Logistics Management Defined
that part of the supply chain process that plans.
implements, and controls the efficient.
effective now and storage of goods. services, and
related information from the point-of-origin to the point-of-consumption
in order to meet customers' requirements.'
Logistics b Relevant to All Types of Organization
This definition includes the now of goods, service:" and information in both the
manufacturing and service sectors.
Manufacturing entities include all types of companies producing goods as divergent
as automobiles computer cosmetics, artificial limbs, aircraft, and food items.
The service sector includes entities such as government organizations, hospitals,
banks, universities, retailers, and wholesalers.?
Examples from these various manufacturing and service sectors will be used
throughout the book to illustrate the relevance of logistics management to a variety of
Inputs into the Logistics System
Figure I-I illustrates some of the many activities included within logistics
Inputs to the logistics process include
Logistics practitioners plan, implement, and control these inputs in various forms,
raw materials (e.g., subassemblies, parts, packing materials, basic
in-process inventory (i.e., product partially completed and not yet ready
finished goods (i.e., completed 'products ready for sale to intermediate or