Please enable JavaScript.
Coggle requires JavaScript to display documents.
Tutorial 2: Purchasing and Supply in the Business Environment (2. …
Tutorial 2:
Purchasing and
Supply in the Business
Environment
1.
What is the business environment in logistics
?
:star: Business environment is the combination of internal and external factors that influence a company's operation situation.
:pen:
**Macro Environment
:pen:
**Market Environment
:pen:
Micro Environment
2.
What is the difference between internal and external business environment in logistics?
Element
External Business Environment
Population, Demographic, Economic, Social cultural, technological legal & Environment
Internal Business Environment
Competitors, Organisation, Supplier, Market, intermediariess and Customers.
Nature of Element
Internal Business Environment
Specific
External Business Environment
General
Alternatively know as
Internal Business Environment
Micro Environment
External Business Environment
Macro Environment
Are these factor controllable?
Internal Business Environment
Yes
External Business Environment
No
Meaning
External Business Environment
General environment that affect the working of all business enterprise
Internal Business Environment
Nearby environment, under which the firm operates
Influence
Internal Business Environment
Directly & Regulary
External Business Environment
Indirectly & Distantly
3. Briefly explain the internal elements of the business environment in logistics?
Customer
Target for the firm to market its products and services
Market Intermediates
Help company in promoting , selling & distributing the goods
Competitors
Entity that compete with the firm
Supplier
who supply the inputs such as raw material & component to the company
Public
Any group that interest to an organisation
4. Briefly explain the market environment in logistics?
Part of external element that consist customer, supplier, competitors, civil society, industry regulator & strategic alliances
5. Explain the macro factors for business environment in logistics?
Political
Cultural
Technological
Economic
Demographic
6.
What is the supply chain umbrella? Draw the diagram and explain.
:umbrella_on_ground:
Supply chain umbrella emcompasses activities that are part of network supporting efficient &
effective flow of goods & information across the supply chain
:umbrella:Production, Planning, Scheduling & Control
::umbrella: Outbound Transportation
:umbrella:Order Processing
:umbrella: Material and inventory control
:umbrella:Inbound Transportation
:umbrella:Receiving, Material handling & Storage
7. Is the supply chain different from supply management?
Yes. Supply chain entire network of entities, directly or indirectly interlinked &interdependent in serving the same customer.
Supply management is the process of obtaining & managing
p
roduct or services needed to operates a business.
8. Explain the different between inbound and outbound transportation in supply chain umbrella
.
Inbound Transportation
The cost incurred in bringing material into a facility
Outbound Transportation
Cost of sending material out of a facility
9. What are the 5 rights of purchasing?
Right Price
Right Time
Right Quality
Right Source
Right Quantity