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Some concepts about logistics - Coggle Diagram
Some concepts about logistics
Concept of logistics
Definition:Logistics is the process of managing andoptimizing the processes related to the movement and storage of goods, services, or information from the point of origin to the final destination
Objectives: The right product, the right quantity, the right quality, at the right location, at the right time and the most reasonable cost
Scope:Logistics includes various activities such as transportation, warehousing, packaging, order processing, inventory management, and customer service
7 rights of logistics:
right product
right quality
right condition
right place
right time
right price
right customer
Stages of logistics service development
Stage 1: Physical distribution (1960s-1970s)
In this stage, logisticsservices focused on the movementand distribution of goodsefficiently,aiming to meet customerdemand.
Transportation:Efficient and timely transportation of goods
2.Distribution: Optimal distribution of products and goods to customers
Warehousing: Safe and efficient storage and preservation of goods
Packaging: Attractive packaging and labeling to protect goods
Stage 2: Logistics systems (1980s-1990s) :This stage witnessed the development of logistics systems with the integrationof activities such as transportation, warehousing, inventory management, and order processing.
In this stage, logistics activities such as inventory management, transportation, and order processing are integrated into a complete logistics system. This helps optimize operations, meet customer needs in a timely and more efficient manner.
Stage 3: Supply chain management (21st century):In the new era, logisticshas become a critical part of supply chain management, connecting all the stages from suppliers to end customers.
Comprehensive connectivity
Supply chain optimization:The goal is to create a flexible, efficient, and responsive supply chain that can quickly adapt to market changes.
Technology & Data: ERP,WMS,TMS, Big Data, AI, and IoT
Global connectivity:
The importance of logistics in business
Cost optimization
Improved service quality
Enhanced competitiveness