IMR SCM 11 Logistics 13

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    LOGISTICS

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    Logistics is the management of theflow of goods, information and otherresources, including energy and people,between the point of origin and thepoint of consumption in order to meetthe requirements of consumers

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    INTEGRATION OF

    Information

    Transportation

    Inventory Warehousing

    Material-handling Packaging.

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    ORIGINS

    Originates from ancient Greek "logos"ratio,

    word, calculation, reason, speech, oration

    Originated in military need to supply themselveswith arms, ammunition and rations as they

    moved from their base to a forward position

    Logistikas

    Military Officers responsible for

    financial and supply distribution matters

    Branch of engineering which creates "people

    systems" rather than "machine systems"....

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    ORIGINS

    The defeat of the British in the American War of

    Independence, and the defeat of Erwin Rommelin World War II, have been largely attributed to

    logistical failure

    The historical leaders Hannibal, Alexander theGreat and the Duke of Wellington considered

    logistical geniuses.

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    BUSINESS LOGISTICS

    Evolved only in the 1950s.

    Increasing complexityof supplying materials

    shipping out products

    Increasingly globalized supply chain.

    Internal focus / external focus

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    BUSINESS LOGISTICS

    Two fundamentally different forms Optimizing steady flow of material through

    transport links and storage nodes.

    Coordinating sequence of resources to carryout some project.

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    BUSINESS LOGISTICS

    The goal of logistics work is to manage thefruition of

    project life cycles

    supply chains resultant efficiencies

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    PRODUCTION LOGISTICS

    LOGISTIC PROCESSES WITHIN AN INDUSTRY

    The purpose of production logistics is toensure that each machine andworkstation is being fed with the rightproduct in the right quantity and qualityat the right point in time

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    PRODUCTION LOGISTICS

    Streamline and control flow through

    value adding processes

    eliminating non-value adding processes

    Can be applied in existing as well as new plants.

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    PRODUCTION LOGISTICS

    Manufacturing in an existing plant is aconstantly changing process:

    Machines are exchanged

    New ones added Opportunity to improve the system

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    PRODUCTION LOGISTICS Provides the means to achieve customer

    response and capital efficiency

    Getting more and more important with the

    decreasing batch sizes

    In many industries (e.g. mobile phone) batch

    size one is the short term aim

    Even a single customer demand can be fulfilled

    in an efficient way.

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    PRODUCTION LOGISTICS

    Track and tracing gaining importance especiallyin the automotive and the medical industry.

    Product safety

    Product reliability issues