SCM 303 Study Guide - Midterm Guide: Order Processing, Customer Service, No Surprises
Document Summary
Impact of logistics : logistics is the key to the global economy, logistics account for approx. 10% of the us gdp: over trillion per year spent on logistics, account for approx. 15 million jobs and 14% of total labor force: some industries could obtain productivity improvements of 20-35% by focusing on logistics. Logistics costs: total billion: over 50% allocated to transportation. 7 rights of logistics: right product, right customer, right time, right place, right condition, right quantity, right cost. **value = quality or utility / cost or price: availability (time, place, quantity, final transformation (packaging, presentation, costs (production costs, distribution costs, and reduced risks) Career opportunities : operations/warehousing, supervision, planning, order processing, project management, process improvement, freight/transportation, routing, scheduling, yard management, sales, project management, process improvement. Future challenges in logistics : outsourcing logistics growth, just-in-time, security, transportation infrastructure, fuel price volatility, pressure on margins, globalization, talent management, sustainable practices.
