Supply and Logistics Need to Be Address to Reduce Operational Costs

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Logistics What Is Logistics? Logistics before 1950s was thought of in military terms and had to do with procurement, maintenance, and transportation of military facilities, materiel, and personnel. A few authors before this time began talking about trading one cost for another, such as transportation costs with inventory costs, and discussed the benefits to the firm of getting the right goods to the right place at the right time. An article from 1898 (Simpson and Weiner, 1989) discussed logistics as: “Strategy is the art of handling troops in the theatre of war; tactics that of handling them on the field of battle”. Also, the French, describe logistics as, “the art of moving and quartering troops”. The common definition for logistics is: “the individuals actively working in logistics as a profession are involved with the transportation of goods”. Therefore logistics involves the movement of physical goods from one location to another. Logistics on functional basis, consists of the integrated management of purchasing, transportation, and storage, and on channel basis consists of the management of the pre-production, in-production, and post-production channels. Council of Logistics Management (CLM), the professional organization most closely associated with the logistics profession defines logistics as: Logistics can be define as controlling the goods and efficient flow of them , the services about your stock from the start point till the end point and their consumption according to the customer requirements, He further added that the planning and implementing of process all comes under logistics., and return of materials for environmental purposes (CLM 1998). Cavinato (1982) has defined logistics in a proper business manner as: Logistics is the management of all inbound and outbound materials, parts, supplies, and finished goods. Logistics in brief from the
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