Introduction
Source: Leeway Logistics, 2015
Logistics is considered as an operational process which includes activities such as storing, transporting and distribution of physical goods. E- Commerce has made a big change in logistics and distribution processes. Due to introduction of online purchases, way of handling materials have also been changed. Online retail industry is being expanded year to year. According to Goldman Sachs, Online Sales will reach $750B mark by 2016 with annual growth rate of 20%.
There was a need of new logistics processes to successfully manage this growing industry. In early days purchased materials were usually delivered via postal, freight network or parcel. Nowadays in the era of E-commerce the ways of operating logistics functions have been changed with introduction of Mega e-fulfilment centres, parcel hubs centres and parcel delivery centres. In first two centres the orders are sorted by post codes so that they can be dispatched to the correct delivery centres for final delivery at customer’s home. Primary advantage of E-commerce logistics system is real time tracking of materials as organizations can track current status of transit goods such as quantity, location and variety. This helps to improve the efficiency and also helps to operate logistics operations with low cost. Below graph shows the growth of online sales against In-store sales. In the era of online retail industry, logistics and supply chain management are key factors to
Holden E. (2007). Achieving Sustainable Mobility : Everyday and Leisure-Time Travel in the EU. Ashgate Publishing Group. HYPERLINK "http://site.ebrary.com/lib/apus/docDetail.action?docID=10211207" http://site.ebrary.com/lib/apus/docDetail.action?docID=10211207
Supply Chain Management is the integrations of the flows of products and materials, services, information, and financials through the entire supply pipeline from the supplier’s
An organization focuses on many aspects and strategies that address customers’ needs and wants. The organization develops a product that includes many steps such as, product life cycle, type of brand, packaging and labeling, but the final step is how to have their product accessible to the consumer, which is distribution. A distribution channel is the path where products, including their ownership, flow from producer to consumer. There are many paths an organization can choose to send their product. Physical distribution is the actual movement of products from a producer to consumers.
With internet, firms connected in browser or servers to proceed the busniess activities to achieve the customers’ shopping on line. UPS’s e-commerce is becoming global industry step by step which uses logistics services to achieve in the real world with e-commerce in virtual world. UPS uses e-commerce applications (DIAD) to offer kinds of servive, such as choose the style of derlivery service, shippment fees, calculate delivery time, choose the receiving location and son on. DIAD palmtop can record the customers’ signature, and send the data to UPS’s computer centre, then information output, access in the whole world, offer cutomers’ prove or feedback customers’ questions. This is not only help UPS shorten the shippment times and cost, but also make UPS insit on its theory: the best services with cheapest
For any production and distribution to be successful, then it should be able to produce quality goods and products. It should also ensure that the goods get to the customer in good condition and on time among others. This is achieved through efficient and effective production and distribution logistics. Customer orders may face delays in delivery and therefore not meeting customer satisfaction, which could cause problems with customer retention. Analysis of data helps in coming up with the best actions that a manager or a CEO should take. This paper seeks to discover the factors that affect distribution in any given organization.
The way products are moved today has changed dramatically compared to the slow manual process in the past. Initially products were mainly moved on ships. Once rail became available products were able to be moved more quickly on land. Then came trucking and air planes that could be used to move cargo even quicker. These changes occurred slowly over time and each of them still have play an important part in transportation and the supply chain. (http://amhistory.si.edu/onthemove/, n.d.)
Oakden, R., Leonaite, K. (2011). A Framework for Supply Chains Logistics Operations in the Asia Pacific Region. Sydney NSW: McGraw Hill. Chapter 1, Topic: Value chain. (pp. 6).
Minor Logistics Operations Presentatie titel MIRBSLM114OP N.J. Osentoski-Monsma & A. Nielsen-de Vries Lecturers Logistics Room D2.173 osenj@hr.nl / vriad@hr.nl Rotterdam, 00 januari 2007 6-1 Corporate strategy Business strategy Operations Strategy Mission Objectives (cost, quality, flexibility, delivery) Functional strategies in marketing, finance, engineering, human resources, and information systems Strategic Decisions (process, quality system, capacity, and inventory)
In recent years, the impact of E-Commerce (EC) on supply chain (SC) has caught considerable attention. Many companies in the supply chain engage themselves in the field of EC to pursue benefits.
During last two decades, the importance of logistics has been noticed around the world. In global markets, the effects and further developments of logistics and supply chain management for corporate success has increased significantly that result in a large amount of companies have taken actual benefits in logistics, such as reducing costs, enhancing customers ' satisfaction and increasing sales. However, some people are confused with the relationship between logistics and supply chain management, what logistics or logistics management is and what supply chain management is, weather or not that they are the same meaning in operations. Therefore, this essay will argue that logistics management and supply chain management are not exactly the same in operations because of the scope where utilized and some specific activities are similar, but some are different. In the end, this essay will also talk about the reasons for logistics management is a important strategy to manufacturing or service companies.
First I introduce the logistics, logistics is define that the art and science of obtaining, producing and distributing material and product in the proper place and in the proper quantities. It is rapidly involving business disciplines that involve management to be deprecation warehousing, transportation,
The last few years has witnessed a renewed interest in the logistics for both scholars and the commerce industry. The development can be attributed to a number of factors, but the most prominent is the realization by the commerce professionals and scholars of the significant levels of efficiency achievable through effective planning, management, and control of operation processes across the supply chain. Information technology has also contributed to the growing attraction to the field of logistics. Advances in IT have made it possible for organizations to integrate sophisticated decision making systems in their operation processes. The systems have simplified monitoring processes across the chain supply, collection of information, and control of business strategies.
The raise of e-commerce these last years, boosted the e-logistics, which is a new form of logistics that is a globally integrated process requiring performing information systems.
Transport plays a critical role in the supply chain and according to Bhattacharya et al. (2014) it is becoming one of the key components of the whole supply chain valuation for many organizations. Transportation is the movement of good from one location to another. Supply chain is a network of individuals, organizations, activities, resources and technology that is involved in formation and sale of a product, which is from the delivery of source materials from the supplier to the manufacturer, through to the end user. Hopkins (2007) states that supply chain professionals look at whole business procedures, which is from raw materials to manufacturing, wholesaling and retailing. And by
We have several logistics and supply chain management practices that increase the competitive advantage of a business. They include among others lean thinking, information quality, customer relations, strategic alliance and information sharing (Elizabeth, p.14). This section discusses lean thinking and customer relations in the manufacturing and retail markets respectively. The discussion is also based on a critical analysis of recent literature review in logistics and supply chain management.