SUBJECT: ELEMENTS OF LOGISTICS & SUPPLY

CHAIN
MANAGEMENT
 LOGISTICS S UPPLY
CHA I
LOGISTICS:
N SUPPLY CHAIN:

The word “logistics” is Supply chain consists of all

derived from the Greek stages that are required
word “logistike” meaning satisfy
to the customer
“the science of computing request. It starts with the
and calculating”. supplier and passes
through the
manufacturing,
distribution and retailer
and finally reaches the
consumer.
 LOGISTICS MANAGEMENT
SUPPLY CHAIN MANAGEMENT
SUPPLY CHAIN •LOGISTICS
MANAGEMENT MANAGEMENT:
:
•The process of planning,
implementing and
Supply chain management controlling the efficient,
(SCM) is the oversight of
materials, information and effective flow and storage
finances as they move in of goods, services, and
process from supplier toto
manufacturer related information from
wholesaler to retailer point of origin to point of
consumer. to consumption for purpose
of conforming to customer
requirement.
 ACTIVITIES INVOLVED IN
LOGISTICS MANAGEMENT
 Order processing

 Inventory management

 Material Planning EL

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 OBJECTIVES OF LOGISTICS
GENERAL OBJECTIVE:
The main objective of logistic system is to ensure that the
right product with quantity and quality move to the right
place through right way to the right customer at the right
time and at right cost.
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Ra pid response
Minimum variance
Quality
IMPORTANCE OF LOGISTICS
 Logistic is the best of trade and business.
 Lead to customer satisfaction through superior
customer service.
 Support critical functions like marketing
and operational.
 TYPES OF LOGISTICS

 Inbound Logistics
 Outbound Logistics
 Third Party Logistics
 Fourth Party Logistics
 Reverse Logistics ATEL
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 TYPES OF LOGISTICS
Inbound Logistics:
Activities associated with
storing and
disseminating inputs to the
receiving,
product such as inputs to the
product such as material
handling, Warehousing,
Inventory Control, Vehicle
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 TYPES OF LOGISTICS
Outbound Logistics:
Activities associated with
collecting, storing and
physically distributing
the product to the
buyers. It includes
Distribution of finished EL
goods, Order processing,
Warehousing,
Material handling ,
Delivery vehicle
Operations, Scheduling,
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Shipping, etc.
 TYPES OF LOGISTICS
Third Party Logistics:
Third party logistics is
the activity of
outsourcing activities
related to Logistics
and Distribution. A
third party logistic firm
may be defined as an
external supplier which
performs all or part of
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 TYPES OF LOGISTICS
Fourth Party Logistics:

Fourth party logistics

provider is a supply chain
integrator that assembles and
manages the resources,
capabilities and technology
of its own organizations with
those of complimentary
service providers to deliver a
comprehensive supply chain
solution to the client.
 TYPES OF LOGISTICS
Reverse Logistics:
Reverse logistic deals with product that flow to the opposite
direction as against standard logistic channels. It
backward
include of hazardous and non hazardous waste,
recycling
flow materials, reuse of product, damaged product
etc.
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 TYPES OF LOGISTICS
Integrated Logistics:
The management &
process
technical through which
supportability
&
support consideration
logistic
are
integrated into the design
taken into account& throughout
The life cycle of
system/equipment & by which
all element of logistic support
are planned, acquired, tested,
& provided in a timely & cost
effective manner.
 LEAD TIME IN LOGISTICS
Logistics Lead Time (LLT) is the delay between the initiation of an
order and the completion of its fulfillment.

The measurement of LLT encompasses the 3 following processes:

1)PROCUREMENT—includes holding any inventory mandatory to
start production (e.g., raw materials, parts, components, recipe
ingredients.)

2) PRODUCTION – includes specification, conceptions, design,

transformation, manufacture, assembly and quality management.

3) DISTRIBUTION – includes planning, allocation, assignment and

tracking of shipment and delivery resources.

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 MANUFACTURING SUPPORT
LOGISTICS
 Streamline Manufacturing Processes Globally:
We manage support logistics at more than 150 manufacturing sites worldwide. Our
customized services include sequencing, line-side feeding, subassembly, kitting and local
engineering, ensuring optimal material flow through every plant—so you can turn
materials into sales faster.
 Produce Results:
Keep tight track of your inventory, boost quality, ratchet up safety and make employee
morale soar. These are among the many benefits Penske manufacturing support logistics
help produce.
 Plan for High Performance:
We help to ensure supplier compliance and improve just-in-time performance so that you
avoid over- or under stocking. We also prepare you for the future with solid planning and
continual adaptation of successful strategies to new realities.
 Work With an Industry Leader:
Penske is at the forefront of the logistic industry, providing support to number of
industry groups, such as the Council of Supply Chain Management Professionals, the
Warehousing Education and Research Council and the American Trucking Association.
 LOGISTICAL MISSION
1)Logistics experimentation with focus on operational vehicle
system effects
2)Scenario-based evolutionary scheduling approach for
assessing future
3) Supply chain fleet capabilities, and scenario generalization
4) Generation of Pareto sets of vehicle fleet solution,
multivariate, cluster and correlation analysis.
5) Development of effects-based measure of performance for
vehicle and distribution systems.
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6) Discrete event simulation
7)Capability-cost trade-off analysis.