This document provides an overview of a certificate program in supply chain logistics management. It covers key topics such as the origin and evolution of logistics, the perspective of product owners, logistics service providers, and components of global logistics. The introduction defines logistics and discusses its evolution from military use to various business applications. It also explains concepts like shippers, consignees, carriers and different types of logistics players from 1PL to 4PL. The components section outlines the core areas of transportation, storage, documentation and risk/insurance. Overall, the document aims to introduce foundational logistics concepts and topics that will be covered in the certificate program.

1. CERTIFICATE IN
SUPPLY CHAIN LOGISTICS
MANAGEMENT
R. Ravindran
Email: ravi311@outlook.com
A domain specialisation program by

2. WELCOME TO
MALAYSIA!

3. Transportation
• Sea
• Air
• Rail – Road
• Pipeline
Storage
• Warehousing
• Distribution
Documentation
• Incoterms
• Shipping docs
Insurance
• Cargo
insurance
• Marine
insurance

4. Part A – Introduction to Logistics
1. What is global logistics?
1.1 Origin of the term “logistics”
1.2 Evolution of the supply chain process
1.3 Perspective of the “owner” of the product or
service
1.4 Classification of logistics service providers
2. Components of global logistics
2.1 Transportation by air – sea – road – rail -
pipeline
2.2 Storage
2.3 Value added services

5. Part A – Introduction to Logistics
1. What is global logistics?
1.1 Origin of the term “logistics”
1.2 Evolution of the supply chain process
1.3 Perspective of the “owner” of the product or
service
1.4 Classification of logistics service providers
2. Components of global logistics
2.1 Transportation by air – sea – road – rail -
pipeline
2.2 Storage
2.3 Value added services

6. 1.1 ORIGIN OF THE TERM
“LOGISTICS”

7. 1.1 ORIGIN OF THE TERM
“LOGISTICS”
Originated from the military
The science of
 the movement,
 supplying, and
 maintenance
of military forces in the field

8. 1.1 ORIGIN OF THE TERM
“LOGISTICS”
Logistics is the management of the
 flow of goods,
 services and
 information
between the point of origin and the
point of consumption.
Definition

9. 1.1 ORIGIN OF THE TERM “LOGISTICS”
LOGISTICS CATEGORIES
 Military Logistics
 Business Logistics
 Event Logistics
 Service Logistics

10. 1.1 ORIGIN OF THE TERM “LOGISTICS”
LOGISTICS CATEGORIES
 Military Logistics:

11. 1.1 ORIGIN OF THE TERM “LOGISTICS”
LOGISTICS CATEGORIES
 Military Logistics:
design and integration of
all aspects of support for
the operational capacity
of the military forces, and
their equipment to
ensure readiness,
reliability, and efficiency.

12. 1.1 ORIGIN OF THE TERM “LOGISTICS”
LOGISTICS CATEGORIES
 Business Logistics:

13. 1.1 ORIGIN OF THE TERM “LOGISTICS”
LOGISTICS CATEGORIES
 Business Logistics:
supply chain process that plans,
implements, and controls the efficient,
effective flow of goods, services, and
related information from the point of
origin to the point of use or
consumption in order to meet
customer requirements.

14. 1.1 ORIGIN OF THE TERM “LOGISTICS”
LOGISTICS CATEGORIES

15.  Event Logistics:
1.1 ORIGIN OF THE TERM “LOGISTICS”
LOGISTICS CATEGORIES

16.  Event Logistics:
network of activities,
facilities, and personnel
required to organize,
schedule, and deploy the
resources for an event to
take place and to efficiently
withdraw after the event
Example - Cricket game, F1
race, Olympics
1.1 ORIGIN OF THE TERM “LOGISTICS”
LOGISTICS CATEGORIES

17.  Service Logistics:
acquisition, scheduling, and
management of the facilities/assets,
personnel, and materials to support
and sustain a service operation or
business.
Example - tsunami relief operations
1.1 ORIGIN OF THE TERM “LOGISTICS”
LOGISTICS CATEGORIES

18. PART A – INTRODUCTION TO
LOGISTICS
1. What is global logistics?
1.1 Origin of the term “logistics”
1.2 Evolution of the supply chain
process
1.3 Perspective of the “owner” of the product or
service
1.4 Classification of logistics service providers
2. Components of global logistics
2.1 Transportation by air – sea – road – rail -
pipeline
2.2 Storage
2.3 Value added services

19. Nature’s
supply
chain
process
1.2 EVOLUTION OF THE SUPPLY CHAIN
PROCESS

20. The human factor in supply chain
1.2 EVOLUTION OF THE SUPPLY CHAIN
PROCESS

21. Human in nature’s supply chain
1.2 EVOLUTION OF THE SUPPLY CHAIN
PROCESS

22. Human in nature’s supply chain
1.2 EVOLUTION OF THE SUPPLY CHAIN
PROCESS

23.  We manipulate the supply and demand to
achieve consistent food supply
 We re-define the environment for our
survival and comfort
 We have ever increasing expectations
The need for a man-made
SUPPLY CHAIN PROCESS
Human in nature’s supply chain
1.2 EVOLUTION OF THE SUPPLY CHAIN
PROCESS

25. Your daily coffee – tea – sugar
– creamer – biscuits –
chocolates … how did they
get to you ??
What is logistics for the man-on-the-
street?
1.2 EVOLUTION OF THE SUPPLY CHAIN
PROCESS
FORUM

26. List 3 items that come from
outside your country
List 3 items that come from
outside your city
What is logistics for the man-on-the-
street?
1.2 EVOLUTION OF THE SUPPLY CHAIN
PROCESS
FORUM

27.  List 3 items that come from outside
your country
 List 3 items that come from outside
your city
Explain how they got here
What is logistics for the man-on-the-
street?
1.2 EVOLUTION OF THE SUPPLY CHAIN
PROCESS
FORUM

28. PART A – INTRODUCTION TO
LOGISTICS
1. What is global logistics?
1.1 Origin of the term “logistics”
1.2 Evolution of the supply chain process
1.3 Perspective of the “owner” of the
product or service
1.4 Classification of logistics service providers
2. Components of global logistics
2.1 Transportation by air – sea – road – rail -
pipeline
2.2 Storage
2.3 Value added services

29. CHOCOLATE BREAK
Shall we check out some Cadbury
chocolate éclairs from Malaysia
specially brought to you!

30. Kinder Bueno- Italian chocolate
1.3 PERSPECTIVE OF THE “OWNER”
OF THE PRODUCT

31. Un-winding the chocolate bar
1.3 PERSPECTIVE OF THE “OWNER”
OF THE PRODUCT

32. Un-winding the chocolate bar
1.3 PERSPECTIVE OF THE “OWNER
OF THE PRODUCT

33. Un-winding the chocolate bar
1.3 PERSPECTIVE OF THE “OWNER
OF THE PRODUCT

34. RAW MATERIALS:
Where did the cocoa come from?
What about the milk?
CHOCOLATE
Where was it made?
What happened after it is made?
Where was it sold?
What happens if it is spoilt?
Un-winding the chocolate bar
1.3 PERSPECTIVE OF THE “OWNER
OF THE PRODUCT

35. THE COCOA SUPPLY CHAIN PROCESS

36. THE MILK SUPPLY CHAIN PROCESS

37. THE CHOCOLATE SUPPLY CHAIN PROCESS

38. Where are the “logistics elements” in the
chocolate supply chain process?

39. Write down all the steps
involved from the factory until
the chocolate reaches Big
Bazaar in Mumbai
Steps in the chocolate supply chain
1.3 PERSPECTIVE OF THE “OWNER
OF THE PRODUCT

40. Source for
cocoa-milk
Receive
cocoa
Store in dry
warehouse
Receive
milk
Store in
cool
warehouse
Produce
chocolate
Wrap
chocolate
Steps in the chocolate supply chain
1.3 PERSPECTIVE OF THE “OWNER
OF THE PRODUCT

41. Pack
chocolate
according to
type
Label
chocolate
with
barcode
Pack into
cartons
Receive
order from
Big Bazaar
Consolidate
according to
order from
Big Bazaar
Ship to
Mumbai
Store in cool
warehouse
Steps in the chocolate supply chain
1.3 PERSPECTIVE OF THE “OWNER
OF THE PRODUCT

42. Deliver to
Big Bazaar
per
schedule
Bill Big
Bazaar
Collect
payment
Collect
rejects
Re-work
and
investigate
rejects
Collect
expired
products
Dispose
expired
products
Steps in the chocolate supply chain
1.3 PERSPECTIVE OF THE “OWNER
OF THE PRODUCT

43. What does the owner
want??
Steps in the chocolate supply chain
1.3 PERSPECTIVE OF THE “OWNER
OF THE PRODUCT

44. What does the owner want??
 Someone to handle everything
except produce his product
 Customers to buy his product
 Customers to return for more
Steps in the chocolate supply chain
1.3 PERSPECTIVE OF THE “OWNER
OF THE PRODUCT

45. What is traditional
commercial logistics?
1.Transportation: air
freight, sea freight –
trucking – pipelines
2.Storage: godowns
to warehouses

46. What is commercial logistics?
else
1. Source for cocoa-milk
2. Receive cocoa- keep in low
humidity warehouse
3. Receive milk – keep in
temperature controlled warehouse
4. Produce chocolate
5. Wrap chocolate
6. Pack chocolate according to type
7. Label chocolate with barcode
8. Pack into cartons

47. What is commercial logistics?
else
9. Receive order from Big Bazaar
10. Mix and consolidate according to
order from Big Bazaar
11. Ship to Mumbai – hold in
temperature controlled warehouse
12. Deliver to Big Bazaar according to
schedule
13. Bill Big Bazaar
14. Collect payment
15. Collect rejects/expired products
16. Manage rejects and expiry

48. NOW
WHAT
IS
LOGISTICS?
Reject / returns logistics
Billing & Collection
Delivery to shop
Packing & Labelling
Inventory management
Storage
Transport of Finished Goods
Production
Transport of Raw Materials
Insurance
Raw Material logistics
Raw material sourcing

49. PART A – INTRODUCTION TO
LOGISTICS
1. What is global logistics?
1.1 Origin of the term “logistics”
1.2 Evolution of the supply chain process
1.3 Perspective of the “owner” of the
product or service
1.4 Classification of logistics service
providers
2. Components of global logistics
2.1 Transportation by air – sea – road – rail - pipeline
2.2 Storage
2.3 Value added services

50. PART A – INTRODUCTION TO
LOGISTICS
1. What is global logistics?
1.1 Origin of the term “logistics”
1.2 Evolution of the supply chain process
1.3 Perspective of the “owner” of the
product or service
1.4 Classification of logistics service
providers
2. Components of global logistics
2.1 Transportation by air – sea – road – rail -
pipeline
2.2 Storage
2.3 Value added services

51. CLASSIFICATION OF LOGISTICS
SERVICE PROVIDERS
Explain the term
“shipper”
Explain the term
“consignee”

52. CLASSIFICATION OF LOGISTICS
SERVICE PROVIDERS
Explain the term
“shipper”
• Shipper is the
person or
company who is
usually the
supplier or owner
of commodities
shipped.
• Also called
Consignor
Explain the term
“consignee”

53. CLASSIFICATION OF LOGISTICS
SERVICE PROVIDERS
Explain the term
“shipper”
Explain the term
“consignee”
• Consignee is the
party shown on the
bill of lading or air
waybill to whom the
shipment is
consigned.
• Need not always be
the buyer, and in
some countries will
be the buyer's bank.

54. CLASSIFICATION OF LOGISTICS
SERVICE PROVIDERS
Explain the term
“carrier”
Explain the term
“notify party”

55. CLASSIFICATION OF LOGISTICS
SERVICE PROVIDERS
Explain the term
“carrier”
• Carrier is a
person or
company that
transports
goods
Explain the term
“notify party”

56. CLASSIFICATION OF LOGISTICS
SERVICE PROVIDERS
Explain the term
“carrier”
Explain the term
“notify party”
• Notify Party is
the person or
company to be
advised by the
carrier upon
arrival of the
goods at the
destination port

57. LOGISTICS PLAYERS
1PL = First party Logistics
2PL = Second party Logistics
3PL = Third party Logistics
4PL = Forth party Logistics
Logistics players (service providers) can be
classified into 4 categories

58. LOGISTICS PLAYERS
“Logistics”
1PL
2PL
3PL
1st party logistics
shipper or
consignee
eg. manufacturers,
growers, miners,
processors,
assemblers
Owners of goods

59. LOGISTICS PLAYERS
“Logistics”
1PL
2PL
3PL
2nd party logistics
eg. truck company,
shipping company,
airline, NVOCC,
warehouse
Actual service
providers

60. LOGISTICS PLAYERS
“Logistics”
1PL
2PL
3PL 3rd party logistics
“Outsourcers”
Use own asset +
outsource other
services
Growing
phenomena in
logistics

61. LOGISTICS PLAYERS
“Logistics”
1PL
2PL
3PL
4PL 4th party logistics
“Complete
outsourcers”
Act as service
consolidators
No asset
Outsource everything
with optimum value

62. PART A – INTRODUCTION TO
LOGISTICS
1. What is global logistics?
1.1 Origin of the term “logistics”
1.2 Evolution of the supply chain process
1.3 Perspective of the “owner” of the
product or service
1.4 Classification of logistics service
providers
2. Components of global logistics
2.1 Transportation by air – sea – road – rail -
pipeline
2.2 Storage
2.3 Value added services

63. COMPONENTS OF
LOGISTICS
Prof. Dr. Klaus-Michael Fortmann
“Logistics define is defined as the
integrated planning, application, usage and
control of
 all kinds of transport processes,
 the storage of goods and
 the corresponding information processes
within companies and between
companies.”

64. COMPONENTS OF
LOGISTICS
Prof. Dr. Klaus-Michael Fortmann
“Logistics define is defined as
the integrated planning,
application, usage and control of
 all kinds of transport
processes,
 the storage of goods
and
 the corresponding
information
processes
within companies and between
companies.”
Transport
Storage
Information

65. Transportation
• Sea
• Air
• Rail – Road
• Pipeline
Storage
• Warehousing
• Distribution
Documentation
• Incoterms
• Shipping docs
Risk n
insurance
• Cargo
insurance
• Marine
insurance

66. ESSENCE OF
LOGISTICS
with the right information
within the right cost
at the right time
at the right place
to the right customer
in the right condition
in the right quantity
the right product

67. QUIZ
 Name 3 things that you learnt from
this session
 Explain the supply chain process of
coffee
 What is meant by 1PL and 2PL?
 What is meant by 3PL?

68. INDUSTRY FACTS
Discussion:
 Importance of logistics in
international business.
 Name some large world sea ports
 Video: Vallarpadam container terminal

69. Moving on to next segment
R. RAVINDRAN
Email:
ravi311@outlook.com
Biography:
www.ravi.com.my
Facebook:
www.facebook.com/ravi311