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Business Logistics Management. 1. Introduction. Business Logistics Definition. Supply Chain. Activity Mix. Importance of Logistics. Costs are significant Supply and distribution lines are lengthening Logistics is important to strategy Logistics adds significant customer value
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Business Logistics Management 1. Introduction
Importance of Logistics • Costs are significant • Supply and distribution lines are lengthening • Logistics is important to strategy • Logistics adds significant customer value • Customer increasingly want quick customized response
Customers, demand centers sinks Field Warehouses: stocking points Sources: plants vendors ports Regional Warehouses: stocking points Supply Inventory & warehousing costs Production/ purchase costs Transportation costs Transportation costs Inventory & warehousing costs