LOB10303_FMO NASRUDDIN BIN MAIL (56212119122)

MALAYSIAN INSTITUTE MARINE ENGINEERING TECHNOLOGY

FUNDAMENTAL MARITIME OPERATIONS

(LOB 10303)

CASE STUDY 2 : LOGISTICS

NAME NASRUDDIN BIN MAIL

ID NUMBER 56212119122
SUBJECT NUMBER LOB 10303
(FUNDAMENTAL MARITIME OPERATIONS)
LECTURER NAME MR IDRUS

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LOB10303_FMO NASRUDDIN BIN MAIL (56212119122)

TABLE OF CONTENT
CONTENT PAGE NUMBER
a) Define the term ‘logistics’. 3

b) Explain the functions of logistics. 4-6

c) Suggest the importance of logistics. 7-8

d) Differentiate between logistics and supply 9

chain management.

e) List the main fields of logistics. 10

f) Select three (3) from the above main fields 11-13

of logistics and explain their operations

Conclusions 14

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g) Define the term ‘logistics’.

Logistics is a mechanism in which goods are planned and efficiently transported and
processed from the source to the point of use.

Figure 1 shows the activity of Logistics

The logistics aim is to respond promptly and cost-effectively to customer needs. Logistics
originally played a key role in the transportation of military personnel, supplies and goods.
Though logistics remain as important in the military as ever, the term is used more often
today as it is used to transport commercial goods within the supply chain.

Many companies are specialized in the logistics industry having a significant demand for the
transport of goods to producers, retailers and other sectors. Some have an entire range of
infrastructure from jet planes to vehicles, storage facilities and apps. The most renowned
distribution firms are FedEx, UPS, and DHL.

Large retailers or producers usually own important parts of their logistics network. However
most businesses outsource the work to logistics suppliers from third parties .

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h) Explain the functions of logistics.

The two primary functions of logistics are transport and warehousing.

Figure 2 shows the transportations of

Logistics
The management of transportation focuses on the planning, optimization and execution of
vehicles for transporting goods between warehouses, retail outlets and customers. It is
multimodal, like ocean, air, rail and highways. transportation.
Transport management is not surprisingly a dynamic mechanism involving the
preparation, optimization, order management, freight audit and payment of routes and
loadings of shipments.

It may also expand the management of yards, a mechanism that tracks the movement of
vehicles in yards outside of production plants, warehouses and distribution installations.

Management of the carrier is a major aspect because transport carriers can differ widely
in price, availability and capability.

Transport management system (TMS) software is usually used by logistics companies to

help meet transport based logistics requirements. Niche applications including yard
management systems are also available.

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Figure 3 shows the warehouse in logistics

Warehousing or operation of warehouses involves tasks like inventory management and

order execution. It requires also the management of the storage facilities and processes in
for example, an enforcement center for the receipt, processing and execution of goods
orders (shipped to the customer).

Most businesses control the movement, storage and inventory of products using the
Warehouse Management System (WMS).

The majority of company resource planning (ERP) suppliers sell TMS and WMS
modules, as well as more advanced stock and logistical components.

Customs or global trade governance are also considered part of logistics, as government
compliance papers often have to be processed as products are moved through national
boarding companies or into shipping ports.

Figure 4 shows the activity of staff in warehouse

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The future of logistics will include the role of artificial intelligence (AI) and driverless
vehicle technology. Some logistics suppliers already use AI to track shipments more
efficiently and forecast transport issues in the supply chain.

Meanwhile, automated vehicles, such as driverless forklifts, delivery trucks and drones,
are expected to become more prevalent in factories, in factory yards and on highways.

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i) Suggest the importance of logistics.

Figure 5 shows the mindchart of Logistics

Coordinated efficiently
Logistics delivers strong market results , As companies grow and develop (regional,
international or even global), they are increasingly dependent on efficiently arranged,
logistically advanced supply chains. This aspect of supply chains isn't only important in
the development of large companies. It is just as necessary in order to make smaller and
medium-sized businesses more productive and profitable. In supply chain management,
logistics plays an important role. It is used for prompt, secure and productive preparation
and coordination of the movement of goods.

Not only the neighbors and local friends involve customers today, they also include
visitors from around the world. Each customer expects to deliver its goods rapidly and
flawlessly regardless of distance. To do this, knowledgeable organizations employ trained
practitioners to match the product flow trend as convenient and realistic as possible.

Logistics allows companies to develop value

Customer value does not only mean quality or quantity. There is also reference to
accessibility. When better logistics allows a rising group of people access your goods,
wealthy entrepreneurs consider that a tool of great importance for value creation for their
customers.
By improving the product and maintaining product availability, logistics generates and
enhances the value provided by companies. Companies either strive to develop their own
logistics or rely on specialists to maximize their value.

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Logistics leads to cost savings and productivity

Logistics has become the center of supply chains with rising popularity in global trade.
Business leaders have learnt that through collaborations with other firms providing
transportation and warehousing they can reduce their costs.
As companies start using these services to outsource transport and warehousing, they
sometimes significantly increase their overall economic performance. This results in a
higher image and stronger brand if these partners take time to ship their products to end
consumers.
Many businesses have increased their productivity by offering quicker product
distribution by partnering with highly experienced and efficient logistics companies such
as A&A. This results in better customer service and greater operating performance.

Logistics aid in the timely distribution of your goods

Within a supply chain, logistics is clearly and strongly established. However, it has to
continuously evolve to deliver better results because of various customer requirements.
Clients are now more likely to impel a smartphone store, and to obtain their order just as
impatiently.
Businesses may meet short-term needs with professionally coordinated logistics. Business
entrepreneurs can ensure quick and safe transport, storage and distribution of their goods
to consumers by selecting an experienced team of professionals. These services should be
implemented in a way that adds value to their offerings and guarantees that their goods
arrive at the right time.

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j) Differentiate between logistics and supply chain management.

The management of logistics includes mainly transport functions that concentrate on

short-term objectives. It also focuses on the pacing and cost-efficiency of freight from
point A to object B. In addition, collaborations with lorry companies are established.

Figure 6 shows the difference of Logistics Management and Supply Chain Managements

The supply chain management manages a wider variety of roles and focuses on the long-
term achievement of customer loyalty and benefit maximisation. It also includes supply
and demand management, cost assignment control and all 3PL Technology partnerships.

Logistics Management Supply Chain Management

The process of movement integration and In
and out of maintenance of goods Logistics
organization.
Customer Satisfaction
Single
Fraction of Supply Chain Management
Supply Chain Management is known as
Supply Chain Management for coordination
and management.
Competitive advantage
Multiple
New version of Logistic Management

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k) List the main fields of logistics.

 Procurement logistics.
 Distribution logistics.
 Sales logistics.
 Disposal logistics.
 Reverse logistics.
 Green logistics.
 Global logistics.
 Domestic logistics concierge service.
 Concierge Service.
 RAM logistics.
 Asset Control Logistics.
 POS Material Logistics.
 Emergency Logistics.
 Production Logistics.
 Construction Logistics.
 Capital Project Logistics.
 Digital Logistics.

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l) Select three (3) from the above main fields of logistics and explain their operations
1 . Green Logistics
Green logistics is an initiative of the organization to minimize emissions, to make
operations more sustainable and to reduce the pollution generated by the activities of this
sector. This logistics concept would influence the arrangement of transport, distribution
and storage procedures, structures or systems or equipment. The conventional ways in
which logistics approaches frequently place environmental protection in the context of
decision making. Moreover this green logistik is also planned to strike an ecological-
economic balance.

Figure 7 shows the illustrations of green logistics

The green logistics goals are as follows:

i. Measure the carbon footprint of logistics activities in order to provide a basis for
evaluation and regulation of sustainability initiatives.

ii. To reduce air, soils, water and noise pollution, examine the impact of each logistics
field, particularly those associated with transport.

iii. Rational use of materials by package reuse and recycling.

iv. Providing the supply chain with sustainability. The environmental logistics are often
influenced by the design and packaging of goods in order to minimize their
environmental effects.

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2. Sales Logistics

Figure 8 shows the flow charts of sales logistics

Logistics generally refers to logistics for transactions. This has been always in the past
Transmission to distribution points from delivery centers and logistics storage.

Wholesalers and retailers, for example. But now because of online shopping and e-
commerce, direct delivery is also high in volume. Increased productivity of transport,
transport and delivery as well as reduced inventory are crucial for supplying the required
goods to required workers, whether they are distributed by delivery centres, logistics
warehouses or direct delivery from manufacturing sites. It also tends to increase satisfaction
of customers.

3. Production Logistics

Production logistics is the goods flow, including management Parts and supplies purchased,
plant distribution, stock management, warehouse packaging and shipping. The handling of
the delivery, warehouse dispatch and shipping can be optimized and the delivery vehicles
handled through a smooth connection of logistics for procurement and sales logistics listed
later.

Figure 9 shows the flow charts of

production logistics

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Conclusion
In conclusion, we can identify what logistics is and whether it is very important in our daily
lives. As you know, logistics is a mechanism in which goods are planned and efficiently
transported and processed from the source to the point of use. Logistics also has important
elements as well as logistics processes that we also need to know. Logistics also has various
types and it has various types of processing inside and outside the sites.

I hope that the study I did to some extent helped the students in doing research on what is
logistics as well as the importance of logistics in daily life.

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