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SCLM Logistics_Ch 2

SCLM Logistics_Ch 2

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Published by: prathibhags on Nov 18, 2010
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11/02/2012

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Supply Chain Logistics Management

• • • • • •

Importance of Logistics to Business Logistics Value Proposition The Work of Logistics Logistics Operations Logistics Operating Structures Supply Chain Logistics Performance

Supply Chain Logistics Management

• Scope of Logistics • Logistics Operations

Supply Chain Logistics Management

• Scope of Logistics • Logistics Operations Supply Chain Logistics Management .

• Scope of Logistics • Logistics Operations Supply Chain Logistics Management .

Importance of Logistics to Business • Manufacturing → Consumers • Logistics Expenditures • Logistics as a Sustainable Competitive Advantage (SCA) Supply Chain Logistics Management .

Importance of Logistics to Business • Manufacturing → Consumers • Logistics Expenditures • Logistics as a Sustainable Competitive Advantage (SCA) Supply Chain Logistics Management .

Importance of Logistics to Business • Manufacturing → Consumers • Logistics Expenditures • Logistics as a Sustainable Competitive Advantage (SCA) Supply Chain Logistics Management .

5 % of Logistics Cost 1999  GDP $9. 11th Annual “State Of Logistics Report” © June 5.United States Logistics Costs 100 0900 800 $ billion 700 600 500 400 300 200 100 0 1980  GDP $2. Cost $214 billion  47.2 % of Logistics Cost 1980 Year 1999 Transportation Logistics Source: Robert V. 2000 .26 trillion  Logistics Cost $921 billion  9. Cost $554 billion  60.9% of GDP  Trans.88 trillion  Logistics Cost $451 billion  15. Delaney.7% of GDP  Trans.

Importance of Logistics to Business • Manufacturing → Consumers • Logistics Expenditures • Logistics as a Sustainable Competitive Advantage (SCA) Supply Chain Logistics Management .

Logistics Value Proposition • Service • Cost Minimization Supply Chain Logistics Management .

Logistics Value Proposition • Service • Cost Minimization Supply Chain Logistics Management .

Logistics Value Proposition • Service – Logistics Service Quality Process Dimensions – Logistics Service Quality Outcome Dimensions • Cost Minimization Supply Chain Logistics Management .

Logistics Value Proposition • Service – Logistics Service Quality Process Dimensions • • • • Procedures Contact Information Discrepancy – Logistics Service Quality Outcome Dimensions • Cost Minimization Supply Chain Logistics Management .

Logistics Value Proposition • Service – Logistics Service Quality Process Dimensions – Logistics Service Quality Outcome Dimensions • • • • Timeliness Availability Condition Accuracy • Cost Minimization Supply Chain Logistics Management .

Logistics Value Proposition • Service Benefits • Cost Minimization Supply Chain Logistics Management .

Materials Handling.The Work of Logistics • • • • Order Processing Inventory Transportation Warehousing. Packaging • Facility Network Design Supply Chain Logistics Management .

Integrated Logistics Order Processing Facility Network Inventory Warehousing. Material Handling Transportation .

The Work of Logistics • Order Processing – order receipt. invoicing & collection • • • • Inventory Transportation Warehousing. Materials Handling Facility Network Design Supply Chain Logistics Management . order delivery. order assembly.

Materials Handling Facility Network Design Supply Chain Logistics Management .The Work of Logistics • • • • • Order Processing Inventory Transportation Warehousing.

Materials Handling Facility Network Design Supply Chain Logistics Management .The Work of Logistics • • • • • Order Processing Inventory Transportation Warehousing.

sequencing. product modification & assembly. and transportation consolidation • Facility Network Design Supply Chain Logistics Management .The Work of Logistics • • • • Order Processing Inventory Transportation Warehousing. Materials Handling – sorting.

The Work of Logistics • • • • • Order Processing Inventory Transportation Warehousing. Materials Handling Facility Network Design Supply Chain Logistics Management .

Logistics Operations Inventory Flow Enterprise Customers Customer Service Manufacturing Support Procurement (Purchasing) Suppliers Information Flow .

Logistics Operations • Inventory Flow – Customer Service – Manufacturing Support – Purchasing (procurement) Support • Information Flow Supply Chain Logistics Management .

Logistics Operations • Inventory Flow • Information Flow Supply Chain Logistics Management .

Logistics Operating Structures • Echelon • Direct • Combined Supply Chain Logistics Management .

Logistics Operating Structures • Echelon • Direct • Combined Supply Chain Logistics Management .

Echeloned Structured Logistics Supplier Storage or Consolidation Warehouse Manufacturer Wholesaler’s Warehouse or Distribution Center Retailer Customer .

Logistics Operating Structures • Echelon • Direct • Combined Supply Chain Logistics Management .

Logistics Operating Structures • Echelon • Direct • Combined Supply Chain Logistics Management .

Combined Echelon and Direct Structured Logistics Supplier Storage or Consolidation Warehouse Manufacturer Wholesaler Warehouse or Distribution Center Retailer Customer Direct Delivery .

Supply Chain Logistics Performance • Performance Cycle Structure Supply Chain Logistics Management .

Days 1 2 Time Range .Days 3 5 10 Time Range .Days 3 Order Transportation 2 4 Time Range .Sources of Performance-Cycle Variation Total Performance Cycle Customer Delivery 1/2 1 Time Range .Days 40 Order Transmission 1/2 1 Time Range .Days 4 .Days 10 Order Selection 20 Order Processing 1 2 Time Range .

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