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BUS20112 Lecture 1

Overview of Logistics

Modified by Simon Chan

Copyright © 2015 Pearson Education, Inc.

1

Learning Objectives

• • • • • • • To define what logistics and supply chain management is To discuss the economic impacts of logistics To analyze the increased importance of logistics To discuss the systems and total cost approaches to logistics To expose you to logistical relationships within the firm To introduce you to marketing channels To provide a brief overview of activities in the logistics channel • To familiarize you with logistics careers

Modified by Simon Chan

Copyright © 2015 Pearson Education, Inc.

2

Logistics: What It Is

• Council of Logistics Management definition:

“Logistics is that part of the supply chain process that plans, implements, and controls the efficient, effective forward and reverse ___________ and ____________ of goods, services, and related information between the point of origin and the point of consumption in order to meet customers’ requirements.”

Source: www.cscmp.org

Modified by Simon Chan

Copyright © 2015 Pearson Education, Inc.

3

Logistics Activities

___________

Facilities Network

____________

Logistics Activities

Order Processing

___________, Material Handling and Packaging

Modified by Simon Chan

Copyright © 2015 Pearson Education, Inc.

4

Logistics Objectives

____________ to your customers

Reduce damages

Reduce Inventory

Logistics

Consolidate Shipments

Reduce Variances

Enhance ____________

Modified by Simon Chan

Copyright © 2015 Pearson Education, Inc.

5

Evolution of Supply Chain Management

• Relatively new concept – rarely mentioned prior to 1990 • Recognition grew when value could be found in coordinating various business functions • SCM philosophy:

– Coordinate not only within organizations, but across organizations

Copyright © 2015 Pearson Education, Inc.

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Evolution of Supply Chain Management

A...