Internal Logistics as Part of Supply Chain

ABSTRACT
Internal logistics is one of the most important sections within enterprises, especially in the large manufacturing companies. It manages, arranges, plans and delivers the finished products. It is an indispensable part of the supply chain, as well as reflects the result of implementation company strategy.

This study focuses on finding the possible ways to improve the operation process of Nokia-China internal logistics by looking into Nokia-China’s internal logistics in Dongguan Branch- Supply Logistics Department.

NOKIA is already a strong, international and successful company. It has its own set modes in organization and management. In the study, the case department is presented as example of internal logistics process for others. However, every department has to constantly improve itself, and create maximum benefits.

This thesis states relevant theories of logistics, supply chain and performance measurement. The analysis of the internal environment of Nokia-China and SWOT method are to formulate the current situation of Nokia-China. And this thesis makes a deep study of every logistics activity within the case company’s internal logistics as well.

Lastly the result brings forward possible suggestions to improve Nokia-China’s internal logistics performance, which is based on the responsiveness of internal information exchange, implementation of company strategy and enhancement the professional skills of employees.

Key words: Logistics, internal logistics, supply chain, logistics process, performance measurement, Nokia-China, Dongguan Branch

ABBREVIATIONS

CIP Carriage Paid To
CIQ Custom Immigration Quarantine
COO Country of Origin
C wk Current Week
DDU Delivered Duty Unpaid
DN Deliver Note
EDI Electronic Data Interchange
E2E End to End
FCA Free Carrier
IE Import & Export
L & P Logistics & Planning
LSP Logistics Service Provider
MM Material Management
MY Malaysia
NCIC Nokia-China Investment

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