or next day deliveries and if thisis not enough, Tom (Fake name!) has good night party with his mates last nightand he has turned up drunk! What to do?So I say this often to people when I interview.> “In Supply Chain & Logistics, you either have a bad day or very bad day, so> if you are just having a bad day, consider it as a good day!”…I don’t mean this literally!Logistics professionals perform several responsibilities and are charged withthe implementation of adequate logistics and supply chain plans. Withinterdependence on different levels of operation, products and services areexpected to reach their destination in time.With several promising prospects in choosing a career as a Logisticsprofessional, the primary question remains, “how can I succeed in aninterview?” Well, let’s answer them together.## Interview Questions for Logistics ManagerYou have done the hard work and studies Best Supply Chain Resources, you havewatched all the YouTube videos on Top Tips to Prepare for the next logisticsinterview. The anxiety and excitement that follows dream job interview can getyou thinking for hours about possible Logistics Interview Questions. Gainingaccess to answers tips you can revise as well as providing the right answersis key to a successful interview.Here I have compiled a list of the REAL and must-read Logistics InterviewQuestions for freshers as well as experienced Logistics professionals. Belowis the list of possible interview questions either I will ask in the interviewor these questions someone asked me!Additionally, there are guaranteed possibilities of facing several generic jobinterview questions too – hopefully, this blog provides resourceful tips ontackling them. Moreover, please watch this awesome interview of The SupplyChain Show to understand what it takes to become Supply Chain TOP TALENT.## Why Should I Read This Blog on Logistics Interview Questions Further?First, we all can agree having access to a comprehensive list of LogisticsInterview Questions would greatly aid in preparation. My suggestion is to readthis blog and find more insight into: * Commonly expected Technical Logistics Interview Questions, * Knowledge-based Logistics Interview Questions and Answers, * And Personalized Interview Questions for all levels of Logistics Professionals.So, let’s get started with the questions, answers, and some tips to tackleupcoming interviews successfully.### Q1) In your opinion, what are the Key Competencies for Logisticsprofessionals?The key logistics competencies for logistics professionals to perform theirjob function at the highest level include: * Distribution Design, Sourcing, and Management * Distribution Design, Sourcing, and Management * Global Trade Compliance * Sourcing and Supplier Selection/Management * Supply Chain Continuity Planning * Transportation Sourcing & Management * Contract ManagementLogistics is a broad and far-reaching function with a significant impact onthe standard and logistical systems, and there are several other vitallogistics competencies to know. Having the right logistics competenciessupport marketing function, product development, price promotion, as well asnew ideas to drive change across the organization.Competent logistics professionals drive increased revenue, create anopportunity for significant cost savings in operations, and simplify thecomplexity of distribution networks. To make all this happens, they acquire orshould acquire the following logistics competenciesMy article on 6 Must-Have Logistics Competencies for Supply ChainProfessionals could be a good reference point.### Q2) How will you achieve 99,9% accuracy in the inventory?To attain 99.9% accuracy in the inventory, Cycle Counting Procedure andStocktaking Procedure are two procedure models that offer high-level accuracy.These procedures entail several details and can be adapted to solve yourpeculiar problems.Cycle Counting Procedure can account for discrepancies amongst the quantitiesfound in stocks and is recommended to maximize the value of audit and minimizethe pain in physical count. Stocktaking Procedure also offers an accuratebasis for planning and stock control procedures as its process enables you toassess the level of stock loss within your business’ sites.You can check out my Cycle Counting Procedure Made Simple: A Step-by-StepGuide and Stocktaking: The Ultimate Guide (Stocktaking Procedure) as a goodreference point.Get Your Cycle Counting Procedure Made Simple: A Step-by-Step GuideStocktaking: The Ultimate Guide to Creating Your Very Own Customised StocktakeProcedure### Q3) What’s the most important thing in warehouse management?The essential factor in warehouse management is the safety rules. Warehouseswith safety as a priority would include wearing appropriate PPE as well aspaying attention to warning signs and signals. Such a warehouse ManagementSystem provides consistency, efficiency, and quality control to the warehouseprocess, which helps improves every stage of the fulfillment process.You can check out my article on 5 Basics Warehouse Activities You Should Focusto Improve as a good reference point.Important you should know all about Warehouse Safety Audit and 14 Categoriesincluded.Warehouse Safety Audit Tool- Beware of Accident and Injuries### Q4) What type of WMS (Warehousing Management System) or TMS (TransportManagement System) or an ERP (Enterprise Resource Planning) application youhave used in the past? What you liked most in that application, and were thereany limitations in that application?WMS, TMS, and ERP are tools (software) that play a crucial role in inventoryoptimization of a business operation. These tools also help optimize input andoutput processes alongside slotting, packing, and shipping duties.There are several variants available today for these tools, thus picking theright one is But is not always easy. WMS comes in three major types(integrated ERP, supply chain execution modules, and standalone warehousemanagement).### Q5) How would you reduce distribution costs?To reduce distribution costs, the main areas to focus on including Inbound andoutbound freight cost, storage cost, indirect cost such as energy, customs &duties, and of course direct manning cost. The purpose of reducingdistribution costs is to save up more potential and contribute to the bottomline (profitability) of the business.### Q6) Have you launched any “Space management” initiatives to reducewarehouse cost per sq. ft?The most important thing is Warehouse Space Planning. Planning increasesefficiency facilitates proper coordination and maintains good control. WhenWarehouse Space Planning, the first thing is finding a suitable location. Whenchoosing a location, planners should know how much square footage they willneed to store their goods, and how much space will be required.For detailed reply, you must read Warehouse Space Optimization: 17 TacticsThat Can Be Used to Improve Space.### Q7 From your past experience, tell us about one or two most complexproblems you faced in warehousing/logistics management and what was yourcontribution to solve them.OR### Give us an example of one of your most creative contributions during yourpast experience preferably related to warehousing/logistics.This is very common amongst the logistics interview questions. This is wereyou use to think about your experience and scenario and use STAR approach toanswer the questions.### Q8) What are the most important logistics KPI you have used to driveprocess improvement?This is also very common candidates amongst a long list of logistics interviewquestions, it looks straight forward but it is not! Here you need to thinkcarefully and pick logistics KPI you have used and mentioned the ones you haveused to drive continuous improvement in warehouse management.For example, if you have work on Inventory Reduction then you should use oneof the 7 Inventory Management KPIs and explain the approach to how you haveachieved inventory reduction. Some nice Inventory Reduction Strategies for youmentioned here!### Q9) What would do at first in the department after being hired?My acquittance Melissa Pertusi suggested the question and should answer as“The answer usually is not only the first step but all the backbone of astrategy for 6-12 months. That’s also an opportunity to analyze how organized(in thoughts and actions) someone is, given that the role requires a lot fromthis skill.### Q10) How to maximize customer-satisfaction, logistics?The eight “rights” of logistics are the Right Product, The Right Way, Theright Quantity, The right Quality, The right Place, The Right Time, The rightCustomer, and the right Cost. The eight “rights” of logistics need to beappropriate to make the supply chain as efficient as possible and satisfy thecustomers.My article on Traveling Salesman Problem & The 8 “Rights” Of Logistics couldbe a good reference point.### Q11) Who will be key stakeholders if you are successful in this job?Nowadays, Customer Service Team, Production Team, and Finance Managers areconsidered Key Supply Chain Stakeholders as the process requires moreinnovative initiatives, helping create vision and strategy and get involved inemployee engagement initiatives. Finance Managers are also essential toprovide a good understanding of finance and how this function can contributeto the success of jobs.You can check out 5 Reasons why Your Finance Manager is Amongst Your KeySupply Chain Stakeholders as a good reference point.### Q12) Have you design and created any Standard Work process in yourprevious job?Designing solid standard procedure and supply chain processes are veryimportant to reduce variation in day to day distribution and warehouseactivities. It is also one of the four pillars of supply chain strategy. Agood sample of logistics processes would be standard work in the pick, pack,and ship, safety rules, packaging instruction, etc.### Q13) What the best approaches to Supply Chain Modelling?The supply chain modeling process can be approached in 3 ways, and theyinclude network design, ‘rough cut’ methods, and simulation-based methods. Toincorporate such decisions, critical areas like location, production,inventories, and transportation, are necessary considerations. Significantefforts have been put into the creation of an ideal supply chain model so thataccurate design on improvements in performance can be made.My article on Supply Chain Modelling – Approaches and Characteristics toConsider could be a good reference point.### Q14) How Do I Evaluate a Fulfillment Company?Following the e-commerce boom, evaluating fulfillment companies would involvetaking consideration of a few core areas of differentiation and capabilitiesthat typically characterize their best metrics. These core areas includeDefine Your Goals, get a Specific Price, Clarify Support and Training, Ask forGuarantees in Writing, and Review Your Warehouse Needs Together.My article on How to Evaluate a Fulfillment Company could be a good referencepoint.### Q15) Given the experience with COVID-19 what is Business Continuity Plan(BCP) for Warehouse During Crisis?A Business Continuity Plan (BCP) for the Warehouse in terms of crisis is onlyas effective as the planning put in place beforehand. It is criticallyimportant to set specific guidelines about who gets directly involved, andwhich stages everyone gets involved. Engaging the right employees and partnersgoes a long way in the planning stage, and these create a more transparent,consistent, and more reliable plan.For businesses with Warehouse (s), the effects of any crisis can be highlydamaging, especially to meet customer service expectations. The likelyanticipation and preparations through sensible Business Continuity Plan (BCP)require specific vital considerations to help guarantee operational continuitywithin the shortest possible period.These key considerations include: Planning, Warehouse/Site contamination,Process/supplier identified for quick decontamination in case of contaminationof warehouse/office, Work from Home, Alternative Warehouse locationplanned/set up in case of contamination, Plan for blue-collar replacementresources in case of sickness/absence, Identify Critical Inventory toduplicate, Operations Disruption, Have a backup Call Center to take customercalls during a crisis, Inbound Routes Planned, Plan of re-routing of incomingshipments, Outbound Routes planned, and Last-mile distribution.Read 13 Things To Consider in Business Continuity Plan for Warehouse DuringCrisis could be a good reference point.### Q16) To deliver improvements, which Warehouse Activities would you focuson?In general, warehouse activity consists of receiving, put away, storage,packing, and shipping. Warehouses could have different activities according toproduct specifications, customer requirements, and service levels ordered. Thecomplexity of the warehouse activities depends mainly on: * the number and variety of items to be handled * the amount of daily workload to be done * the number, the nature and the type of processes necessary to fulfill the needs and demands.My article on 5 Basics Warehouse Activities You Should Focus to Improve couldbe a good reference point.Well Researched Warehouse Audit Tool – To Improve Warehouse Performance### Q17) What are the new set of Incoterms® 2020?As per January 2020, the new set of Incoterms® 2020 are set of trade termswhich describe: * Obligations: Who does what in organizing the carriage, insurance of goods, obtaining shipping documents, arranging for export or import licenses; * Risk: Where and when the seller delivers the goods, in other words where does the risk transfers; * Costs: Which party is responsible for which costs### Q18) Is DAT better than DPU?The use of DAT (Delivered at Terminal) implies the goods were deliveredunloaded. For DPU (Delivered at Place Unloaded), the seller is responsible forexport, but not for any import formality, including post-delivery transitthrough third countries.### Q19) Why do CIP and CIF have different levels of insurance?The insurance only covers for damages and losses up until to moment ofactually arriving at the place agreed. However, the reality is that insuranceonly covers general average and salvage charges sustained to evade loss fromany cause except those left out.### Q20) Why is “Bill-of-Lading On-board notation” added for FCA?For goods carriage by sea, buyers or sellers (or likely banks) may require aBill-of-Lading (B/L) with an on-board notation alongside FCA (FinancialConduct Authority). Nevertheless, delivery under the FCA rule is completedbefore loading the vessel. Under Incoterms®, the carrier is, under itscontract of carriage, bounded and entitled to issue an on-board Bill-of-Ladingonly when the goods are on-board.### Q21) Why do we still need separate maritime terms like FAS, FOB, CFR, andCIF?Maritime transportation has established extensive set rules and regulations(called Maritime Law) for all harbors and ports. The Maritime Law isconventions, laws, and treaties governing all maritime matters. It alsogoverns several insurance claims involving cargo and ships.Since the first set of Incoterms® was published and aimed to ease theunderstanding of these laws, the focus on maritime traffic all carry rulesrelating to terms like FAS, FOB, CFR, and CIF.### Q22) Why is it important how we mention Incoterms®?Incoterms® are factually standardized international delivery terms, serving asa contract between buyer and seller. The term describes all costs, risks, andtasks related to the transaction of goods globally. So, Incoterms® areessential as they make up the most important trading conditions.### Q23) What are the key challenges in managing foreign trade management?Knowing the basics of foreign trade management is imperative for logisticsproviders to meet the required service quality levels. Furthermore, trademanagement costs for importers and exporters are significant in terms ofvisible and hidden charges. Know the basics will help the cost reduction andefficient flow of information.My article on Lifetime Basics Of Foreign Trade Management – 3 Things You NeedTo Know could be a good reference point.### Q24) What is the difference between FIFO and LIFO?The difference between FIFO (First-In, First-Out) and LIFO (Last-In, First-Out) exists only if the unit costs of a product are decreasing or increasing.The FIFO approach assumes that older products in an inventory are sold firstand uses their production costs. The LIFO method assumes the newest productsin an inventory are sold first and uses those costs instead.### Q25) What are the best Logistics Management Books?There are different facets and books for Logistics Management; it can beoverwhelming when it comes to choosing which one to purchase.My article on 7 Best Logistics Management Books You Should Read could be agood reference point for this question, if ask.### Q26) What are the major Supply Chain Trends to consider in today’s market?Today’s technological disruption is fast and ruthless, and it is transformingmost industries, including the supply chain. The major Supply Chain Trends toconsider in today’s market includes Big Data, 3D Printing, Internet of Things(IoT) – Industry 4.0, Moving supply chain to “Cloud,” Gamification of thesupply chain, Augmented reality (AR), and Use of Artificial Intelligence (AI)and machine learning in the supply chain.Read more on 7 Powerful Supply Chain Trends You Should Not Ignore could be agood reference point.### Q27) What is your take on Online Logistics Courses?One of the less likely question to appear in any logistics questions list! Butworth taking a note.Online Logistics Courses provide an excellent platform for logisticsprofessionals to attain international professional qualifications inlogistics. These Online Logistics Courses delivered by accredited trainingproviders offer unique benefits and standards to match global demands. Theobjective of Online Logistics Courses is to enable aspiring logisticsprofessionals to increase their confidence, knowledge, and skills inLogistics.My article on Top 6 Online Logistics Courses That Can Benefit AspiringLogistics Professionals could be a good reference point.#### CONCLUSIONHopefully, you enjoyed the Logistics Questions and learned something new aboutlogistics. The goal and desire of every Logistics Professional are to bebetter prepared to face possible Questions when facing an interview.My passion is to create hope for everyone, beginners, or professionals, and Ihope the above Questions and answers have done justice to most of the SupplyChain Interview Questions asked. I have created lots of useful supply chain &logistics guides & tools to help you perform better in your jobs and recentlya course of Sales & Operations Planning, hope you find them useful.If you haveany Logistics Interview Questions or more additions to make, feel free to addthem. I am open to learning and welcome new ideas too!!### Lastly, I would strongly recommend watching below embedded YouTube videosto prepare yourself very well in your next Logistics Questions!VIDEOVIDEOVIDEOVIDEOMay 6, 2020Dr. Muddassir AhmedSummaryArticle Name27 Essential Logistics Interview Questions and AnswersDescriptionIf you’re the one applying for the logistics jobs, make sure you’re preparedto answer these logistics interview questions. All 27, if you could!AuthorDr. Muddassir AhmedPublisher NameDr. Muddassir AhmedPublisher Logo