This document discusses key concepts in logistics and supply chain management. It covers inventory management, transportation, warehousing, material handling, packaging, and information management. The main points are: inventory management aims to balance stock levels and costs to meet demand, transportation involves moving goods via owned, contracted or public methods, and warehousing provides storage and benefits to logistics systems. Material handling, packaging and information management are also important logistics functions that impact costs and operations.

1. -By Manisha Ajara

2.  1st Step, customer feels the need for certain
products
 Place order
Once Order
Received
Checking the
availability of said
quantity
If not available
start producing
Checking whether
customer’s credit
is satisfactory
Acknowledging
order received
Many Internal
Activities
undertaken
Processcanbeshortenedthrough
theuseofcomputer

3.  Inventory Management involve = required level of
stock to meet customer requirements + ensuring
minimum inventory carrying cost
 Success of an org. depends on management of
inventory level
 Inventory = transportation cost + warehousing
cost + material handling cost etc.
 Increase level of inventory will increase to all costs
 Thus, one of the objective is to reduce inventory
cost
 Without proper inventory management the firm
will not able to meet demand of customers

4.  It is a place where goods are stored until they
are sold.
 Traditionally only known as storage facilitator
but plays important role.
 A firm may have private, public or contract
warehouse
 It should be located near market
 Warehouse provides number of economic and
service benefits to logistical system

5.  Transportation refers to physical movement of
goods
 Transportation is accomplished in three ways
 One’s own fleet – private carriage
 Contract with specialists on long term basis –
contract carriage
 Contract on individual shipments basis – common
carriage
 Determinants of effective transport system
 Cost
 Speed
 Consistency

6. Receipt of
Material
Storage of
Material
Moving to
production unit
Moving of
finished goods to
the warehouse
Then final to the
customer
MaterialHandlingmeans
Right amount of
material
Right material
In a right
condition
At the right place
Right time
Basically it involves moment,
protection, storage and control
of materials

7.  It is an important logistical management function
 It has significant impact on cost and productivity of logistic
system
 Packaging influences both the efficiency and the effectiveness of
logistical operation
Types
Consumer
Packaging
Focuses more on customers
convenience, market appeal and
product protection
Industrial
(Logistic)
Packaging
Focuses on handling, protection
and communication
Storage space

8.  Plays invisible but crucial role
 Need for information
 Demand forecasting and order processing are two
area of logistic depends on information management
 Information is needed for better tactics and strategies
 All functions like transportation, warehousing,
material handling etc. depends on relevant
information

9.  Series of activities designed to enhance
customer satisfaction