Lecture Tutorials: 1 & 3
Introduction to Logistics &
Transportation
by: Granit Berisha
September 29,
2011
Logistics is that part of SCM that plans, implements, and controls
the
efficient, effective, forward and reverse flow and storage of goods,
services,
and related information between the point of origin and point of
consumption in order to meet customers requirements.
SCM encompasses the planning and management of all activities
involved
in sourcing and procurement, conversion, and all Logistics
Management
activities. Importantly, it also includes coordination and collaboration
with
Multiple Choice
o
By economic utility we mean:
a)
b)
c)
d)
e)
Products being in a form that (1) can be used by the customer
and (2) is of value to the customer.
Having products available where they are needed by the
customers; products are moved from points of lesser value to
points of greater value.
Having products available when they are needed by
customers.
The value or usefulness of a product in fulfilling customer
needs or wants.
The value or usefulness that comes from a customer being
able to take possession of a product.
Multiple Choice
o
By possession utility we mean:
a)
b)
c)
d)
e)
Products being in a form that (1) can be used by the customer
and (2) is of value to the customer.
Having products available where they are needed by the
customers; products are moved from points of lesser value to
points of greater value.
Having products available when they are needed by
customers.
The value or usefulness of a product in fulfilling customer
needs or wants.
The value or usefulness that comes from a customer being
able to take possession of a product.
Multiple Choice
o
By form utility we mean:
a)
b)
c)
d)
e)
Products being in a form that (1) can be used by the customer
and (2) is of value to the customer.
Having products available where they are needed by the
customers; products are moved from points of lesser value to
points of greater value.
Having products available when they are needed by
customers.
The value or usefulness of a product in fulfilling customer
needs or wants.
The value or usefulness that comes from a customer being
able to take possession of a product.
Multiple Choice
o
By place utility we mean:
a)
b)
c)
d)
e)
Products being in a form that (1) can be used by the customer
and (2) is of value to the customer.
Having products available where they are needed by the
customers; products are moved from points of lesser value to
points of greater value.
Having products available when they are needed by
customers.
The value or usefulness of a product in fulfilling customer
needs or wants.
The value or usefulness that comes from a customer being
able to take possession of a product.
Multiple Choice
o
By time utility we mean:
a)
b)
c)
d)
e)
Products being in a form that (1) can be used by the customer
and (2) is of value to the customer.
Having products available where they are needed by the
customers; products are moved from points of lesser value to
points of greater value.
Having products available when they are needed by
customers.
The value or usefulness of a product in fulfilling customer
needs or wants.
The value or usefulness that comes from a customer being
able to take possession of a product.
Multiple Choice
o
The increased importance of logistics results from the
following aspects except:
a)
b)
c)
d)
e)
An increase in economic regulation
Changes in customer behavior
Technological advances
The growing power of retailers
Globalization of trade
Multiple Choice
o
Which of the following is a procurement objective:
a)
b)
c)
d)
e)
Supporting organizational goals and objectives
Managing the purchasing process effectively and
efficiently
Managing the supply base
Developing strong relationships with other functional
groups
All of the above
Multiple Choice
o
Obsolete materials means:
a)
b)
c)
d)
e)
Stock that exceeds the reasonable requirements of an
organization, perhaps because of an overly optimistic
demand forecast.
Materials that are not likely to ever be used by the
organization that purchased it.
Materials that are no longer serviceable, have been
discarded, or are a by-product of the production process.
Materials that have been spoiled, broken, or otherwise
rendered unfit for further use or reclamation (no
economic value).
None of the above.
Multiple Choice
o
Excess surplus means:
a)
b)
c)
d)
e)
Stock that exceeds the reasonable requirements of an
organization, perhaps because of an overly optimistic
demand forecast.
Materials that are not likely to ever be used by the
organization that purchased it.
Materials that are no longer serviceable, have been
discarded, or are a by-product of the production process.
Materials that have been spoiled, broken, or otherwise
rendered unfit for further use or reclamation (no
economic value).
None of the above.
Multiple Choice
o
Scrap materials means:
a)
b)
c)
d)
e)
Stock that exceeds the reasonable requirements of an
organization, perhaps of because an overly optimistic
demand forecast.
Materials that are not likely to ever be used by the
organization that purchased it.
Materials that are no longer serviceable, have been
discarded, or are a by-product of the production process.
Materials that have been spoiled, broken, or otherwise
rendered unfit for further use or reclamation (no
economic value).
None of the above.
Multiple Choice
o
Waste materials means:
a)
b)
c)
d)
e)
Stock that exceeds the reasonable requirements of an
organization, perhaps because of an overly optimistic
demand forecast.
Materials that are not likely to ever be used by the
organization that purchased it.
Materials that are no longer serviceable, have been
discarded, or are a by-product of the production process.
Materials that have been spoiled, broken, or otherwise
rendered unfit for further use or reclamation (no
economic value).
None of the above.
True/False
1.
2.
3.
4.
Simultaneous achievement of possession, form, place,
and time utility goes a long way towards facilitating and
guaranteeing customer satisfaction.
T/F
Logistics management, materials management, and
physical distribution are all the same terms.
T/F
Systems approach indicates that companys objectives
can be realized by recognizing the mutual
interdependence of the major functional areas of the
firm, such as marketing, production, finance, and
logistics.
T/F
One logistics system fits all companies.
T/F
True/False
5.
6.
7.
Intrafunctional logistics means coordinating inbound
logistics, materials management, and physical
distribution in a cost-efficient manner that supports an
organizations customer service objectives.
T/F
Marketing channels are sets of interdependent
organizations involved in the process of making a
product or service available for use or consumption.
T/F
Sorting function means rearranging the assortment of
products as they flow through the channels toward the
customer.
T/F
True/False
8.
9.
10.
Logistics chain encompasses all activities associated
with the flow and transformation of goods from the raw
material stage (extraction), through to the end user, as
well as the associated information flows.
T/F
SC Collaboration would be defined as cooperative,
supply chain relationships formal or informal
between manufacturing companies and their suppliers,
business partners or customers, developed to enhance
the overall business performance of both sides.
T/F
The Primary objective of SCM is optimize the
performance of the SC as a whole.
Explain or elaborate further
1.
2.
3.
4.
5.
6.
Common sense is one key to being an effective
logistics manager.
The relationship within the firm between logistics and
finance.
The relationship within the firm between logistics and
marketing.
The relationship within the firm between logistics and
production.
There are different supply chain configurations. Identify
one and explain.
The relational exchanges orientation in the supply
chain.
Explain or elaborate further
7.
8.
9.
10.
11.
12.
13.
The transactional exchanges orientation in the supply
chain.
The bullwhip effect in inventory control.
The JAZ (just about zero) concept in inventory control.
How can POS information enhanced communication
across organizations in a given supply chain.
Explain how regulatory and political considerations can
be a barrier to supply chain management.
Explain how lack of top management commitment can
be a barrier to supply chain management.
Explain how reluctance to share, or use, relevant
information can be a barrier to supply chain
Explain or elaborate further
14.
15.
16.
17.
18.
19.
Explain how incompatible information systems can be a
barrier to supply chain management.
Explain how incompatible corporate cultures can be a
barrier to supply chain management.
Explain how globalization can be a barrier to supply
chain management.
List and explain at least two types of benefits coming
from e-procurement.
List and explain at least two drawbacks coming from eprocurement.
Global Procurement is driven by two reasons: factorinput strategy and market-access strategy. Explain one.
Match the following terms against
their descriptions/definitions
1.
2.
3.
4.
Allocation
Accumulating
Assorting
Sorting out
1. Breaking a homogeneous
supply into smaller lots
2. Building up assortments of
goods for resale, usually to
retail customers
3. Sorting a heterogeneous
supply of products into stocks
that are homogeneous
4. Bringing together similar
stocks from different sources
SCOR Framework Supply-Chain
Operations Reference
GSCF Framework Global SupplyChain Forum
Key Attributes of
Supply Chain Management
Supplier Selection and Evaluation
This process can be very
complex!
Reverse marketing (supplier
development) refers to a
degree of aggressive
procurement involved not
normally encountered in
supplier selection.
Quality Issues in Procurement
o
o
o
ISO (International Standards Organization)
Six Sigma (six standard deviations)
Malcolm Baldrige National Quality Award
Thank you