Logistics

Logistics is the process of strategically managing the procurement, movement and storage of materials, parts and finished inventory
(and the related information flows) through the organization and its marketing channels in such a way that current and future profitability are maximized through the cost-effective fulfilment of orders.

supply chain management
The management of upstream and downstream relationships with suppliers and customers to deliver superior customer value at less cost to the supply chain as a whole.
A network of connected and interdependent organisations mutually and co-operatively working together to control, manage and improve the flow of materials and information from suppliers to end users.

successful companies either have a cost advantage or they have a value advantage, or a combination of the two. Cost advantage gives a lower cost profile and the value advantage gives the product or offering a differential ‘plus’ over competitive offerings.

the goal is to achieve competitive advantage through both cost reduction and service enhancement.

The value chain
To gain competitive advantage over its rivals, a firm must deliver value to its customers by performing these activities more efficiently than its competitors or by performing the activities in a unique way that creates greater differentiation.

organizations should look at each activity in their value chain and assess whether they have a real competitive advantage in the activity. If they do not, the argument goes, then perhaps they should consider outsourcing that activity to a partner who can provide that cost or value advantage.

The supply chain and competitive performance organizations create superior value for customers and consumers by managing their core processes better than competitors manage theirs.
These core processes encompass such activities as new product development, supplier development, order fulfilment and
customer