Role of Logictics

1.2 What specific role does logistics play in supply chain operations? Logistics is the primary conduit of product and service flow within a supply chain arrangement. It is the work required to move and to position inventory throughout a supply chain. It is a combination of order management, inventory, transportation, warehousing, material handling and packaging as integrated throughout a facility network. Logistics is essential for effective supply chain connectivity.

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1.4 Compare and contrast anticipatory and responsive business models. Why has responsiveness become popular in supply chain strategy and collaboration?

1.5 Compare and contrast manufacturing and geographic postponement. The vision of manufacturing is one of products being manufactured one order at a time with no preparatory work or component procurement until exact customer specifications are fully known and purchase confirmation is received. Geographic postponement is the exact opposite of manufacturing postponement. The basic notion of geographic postponement is to build and stock a full line inventory at one or a limited number of strategic locations.

2.1 Illustrate a common trade-off that occurs between the functional areas of logistics. Price, costs, product, place/customer service levels, inventory carrying costs, lot quantity costs, warehousing costs, transportation costs, etc…

2.4 Describe the logistics value proposition. Be specific regarding specific customer relationships and cost. The key to achieving logistical leadership is to master the art of matching operating competency and commitment to key customer expectations and requirements. This customer commitment, in an exacting cost framework, is the logistics value proposition. Logistics is all about providing the essential customer service attributes at the lowest possible total cost. Such customer relationship management, in an exacting cost framework is the logistics value proposition.

2.6 Discuss uncertainty as it relates to the overall logistical performance cycle. Discuss and illustrate how performance cycle variance can be controlled.

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