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Overview of GlobalOverview of Global
Logistics & Supply ChainLogistics & Supply Chain
ManagementManagement
Logistics management coversLogistics management covers
Scheduling the arrival of materials and
other inputs
Warehousing and inventory control
Strategic choice of international
warehousing facilities
Scheduling production
Packaging, transportation and final
delivery
Analysis of transportation costs
Global logisticsGlobal logistics
The design and management of a system
that controls the flow of materials into,
through and out of the international
corporation
2 major phases of movement of2 major phases of movement of
materialsmaterials
1. Materials management
2. Physical distributions
Major concepts in Global LogisticsMajor concepts in Global Logistics
1. The systems concept
2. The total cost concept
3. The trade-off concept
Global Supply Chain ManagementGlobal Supply Chain Management
The activities involved in Supply chain are
i. Purchasing
ii.Manufacturing
iii.Logistics
iv.Distribution
v.Transportation and
vi.Marketing
The International SupplyThe International Supply
Chain/Global Supply ChainChain/Global Supply Chain
Covers both logistics and operations
Includes activities such as sourcing,
procurement, order processing,
manufacturing, warehousing, inventory
control, servicing and warranty, customs
clearing, wholesaling and distribution
Two main aspects of SCMTwo main aspects of SCM
1. Supply chain as a cross-functional entity
2. Supply chain as the integrator and
coordinator of production and logistics
activities
Areas to be considered whileAreas to be considered while
moving from domestic tomoving from domestic to
International supply chainInternational supply chain
1. Substantial geographical distances
2. Forecasting problems/difficulties in foreign markets
3. Fluctuations in exchange rates for different
currencies
4. Demand for great variety of products
5. Inadequate infrastructures such as
 labor skills,
 availability of supply
 Supplier quality
 Lack of local process equipments and technologies
 Inadequate transportation facilities and
 Inadequate telecommunication facilities
Global Supply ChainGlobal Supply Chain
Inventory
manageme
nt
Physical
distribution
transportat
ion
Order
placement
CorporationSuppliers Customers
Order
processi
ng
transp
ortati
on
storag
e
Materials
manageme
nt
Inventory
managem
ent
Physical
distribution
Storage
Forward and reverse flows of information, products and
funds
Managing Global LogisticsManaging Global Logistics
Two major areas of Global Logistics are
i. Global sourcing and
ii.Global distribution
Components of Global LogisticsComponents of Global Logistics
 Demand forecasting
 Purchasing
 Requirement planning
 Production planning
 Manufacturing inventory
 Warehousing
 Material handling
 Industrial packaging
 Finished goods inventory
 Distribution planning
 Order processing
 Transportation
 Customer service
 Strategic planning
 Information technology
 Marketing
 Sales
Materials
management
Logistics
management
Physical
distribution
Supply
chain
mgmt
Domestic vs InternationalDomestic vs International
LogisticsLogistics
i. Transport Mode
ii. Inventories
iii. Agents
iv. Financial risk
v. Cargo risk
vi. Government agencies
vii. Administration
viii. Communication
ix. Insurance
x. Packaging
xi. Payment
Value additions?Value additions?

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Overview of global logistics & scm

  • 1. Overview of GlobalOverview of Global Logistics & Supply ChainLogistics & Supply Chain ManagementManagement
  • 2. Logistics management coversLogistics management covers Scheduling the arrival of materials and other inputs Warehousing and inventory control Strategic choice of international warehousing facilities Scheduling production Packaging, transportation and final delivery Analysis of transportation costs
  • 3. Global logisticsGlobal logistics The design and management of a system that controls the flow of materials into, through and out of the international corporation
  • 4. 2 major phases of movement of2 major phases of movement of materialsmaterials 1. Materials management 2. Physical distributions
  • 5. Major concepts in Global LogisticsMajor concepts in Global Logistics 1. The systems concept 2. The total cost concept 3. The trade-off concept
  • 6. Global Supply Chain ManagementGlobal Supply Chain Management The activities involved in Supply chain are i. Purchasing ii.Manufacturing iii.Logistics iv.Distribution v.Transportation and vi.Marketing
  • 7. The International SupplyThe International Supply Chain/Global Supply ChainChain/Global Supply Chain Covers both logistics and operations Includes activities such as sourcing, procurement, order processing, manufacturing, warehousing, inventory control, servicing and warranty, customs clearing, wholesaling and distribution
  • 8. Two main aspects of SCMTwo main aspects of SCM 1. Supply chain as a cross-functional entity 2. Supply chain as the integrator and coordinator of production and logistics activities
  • 9. Areas to be considered whileAreas to be considered while moving from domestic tomoving from domestic to International supply chainInternational supply chain 1. Substantial geographical distances 2. Forecasting problems/difficulties in foreign markets 3. Fluctuations in exchange rates for different currencies 4. Demand for great variety of products 5. Inadequate infrastructures such as  labor skills,  availability of supply  Supplier quality  Lack of local process equipments and technologies  Inadequate transportation facilities and  Inadequate telecommunication facilities
  • 10. Global Supply ChainGlobal Supply Chain Inventory manageme nt Physical distribution transportat ion Order placement CorporationSuppliers Customers Order processi ng transp ortati on storag e Materials manageme nt Inventory managem ent Physical distribution Storage Forward and reverse flows of information, products and funds
  • 11. Managing Global LogisticsManaging Global Logistics Two major areas of Global Logistics are i. Global sourcing and ii.Global distribution
  • 12. Components of Global LogisticsComponents of Global Logistics  Demand forecasting  Purchasing  Requirement planning  Production planning  Manufacturing inventory  Warehousing  Material handling  Industrial packaging  Finished goods inventory  Distribution planning  Order processing  Transportation  Customer service  Strategic planning  Information technology  Marketing  Sales Materials management Logistics management Physical distribution Supply chain mgmt
  • 13. Domestic vs InternationalDomestic vs International LogisticsLogistics i. Transport Mode ii. Inventories iii. Agents iv. Financial risk v. Cargo risk vi. Government agencies vii. Administration viii. Communication ix. Insurance x. Packaging xi. Payment