Objective: To provide the students with the basic elements of the logistics administration and the physical distribution in order to take the right decisions.
Compendia:
a) Total Distribution Concept and logistics administration
b) Customer service, logistics and customer service and customer service vs. cost
c) Channel of distribution strategy, selection of the channel and distribution
d) Warehousing
Total Distribution Concept and logistics administration
Logistics is a broad, far-reaching function which has a major impact on society’s standard of living. In a modern society, we have come to expect excellent logistics services, and tend to notice logistics only when there is a problem. To understand some of the implications to consumers of logistics activities, consider:
a) The difficulty in shopping for food, clothing and other items if logical systems do not conveniently bring all those items together in one place, such as a single store or a shopping mall. Example:
b) The challenge in processing the proper size or style of an item if logistical systems do not provide for a wide mix of products, colors, sizes and styles through the assortment process.
c) The frustration of going to store to purchase an advertised item, only to find out the store’s shipment is late in arriving. Example:
Definition of Logistics Administration
It is important to establish the meaning of the term. Logistics has been called by many names:
a) Business logistics
b) Channel management
c) Distribution
d) Industrial logistics
e) Logistical management
f) Materials management
g) Physical distribution
h) Quick-response systems
i) Supply chain management
j) Supply management
Definition of Logistics Administration
These terms have in common that they deal with the management of the flow of goods and materials from point of origin to point of