Overview of global logistics & scm

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Overview of global logistics & scm

  1. 1. Overview of GlobalOverview of GlobalLogistics & Supply ChainLogistics & Supply ChainManagementManagement
  2. 2. Logistics management coversLogistics management coversScheduling the arrival of materials andother inputsWarehousing and inventory controlStrategic choice of internationalwarehousing facilitiesScheduling productionPackaging, transportation and finaldeliveryAnalysis of transportation costs
  3. 3. Global logisticsGlobal logisticsThe design and management of a systemthat controls the flow of materials into,through and out of the internationalcorporation
  4. 4. 2 major phases of movement of2 major phases of movement ofmaterialsmaterials1. Materials management2. Physical distributions
  5. 5. Major concepts in Global LogisticsMajor concepts in Global Logistics1. The systems concept2. The total cost concept3. The trade-off concept
  6. 6. Global Supply Chain ManagementGlobal Supply Chain ManagementThe activities involved in Supply chain arei. Purchasingii.Manufacturingiii.Logisticsiv.Distributionv.Transportation andvi.Marketing
  7. 7. The International SupplyThe International SupplyChain/Global Supply ChainChain/Global Supply ChainCovers both logistics and operationsIncludes activities such as sourcing,procurement, order processing,manufacturing, warehousing, inventorycontrol, servicing and warranty, customsclearing, wholesaling and distribution
  8. 8. Two main aspects of SCMTwo main aspects of SCM1. Supply chain as a cross-functional entity2. Supply chain as the integrator andcoordinator of production and logisticsactivities
  9. 9. Areas to be considered whileAreas to be considered whilemoving from domestic tomoving from domestic toInternational supply chainInternational supply chain1. Substantial geographical distances2. Forecasting problems/difficulties in foreign markets3. Fluctuations in exchange rates for differentcurrencies4. Demand for great variety of products5. Inadequate infrastructures such as labor skills, availability of supply Supplier quality Lack of local process equipments and technologies Inadequate transportation facilities and Inadequate telecommunication facilities
  10. 10. Global Supply ChainGlobal Supply ChainInventorymanagementPhysicaldistributiontransportationOrderplacementCorporationSuppliers CustomersOrderprocessingtransportationstorageMaterialsmanagementInventorymanagementPhysicaldistributionStorageForward and reverse flows of information, products andfunds
  11. 11. Managing Global LogisticsManaging Global LogisticsTwo major areas of Global Logistics arei. Global sourcing andii.Global distribution
  12. 12. Components of Global LogisticsComponents of Global Logistics Demand forecasting Purchasing Requirement planning Production planning Manufacturing inventory Warehousing Material handling Industrial packaging Finished goods inventory Distribution planning Order processing Transportation Customer service Strategic planning Information technology Marketing SalesMaterialsmanagementLogisticsmanagementPhysicaldistributionSupplychainmgmt
  13. 13. Domestic vs InternationalDomestic vs InternationalLogisticsLogisticsi. Transport Modeii. Inventoriesiii. Agentsiv. Financial riskv. Cargo riskvi. Government agenciesvii. Administrationviii. Communicationix. Insurancex. Packagingxi. Payment
  14. 14. Value additions?Value additions?

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