Integrated logistics

The idea in the concept of integrated logistics has gotten so widespread and has even replaced the old concept of logistics. It was previously defined as the movement of materials, raw and final items from one location to one location to. Today, industrial logistics cannot be defined as a single entity which only concern the transportation of material and items. What exactly do you think an integrated logistic means? Let’s look at this with specific, in-depth study.

What exactly is integrated logistics?

The concept of integral logistics is, in a few ways it is almost identical to that for logistical processes. However, it has an important distinction in the way it integrates each process, as well as the planning stage and the monitoring stage. That is, integrated logistics as well as dealing with all aspects related to traditional logistics, is also connected to the production departments marketing, production and other divisions of the business. Integrated logistics therefore is focused on maximizing the production process and time in addition to increasing the quality.

The definition of integrated logistics.

At present it is unclear what constitutes a clear concept of an integrated logistical system. A Council on Logistics Management’s description, though more expansive than other definitions it is restricted to the following definitions:

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If we wish to define the definition for the term “integrated logistics system,” connected logistics and supply chain system We can define it as”

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The logistics architecture that is integrated

Thus it is clear that the integrated logistics structure in one way allows for proper management of storage facilities, transportation and other materials. However it is integrated with various tasks of the business. As an example:

  • Production role
    • Production plan
    • Optimizing the flow of materials
    • Storage areas are organized
    • material handling systems
  • Supply function
    • Control and selection of the suppliers
    • buying planning
  • the marketing role
    • The correct definition of service
    • packaging design
    • marketing campaigns design

In addition according to the manufacturing method, that is the hallmark for each manufacturing system may be added many more. However any variation in each of these will eventually alter the logistics processes. The concept of integrated logistics is designed specifically with regard at the efficiency of logistics as well as reducing logistics costs.

Monitoring and management of integrated logistics

This is why the job of logistic specialists, specifically when it comes to the context of an connected system of logistics system, is never ending. This is not just in relation to performing the right jobs. It’s more all about monitoring the efficiency and effectiveness of the whole logistics system. In this regard it is essential to continuously measure results is vital for the sector of logistics and especially when it is an integrated system. To achieve this, experts consider various indicators.

  • volume measures workload (e.g. the number of orders processed by managers, for example. );
  • Effectiveness: describes the effectiveness of the method (e.g. customer evaluation);
  • Efficiency measures the cost and the resources required to carry out an activity.

To ensure building an efficient system of logistics in order to achieve efficiency, it is crucial to employ experts within the field, capable of evaluating these, as well as other aspects.

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