e-l ogistics. a genda definition logistics e-logistics evolution of it in the field of supply chain...
TRANSCRIPT
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E-LOGISTICS
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AGENDA Definition
Logistics E-logistics
Evolution of IT in the Field of Supply Chain Communication Improvement Data Integration
Process involved in E-Logistics (B2C Example) Case Study Haier Corp.
E-Logistic system Implementation
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SUPPLY CHAIN SYSTEMS
RoadwaysCustomer’sWarehouse
Customer (Retailer)
Supplier
Roadways Roadways
Customs Agent
Port
Ocean
liner
Airways Road+
Rail
RDCConsumerHome
Plant
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LOGISTICS
Council of Logistics Management (CLM) definition:
“Logistics is that part of the supply chain process that plans, implements, and controls the efficient, effective flow and storage of goods, services, and related information from the point-of-origin to the point-of-consumption in order to meet customers’ requirements”
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E-LOGISTICS
E-Logistics is a Dynamic set of communication computing and collaborative technologies that transform key logistical processes to be customer centric by sharing data , Knowledge and information with Supply chain partners .
Ultimate objective of E-Logistics is to deliver right products in right quantities at right place and time to the right Customer.
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TRADITIONAL APPROACHMATERIAL AND INFORMATION FLOW
Information flowMaterial flow
RawMaterials
KeySupplier
Manufacturer DistributorOutletRetail
Consumer
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INFORMATION TECHNOLOGY EVOLUTIONPART-1 Communication Plays important role in information flow
KeySupplier
Distributor OutletRetail
Manufacturer
Raw Materials
Consumer
Information flowMaterial flow
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INFORMATION TECHNOLOGY EVOLUTIONPART-2 Information Integration
Material flow Information repository
KeySupplier
DistributorOutletRetail
Manufacturer
Raw Materials
Consumer
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COMMUNICATION + INFORMATION INTEGRATION
Manufacturer
Salesman SupplierRetailer CourierDistributor
BanksWarehousing Customs
Data feedsto internalapplicationssystem
Order trackingPerformancereports Interactive alerts and
notification
e-Logistics
INTEGRATED BUSINESS APPLICATION SYSTEM
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FASTER ORDER FULFILLMENT PROCESS
Changes in technologydrive thefulfillmentprocessesfaster
seconds or minutes
ERP PackagedApplication
PublicInternet
E-CommerceIntegration Software
Consumer
E-Catalogs,E-Procurement,Messaging, EDI,E-Payments,Interactive Apps.
E-Logistic
Warehouse Courier ManufacturerRetailer
Availableto promise E - file transfer / EDI
days or weeks
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PROCESSES INVOLVED E-LOGISTICS(B2C) 1 – Method of payment 2 – Check product availability 3 – Arrange shipments 4 – Insurance 5 – Replenishment 6 – Contact with customers 7 – Returns
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ARRANGE A METHOD OF PAYMENT. Possible payment methods:
At the time of order: e-payment (e.g. PayPal), credit card
At the time of delivery: COD
For electronic payments, a system of verification of payment is needed before shipping
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CHECK PRODUCT AVAILABILITY
If possible, inform customer of availability before order is placed.
If out of stock or the product will take time to manufacture, inform customer of the delay.
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ARRANGE SHIPMENTS
Electronic shipping – quick and immediate
Physical product – determine best shipping method for level of service
It is the biggest activity (labor, energy, money, etc.) for E-Logistics
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INSURANCE
This option needs to be available for customers since product can be lost or damaged in the shipping process.
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REPLENISHMENT
This is an overview step. It should be examining all aspects of physical inventory at a location and reordering as needed: Product – product sitting on shelves or material
to manufacture product Non-product – shipping materials, parts for
machines in process, items that are part of the shipping process (scanners, totes, carts, etc.)
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CONTACT WITH CUSTOMER
With an invisible process (back-door operations), the customer needs to be informed as much as possible.
Most common types of communication: Order confirmation Payment success Shipping confirmation Tracking information Any problems in the process
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RETURNS
The flow of product from customer back to the vendor is called reverse logistics.
Possible reasons for customers to return or exchange product: Damaged Doesn’t work Don’t like it Wrong product/type/color
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CASE STUDY E-LOGISTIC SYSTEM FOR HAIER LOGISTIC CORPORATION
Step1:Framework Construction As is Analysis and Pros and Cons of E-logistic
system are discussed Step2:Function Integration
Moving to a MRP tool Step3:Internal supply chain Integration
SCP and ERP Implementation and Introduction of EDI
Step4:External supply chain Integration Using processes like VMI
Step5:Dynamic Alliance of integrated supply chain(Intranet/Internet)
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STRUCTURE OF HLC E-LOGISTIC SYSTEM
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HAIER 360 DEGREE SOLUTION
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ADVANTAGES OF E-LOGISTICS
e-Logistics
TransportationDocumentation
PerformanceMonitoring
Capacity and LoadMatching
TransportationOptimization
Real-Time Decision Support
Exception-Based Status Alerts
Shipper/Receiver/ Fulfillment Provider Connections
Wireless Updates
Track and Trace
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SUMMARY
Use of Technology in the Traditional Methods of Business has given birth to E-Logistics
Consumer Fulfillment rate has increased because of E logistics.
Transparency in the Business has improved
Need to analyze and also the ability to analyze the Business has improved because of use of technology.
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REFERENCES Utilizing e-logistics Paper Lulea University of Technology en.wikipedia.org/wiki/Logistics r0.unctad.org/ecommerce/event_docs/curacao/bayles.pdf portal.acm.org/citation.cfm?id=1089626 www.emeraldinsight.com/journals.htm
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THANK YOU !