SCLM Unit - 1 - 1.1 & 1.2
SCLM Unit - 1 - 1.1 & 1.2
LOGISTICS MANAGEMENT
UNIT-I
INTRODUCTION
1.1Business supply chain and logistics
1.2 Scope , importance, objectives and drivers
1.3 Key issues and best practices in logistics & SCM
1.4 Supply chain strategies
1.5 Performance measurement.
1.6 Outsourcing- Make vs buy approach,
1.7Components of Logistics Management
1.8 Functions of Logistics Management
1.9 Case Study
SCM & Logistics
Supply-Chain. The total sequence of business processes, within a
single or multiple enterprise environments, that enable customer
demand for a product or service to be satisfied.
Supply-Chain Management (SCM). Organisation of the overall
business processes to enable the profitable transformation of raw
materials or products into finished goods and their timely distribution to
meet customer demand.
Logistics. The time-related positioning of resources to meet user
requirements.
Logistics management is the part of the supply chain process that plans,
implements, and controls the efficient, effective flow and storage of
goods, services, and related information from the point of origin to the
point of consumption to meet customer requirements
Bottom-line benefits Integrated Supply Chain
Process
• Improved customer service and value added—Customer service can
be improved through increased inventory availability, better on-time
delivery performances, higher order fill rates, and lower post-sales
costs.
• Enhanced fixed capital—Fixed capacity is maximized through a
strategic partnership and joint planning that can increase overall
capacity and throughput.
• Utilized asset—Asset utilization can be maximized by increasing
inventory turns and closely aligning supply with demand.
• Increased sales and profitability—The ability to assess outcomes
due to price changes, promotional events, and new product
development can be enhanced through increased visibility resultant
from information sharing among supply chain partners
Importance of Supply Chain Management
• Reduced Costs
• Interconnected Supply Chain
• Information Transfer and Communication
• Better Customer Service
• Agility - Supply chain management is important to allow
organizations to remain agile and be able to handle any
unexpected issue or variability that may occur