Logistics and Supply Chain Management

This presentation focuses on the importance of supply chain management in companies and describes the roles of logistics and the use of IT in managing the supply chain.

Logistics and Supply Chain
Management

INTRODUCTION
• It will also focus on the importance of supply chain management in
companies
• The current study will cover the roles of logistics in supply chain
management.
• Furthermore, it will describe use of IT to manage supply chain.

Explanation on how supply chain management can
support to achieve business objectives
The management of supply chain can contribute to achieve various business
objectives in many ways. It helps companies to provide them an edge over
other competitors in market. They can support the organisations in numerous
ways that are as follows:
 Reduction of cost
 Effects on return on assets(ROA)
 Customer experience

ROLE OF LOGISTICS IN SUPPLY CHAIN
MANAGEMENT
• The logistics play an important role in managing supply chain. It works
as an enabler of chain. It helps to place products and materials to proper
places and quantities.
• It has various roles in terms of order processing, transportation, handling
of materials and packaging, etc. Logistics can add values to the process of
supply chain.
• Although, it needs high investments to create values. This procedure
consists of raw material movements to processing plants and it makes
sure to deliver goods to customers on time.

ROLE OF INFORMATION TECHNOLOGY IN
SUPPLY CHAIN MANAGEMENT
• The information technology (IT) plays an important role in managing
supply chain. Today, companies like Ikea feel pressure to manage better
supply chain and logistics.
• In order to do that, they need help of IT to support and increase their
production and delivery of products to the final customers.
• It is needed to know location of products while transferring it from one
place to another that can be possible by the use of IT. The information
technology makes it easy to perform all these tasks.

PARTS OF INFORMATION TECHNOLOGY
The information technology can be divided into 3 parts to optimize SCM.
These are given as below:
•Transaction processing
•SC planning and collaboration
•Tracking orders and delivering coordination

CONCLUSION
• It can be concluded that there are various factors that affect the
management of supply chain.
• Every factor has different impacts on it. By managing these factors
properly, a company can easily maintain its supply chain to gain maximum
profits.

REFERENCES
Govindan, K., Soleimani, H. and Kannan, D., 2015. Reverse logistics and
closed-loop supply chain: A comprehensive review to explore the future.
European Journal of Operational Research. 240(3). pp.603-626.
Prajogo, D., Oke, A. and Olhager, J., 2016. Supply chain processes: Linking
supply logistics integration, supply performance, lean processes and
competitive performance. International Journal of Operations & Production
Management. 36(2). pp.220-238.