World face a 47% deficit in the supply of good supply chain managers. With the booming E-Commerce domain in the world, the availability of supply chain managers with knowledge of logistics is far and few in between.
Logistics emphasises the storage of items in the supply chain. Supply chain management is exhaustive beginning with sourcing, manufacturing, transporting, storing and selling. The efficient flow of goods till they reach the customers and impel profits of a business is an integral part of the experience.
Logistics & Supply Chain Management
Last Updated: 2022-04-19
Supply Chain Management – In theory, practice & Analytics for the e-commerce industry
Supply Chain Management vs Logistics
|Supply Chain Management
|Supply chain management involves the coordination and management of all activities involved in the creation, delivery, and flow of goods and services, from the raw materials to the end customer
|Logistics is a subset of supply chain management and refers to the management of the physical movement and storage of goods and materials.
|It includes managing relationships with suppliers, manufacturers, distributors, retailers, and customers.
|Logistics involves the transportation, warehousing, and distribution of goods and materials from one location to another.
|Supply chain management aims to optimize the entire supply chain, from the sourcing of raw materials to the delivery of finished products, to improve efficiency, reduce costs, and enhance customer satisfaction.
|Logistics management aims to ensure that goods and materials are delivered to the right place, at the right time, and in the right condition, while minimizing costs and maximizing efficiency.
Role of Logistics in Supply Chain Management:
Logistics provides help in the following departments of Supply Chain Management:
- Transportation in Supply Chain Management: Logistics is responsible for the movement of goods and materials from one location to another. This includes selecting the best mode of transportation, optimizing delivery routes, and managing transportation networks to ensure that products are delivered on time and in good condition.
- Warehousing: Logistics manages the storage and distribution of goods and materials in warehouses and distribution centres. This includes managing inventory levels, optimizing storage space, and ensuring that goods are stored in the correct conditions to maintain their quality.
- Order fulfilment: Logistics is responsible for fulfilling customer orders by ensuring that products are picked, packed, and shipped in a timely and accurate manner. This involves managing the order fulfilment process from start to finish, from receiving the order to delivering the product to the customer.
- Supply chain optimization: Logistics plays a critical role in optimizing the supply chain by identifying bottlenecks, improving transportation efficiency, and reducing costs. By improving logistics operations, companies can improve the overall efficiency of the supply chain, reduce lead times, and increase customer satisfaction.
- Risk management: Logistics plays a key role in managing supply chain risks, such as disruptions in transportation or supply chain disruptions. Logistics professionals must develop contingency plans and work with suppliers and other stakeholders to mitigate risks and ensure business continuity.