The document provides an extensive overview of logistics management, encompassing definitions, types, and essential processes such as procurement, inventory management, and transportation. It discusses various logistics types including inbound, outbound, third-party, and fourth-party logistics, along with their roles in supply chain efficiency. Additionally, the importance of logistics in enhancing customer experience, reducing costs, and improving business value is highlighted.

1. LOGISTICS
MANAGEMENT
By,
Dr.R.ALAGESAN,
Assistant Professor of Economics,
Mannar Thirumalai Naicker College

2. Meaning
• Logistics is the term which generally means the
management of transportation of information, from one
place to another. Logistics involves things like
transportation, inventory, packaging, supplies and
sometimes, social security and warehousing.

3. TYPES OF
LOGISTIC

4. Types of
Logistic • INBOUND LOGISTICS
• OUTBOUND LOGISTICS
• THIRD PARTY LOGISTICS
• FOURTH PARTY LOGISTICS
• DISTRIBUTION LOGISTICS
• REVERSE LOGISTICS

5. BASIS FOR COMPARISON INBOUND LOGISTICS OUTBOUND LOGISTICS
Meaning The influx of raw material and parts,
from suppliers to the manufacturing
plant, is known as inbound logistics.
The outward movement of final goods,
from the company to the end user, is
known as outbound logistics.
Related to Material management and
procurement
Customer service and channel of
distribution
Focuses on Deployment of resources and raw
materials, within the manufacturing
plant.
Movement of finished goods or
product from the business to final
customer.
Interaction Between supplier and the firm Between firm and customers

6. THIRD
PARTY
LOGISTIC
S
Outsourced logistics services, which
encompass anything that involves
management of one or more facets of
procurement and fulfillment activities.
It applies to any service contract that
involves storing or shipping items.
Its service may be a single provider,
such as transportation or warehouse
storage, or it can be a systemwide
bundle of services capable of
handling supply chain management.

7. FOURTH
PARTY
LOGISTIC
S
It is the outsourcing of logistics
operations to a single partner. The
partner will be responsible for
assessing, designing, building,
running and measuring integrated
supply chain solutions for the client.
4PL is
much
suitable for
medium-to-
large
businesses.

8. DISTRIBUTION
LOGISTICS
• Distribution logistics, also known as
sales logistics, deals with the planning,
realisation and control of the
movement of goods. It is an inter-
organisational logistics system, where
the aim is to make the logistics
channel from the supplier to the
customer efficient – especially in terms
of costs and performance.

9. REVERSE
LOGISTICS
• Reverse logistics is a type of supply chain management
that moves goods from customers back to the sellers or
manufacturers. Once a customer receives a product,
processes such as returns, or recycling require reverse
logistics.

10. Logistics
Management
It is the process of organizing and implementing an
operation.
The flow of work from the beginning to the end, in
order to fulfill customer expectations.
tangible goods (such as materials, equipment and
supplies) to food or other consumable items.
Information and its management tools, materials
handling, production packaging, inventory,
transportation, warehousing and sometimes security.

11. SCOPE OF LOGISTIC

13. 1.Network Design: Network Design is one of the prime function performed by process of logistic management.
Logistic manager properly designs a network that denotes the number and location of production plants,
storage houses, equipment for handling of materials etc. These factors are key determinants of efficiency of
logistics and need to be decided with due attention.
2.Procurement: Logistics management monitor the procurement of required materials and equipment for
supporting manufacturing process of organization. It identifies supply sources, places order, manages inbound
transportation, collect, inspect and store materials. All required raw materials of right quality are provided at
right time at a minimum cost.
3.Material Handling: Logistics management involves proper handling of all materials within organization like
raw-materials, equipment’s, semi-finished and final goods. They need to be properly handled within and outside
the manufacturing plant, storage house and transportation terminal. Managers need to ensure that there are no
losses arising out of breakage, spoilage etc.
4.Order Processing: Processing of consumer order is an important aspect of logistics management. It
ensures that all order are timely processes and performs various operations like receiving, handling and
recoding of consumer orders. Logistics management process focuses on reducing the time gap in between the
order receipt and dispatch of consignment. It pays attention on fast processing of order and any delay in
execution of order is avoided.

14. 5.Inventory Management: Logistics managers manages all the inventories of materials in right way. Proper amount of
inventory is maintained at every point of time to facilitation uninterrupted production and regular supply of goods to consumers.
Efforts are made to avoid any blockage of working capital in inventory. Overstocking and understocking of inventory is
prevented and an optimum amount is always maintained.
6.Packaging: Packaging and labelling are very important in logistics management. Packaging involves encasing products in
proper packets for its safety and convenient handling. It makes product attractive and facilitate its sales. Labelling is a process
of giving identification marks to product and defines its packaging and expiry date, ingredients, price, weight or size of product
and instruction for proper handling.
7.Warehousing: It is a logistical operation which aims at creating time utility by safe storage of products from the time in-
between production point to consumption point. Logistic managers properly decide number and location of all warehouses to
be established by company for proper storage of its products.
8.Transportation: Transportation is a logistical activity which refers to movement of goods within and outside the organization.
It creates time utility by delivering goods at right time and in right order. Railways, roadways, waterways, airways and pipeline
are major sources of transportation used. Logisticians choose a right source of transportation by analyzing them in terms of
their cost, speed, reliability, safety and no of its locations.

15. Importance of Logistic
•1. Logistics creates an environment that promotes
business results
•2. Logistics Makes your customers' experience
better
•3. Logistics contributes to increasing the value of a
firm
•4. Logistics assists you in getting your goods to the
right location at the right time.
•5. Logistics contributes to cost reduction and
efficiency improvement
•6. Reduces operational expenses

16. Logistics creates an environment that promotes business
results
• Maintain up-to-to-date communication between
those in the supply chain and everyone who is
impacted by changes
have enough distribution centres or warehouses.
• The productivity rate at which items should be
distributed across warehouses or distribution
centres
• Every month you need to provide an evaluation of
your logistics relationships.
• Revising regularly for improvement

17. Logistics Makes your customers' experience better
• Satisfied customers are a business’s most valuable asset.
• They provide the primary impetus for supply chains in all three
phases: production, marketing, and logistics.
• understanding of their customers’ requirements, preferences, and
desires, and then to work tirelessly to accommodate them.
• convenience of browsing, secure payment options, great product
evaluations, and the overall quality of a thing or service upon
delivery.

18. Logistics contributes to increasing the value of a firm
• The more accessible your items are to your clients, the more
valuable your commodity may become.
• Adding value to clients does not have to mean sacrificing quality or
quantity. Additionally, it relates to accessibility.
• Improved logistics makes your goods more accessible to a broader
audience, sensible company leaders see it as a critical instrument
for delivering value for consumers.
• Increased demand also increases the value of some things as they
become more widely accessible.