Lecture Supply chain management: A global perspective – Chapter 7: Logistics. The main contents of the chapter consist of the following: What is logistics? logistics tasks, transportation, warehouse, third-party logistics (3PL) providers. | Chapter 7 Logistics 7-1 Lecture Outline 7-2 What is Logistics? Logistics Tasks Transportation Warehouse Third-Party Logistics (3PL) Providers Copyright 2011 John Wiley & Sons, Inc. What is Logistics? 7-3 Logistics is the business function responsible for transporting and delivering products to the right place at the right time throughout the supply chain organize and manage distribution network requires access to information in real time requires large investments in infrastructure often outsourced Copyright 2011 John Wiley & Sons, Inc. Evolution of Logistics Since the growth of SCM in the 1990s, logistics has been extended to include the movement of goods through the entire supply chain, both upstream and downstream. 7-4 Copyright 2011 John Wiley & Sons, Inc. Types of Logistics Three types of Logistics: Business Logistics moving and storing goods throughout the entire supply chain Military Logistics supporting military needs Event Logistics organizing and deploying resources in . | Chapter 7 Logistics 7-1 Lecture Outline 7-2 What is Logistics? Logistics Tasks Transportation Warehouse Third-Party Logistics (3PL) Providers Copyright 2011 John Wiley & Sons, Inc. What is Logistics? 7-3 Logistics is the business function responsible for transporting and delivering products to the right place at the right time throughout the supply chain organize and manage distribution network requires access to information in real time requires large investments in infrastructure often outsourced Copyright 2011 John Wiley & Sons, Inc. Evolution of Logistics Since the growth of SCM in the 1990s, logistics has been extended to include the movement of goods through the entire supply chain, both upstream and downstream. 7-4 Copyright 2011 John Wiley & Sons, Inc. Types of Logistics Three types of Logistics: Business Logistics moving and storing goods throughout the entire supply chain Military Logistics supporting military needs Event Logistics organizing and deploying resources in preparation for an event 7-5 Copyright 2011 John Wiley & Sons, Inc. Impact on the Organization Look at the Impact on: Operations Marketing Packaging Finance 7-6 Copyright 2011 John Wiley & Sons, Inc. Impact on Operations Logistics plans the timing and quantity of inventory receipts throughout the supply chain Historical Manufacturing long production runs economies of scale, stored excess inventory less frequent, large quantity inventory deliveries 7-7 Copyright 2011 John Wiley & Sons, Inc. Impact on Operations Continued Just-in-Time (JIT) Manufacturing shorter production runs more frequent, small quantity inventory deliveries less safety stock precise timing is essential 7-8 Copyright 2011 John Wiley & Sons, Inc. Impact on Marketing Logistics works with marketing to understand customer requirements, as well as storage and delivery needs right timing of shipments right quantity of shipments 7-9 Copyright 2011 John Wiley & Sons, Inc. Impact on Packaging Logistics makes packaging decisions for