Logistics (Byte Size)
In this course we examine logistics. Logistics is concerned with managing the flow of materials through an organisation to the customer. It is concerned with making things happen. It organises inputs (receipts from suppliers), supplies the transformation process (work in progress) and is finally responsible for delivering the output (finished goods) to the customer.
Increasingly, organisations are looking at their products or services as part of a chain or network. They are looking at what they produce and trying to optimise the value of all the inputs from all sources - that is, all the suppliers in the chain of supply. This is called supply chain management. This closer linking between customer and supplier organisations obviously needs much closer integration, and organisations are sharing much more information to achieve this. This involves utilising information technology for sharing data about stock levels, demand and trends. These initiatives use technology such as EPOS (electronic point of sale equipment), EDI (electronic data interchange), scanning and bar-coding.
After participating in this course, you should be able to:
- define logistics
- explain how logistics works in a factory, from goods in to distribution out
- identify the problems involved in stock holding and control
- understand just-in-time (JIT) approaches
- understand the role played by distribution
- identify key performance measures and the role of benchmarking in logistics
- appreciate that logistics strategy is linked to an organisation's corporate strategy.