Key Activities of Logistics Management
af RUBEN VICENTE CASTELLANOS GIRALDO
1. warehousing is that logistical activity which creates time utility by storing goods from the time of production till the time these are needed by ultimate consumers.
2. Handling is essential to avoid damage and deterioration of materials, this helps to minimize costs and time.
2.1. Materials handling is divided into three categories:
3. IV. Material Handling:
3.1. Materials handling is divided into three categories:
3.1.1. 1. Mechanized systems 2. Semi-automated systems 3. Automated systems
4. III.Procurement:
4.1. It is the timely supply at the lowest cost.
5. V.Inventory Management:
5.1. The basic objective of inventory management is to minimize the amount of working capital blocked in inventories.
6. VII. Warehousing:
6.1. Management has to maintain inventories of:
6.1.1. 1. Raw-materials and parts 2. Semi-finished goods 3. Finished goods
6.2. must take into account
6.2.1. 1. The number and type of warehouses needed and 2. The location of warehouses.
7. Network design is the efficiency of logistics that determines the number and location of manufacturing plants, warehouses, material handling equipment, etc.
8. I.Network Design:
9. II.Order Processing:
9.1. Order processing based on your receiving, handling, and filing activities must be accurate, reliable, and fast for best efficiency and customer satisfaction.
10. VI. Packaging and Labeling:
10.1. Packaging implies enclosing or encasing a product into suitable packets or containers, for easy and convenient handling of the product by both, the seller and specially the buyer.
11. VIII. Transportation:
11.1. Transportation is that logistical activity which creates place utility.
11.2. Transportation is needed for:
11.2.1. 1. Movement of consumers.raw-materials from suppliers to the manufacturing unit. 2. Movement of work-in-progress within the plant. 3. Movement of finished goods from plant to the final
11.3. Major transportation systems are:
11.3.1. 1. Railways 2. Roadways 3. Airways 4. Waterways 5. Pipelines.
11.4. considerations:
11.4.1. 1. Speed of transportation system 2. Cost involved in transportation 3. Safety in transportation 4. Reliability of transportation time schedules 5. Number of locations served etc.