Components of physical distribution

1. MARKETING
MANAGEMENT

2. PHYSICAL DISTRIBUTION

3. Components of Physical Distribution
PHYSICAL
DISTRIBUTION
ORDER
PROCESSING
TRANSPORTATION
WAREHOUSING
INVENTORY

4.  Order Processing
• The time gap between placing the order and the
delivery of the product is called order processing.
• The company has to analyze how much time would
it take to process the order.
Components of Physical Distribution

5.  Transportation
• It questions on how the product will reach the
wholesaler or retailer or any channel of
distribution, i.e, by which means of transportation.
• The company will have to evaluate the cost and time
of each alternative in reaching the destination.
Components of Physical Distribution

6.  Warehousing
• It means storage of goods in the godowns.
• It has to decide on where to store, for how long it
is to be stored so that it won’t get spoiled.
Components of Physical Distribution

7.  Inventory
• Inventory means stock.
• It means how much stock the company should
maintain.
• The company has to look into the demand for the
product to identify by how much time the stock will
get exhausted, by what time it has to be restored.
Components of Physical Distribution

8.  Question & Answer
• What do you mean by inventory?
• What is order processing?
• Write notes on the components of physical
distribution.
Components of Physical Distribution

9.  Assignment
• Identify the different modes of transportation used
for transporting products of different nature.
Components of Physical Distribution