Essay Question

1) List four(4) primary and secondary logistics activities?

Primary activities	Secondary activities
Customer service	Warehousing
Transportation	Material handling
Inventory management	Purchasing
Information flows and order processing	Protective packaging designed

2) What are the key differences between Logistics and Supply Chain?

Answers :

1) Logistics and Supply Chain functions can overlap. Different companies define them in their own ways. Logistics is generally concerned with strategy and coordination of flows between marketing and production (i.e. transportation and distribution). However, it cuts across many functions such as Supply Chain.

I believe that Supply Chain tends to focus on purchasing and procurement, but not necessarily so. It can include materials, inventory, and production planning. There is also Demand Management which focuses on forecasting, but is sometimes included in either logistics or supply chain functions.

I think there is no formal definition that fits all situations. I recently took a graduate school class, and our textbook put Logistics as the overall strategic glue that crosses multiple functions including demand chain and supply chain, physical flows, information flows and the systems that support them.

I also worked as a Supply Chain consultant for J.D. Edwards and on SAP; however, they put the focus on Supply Chain, not much on Logistics. Personally, I think it there is a matrix relationship between them. It is up to each company to decide what emphasis works best for their goals.

2) The Definition of Logistics

Logistics management is that part of the Supply Chain Management process that plans, implements, and controls the efficient, effective forward and reverse flow and storage of goods, services, and related information between the point of origin and the point of consumption in order to meet customers' requirements.

These are the boundaries and relationships of Logistics Management adopted by the Council of Logistics Management: "Logistics Management activities typically include inbound and outbound transportation management, fleet management, warehousing, materials handling, order fulfillment, logistics network design, inventory management of third party logistics services providers. To varying degrees, the logistics function also includes sourcing and procurement, production planning and scheduling, packaging and assembly, and customer service. It is involved in all levels of planning and execution -- strategic, operational and tactical. Logistics Management is an integrating function, which coordinates and optimizes all logistics activities, as well as integrates logistics activities with other functions including marketing, sales manufacturing, finance and information technology."

The Definition of Supply Chain Management

Supply Chain Management encompasses the planning and management of all activities involved in sourcing and procurement, conversion, and all Logistics Management activities. Importantly, it also includes coordination and collaboration with channel partners, which can be suppliers, intermediaries, third-party service providers, and customers. In essence, Supply Chain Management integrates supply and demand management within and across companies.

These are the boundaries and relationships of Supply Chain Management adopted by the Council of Logistics Management: "Supply Chain Management is an integrating function with primary responsibility for linking major business functions and business processes within and across companies into a cohesive and high-performing.




3) Simple explain four(4) importance of logistic?

Answers:


1) Customer Needs The customers need are very important in the world of logistic. There are a few thing that a customers really need such as provide the service directly to the customer and able to get customer satisfaction.
2) Customer Value When the customer get the satisfaction. The customer will automatically loyal with the service and customer patronage. From that the company will able to gain profit and be more success.
3) Cost Reduction To archive logistic goal, we need reduce cost such as transportation cost. To reduce cost in the transportation we need to use consolidation and mixed strategy.

4) Market Service Expanding 

When we have success in domestic market and company become larger. To be more success we expending to internationally. That will give us a lot of profit and advantages to the company.

4) List three(3) objective of business logistic?

Answers:

-Cost Reduction
-Maximize Customer Service
-Maximize Profit