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© 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
INTEGRATING
SUPPLY CHAIN AND
LOGISTICS
MANAGEMENT
© 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
• Relating marketing Channels, Logistics,
and Supply Chain Management
 Logistics
 Logistics management
 Supply chain
 Supply chain management
SIGNIFICANCE OF SUPPLY CHAIN
AND LOGISTICS MANAGEMENT
© 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
Relating marketing channels, logistics management,
and supply chain management
© 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
The automotive supply chain
© 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
• Supply Chain Management and
Marketing Strategy
• Aligning a Supply Chain with Marketing
Strategy
 Understand the customer
 Understand the supply chain
 Harmonize the supply chain with
the marketing strategy
SIGNIFICANCE OF SUPPLY CHAIN
AND LOGISTICS MANAGEMENT
© 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
• Information’s Role in Supply Chain
Responsiveness and Efficiency
• Electronic data interchanges
• Total Logistics Cost Concept
INFORMATION AND LOGISTICS
MANAGEMENT OBJECTIVE
IN A SUPPLY CHAIN
© 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
How total logistics cost varies with number of
warehouses used
© 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
• Customer Service Concept
INFORMATION AND LOGISTICS
MANAGEMENT OBJECTIVE
IN A SUPPLY CHAIN
© 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
Supply chain managers balance total logistics cost
factors against customer service factors
© 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
• Customer Service Concept
• Lead Time
 Quick response
 Efficient consumer response
• Dependability
• Communication
• Convenience
• Customer Service Standards
INFORMATION AND LOGISTICS
MANAGEMENT OBJECTIVE
IN A SUPPLY CHAIN
© 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
• Third-party logistics providers
• Transportation
KEY LOGISTICS FUNCTIONS
IN A SUPPLY CHAIN
© 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
Advantages and disadvantages of five modes of
transportation
© 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
• Transportation
• Railroads
 Intermodal transportation
KEY LOGISTICS FUNCTIONS
IN A SUPPLY CHAIN
© 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
• Transportation
• Motor Carriers
• Air Carriers and Express Companies
• Freight Forwarders
• Warehousing and Materials Handling
• Order Processing
KEY LOGISTICS FUNCTIONS
IN A SUPPLY CHAIN
© 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
• Inventory Management
• Reasons for Inventory
• Inventory Costs
• Supply Chain Inventory Strategies
 Just-in-time (JIT) concept
 Vendor-managed inventory
• CLOSING THE LOOP:
REVERSE LOGISTICS
KEY LOGISTICS FUNCTIONS
IN A SUPPLY CHAIN

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12 logistics

  • 1. © 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin INTEGRATING SUPPLY CHAIN AND LOGISTICS MANAGEMENT
  • 2. © 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin • Relating marketing Channels, Logistics, and Supply Chain Management  Logistics  Logistics management  Supply chain  Supply chain management SIGNIFICANCE OF SUPPLY CHAIN AND LOGISTICS MANAGEMENT
  • 3. © 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Relating marketing channels, logistics management, and supply chain management
  • 4. © 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin The automotive supply chain
  • 5. © 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin • Supply Chain Management and Marketing Strategy • Aligning a Supply Chain with Marketing Strategy  Understand the customer  Understand the supply chain  Harmonize the supply chain with the marketing strategy SIGNIFICANCE OF SUPPLY CHAIN AND LOGISTICS MANAGEMENT
  • 6. © 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin • Information’s Role in Supply Chain Responsiveness and Efficiency • Electronic data interchanges • Total Logistics Cost Concept INFORMATION AND LOGISTICS MANAGEMENT OBJECTIVE IN A SUPPLY CHAIN
  • 7. © 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin How total logistics cost varies with number of warehouses used
  • 8. © 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin • Customer Service Concept INFORMATION AND LOGISTICS MANAGEMENT OBJECTIVE IN A SUPPLY CHAIN
  • 9. © 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Supply chain managers balance total logistics cost factors against customer service factors
  • 10. © 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin • Customer Service Concept • Lead Time  Quick response  Efficient consumer response • Dependability • Communication • Convenience • Customer Service Standards INFORMATION AND LOGISTICS MANAGEMENT OBJECTIVE IN A SUPPLY CHAIN
  • 11. © 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin • Third-party logistics providers • Transportation KEY LOGISTICS FUNCTIONS IN A SUPPLY CHAIN
  • 12. © 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Advantages and disadvantages of five modes of transportation
  • 13. © 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin • Transportation • Railroads  Intermodal transportation KEY LOGISTICS FUNCTIONS IN A SUPPLY CHAIN
  • 14. © 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin • Transportation • Motor Carriers • Air Carriers and Express Companies • Freight Forwarders • Warehousing and Materials Handling • Order Processing KEY LOGISTICS FUNCTIONS IN A SUPPLY CHAIN
  • 15. © 2002 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin • Inventory Management • Reasons for Inventory • Inventory Costs • Supply Chain Inventory Strategies  Just-in-time (JIT) concept  Vendor-managed inventory • CLOSING THE LOOP: REVERSE LOGISTICS KEY LOGISTICS FUNCTIONS IN A SUPPLY CHAIN