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Logistics: What It Means and How Businesses Use It

Logistics: What It Means and How Businesses Use It

A second 777 freighter is expected to enter service during the third quarter, doubling cargo capacity and the number of weekly flights. Three top areas where ERP benefits logistics are inventory control, staff management and product distribution. Enterprise resource planning software integrates a variety of applications that together constitute the flow of information within the company. This happens to also make ERP a powerful logistics tool as it enables effective order fulfillment.


All provide a competitive advantage that, unlike pricing or other actions, is hard for competitors to duplicate. And they all are based on nontraditional approaches to logistics, encompassing those activities that facilitate product movement and the coordination of supply and demand in accomplishing specified cost and service objectives, as suggested in Exhibit I. So the entrepreneur decided to found a private-label bleach manufacturing company near Boston. This location provided his company with a distinct transport cost advantage over its chief competitor.


Using analytics and big data, the software can analyze the shipping history and improve clients’ operations that will minimize logistical costs and reduce shipment delivery times. Applying Business Intelligence, the software can develop performance metrics and KPIs, and create computer models to predict supply chain issues. Production logistics is the flow of goods that includes the management of procured parts and materials, distribution inside a factory, product management, packaging, and shipping to warehouse. Delivery management, warehouse dispatch management, and shipping management can be optimized and the state of delivery vehicles can be managed by smoothly linking procurement logistics and sales logistics described later.

Working as an integral part of your team, we have the logistics industry expertise to support your business and add value across your supply chain. ASCM is an unbiased partner, connecting companies around the world with industry experts, frameworks and global standards to transform supply chains. The ASCM Foundation was established to maximize the extraordinary opportunity to create a better world through supply chain. The company purchased the used Boeing 777 aircraft last year to increase its line-haul transport capabilities for better control and speed of deliveries. Central Airlines is operating the cargo jet three to four times per week from Shenzhen to Paris on behalf of Zongteng subsidiary YunExpress.


A distributed, autonomous system could be deployed to mitigate these risks and foster cooperation at the same time. Such system could be provably unbiased, protect the data of the individual companies, and enable very tight cooperation at the same time. Operations include the following components that need to be considered and coordinated to ensure efficient operation.


This means that the company has to have a clear understanding or assessment of company’s strategic direction. One of the greatest expenses in any warehouse is staffing, so reducing picking time is a money saver. Inventory management software can show staff exactly where items are shelved and the best routes to take when pulling more than one item. Plan for the necessary upsizing and downsizing in staffing to meet demand. 集運 ’ll need policies to guard against theft without making your people feel over-policed.

Second, it must factor logistics into the design of business operating strategies on a continuing long-term basis. Steps necessary to ensure this include the performance of a logistics strategy audit, possible logistics system redesign, and the maintenance of procedures to ensure continued attention to logistics as an integral element of corporate strategy. The concept of a fourth-party logistics provider was first defined by Andersen Consulting as an integrator that assembles the resources, planning capabilities, and technology of its own organization and other organizations to design, build, and run comprehensive supply chain solutions.

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