Logistics Effectiveness

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Logistics Effectiveness

  1. 1. Logistics Effectiveness Effectiveness, is key to competing in today’s business environment. Logistics is a process, the supply pipeline which connects you with your vendor/supplier and your customer. Whether you compete domestically or globally. Competitors, vendor/suppliers and customers are worldwide.
  2. 2. Logistic Impact <ul><li>The significant cost of logistic/distribution effects the entire supply chain. </li></ul><ul><li>Logistics importance integrates and develops long lasting alliances between vendors/suppliers and customers. </li></ul><ul><li>Logistics contributes to a competitive advantage, viewed as a comprehensive process objective, making your product more competitive in the marketplace. </li></ul>
  3. 3. Key Issues <ul><li>Movement of product. </li></ul><ul><li>Movement of information. </li></ul><ul><li>Time/Service. </li></ul><ul><li>Cost/Price. </li></ul><ul><li>Integration: Internal, business unit/vendor/supplier, business unit/customer. </li></ul>
  4. 4. Logistic Process <ul><li>Customer requirements. </li></ul><ul><li>Transportation/Distribution costs. </li></ul><ul><li>Inventory requirements. </li></ul><ul><li>Sales forecasting. </li></ul><ul><li>Systems. </li></ul><ul><li>Order/Delivery cycle time. </li></ul><ul><li>Market changes. </li></ul><ul><li>Production/JIT. </li></ul><ul><li>Procurement. </li></ul>
  5. 5. Questions <ul><li>How does your business unit measure up? </li></ul><ul><li>Is your logistic/distribution network competitive? </li></ul><ul><li>Does your current logistic/distribution network meet the requirements of your customer? </li></ul><ul><li>Is it effective? </li></ul>
  6. 6. Summary <ul><li>A formal logistics program can/will create a competitive advantage for your business unit. </li></ul><ul><li>Service and cost benefits can distinguish you from competitors. </li></ul><ul><li>A formal logistic network program can/will enhance your status as a supplier globally. </li></ul>

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