Transportation flow
Information flow
Production/storage
Logistic Process Figure: Logistic Framework
The figure above shows the logistic process how it works from raw material to end user. Logistics is one of the main functions within a company. Logistics is the management of the flow of goods between the point of origin and the point of destination in order to meet the requirements of customers or corporations. Logistics involves the integration of information, transportation, inventory, warehousing, material handling, and packaging, and often security.
Inbound logistics is one of the primary processes and it concentrates on purchasing and arranging inbound movement of materials, parts and finished inventory from suppliers to manufacturing or assembly plants, warehouses or retail stores where as outbound logistics is the process related to the storage and movement of the final product and the related information flows from the end of the production line to the end user.
Firstly, the process starts with the procurement activity which is the process of selecting the best supplier who provide the higher quality of raw material, components, packaging items, product sourcing, and bought in parts at the lowest price to support the company’s operations. McDonald is not just ensures on time delivery of raw materials but also enables it to cut down on its cost and maximize profitability along with maintaining highest quality standards of its products. Then, the manufacturer will process the raw material such as beef into hamburger meats. This involves the production process and work in process. Thus, the McDonald’s manufacturer must ensure that the process work effectively in order to meet the standards of performance.
Secondly, it comes to the packaging process McDonald will box all the hamburger meats into a separately boxes to maintain the quality of meat. In the packaging process, the boxes