The Logistics Function

Topic

The Logistics Function

Instructions

Discuss why it is important to have efficient logistic function of procurement, transportation and inventory management in large manufacturing companies serving customer in Asia.

Answer preview

Logistics and supply functions serve an integral purpose in the management of organizations. In the current competitive business environment, both private and public entities must concentrate in developing effective logistics and supply chain strategies in order to develop and deliver products and services to their customers in a timely manner, and exceed their expectations (Asadi, 2011). A well-managed logistics and supply process reduces operational costs, increases procurement capability, improves service quality, simplifies processes, and ensures effective supplier management. All these benefits serve as the bottom-line to value creation and transmutation within the organization.

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