Wikipedia reminds us, to bear in mind that the fundamental mission of the Logistics business is to place the right products (goods and services) in the right place at the right time and under the desired conditions, contributing as much as possible to the profitability of the firm. Logistics aims at satisfying the demand in the best conditions of service, cost and quality. It manages the resources necessary to achieve this goal (surfaces, means of transport, computers …) and mobilizes resources both human and financial ones that are appropriate. Ensuring the quality of service, ie compliance with the requirements of customers a competitive advantage to the company. Doing a lower cost improves the profit margin for the company.
Achieved by ensuring the safety allows the company to avoid penalties but also communicate on current issues such as environmental friendliness, ethical products … These three parameters are used to explain the strategic nature of the logistics function in many companies (the peer pressure create function). Now Logistics Directors are members of the steering committees of business and report to shareholders. The domains of responsibility of the logistics are long and cover levels: operational (execution), tactical (business organization) and strategic (strategic plans, forecasting ….) In the scope and benefits of logistics should be considered as wikipedia reminds us, the objectives of the logistics that are responding to demand, obtaining an optimum level of service at the lowest possible cost. In this great objective, we note the following: Provide means the products at the right time, in the quantities required, with the quality demanded and at minimum cost.
Making priority customer needs. With the flexibility to meet changing market needs. Reacting quickly to customer requests In conclusion, there are many achievements that can be obtained if known properly manage the logistics business also consider that in business, logistics may have either internal focus or external covering the flow from source to final user. Management must be vigilant that the logistics function is responsible for the management of physical flows (raw materials, finished products …) and is interested in their environment. The setting corresponds in this case: resources (staff, consumables, electricity …) goods necessary to the completion of the transaction (warehouses, tools, own trucks, computer systems …), services (transport or storage contract, …) The logistic function directly manages the physical flows and indirectly the financial and information flows associated. The physical flows are usually divided between the “purchase” (between a supplier and its customer), “distribution” (between a supplier and final customer), “Return” (reverse logistics). * References Logistics.