Logistics and Supply Chain Management

Running head: SUPPLY CHAIN MANAGEMENT
Supply Chain Management
Name of the student
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SUPPLY CHAIN MANAGEMENT1
Table of Contents
Answer to Question 1:................................................................................................................2
Answer to Question 3:................................................................................................................3
Answer to Question 4:................................................................................................................4
Answer to Question 6:................................................................................................................6
Answer to question 8:.................................................................................................................7
Reference....................................................................................................................................9

SUPPLY CHAIN MANAGEMENT2
Answer to Question 1:
Logistics can be termed as the connection between the marketing operations and
manufacturing operations of a company. Now the logistics are accepted by the company
which are related to the product distribution, where supply chain comprises of procurement
and manufacturing and are more focused, when it involves in enterprises, manufactures,
suppliers and retailers, they work together to complete the customer requirement for services
and products (Abeyratne and Monfared 2014).
Figure 1. logistics in supply chain management
The factors that encourage logistics to change are as follows in figure 1;
 Transportations – An organization employed for the transportation are strategic
decision depends upon the risk exposure, area to be covered or customer profiles
service. Road transportation takes more time than airlines transport for delivering a
product but it is cheaper than airlines transport and needs higher maintenance
inventory level (Merkert and Pearson 2015). Transportation purpose is not only for
product deliver, but it should have storage as well to save the time. Transportation
decisions has to manage the distance between the initial and end points, stow ability

SUPPLY CHAIN MANAGEMENT3
packaging, density of products and goods volume (Shan and Julius 2015).
 Inventory planning – Inventory levels were minimizing by an organisations because
of its cost linear relationship (Khan, Hussain and Saber 2016). If the demand is
accurately forecasted, there is no need of inventory and goods will automatically
move smoothly from warehouse to the customers. Requirements of working capital,
blocked resources and insurance costs is increased to lead their overstocks for
productive. Forecast depends upon seasonality, sales, business cycle, recent trends
and promotional offers these all are important to change in for the supply chain
management (Turker and Altuntas 2014).
 Warehousing – it is used for storing the large amount of goods. Its primary function is
to store or movement of the product. Warehouse activities that handled the goods
offloading comes from suppliers, packaging intermediate, deliver product to other
areas (Staudt et al. 2015).
In next decades for logistics company has to change their system of transportation,
warehouse, packaging, inventory management and network design so that it can fulfil the
demands of customers. The transport system has to be fast and storage capacity should be
larger to control the cost, warehouse capacity should be increased to store maximum items,
network design are implemented to provide quality products and services to the customers. In
company logistics should be change to improve their production and deliver products and
services to customers on time.
Answer to Question 3:
Location decision are very important for the company or industry to setup where raw
materials, machinery, money, equipment and men are easily available. A company or
industries are setup where product cost is kept low to increase their benefits. Locations