What does a 'Hub' do in a logistics context?

In a logistics context, a 'Hub' primarily functions to sort and distribute cargo effectively. The hub acts as a central point in the supply chain, where goods from various sources are collected, sorted, and then dispatched to their final destinations. This sorting process is crucial for optimizing the flow of materials, ensuring that cargo is directed to the appropriate delivery routes with efficiency and speed. Hubs facilitate quick transfers and help streamline operations, thereby maximizing productivity and reducing transit times.

While other logistics activities such as managing fuel supplies, operating scheduled deliveries, and determining movement requirements are critical components of logistics, they do not encapsulate the primary role of a hub. A hub's distinct focus is on the processing and redistribution of cargo, which is fundamental to maintaining effective supply chain management.