What is distribution/logistics system?
Distribution logistics, also known as sales logistics, deals with the planning, realisation and control of the movement of goods. It is an inter-organisational logistics system, where the aim is to make the logistics channel from the supplier to the customer efficient – especially in terms of costs and performance.
There are five elements of logistics:
What is logistic system design?
A logistics system (LS) is a network of organizations, people, activities, information, and resources involved in the physical flow of products from supplier to customer. From: Logistics Operations and Management, 2011.
When defining the structure of a distribution network, the most crucial factors are the product demands of the end customer, customer experience, product variety and product availability, response time, and finally, product returnability.28-Mar-2022
What are the types of distribution logistics?
Logistics can be split into five types by field: procurement logistics, production logistics, sales logistics, recovery logistics, and recycling logistics.
Producer-wholesaler-retailer-customer – This is regarded as the traditional stage of product distribution which flows from producer to wholesaler to distributor to retailer before finally reaching the consumer.10-Jan-2015
What are the 5 P's of logistics?
The major cause of conflict for logistics and marketing interface is related to 5Ps (product, price, place, promotion and packaging) of marketing. Without the successful link of logistics and marketing, the firm may be unable to provide good customer service, resulting in dissatisfied customer or a lost sale.14-Jun-2019
Terms in this set (12)
What are the 4 key processes in logistics?
Logistics operations: 4 key processes
Components of Logistics Management
What is logistics system analysis and design?
Logistics analysis consists of the integration of inventory, facility location, transportation, packaging activities, and informational flow for the purpose of managing an effective physical movement of outbound and inbound goods and services in a competitive environment.28-Dec-2017
Logistics is the process of planning and executing the efficient transportation and storage of goods from the point of origin to the point of consumption. The goal of logistics is to meet customer requirements in a timely, cost-effective manner.
What are the 4 channels of distribution?
Distribution channels include wholesalers, retailers, distributors, and the Internet. In a direct distribution channel, the manufacturer sells directly to the consumer. Indirect channels involve multiple intermediaries before the product ends up in the hands of the consumer.
Distribution network designs specify the locations of warehouses and how much product is allocated to each facility. A chemical company typically manufactures product in large plants to lower production costs by exploiting economies of scale. Product is shipped to numerous customer locations.24-Feb-2017
What are the design options for a distribution network?
Design Options for a Distribution Network
Example: At company C several departments work closely together. In this way, the company can offer customers the opportunity to individually design products and track the production and delivery status of the goods at any time.21-Sept-2019
What is the importance of distribution and logistics?
The world of distribution logistics has a strategic function for companies, it's a critical success factor for the business. We can say that the main objective of distribution logistics is to reduce the cost of supplying finished products to customers, maintaining or improving the level of service provided.14-Nov-2019
The elements of distribution management systems are the steps involved in getting the product from the manufacturer to the end customer and can include: supply chain, blockchain, logistics, a purchase order and invoicing system, vendor relationship management (VRM), customer relationship management (CRM), an inventory 20-Jul-2022
How do you create a distribution system?
Steps for Building a Distribution Network
There are three methods of distribution that outline how manufacturers choose how they want their goods to be dispersed in the market.
What are the 4 types of distribution strategies?
What Are the Different Types of Distribution Strategies? As mentioned above, the two main types of distribution strategies are direct and indirect. There are also more nuanced types of distribution that fall into these categories — intensive, selective and exclusive distribution.7 days ago
What is distribution/logistics system?