Download - Logistics-competitive advantage
What is Logistics Management? It is the process of planning, implementing, and controlling the
efficient ,effective flow and storage of goods, services and related information from the point of origin to the point of consumption for the purpose of customer requirements.
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Logistics Intelligence + Efficiency = Competitive Advantage
AN INTELLIGENT SUPPLY CHAIN CREATES COMPETITIVE ADVANTAGE THROUGH SEAMLESS INTEGRATION THAT MEETS BUSINESS REQUIREMENTS. THE OBJECTIVE IS EFFICIENCY: MINIMIZING DOWNTIME AND OBSTACLES TO DELIVERY WHILE MAXIMIZING UPTIME AS SHIPMENTS GET TO THEIR REQUIRED DESTINATION. THE KEY PERFORMANCE INDICATORS (KPI) THAT DEFINE THIS EFFICIENCY ARE FAMILIAR TO AND REGULARLY MEASURED BY ALL COMPANIES IN THE BEAUTY INDUSTRY, EMPHASIZING PREPARATION FOR ON-TIME DELIVERY WITH MINIMAL DELAYS AND MAXIMUM SHIPMENT CONTROL. BY CONTRAST, INADEQUATE PREPARATION, REFLECTING INCOMPLETE INFORMATION ABOUT SHIPMENTS AND SHIPPING REQUIREMENTS, IS THE MOST COSTLY AND PREVENTABLE CAUSE OF LOGISTICS INEFFICIENCIES. USING SUPPLY CHAIN INTELLIGENCE TO KNOW WHAT TO PLAN FOR DEFINES COMPETITIVE ADVANTAGE.
3 c’s of gaining advantage:
Seek benefits at acceptable
at cost
Asset utilization
Asset utilization
value value
Cost differential
customer
company competitor
Advanced TrackingInformation technology with trace-back capability is essential for supply chain intelligence. Such computerized tracking must give businesses along the supply chain a common platform to capture
and report on shipment information and history. The latest logistics software uses “cloud computing” solutions through web-native
architecture, optimizing the entire transportation process so carriers can exchange information, regardless of the format used, in order to combine shipments for lower cost, and share shipment status with
carries and trading partners
SustainabilityComprehensive electronic tracking that aggregates loads and routes is a planning solution that reduces fuel consumption and cost. It facilitates up-to-the-minute route and load scheduling to take account of everything from weather conditions to just-in-time shipment adjustments. An intelligent supply chain will use cutting-edge electronic systems to improve both fuel efficiency and cost effectiveness, by eliminating guesswork and backtracking to find misplaced shipments. It affords maximum flexibility in route and load planning so that delivery problems and energy consumption are minimized, saving fuel, resources and time
• PAPERLESS PROCESSING
THE AVAILABILITY OF INFORMATION ONLINE AND IN REAL TIME CAN LARGELY ELIMINATE THE NEED TO PRINT OUT PAPER REPORTS AND FORMS THAT CREATE INEFFICIENCY, DELAY AND WASTE.
Major objectives of logistics planning
On-time delivery. Effectively meets emergency needs. Careful handling of merchandise. Willingness to take back defective goods and resupply them
quickly.
Logistics systems
Geographic Information System (GIS) Analysis We help our customers better understand the demand for their
products by providing a robust view of the supply chain through the use of Geographic Information System (GIS) Analysis, which allows us to map the location of customer and logistics facilities. This enhanced view of their network reveals patterns, relationships, and trends in geographic data to aid in their decision-making
Just In Time - JITA good example would be a car manufacturer that operates with very low inventory levels, relying on their supply chain to deliver the parts they need to build cars. The parts needed to manufacture the cars do not arrive before nor after they are needed, rather they arrive just as they are needed.
GPS (Global Positioning System) :
A person equipped with this receiver can locate and move on land, sea, air or space around the Earth. The GPS system has experienced great success in the civilian and created a huge commercial development in many areas:
shipping, road, location of trucks.
Reverse logistics A process that involves the cost-effective movement of products
(whether raw materials or finished goods) from the consumer or end user back up the supply chain - for example, allowing customers to return packing material to the seller to reuse, or allowing over-orders of material to be returned by distribution centres to suppliers. This allows businesses to reuse, remanufacture or refurbish materials and products.