This document summarizes key aspects of integrated logistics management for a group project. It discusses objectives of integrated logistics such as efficiency and reducing costs. It also outlines various logistics functions like inventory management, transportation, order processing, warehousing, and supply chain modeling. The overall goal of integrated logistics is to get products to customers in the right quantity, place, time and condition at an acceptable cost.

1. Integrated Logistics
Management - Group Work
Group Members:
• Brayan Baldeon
• Luis Ordoñez Zeas
• Karla Pacheco Vera
• Teresa Revelo
Navarro 0,5
• Maria Jose Basurto 0,5
• Maria Gabriela Garcia
• Cristina Medina 0,5
Lecturer: Mr. Max
Galarza
Date: 19-08-2015
GRADE: 9

2. Integrated Logistics
 Integrated logistics give full assistance to
the company in terms of inventory
control, transportation systems and any
other matter related to the field of
distribution.

3. Objective
 Integrated logistics, aims to achieve
greater efficiency in the supply chain
placing the products in the desired
location and at the right time. Thus,
integrated with a comprehensive logistics
service company get gain flexibility,
reduce costs, minimize response time,
better serve their customers and increase
the profitability of their production
process.

4. OBJETIVE OF SUPPLY CHAIN
MANAGEMENT – ILM.
 Raw material and other acquisition costs
 In-bound transportation costs
 Facility investment costs
 Direct and indirect manufacturing costs
 Direct and indirect distribution center costs
The traditional objective of supply chain management is to
minimize total supply
chain cost to meet fixed and given demand.

6. ORDER PROCESSING
 Order processing starts with the receipt of an order from a
customer. The first step in most order-processing systems is to
verify the accuracy of the order
 The next step is to verify the customer’s credit or ability to pay.
After determining from which inventory point to ship the goods,
instructions are sent to that warehouse to fill the order. At the
warehouse an “order picking list” is given to a warehouse worker,
who assembles the specific order.
 In the packing area, it is checked and packed for shipment, and
the package is labeled. The traffic manager prepares the
transportation documents and notifies a carrier to pick up the
shipment.
 An invoice for the goods is sent to the buyer, and various
inventory and financial records are updated.
 The shipper uses the term “order cycle” to indicate the span of
time between receiving and shipping the order. The buyer uses
the phrase to indicate the span of time between placing and
receiving the order.

8. Managing Inventory
It has been
established that the
role of inventory
management is to
ensure that stock is
available to meet the
needs of the
beneficiaries as and
when required.
Inventory represents a
large cost to the
humanitarian supply chain.
This is made up of the cost
of the inventory itself, plus
the cost of transporting the
goods, cost of managing the
goods (labor, fumigation,
repackaging, etc) and
keeping the goods in
warehouses. The inventory
manager's job is to make
inventory available at the
lowest possible cost
To achieve this, the
inventory manager must
constantly liaise with the
programs to keep abreast
of changing needs and
priorities. The warehouse
must always have
sufficient stocks to cover
the lead-time for
replacement stocks to
avoid stock-outs.

9. TRANSPORTATION
Transport is responsible for moving
finished products, raw materials and
inputs, between companies and customers
that are geographically dispersed, and adds
value to products transported when they
are delivered on time, undamaged and in
the required amounts.
Common forms of transportation include:
• Ground transportation: Trucks, cars
• Air transport: Planes
• Wather transportation: Vessels
• Pipeline
• Rail transportation: Train

10. THE OBJECTIVE:
Getting the right product to the right place, in the right quantity,
at the right time, in the best condition and at an acceptable cost
in order to satisfy customers’ demands.

11. Warehouse and distribution strategies
often involve temporary, seasonal or
long-term warehousing, or can require a
partner to help manage supply chains.
Employs a unique combination of
warehousing and regional distribution
solutions that deliver dependable
resources and cost-effective solutions to
fulfill your receiving, staging and delivery
requirements.
Warehousing Solutions
We can quickly get you in and out of
markets without long-term commitments
and unnecessary capital
commitments.Warehousing gives you the
flexibility to adapt the amount of products
being warehoused and helps you gain
control over your costs and changing
market conditions. It also increases your
speed to market and reduces fixed costs.

12. INTEGRATED LOGISTIC
NETWORK
 These network performance target areas
are dedicated to the overall optimum of a
logistic network and in addition, finally
contibute to a very large extent to
improvements in transcorporate as well as
corporate logistics with respect to quality,
costs, delivery and flexibility.

13.  Target area supply chain collaboration:
objective are to achieve strategic alignment
as well as integrated and collaborative
business processes.
 Target area supply chain coordination:
objective is to achieve a seamless
information and material the entire supply
chain.
 Target area supply chain
transformability: The better the entire
network is prepared for future changes in
customer demand and new market
requirements.

14. OVERVIEW OF SUPPLY
CHAIN MODELS
Analytical IT involves the implementation and
application of type of mathematical models.
Descriptive models that modeling practitioners
develop to better understand functional
relationships in the company and the outside
world.

15. FORECASTING
MODELS
Predict demand for the
company’s finished
products, the cost of
raw materials, or other
factors, based on
historical data.
COST
RELATIONSHIPS
Describe how direct
and indirect costs vary
as functions of cost
driver
RESOURCE
UTILIZATION
Describe how
manufacturing
activities consume
scarce resources.
SIMULATION
MODELS
Describe how all or
parts of the company’s
supply chain will
operate over time as a
function of parameters
and policies.
OVERVIEW
OF SUPPLY
CHAIN
MODELS

16. EFFECTIVE LOGISTICS MANAGEMENT
OPERATION:
1. Increase revenue.
2. Improve operating cost structure.
3. Reduce overall transportation costs.
4. Improve customer service.
The management- oriented integration of all logistics functions
and processes becomes more important, because its
conditioning not only effective organizationand enterprise
modernization, but its also opening new possibilities of solving
problems and using potential effects in the operating and the
strategies.

17. Netgraphy
 http://log.logcluster.org/response/wareho
use-management/
 http://www.choicesmagazine.org/2005-
4/supplychain/2005-4-14.htm
 http://pymerang.com/logistica-y-supply-
chain/logistica/distribucion/modelos-de-
distribucion/309-logistica-de-distribucion
 http://www.logility.com/solutions/transpor
tation-and-logistics-optimization