Supply Chain Management Vs Logistics

Topics: Management, Logistics, Supply chain management Pages: 3 (635 words) Published: April 1, 2014
Discuss the relationship between Supply Chain Management and Logistics Management. What are the repercussions of these terms being used interchangeably?

The relationship between logistics and supply chain management is the flow of products, services, information and funds between supply chain stages in which organizations plan, implement and control flows in order to effectively and efficiently fulfill customer requirements (Christopher 2011, p. 2). Although both management functions share a common purpose and goal there is a distinct difference in that supply chain management is a broader concept focusing on the efforts and interlinked networks between all members, stages, processes and resources within the supply chain involved in fulfilling a customers order (Chorpra & Meindl 20013, pp. 13-15). Using these terms interchangeably can impact companies overall performance of the supply chain in maximizing the total value generated.

The supply chain has many aspects of which logistics and supply chain management will focus on; this consists of a variety of stages from point of origin to point of consumption including supplier, manufacturer, distributor, retailer and customer. These stages also involve the management of a constant flow of information, product, services and funds (Chorpra & Meindl 20013, pp. 13-14). The focus on different stages and flows is somewhat different between logistics management and supply chain management. The term logistics refers to a planning orientation and framework that seeks to create a single plan for the flow of products and information (Coyle, Bardi & Lanley 2003, p. 37). In contrast the term supply chain management builds upon this framework to include the linkage and coordination between processes of other entities in the pipeline such as suppliers and customers, and the organization itself (Christopher 2011, pp. 2-3). For example a company goal might be to reduce the buffers of inventory that exist between...

References: Chopra, S & Meindl, P 2013, Supply Chain Management: Strategy, Planning, and Operation, 5th edn, Pearson, England.
Christopher, M 2011, Logistics & Supply Chain Management, 4th edn, Pearson, England.
Coyle, J, Bardi, E & Lanley, CJ 2003, The Management of Business Logistics: A Supply Chain Perspective, 7th edn, Thomson South-Western, Canada.
Week 3 discussion
Hi Henry,
I’m tracking pretty well, as you have said I am eagerly awaiting our first lecture as I have a few questions and topics that I do need a bit of help on. However I will use this week’s discussion as a starting point.
Week 2 has been pretty big in terms of reading. As per the unit outline we were required to read Chopra Chapters 2-6, which has been a struggle, but I really understand the importance of the supply chain in terms of meeting strategic fit and the required level of responsiveness and efficiency. I have covered strategic fit, supply chain drives and metric and designing distribution networks and applications but I’m stuck on chapter 5 when we are looking at the models of facility location and capacity allocation. The network optimization models (capacitated plant location and gravity location) are becoming confusing when looking at the mathematical equations and relating it to the results. Would you be able to go through this in our lecture or provide a simplified explanation?
In regards to our weekly discussions I can see from the 4th week onwards that we have at least 2 or more discussion questions, are we required too answer all questions with 500 words or just pick one discussion question?
Thank you
Tammy
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