CHƯƠNG 1: INTRODUCTION TO
LOGISITICS
Design by: MBA. Thanh Bui Duy
Logistics course of lecture
What is Logistics?
Design by: MBA. Thanh Bui Duy
Logistics course of lecture
(The Council of Supply Chain Management Professionals-CSCMP, [Link] )
Logistics is process of planning, implementing and
controlling the efficient, effective flow and storage of raw
material, in-process inventory, finished goods, services, and
related information from point of origin to point of
consumption for the purpose of conforming to customer
requirements. Design by: MBA. Thanh Bui Duy
Logistics course of lecture
Design by: MBA. Thanh Bui Duy
Logistics course of lecture
Scope and importance level
Business Logistics
- Planning, implementing, and controlling efficient, effective flow
and inventory, services, related information
Military Logistics
- Supporting the army operation ability (During combat as
well as troops)
Event Logistics
- Planning, operating, and deploying resources for an event
Services Logistics
- Supporting and maintaining a service or business activity
Design by: MBA. Thanh Bui Duy
Logistics course of lecture
Form of activities:
1PL 2PL 3PL 4PL 5PL
First party Second party Third party Fourth party Fifth party
logistics logistics logistics logistics logistics
provider provider who provider provider is who provide
who doesn’t provide a doing manages logistics
outsource single logistics entire service
transport logistics service for function in include 3PL
and logistics services as: import or supply & 4PL on e-
activities to transportatio- export goods chain commerce
third person n system platform
Design by: MBA. Thanh Bui Duy
Logistics course of lecture
ÂA & A’s Top 12 global Third – party Logistics provider (3PLs) list
Design by: MBA. Thanh Bui Duy
Logistics course of lecture
Follow Business process:
Market distribution
Logistics
Manufacturing
Procurement support Logistics
Logistics
Support to generating
Activities of managing revenue by providing
Activities related to the residual flow the level of customer
the creation of effectively between service expected at
materials and steps in production lowest cost
products from process
outside suppliers
Design by: MBA. Thanh Bui Duy
Logistics course of lecture
Following the movement of material
1 2 3
Inbound Logistics Outbound Logistics Reverse Logistics
Supporting all of input Supporting all of Reverse gooods,
material flow from output products from damage goods, low
direct and indirect company to customer quality goods,
supplier packaging go against
the logistics channel
Design by: MBA. Thanh Bui Duy
Logistics course of lecture
3 Design by: MBA. Thanh Bui Duy
Logistics course of lecture
(1) Logistics is a process consists of a series continuous
activities, interacting with each other, implemented in a
scientific and systematic way through stages: researching,
planning, organizing, managing, controlling, and adjusting…
(2) Logistics not only relate to input material, in-process
inventory, output products but also relate to other resources
as: human resources, services, information, technology,…
(3) Logistics structure system include node and link.
Design by: MBA. Thanh Bui Duy
Logistics course of lecture
Design by: MBA. Thanh Bui Duy
Logistics course of lecture
(4) Logistics is systematic process with the gold of minimizing
cost from material procurement stage to stage of making and
implementing production plans and delivery good thereby
maximizing company profit.
(5) Logistics system can combine the series of activities as:
marketing, production, finance, transportation, procurement,
inventory, distribution…to maximize customer services at
minimum cost.
Design by: MBA. Thanh Bui Duy
Logistics course of lecture
Design by: MBA. Thanh Bui Duy
Logistics course of lecture
A. Workplace Logistics (1950)
– Workplace logistics is material movement flow in one
working position.
– To rationalize the individual independent activities or
production line
Design by: MBA. Thanh Bui Duy
Logistics course of lecture
B. Facility logistics: (1960)
– Facility logistics is material movement flow between
workshops within 1 production facility (1 factory, 1
transfer station, 1 warehouse, or 1 distribution center,...)
– To ensure the proper and sufficient material for mass
production.
Design by: MBA. Thanh Bui Duy
Logistics course of lecture
C. Corporate logistics: (1970)
– Corporate logistics is material movement flow and
information between production facility and production
processes in a company.
– To create and maintain a customer services policy with
low total logistics cost.
– Manufactoring company: logistics activities were deloyed
between factories and warehouses;
– Wholesaler: between distributtion agents;
– Retailer: between distribution agents and their retailers.
Design by: MBA. Thanh Bui Duy
Logistics course of lecture
D. Supply chain logistics: (1980)
– Supply chain logistics is material movement flow,
information and finance between companies within
unified chain.
– To maximize customer services with minimum cost.
– The infrastructure network includes (factories,
warehouse, port, shop…), vehicles (truck, train,
airplanes, ships…) and information were connected
between company’s supplier to its customers.
Design by: MBA. Thanh Bui Duy
Logistics course of lecture
E. Global logistics: (1990-2000)
– Global Logistics is material movement flow, information,
currency between countries due to globalization, opened
trade and outbreak of e-commerce.
– Global logistics is more complex competitors, languages,
curencies, time zone, culture and international business
barriers.
-Global logistics connects suppliers of suppliers with
customers of customer in worldwide.
Design by: MBA. Thanh Bui Duy
Logistics course of lecture
Logistics is connection tool of economic activities in
1 one national and global.
Logistics optimizes financial mobilization flow and
2 production information from input material to distribute
products to final customer.
Logistics improves the efficiency of management,
3
saving and reducing time and cost in the distribution
4 process.
Design by: MBA. Thanh Bui Duy
Logistics course of lecture
Logistics contributes to perfecting and standardizing
4
processes (Standard of Procedure, SOP) and
document (B/L, Manifest, Freight Invoice), expands
international business .
Logistics creates added value in time and place. Each
5 product was produced, it should be delivered to the
right place, at the right time as customers need.
Logistics supports managers to make a quick and
6
accurate decisions in production and business
activities, and increase company competitive
advantages.
Design by: MBA. Thanh Bui Duy
Logistics course of lecture
Supporting logistics provider to provide the right
products (quantity, quality, standard, origin), at the
right time and right place to customer with a lowest
cost.
“LEAN” management system
o Lean Manufacturing
o Lean Enterprise
o Lean Thinking
Design by: MBA. Thanh Bui Duy
Logistics course of lecture
Design by: MBA. Thanh Bui Duy
Logistics course of lecture
“Lean production” eliminates all waste constantly.
- “Lean production” divided into 7 types of waste :
(1) Overproduction
(2) Defects
(3) Inventory
(4) Transport
(5) Waiting
(6) Motion
(7) Processing
Design by: MBA. Thanh Bui Duy
Logistics course of lecture
Lean’s implementation tools include: short cycles;
quality focus and continuous improvement base on
three factors:
(1) People
(2) Technology
(3) System
Design by: MBA. Thanh Bui Duy
Logistics course of lecture
Lean production is implemented by Deming circle
method:
Plan
Do
Check
Action
Design by: MBA. Thanh Bui Duy
Logistics course of lecture
Deming Circle (PDCA)
Design by: MBA. Thanh Bui Duy
Logistics course of lecture
Design by: MBA. Thanh Bui Duy
Logistics course of lecture
Design by: MBA. Thanh Bui Duy
Logistics course of lecture
LOGO