LOGISTICS MANAGEMENT
I was sent an email yesterday from a student in Europe who wanted to know what ‘our ‘definition of LOGISTICS MANAGEMENT was.
Traditionally, LOGISTICS MANAGEMENT is seen as the planning , implementation and control of our Logistics processes for the efficient, effective forward and reverse flow and storage of goods, services and related information between the point of origin and the point of consumption in order to meet customers’ requirements.
When this practice is extended beyond the organisation to the macro level, it includes the integration of the Logistics processes or pipelines of suppliers and customers thus forming a ‘chain’ from the point of origin to consumption.
An extension of the definition of the Supply Chain is that we are not really just a chain or a series of events but rather we are a web of inter-related organisations made up of numerous suppliers, customers and even competitors that form a “Dynamic Value Network”.
This makes absolute sense but also raises the bar somewhat.
From my post yesterday about how difficult it is to truly collaborate with our 3PL, just imagine trying to achieve through collaboration that is both efficient and effective with a network of organisations with differing objectives and cultures.
I am reminded of a picture of a confused orang utan, a friend used to have hanging in his office with a caption that said - Just as I figured out all the answers, they went and changed all the questions.
Raymon Krishnan



