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International Logistics Management

International Logistics Management. dr Marian Krupa. AGENDA:. Introduction to the International Logistics Management International Supply Chain Management (SCM) IT and International Logistics Management – ERP software overview (SAP on-line) International transportation systems

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International Logistics Management

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  1. International Logistics Management • dr Marian Krupa

  2. AGENDA: Introduction to the International Logistics Management International Supply Chain Management (SCM) IT and International Logistics Management – ERP software overview (SAP on-line) International transportation systems International logistics structures and networks management Strategic and operational information management in Logistics - towards Global Business Inteligence. International Logistics Management – case study dr Marian Krupa

  3. Logistics Management concept • logistics – management – logistics management

  4. Logistics

  5. Logistics:origin • The term logistics comes from the begining of 19th century, from French word „logistique”. • The first time the term „logistique” isusedinthemilitaryliteratureitisin 1830, whatitmeantmajor-géneral de logis. • The first logistic group inmilitary was developedduringthe so calledthe First Polish War (1807) in Ostróda by Napoleon Bonaparte. • Logistics was a military term – theorganisation of moving, lodging and supplyingtroops and equipment.

  6. Logistics:definition • Whatis logistics? • Thedetailedcoordination of a complexoperationinvolving many 1) people, 2) facilities, or 3) supplies • [Oxford Dictionary]. • The management of the flow of resources, between the point of origin and the point of destination in order to meet some requirements, for example of customers or corporations • [Wikipedia]. • Thecoordination and optimazation of 1) phisicalgoods, 2)people and 3) informationflow • [M. Krupa].

  7. Logistics:definition • Logistics – 8R (right) Rule, getting • therightproduct • intherightquantity • attherightquality, • intheright place, • attheright time • for therightcustomer • attherightcost • intherightway (to cause as a littledamage do theenvironement as possible. Mangan, Lalwani, Butcher, Global Logistics and Supply Chain Management, Wiley & Sons, 2008.

  8. Enterprise / SC Returns Returns Goods flow Information flow Logistics:road map Distribution Logistics Production Logistics Procurement Logistics Market customer Market suppliers Aftersales Logistics WAREHOUSE Materials, parts, components WAREHOUSE Products and goods of sale PRODUCTION Warehouse– inproduction Disposal Logistics Reverse Logistics Logistics fields Source.: P. Blaik, Logistyka, PWE, Warszawa 1996, s. 45.

  9. Logistics:totalcost model Optimazationdilema: Service costs Warehousecosts Order costs Packaging costs Transportationcosts Inventorycosts Riskcosts [W. Szczepankiewicz, Logistyka marketingowa, AE w Krakowie, Kraków 1996, s. 14].

  10. Logistics:totalcost model Optimazationdilema: Whenyoudecreasethecostsin one area of business activity: Youcreat extra costsinanother: Inventory Transportation T O T A L C O S T S Damagecosts Packaging Salesorders Transportation Inventory Purchasing Service Warehouse Inventory Production [W. Szczepankiewicz, Logistyka marketingowa, AE w Krakowie, Kraków 1996, s. 14].

  11. Logistics:totalcost model Optimazation model: cost A and cost B Costs Costtype B Total costs Costtype A Customersatisfaction [W. Szczepankiewicz, Logistyka marketingowa, AE w Krakowie, Kraków 1996, s. 14].

  12. Logistics:totalcost model Optimazation model: transportationvs. warewhoueecosts and mean of transportation Costs Transportationcosts Total costs Warehousecosts Sea Road Air Mean of transportation [W. Szczepankiewicz, Logistyka marketingowa, AE w Krakowie, Kraków 1996, s. 14].

  13. Management

  14. Management:keyquestions • Whatis(logistics)management? • Whoare(logistics)managers? • What do (logistics)managersdo? • Whatisa (logistics)organization? ?

  15. Management:keyquestions • Whatis management? • Coordinatingworkactivities so thattheyarecompletedefficiently and effectivelywith and throughotherpeople. • Wealthcreatingactivity. • Theart of usinghuman and material resources to produce and market (sales and distribution)goodsand services. Robbins, Coulter, Management, Pearson/Prentice Hall, USA 2005, p. 7. Archer, An Introduction to Canadian Business, McGraaw-Hill Ryerson Ltd, Canada 1982, p. 450.

  16. Management:keyquestions • Efficiency and effectivenessin logistics? • Efficiencyis „doingthingsright” (economize, costsefficiency). • Effectivenessis„doingtherightthink” (goalachivement). • Efficiency– ability to achieve high levels of outputwithgiven resources. • Effectivenessperformedeffortssupportthestatedgoals of the business. R. Schulteis, M. Sumner, Management Information Systems, Irwin, USA 1989, p. 68.

  17. Management:keyquestions • Whatis (logistics) management? • All about decisions • Risk taking • Objectives (priorities) • Problem solving • Asking right questions • Satisfying people / deliveringsatisifaction • Planning, organizing, directing & controlling • ?. Robbins, Coulter, Management, Pearson/Prentice Hall, USA 2005, p. 7.

  18. Management:keyquestions • Whoaremanagers? • Someone who works with people through people for people. • A person whoiseffective and efficient. • A proffesionalman/womanwhoknowsthemethods and techniques of management. • Everyone…

  19. Management:keyquestions • Whoaremanagers? • A professional working in the field of logistics management is called a logistician. http://www.e-logistyka.pl

  20. Management:keyquestions • What do general managers do (1)? • Make decisions – solve problems • Take risk – create value • Learn and teach others • Deliver customers / stakeholders satisfaction • Work and communicate with people • Create visionsand implement business strategies • Plan, organize, direct & controlday-to-dayactivities

  21. Management:keyquestions • Who do logistics managers do (2)? • Sourcing and purchasinginputs • Managinginventory • Maintainingwarehouses • Arrangingtransportation and delivery • Optimizing logistics infrastructure and resources • Planning and developing IT infrastructure • Preparingstrategies, searching for newvisions • Developing business intelligencetools

  22. Management:keyquestions • Whatis a logistics organization? Knowledge Value (Intangible) Electronic Market Customer/ Branding Networking (Global) People (Cultures) http://www.sap.com

  23. Logistics Management

  24. Logistics Management: • Logistics management- the governance of supply chain functions(seeSupplyChain Management). • Logistics management activities typically include: • inbound and outbound transportation management, • fleet management, • Warehousing management, • materials handling, • order fulfillment, • logistics network design, • inventory management, • supply/demand planning. http://searchmanufacturingerp.techtarget.com/definition/logistics-management

  25. ExamQuestions (1): • Explainorigin and define term logistics. • Why logistics conceptis of an interest to manufacturers? • Definebestpracticesinarea of logistics performance (KLPI). • Whatarethebenefits of deregulation of transport markets?

  26. Questions ? • dr Marian Krupa

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