Understanding Operations, Logistics, and Supply Chain Management

Understanding Operations
Logistics and Supply Chain
Management

INTRODUCTION...........................................................................................................................3
MAIN BODY..................................................................................................................................3
Two areas of operations and supply Chain Management............................................................3
CONCLUSION................................................................................................................................7
REFRENCES...................................................................................................................................8

INTRODUCTION
Logistic operation is the process by which an organization manages flow of things within
the point of origin and point of consumption in order to attain customer’s satisfaction through
working over needs raised by them. This operation helps in developing of factors that are helpful
in attaining customer’s satisfaction. Supply chain management helps in making good and
services supply to be managed. Scope of both elements is wider as they deal with customer’s
satisfaction and supply of product or services. Nature is dynamic as fluctuation can be created
through them within sustainability of an organization in market. Organization takes for the essay
is Volkswagen that is a Germany based automaker and got established in the year 1937. Its
headquarters is in Wolfsburg. In these essay two areas of operations and Supply Chain
management is to be selected with relevant theories and applied in it. In the end Areas required
to be improved is to be discussed.
MAIN BODY
Two areas of operations and supply Chain Management
Supply chain management is the process by which flow of goods and services is been
formed through raw materials. In other words this management makes final product to be
transformed out of raw materials (Lai, Sun and Ren, 2018). It makes activity of production to be
done in an organization like Volkswagen to attain competitive edge in market. As per this
management effort made by supplier to develop a fine product according to chain of supply that
makes efficiency and economic increment possible for an organization like Volkswagen which
makes goals and objectives to be achieved. In supply chain cover all things from production to
product development over information system to be direct with undertaking. There are two main
areas where Volkswagen is required to be focused over. They are Purchasing and manufacturing.
Purchasing means acquiring of goods or services to accomplish goals and objectives to be set by
an organization for making production more effective Volkswagen should maintain quality and
value over products produced by organization. It should minimize cash tie up in inventory,
maintain flow of input in order to make sure output is presented. Organization like Volkswagen