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Logistics Supply Chain

1 5

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Logistics

Logistics planning and execution, management of a business or other operation; branch of the military which

oversees and maintains material and personnel

/

:

= Physical distribution

Logistik

( )

(Hangul)

Company name www.themegallery.com

1.

2.

3.

1 /11/2012 Techa Boonyachai

Science on Logistics System

Business Model

LOGISTICS

5

Logistics

Green

Reverse Reduce, Reuse, Recycle)

www.themegallery.com

1,000,000

300,000 700,000

300,000 100,000

50,000 100,000 150,000

45,000 105,000

www.themegallery.com

How to Decrease Cost but Increase Competitive Advantage?

Logistics Costs)

Company name

www.themegallery.com

Science in Logistics System

How to Decrease Cost and

Increase Competitive Advantage

Company name

How to Decrease Cost and Increase Competitive Advantage

Powerpoint Template

Suppliers

()

/

10

(Logistics)

: Council of Logistics Management

11

Product

Price

Place

Promotion

Marketing

Mix : 4Ps

Logistics

Maximize Customer Service level and Satisfaction

Inventory Holding

Warehousing

Transportation

Order Processing& Customers Response

Supply

Minimize Cost

Logistics vs Marketing vs Manufacturing

Machine

Money

Man

Management

Manufacturing

Mix : 5Ms

Material

LOGISTICS

Activities

12

1)

2) Lead time

3) PD PD PD

. .4 Just in time

Node Node

Mode

Link

14

15

Distribution Center

Initial Supplier

First Tier Supplier

Manufacturer

Wholesaler

Retailer

En

d U

ser &

Cu

sto

me

r

Material Flow

Financial Flow

Information Flow

Manufacturer Logistics

DC Logistics

Retailer Logistics

Supply Chain & Logistics

Source: Techa Presentation

16

Logistics Activities

Logistics

Customer service

Demand Forecasting

Inventory Management

Material Handling

Order Processing

Location Selection

Packaging Procurement

Reverse Logistics

Part and Service Support

Traffic and Transportation

Warehousing And Storage

7

2

4

5

6

1

8

9

10

11

12

17

1 Order Processing

18

Customer Order Cycle

Customer Order

Order transmittal

Enter Customer

Order

Customer Delivery Ship Customer Order

Inventory available

Check credit

Production Schedule

Back Order

Production Shipping

Documentation

Invoice

Process Order Warehouse Withdrawal

Transportation Scheduling

Inventory File

19

Order Processing : Importance

forms the foundation for logistics and corporate

20

Four way to evaluate order transmittal

Speed

Cost

Consistency

Accuracy

21

Traditional Order Form

22

EDI vs. Traditional Method

Post Office

Purchasing Order

Purchasing Order

Purchasing

Order Entry

Traditional Method

Purchasing

EDI Flow

Seller

23

Order via Information System

24

2 Customer Service

25

Bad Customer Service

26 Service Provider

Service Level

continuous increasing!!!

1

Customer Expectation

1

2

3

2

3

4 5

Service Provider who can created service level above

customer expectation will have more competitiveness.

27

3 Forecasting

or

28

29

4 Procurement & Purchasing

Supplier

30

How cost reduction created more benefits???

Margin 100 ,000

Overhead Cost 150 ,000

Production 150 ,000

Raw Material 600 ,000

Reduced Raw Material

Cost to 540 ,000

Production 150 ,000

Overhead Cost 150 ,000

Margin increased to

160 ,000

A 10 % reduction in

the raw material cost

A 60 % increase in its product

margin

31

5 Inventory Control

32

Cycle Stock

In -Transit Inventories

Safety or Buffer Stock

Speculative Stock

Seasonal Stock

Dead Stock

33

34

35

A

B C

ABC Analysis for Sales, Expense, Stock

Sales

Percentage of items

Pe

rce

nta

ge

of D

olla

rs

36

ABC Cycle Count Frequency

Detail / Items Items Items Items

Cost of Error High Medium Low

% of Total Cost 60 30 10

Cycle Count Frequency

Once a Month

Once a Quarter

Once a Year

Frequency of Order

Monthly Quarterl

y Annual

37

6 Warehousing

38

39

40

Manual System Warehouse

41

Manual System Warehouse

42

Automated System Warehouse VDO

43

Barcode

44

RFID : Radio Frequency Identification

45

RFID : Tag

46

RFID : Reader

47

RFID : Reader

48

7 Location Analysis

49

Source of Supply or Production site.

Location Analysis

Production Positioned

Close to source of supply or production facilities.

Intermediately Positioned

Located midpoint of customer and producer to offer high customer service Level.

Market Positioned

Nearest to final customer.

Market place or Customer

Case Study: Network Distribution Optimization

Location Analysis

57

8 Packaging

58

59

9 Transportation

60

61

62

63

64

65

66

Marine Loading Arms

67

68

69

70

71

Pressurize

72

Ro/Ro

73

74

75

Quay Gantry Crane

76

Yard Gantry Crane

77

78

79

80

81

Importer

Port/ Airport

Consumer

Consumer

Consumer

Consumer

Export

82

International Transport Industry

International Transportation

Sea/Air)

Liner / Airline

Chartering Market / Charter Flight

Industrial Carrier / Couriers

83

Collaboration between small shipper for inland transportation: Shipment Consolidation

:

84

Continuous move routing with Integration of inbound and distribution logistics

Supplier 1

Customer 1

Local Firm

Supplier 3

Supplier 2

Customer 2

Customer 3

Customer 4

Customer 5

Low Load Factor

Reduced Empty Run

and Increased

Load Factor

85

10 Parts and Supports

86

11 Material Handling

87

Material Handling : Equipment

VDOrobot

robot/VTS_01_1.VOBrobot

88

12 Reverse Logistics

89

Reverse Logistics

Activities:

- Remanufacturing

- Refurbishing

- Reusing and Recycling

- Redesigning Packaging

- Reclaim Material

Objective:

- Product value added

- Reduce Waste

Logistics

Reverse Logistics

90

Green Logistics

+

+

91

Pollution Logistics Process

Distributor

Retailer

Buyer

Supplier

Manufacturer

Local Firm/Shipper Consignee

Port / Custom/Government/ License Agencies at Country of Origin

Port/Airport Port/Airport

Information/Invoice/Order-Processing

Inland Transportation

Product

Inland Transportation

Product

Long Haul Transportation

Product

Port / Custom/Government/ License Agenciesat

Country of Destination

Cargo Manifest

Wasted water Dust

Waste, Repaired and Return Product

Air Pollution and Oil Spilled

Obsolesced Item

Material Waste in Process

1. Closing - Production System 2. Efficiency of Input and Raw Material to production line

Reverse Logistics Recycle Packaging

Forecasting with SCM Information Tech.

Modal Shift Energy Shift Transport Mgmt.