Mission

For the
whole
organisation

Corporate
strategy

For each
Business Business Business business
strategy 1 strategy 2 strategy 3 unit

For each
Functional Functional Functional
strategy 1 strategy 2 strategy 3
function

Figure 3.1 types of strategic decision

 Discussion
Logistics Other senior
and
managers managers
agreement

Business
strategy

Logistics
strategy

Lower logistics
decisions

Figure 3.2 Role of logistics managers in strategic decisions

 Low Importance of logistics to operations High

Logistics Logistics Logistics

managers give managers give managers give
little input and some input and major input
only implement support higher and determine
higher strategies higher
strategies strategies

Figure 3.3 Logistics managers give different amounts of input to

higher strategies
 1. Higher
strategies

Mission

Corporate
Higher strategies
strategy

Business
strategy

3. Internal 2. Business
strengths environment

Operations Customers

Logistics
Market
Employees
strategy conditions

Resources Technology

Economic
Facilities
climate

Other internal Other external

strengths factors

Figure 3.4 Factors in the design of a logistics strategy

 Step 1- Assess the current
logistics strategy

Step 2 - Define the aims of

logistics

Step 3 - Analyses the

Step 4 - Analyse the current
business environment from a
logistics operations
logistics perspective

Step 5 - List alternative new

logistics strategies

Step 6 - Evaluate these

alternatives and choose the
best

Step 7 - Add details to the

chosen strategy

Figure 3.5 Steps in

Step 8 - Implement the
strategy
designing a logistics
strategy