1. The concept, characteristics, Important of logistics? * Concept of logistics There are many definitions of logistics, however, we can understand as follows: In a nutshell, Logistics can be understood as the management of inbound and outbound transportation, storage of goods and services as well as related information between the place of origin and the place of consumption in order to meet the requirements of customers. * Characteristics of logistics - First, Logistics is not just a single activity, but includes a series of activities that cover the process of producing products and delivering them to customers - Second, logistics is the process of managing the movement and movement of raw materials, semi-finished products and finished products. - Third, logistics is associated with all stages of the production process. - Fourth, Logistics is an activity to support businesses. - Fifth, Logistics is a high and complete development of freight forwarding services. - Sixth, Logistics is the complete development of Multimodal Transport Operator services (MTO). - Seventh, logistics can only develop effectively when is based on making full use of the achievements of IT. - Eighth, Logistics is the combination of business activities on 3 aspects: Survival, Operational and System Logistics. * Important of logistics The importance of logistics is shown through its role in the economy in general and in each organization in particular: + For the national economy, Logistics plays an important and indispensable role in the production, distribution and circulation of the economy. It helps promote the circulation of goods within the country and contributes to making the country a link in the global value chain. + For businesses, Logistics plays a great role not only in the ability to generate profits but also in improving the company's competitiveness, specifically, affecting the problem of solving effectively between input, output and production business as well as environmental issues. 2. The concept, characteristics, Important of logistics management? * Concept of logistics management Logistics management is a part of SCM that plans, implements and controls the efficient, effective forward and reverse flow and storage of goods, services and related information between the point of origin and the point of consumption in order to meet customers’ requirements. * Characteristics of logistics management - Logistics management is a systematic and rigorous process. - Logistics management is not a single activity, but a series of continuous activities taking place throughout the process from input to output of products. - Logistics management towards the optimization of material and information flows. - Logistics management includes 2 levels: planning and organizing. * Important of logistics management - Logistics management helps to find the optimal solution in the production and supply of products. From there, saving costs and time that businesses have to spend to deliver goods to customers. - Logistics management helps businesses better control their logistics flows, build the most optimal plan for their production and business activities. 17. Operations Management Measurement? The effectiveness of operations management is measured through a number of indicators as follows: - Quality: being right - Speed: being fast - Dependability: being on time - Flexibility: being able to change - Cost: being productive => If businesses want to have a good operations management system, they have to measure these indicators. It will show businesses their competitive advantage in the market, and at the same time evaluate the current state of business operations in order to make relevant economic decisions. 18. Product, Service, and Process Design? * Designing the product or service: The products and services should be designed in such way that they can be created effectively. * Designing the process: Processes should be designed so they can create all products and services which the operation is likely to introduce. => Product/service design has an impact on the process design and vice versa 19. Definition, characteristics, importance and contents of Lean operations? * Definition The key principle of lean is relatively straight forward to understand; it means moving towards the elimination of all waste in order to develop an operation that is faster, more dependable, produces higher quality products and services and, above all, operates at low cost. * Characteristics - The target of lean operation is to eliminate all unnecessary items, only keep things that are required in doing the job. - The ultimate goal of lean operations is to operate at a low cost while still achieving the efficiency. * Importance - Lean operations will help businesses to develop a faster and reliable operation. It also increase the quality of products and services. - With lean operation, businesses will not only operate at low cost but also simplify the operation management because it will eliminate all unnecessary items. * Contents - Lean operations: The 4 elements + Waste elimination + Behavior + Synchronization + Customer focus - Lean operations: The 5Ss Method + Sort (seiri) – Eliminate what is not needed and keep what is needed + Straighten (seiton) – Position things in such a way that they can be easily reached whenever they are needed. + Shine (seiso) – Keep things clean and tidy; no refuse or dirt in the work area + Standardize (seiketsu) – Maintain cleanliness and order- perpetual neatness + Sustain (shitsuke) – Develop a commitment and pride in keeping to standards 20. The definition, characteristics, types and role of transport in logistics? The transport chain? * Definition Transport of goods, from the point of view of logistics management, is the movement of goods in space by human power or means of transport to fulfill the requirements of buying, selling, and storing in the process of production and business. * Characteristics - Transportation of goods is a service product, so it has some special characteristics: intangibility, inseparability, instability and non-storability. - Freight transport links many actors in the overall supply chain. - Transportation contributes a part of added value to the products of the business. * Types - Based on type of transport: railway, waterway, airway,... - Based on the ownership characteristics and level of State regulation: private carrier, contract carrier, common carrier. - Based on the ability to coordinate means of transport: Single-mode transportation, Intermodal transportation, Separate transportation. - Other transportation option: Freight forwarder, transportation broker,.... * Role - The transport system is a bridge to eliminate the space and time gap between production and consumption. - A dynamic and low-cost transportation system will contribute to improving national competitiveness, increasing production efficiency and reducing commodity prices. - From the perspective of the logistics management function in the enterprise, the transportation of goods is like a thread linking production and business operations in different areas of the enterprise. 21. The definition, characteristics, types and role of transport management in logistics? * Definition Transportation management is one of the three key contents of the logistics system in enterprises, having a direct and long-term impact on costs and customer service levels, on the competitiveness of enterprises. It includes the management of all processes involved in the transportation of goods. * Characteristics - Transportation management has a great influence on the production and business process of enterprises - Transport management is one of the three contents of the logistics strategic triangle * Types - Based on management limits + Inbound transport management + Outbound transport management - Based on the mode of transport + Railway transport management + Waterway transport management + Airway transport management + ..... * Role - Helping businesses control the flow of their goods and services. - Optimize the distance to transport materials and goods to and from the business, thereby saving costs. - Contributing to improving the production and business efficiency of enterprises. 22. Economic and service characteristics of the modes of transport? Indicators Railway Waterway Road Airway Pipeline 1. Speed 3 4 2 1 5 2. Continuous 4 5 2 3 1 3. Reliability 3 5 2 4 1 4. Transport 2 1 3 4 5 capacity 5. Flexibility 2 4 1 3 5 6. Cost 3 1 4 5 2 Total point 17 20 14 20 19 Ranking: 1 is best, fastest and cheapest; 5 is worst, slowest and most expensive 23. Definition, characteristics, contents and types of Intermodal Transport and containerization Service? * Definition Intermodal transport is a type of transportation where the transport company will provide the service of coordinating at least two types of transport, using a single document and taking full responsibility for the transportation of the goods. * Characteristics - The outstanding feature of this mode of transport is the freedom to switch vehicles between different modes of transport. - It is a combination of many single transport services together. - Usually presented as a package service. * Contents + Transport companies will provide shippers with a package service to carry goods from one point to another on request. + Although there are many means of transport (need loading and unloading), the transport company will only use a single document and take full responsibility for the transportation of the goods. * Types There are 2 commonly used forms of Intermodal transportation: + Combination of railway and road transport (piggyback) + Combination of waterway and road transport (fishyback) * Containerization Service Container is a special transport device used for the transportation of large volumes of goods. Containers are convenient for transporting goods in one or more different forms. In particular, containerized goods are only loaded and unloaded at the port or place of receipt, not along the way 24. Analysis of Risk in Multi transportation, Policy of transport rate, Documentation management in Transportation? * Risk in multi transportation Due to the fact that it is a combination of many different modes of transport, Multi transportation faces with many different risks. Here are some potential risks when using this kind of transportation: - Goods are not delivered on time - Shipments are not guaranteed to be safe until they arrive at the destination - Goods are easily delivered by mistake, lost, stolen or damaged in transit * Risk in policy of transport rate The policy of transport rates is built on the basis of an agreement between the supplier and the user of the transport service. This means that transport rates will fluctuate greatly depending on the actual situation of the market. This leads to the risk that transport rates will increase, affecting the production and business activities of all businesses. The increase in transport rate can be due to: - The increase of fees at the port of loading and unloading of goods (THC, CFS,...) - The increase in container rental costs (due to the scarcity of containers) - Due to the disruption of the supply chain, the usual shipping routes are blocked. * Risk in documentation management Usually, each shipment will have to go along with a lot of different documents: - Customs declaration - Commercial contract - Invoice - Packing list - Bill of lading - C/O - ...... Such sets of documents are used to assist the consignor and consignee. Therefore, the transportation will be interrupted if the risks of documents occur such as: - The lack of documents on the shipment makes the customs office unable to determine the customs value - Incomplete or incorrect declaration of the shipment makes the information on the document not match the reality - Original documents are faked or stolen, making it impossible for the consignee to receive the goods