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Lecture 14

33:799:301 Lecture 14: 0009-IntrotoSupplyChain-2017-03-09

Supply Chain Management
Course Code
James King

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Logistics - Part of SCM that plans, implements, and controls the efficient, effective flow and
storage of goods, services, and related info, from point of origin to point of consumption, in order
to meet customer requirements
Includes warehousing, transportation, reverse logistics
Logistics is necessary to move goods from source to location needed
Move goods from suppliers to buyers
Move work-in-process materials within a firm
Move finished goods from factory to company warehouse
Move finished goods to the customer
Return or recycle goods
Logistics is about TIME AND PLACE UTILITY - having the product at the right time at the right
Warehousing - The practice or process of storing goods in a warehouse, includes receiving,
storing, breakdown, repackaging, and preparing items for shipment
Warehouse - Facility used to store purchases, work-in-process, and finished goods inventory
Decisions driving warehouse management include:
Site selection
Number of warehouse facilities in the network
Layout of the warehouse
Methods of receiving, storing, retrieving, and distributing products and materials
Systems to use
Primary functions of a warehouse
Quality Inspections - incoming and outgoing testing
Repackaging/Kitting - For specific customer orders
Literature/Promotional Materials
Special packaging such as blister packs
Verifying Physical inventory existence
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