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What Logistics Management Is

Te-Cheng Yu Dept. of Logistics Management, National Kaohsiung Marine University. What Logistics Management Is. A General Theory of Logistics Practices in Taiwan. Contents. Introduction Focus on Business Logistics Elements of Logistics Management Definition of Supply logistics

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What Logistics Management Is

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  1. Te-Cheng Yu Dept. of Logistics Management, National Kaohsiung Marine University What Logistics Management Is A General Theory of Logistics Practices in Taiwan

  2. Contents • Introduction • Focus on Business Logistics • Elements of Logistics Management • Definition of Supply logistics • Definition of Production logistics • Definition of Distribution logistics • Critical Concepts of LM • Elements of Supply logistics • Elements of Production logistics • Elements of Distribution logistics • Toward a Framework of LM • The End

  3. Introduction • The new paradigm, a science, as a system • Logistics is logic, wisdom, calculations, models, networks, inventories, transportation, distribution, customer service, time-and-place utility, storage, flow, details, optimization, and collaborating. • A set of support activities, being responsive to customer requirements for materials, goods, and services • A science of developingcapabilities and managing the protocols that are responsive to customer-driven service requirements.

  4. Focus on Business Logistics • 商業運籌 • Elements of Business logistics(1) • Inbound logistics vs. Outbound logistics • Supply logistics vs. Distribution logistics • Elements of Business logistics(2) • Supply logistics (供應運籌) • Production logistics (生產運籌) • Distribution logistics (流通運籌)

  5. The Elements of Logistics Management Production Logistics Supply Logistics Distribution Logistics Outgoing & sales Manu- facturing Incoming & stocks The Value Chain

  6. Supply logistics (definition) • Themanaging of supply sources, inventories, transportation, distribution networks, and related activities, and supporting of information to meet the requirements of internal stores or end users • To integrate all processes and related activities by all players in the supply chain, from original suppliers through end users • To specify operation standards for efficient and responsive support of its production . • To develop a network of world-class suppliers, transportation partners and continuous flow capability.

  7. Production logistics (definition) • The science of managing, engineering, and technical activities concerned with production capacity, schedule, and delivery to support manufacturing objectives, plans, and operations. • The science of supplying and maintaining resources to support manufacturing objectives, plans, and operations

  8. Distribution logistics (definition) • The science of developing the Integrated support capabilities that are responsive to customer-driven service requirements and managing protocols that helpinterpret marketing place and solveproblems. • The science of imposing service standards on its distribution system , such as 95% order fill rate, 5-day order cycle, and damage-free delivery……

  9. Critical Concepts of LM • Science: • Logic, math, statistics, models, computers, IT….. • Developing: • Formulating objectives, designing, team effort, partnering • Managing: • Planning, organizing, leading, controlling • Ideologies • Cost, Quality, Time, Safety

  10. Elements of Supply logistics • Capabilities: • Continuous flow, World-class suppliers, Shipment tracking, Transportation network, Inventory Management, Automated materials handling • Protocols • Demand forecasting, MRP or JIT, Strategic Purchasing, Global positioning satellite system, Dedicated contract carriage, Warehouse management system, Automated storage and retrieval systems, Bar codes or RFID

  11. Elements ofProduction logistics • Capabilities: • Design for supportability , Shop floor control, Capacity management, Scheduling, Tradeoffs, WIP control, requirement planning, production planning, manufacturing inventory, material handling , Order tracking • Protocols • Reliability engineering, Modeling, Configuration management, Repair-level analysis, Data management, Life-cycle costing, Training engineering • MPS, MRP, JIT, TQM, ERP, CTM, TPM

  12. Elements ofDistribution logistics • Capabilities: • Customer-driven, Computer systems, Regional distribution centers, Value-added services, Shipment tracking, Carrier management, Information accuracy • Protocols • POS technology replenishment system, E-commerce, MIS, Merchandise labeling/assorting • WWW site, Private fleet, Advance packaging, Vendor-managed inventory

  13. Toward a Framework of LM

  14. The End Logistics Managing Global Advantage Dept. of Logistics Management

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