Logistics In Logistics Management

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Logistics is the process of planning and controlling the efficient flow and storage of goods, services and related information as they travel from the point of origin to the point of consumption. Transportation, warehousing, purchasing and distribution fall within the scope of logistical planning. Proper managing of logistics can reduce cost and inventory, improve profits and efficiency along with improving an organization a competitive advantage. These are the key elements to a successful supply chain operation. Many companies are choosing to outsource its logistic management such as a 3PL to optimize their performance. Effective logistics management is what separates profitable organizations from potential failures.
Supply Chain Management …show more content…

This type of network provides different routes in which to deliver to the consumer, each having its own unique transportation method and delivery time. However, the average consumer is unaware of where the manufacture is, transport method, or supply chain commotion and generally base their satisfaction on overall price, quality, and reasonable delivery.
To further accommodate the everyday consumer while boosting efficiency, supply chains are learning to balance the concept of lean versus agile. A lean supply chain makes an effort to remove any non-value added portion or waste to increase production and profit. Lean is a relatively new standard across most industries. With an ever-increasing demand in consumer wants, many supply chains are shifting their focus towards an agile strategy. This will allow more flexibility within an organization to adjust to market demands and to do so in a timelier …show more content…

Reverse logistics describes the process of returning products to its original point of origin after the sale, such as for servicing, refurbishment and recycling, for the purpose of recapturing value or proper disposal. The idea is to get the product to return to the manufacturer or distributor for a sustainable supply chain. Often times, the supply chain can be analyzed to find deficiencies in the chain itself rather than in the products. The ultimate goal is to optimize aftermarket activity to save money and environmental

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