Logistics Strategy

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1. Logistic also plays a role in customer satisfaction

1.1 Overview

2. What is a logistic strategy?

3. Why implement a logistics strategy?

4. What is involved in developing a logistics strategy?

5. What is involved in developing a logistics strategy?

5.1 Strategic

5.2 Structural

5.3 Functional

5.4 Implementation

6. Components to examine when developing a logistics strategy

1. Transportation

6.2 Outsourcing

6.3 Logistics systems

6.4 Competitors

6.5 Information

6.6 Strategy review

7. Strategic logistics planning

8. Risk profiles

9. Strategic logistics planning options

10. The strategic logistic plan

11. Developing the strategic logistics plan

12. Logistic Audit

13. Forecasting tools and techniques of strategic planning

13.1 Benchmarking

13.2 Environmental scanning

13.3 scenario planning

13.4 SWOT analysis

13.5 The Delphi techniques

13.6 Brainstorming

13.7 product life cycle analysis

13.8 Trend extrapolations

13.9 Boston Matrix model

14. References

Logistics Also Plays a Critical Role in Customer Satisfaction

Many services organizations make the mistake of focusing the vast majority of their customer service and satisfaction activities on external issues, often to the exclusion of key internal issues such as inventory management and logistics. However, these key internal issues can also play an important role in facilitating - or hampering - desired levels of customer service and satisfaction. This is especially true in a services environment that is becoming increasingly global in nature. In other words, when looking to support its customers, a services organization should focus not only externally, at its direct customer interface and interaction, but also internally, at its global inventory management and logistics activities as well - especially as they might impact a multinational customer base. As a result of the increasing globalization of services, many larger companies are reorganizing their inventory and logistics operations to be more homogeneous. Some utilize an organization structure where individual lines of business (LOBs) operate separately, but all come together at a senior level. Others may manage their logistics activities more on a geographically decentralized basis, rather than in an LOB-centric mode. In any case, the primarily criterion for determining what type of logistics operation to employ must ultimately be the way in which it can be expected to support customers in a global market. Economics, of course, should always be a key consideration; however, all the cost savings and economies-of-scale that may be realized through a centralized structure will not mean a thing if the customers do not believe they being supported in the manner they require. Most services providers are acutely aware that if they do not support their customers with the service, parts and attention they require, they can generally find the level of support they require - elsewhere. Further, in a truly global services environment, it has become increasingly apparent that each geography has a different range of customers, with different levels of service requirements. As a result, many organizations are trying to evolve to the point where they can respond directly to the customers' needs; be easy to do business with; command the ability to meet their customers' wants in every geography; and, whether they know it or not, meet their needs as well. In order to accomplish this, some organizations have chosen to outsource many of their non-core competency activities, such as warehousing, distribution and certain types of equipment repair, to a select group of outsource vendors. For many years, most services organizations have utilized national and international courier services to handle nearly all of their shipping needs. Over the years, many of...
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