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LOGISTICS ORGANIZATION AND CONTROL PL201 FUNDAMENTAL OF LOGISTICS MANAGEMENT

LOGISTICS ORGANIZATION AND CONTROL PL201 FUNDAMENTAL OF LOGISTICS MANAGEMENT. DEFINE LOGISTICS ORGANIZATIONAL ORIENTATION. Process-based Strategy

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LOGISTICS ORGANIZATION AND CONTROL PL201 FUNDAMENTAL OF LOGISTICS MANAGEMENT

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  1. LOGISTICS ORGANIZATION AND CONTROL PL201FUNDAMENTAL OF LOGISTICS MANAGEMENT

  2. DEFINE LOGISTICS ORGANIZATIONAL ORIENTATION Process-based Strategy • The objective is to achieve the maximum efficiency in moving goods from a raw material state through work in process and on to a finished-goods state. Focus on managing a broad group of logistics activities as a “value-added chain”. Specifically, activities such as purchasing, production scheduling, inventory, transportation and order processing are collected and managed collectivity. Market-based Strategy • Firms pursuing a market strategy have a strong customer service orientation. Both sales and logistics coordination are sought. The organizational structure is most likely to focus on the activities relating to customer service across business units rather than the integration of logistics activities. Sales and logistics might report to the same executive. Channel Information Based Strategy • Companies that have a significant downstream network of dealers and distribution organizations with substantial inventories pursue this strategy. The primary objective is the coordination of logistics activities throughout this dispersed network. The key to good coordination management is information. In order to secure the information the organizational structure is apt to span over functions, divisions and business units among the company, dealers and distribution organizations.

  3. DEFINE LOGISTICS ORGANIZATIONAL ORIENTATION • 1PL, which are the shipper or the consignee, • 2PL, which are actual carriers, • 3PL, which are one stop shops for the 1PL such as freight forwarders or courier companies.Athird-party logistics provider (abbreviated 3PL, or sometimes TPL) is a firm that provides aonestop shop service to its customers of outsourced (or "third party")logistics services for part, or all of their supply chain management functions. • Third party logistics providers typically specialize in integrated operation, warehousing and transportation services that can be scaled and customized to customer’s needs based on market conditions and the demands and delivery service requirements for their products and materials • A Fourth-party logistics provider (abbreviated 4PL), lead logistics provider, or 4th Party Logistics provider, is a consulting firm specialized in logistics, transportation, and supply chain management.

  4. ORGANIZING LOGISTICS

  5. LOGISTICS MANAGEMENT PERFORMANCE

  6. LOGISTICS PARTNERING

  7. CONTROL PROCESS • The control process is one of comparing actual performance actual performance to planned performance and initiating corrective action. Or in other words, the process where planned performance is brought into line or kept in line with desired objectives. The logistics manager seeks to control planned logistics activities (transportation, warehousing, inventories, material handling and other processing in terms of customer service and activity costs. The control mechanism includes the audits and reports about system performance, the goals established for performance and some means for initiating corrective actions.

  8. TYPES OF CONTROL PROCESS

  9. THANK YOU

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