Supply Chain Logistics Management

Importance of Logistics to Business Logistics Value Proposition The Work of Logistics Logistics Operations Logistics Operating Structures Supply Chain Logistics Performance

Supply Chain Logistics Management

 Scope of Logistics Logistics Operations

Supply Chain Logistics Management

 Scope of Logistics Logistics Operations

Supply Chain Logistics Management

 Scope of Logistics Logistics Operations

Supply Chain Logistics Management

Importance of Logistics to Business

Manufacturing Consumers Logistics Expenditures Logistics as a Sustainable Competitive Advantage (SCA)

Supply Chain Logistics Management

Importance of Logistics to Business

Manufacturing Consumers Logistics Expenditures Logistics as a Sustainable Competitive Advantage (SCA)

Supply Chain Logistics Management

Importance of Logistics to Business

Manufacturing Consumers Logistics Expenditures Logistics as a Sustainable Competitive Advantage (SCA)

Supply Chain Logistics Management

United States Logistics Costs

100 0900 800 $ billion 700 600 500 400 300 200 100 0

1980 GDP $2.88 trillion Logistics Cost $451 billion 15.7% of GDP Trans. Cost $214 billion 47.5 % of Logistics Cost 1999 GDP $9.26 trillion Logistics Cost $921 billion 9.9% of GDP Trans. Cost $554 billion 60.2 % of Logistics Cost

1980

Year

1999 Transportation

Logistics

Source: Robert V. Delaney, 11th Annual State Of Logistics Report June 5, 2000

Importance of Logistics to Business

Manufacturing Consumers Logistics Expenditures Logistics as a Sustainable Competitive Advantage (SCA)

Supply Chain Logistics Management

Logistics Value Proposition

Service Cost Minimization

Supply Chain Logistics Management

Logistics Value Proposition

Service Cost Minimization

Supply Chain Logistics Management

Logistics Value Proposition

Service
Logistics Service Quality Process Dimensions Logistics Service Quality Outcome Dimensions

Cost Minimization

Supply Chain Logistics Management

Logistics Value Proposition

Service
Logistics Service Quality Process Dimensions
Procedures Contact Information Discrepancy

Logistics Service Quality Outcome Dimensions

Cost Minimization
Supply Chain Logistics Management

Logistics Value Proposition

Service
Logistics Service Quality Process Dimensions Logistics Service Quality Outcome Dimensions
Timeliness Availability Condition Accuracy

Cost Minimization
Supply Chain Logistics Management

Logistics Value Proposition

Service Benefits Cost Minimization

Supply Chain Logistics Management

The Work of Logistics

Order Processing Inventory Transportation Warehousing, Materials Handling, Packaging Facility Network Design

Supply Chain Logistics Management

Integrated Logistics
Order Processing

Facility Network

Inventory

Warehousing, Material Handling

Transportation

The Work of Logistics

Order Processing
order receipt, order assembly, order delivery, invoicing & collection

Inventory Transportation Warehousing, Materials Handling Facility Network Design

Supply Chain Logistics Management

The Work of Logistics

Order Processing Inventory Transportation Warehousing, Materials Handling Facility Network Design

Supply Chain Logistics Management

The Work of Logistics

Order Processing Inventory Transportation Warehousing, Materials Handling Facility Network Design

Supply Chain Logistics Management

The Work of Logistics

Order Processing Inventory Transportation Warehousing, Materials Handling
sorting, sequencing, product modification & assembly, and transportation consolidation

Facility Network Design

Supply Chain Logistics Management

The Work of Logistics

Order Processing Inventory Transportation Warehousing, Materials Handling Facility Network Design

Supply Chain Logistics Management

Logistics Operations
Inventory Flow
Enterprise

Customers

Customer Service

Manufacturing Support

Procurement (Purchasing)

Suppliers

Information Flow

Logistics Operations
Inventory Flow
Customer Service Manufacturing Support Purchasing (procurement) Support

Information Flow

Supply Chain Logistics Management

Logistics Operations
Inventory Flow Information Flow

Supply Chain Logistics Management

Logistics Operating Structures

Echelon Direct Combined

Supply Chain Logistics Management

Logistics Operating Structures

Echelon Direct Combined

Supply Chain Logistics Management

Echeloned Structured Logistics

Supplier

Storage or Consolidation Warehouse

Manufacturer

Wholesalers Warehouse or Distribution Center

Retailer

Customer

Logistics Operating Structures

Echelon Direct Combined

Supply Chain Logistics Management

Logistics Operating Structures

Echelon Direct Combined

Supply Chain Logistics Management

Combined Echelon and Direct Structured Logistics

Supplier

Storage or Consolidation Warehouse

Manufacturer

Wholesaler Warehouse or Distribution Center

Retailer

Customer

Direct Delivery

Supply Chain Logistics Performance

Performance Cycle Structure

Supply Chain Logistics Management

Sources of Performance-Cycle Variation

Total Performance Cycle

Customer Delivery 1/2 1 Time Range - Days 3

10 Time Range - Days

40 Order Transmission 1/2 1 Time Range - Days 3

Order Transportation 2 4 Time Range - Days 1 2 Time Range - Days 10 Order Selection 20

Order Processing 1 2 Time Range - Days 4