Chapter 1 An Introduction to Logistics 1
1.1 Basic knowledge preparing 1
1.1.1 History 1
1.1.2 What is logistics 2
1.1.3 Evolution of the logistics management concept 5
1.2 Logistics system 7
1.2.1 Elements of logistics 7
1.2.2 Activities of logistics system 7
1.3 The new logistics management paradigm 11
1.3.1 The internet B2B economy 12
1.3.2 Reverse logistics 12
1.3.3 Real-time logistics event management 13
1.3.4 Technology solutions provide visibility 15
Words and terms 18
Notes 19
Exercises 22
After-class reading 24
Chapter 2 Customer Service 26
2.1 Surroundings introduction 26
2.1.1 The marketing perspective 26
2.1.2 Quality of service 28
2.1.3 Case study 29
2.1.4 Customer loyalty 30
2.2 Basic knowledge preparing 31
2.2.1 The role of customer service 32
2.2.2 Concept of customer service 32
2.2.3 The components of customer service 33
2.2.4 Customer service policy 35
2.3 Service level 36
2.3.1 Defining customer service objectives 36
2.3.2 Service level and cost 37
2.3.3 Setting service standards 39
2.3.4 Measuring customer service 44
Words and terms 45
Notes 46
Exercises 48
After-class Reading 50
Chapter 3 Warehouse Management 52
3.1 Basic knowledge preparing 52
3.1.1 The role of warehouses 53
3.1.2 Types of warehouse or distribution 54
3.1.3 Warehouse operations 56
3.1.4 The functionality of warehouse 58
3.2 Warehouse management 62
3.2.1 Warehouse costs 62
3.2.2 Warehouse decision 64
3.2.3 Objective and principles of good warehouse design and management 67
3.2.4 Strategic issues affecting warehousing 69
3.2.5 Modern warehouse 71
Words and terms 73
Notes 75
Exercises 78
After-class reading 79
Chapter 4 Inventory 81
4.1 Basic knowledge preparing 81
4.1.1 Role of inventory and functionality 81
4.1.2 Types of stock-holding 82
4.1.3 Inventory costs 84
4.1.4 Inventory goals 85
4.2 Inventory replenishment systems 85
4.2.1 Reorder quantities 87
4.2.2 Demand forecasting 89
4.3 Inventory management 89
4.3.1 Problems with traditional approaches to inventory planning 90
4.3.2 Different inventory requirements 91
4.3.3 The lead-time gap 92
4.3.4 The problems of high levels of inventory and the approaches 93
4.3.5 Analyzing time and inventory 95
Words and terms 96
Notes 98
Exercises 100
After-class reading 101
Chapter 5 Transportation 106
5.1 Basic knowledge preparing 106
5.1.1 Definition 106
5.1.2 Importance of an effective transportation 107
5.1.3 The single-service choices 108
5.1.4 Intermodal services 111
5.1.5 Transportation characteristics 112
5.2 Transportation management 114
5.2.1 Creating economic utility 114
5.2.2 Transport cost characteristics 115
5.2.3 Service choices and their characteristics 118
5.2.4 The economic factors of transportation 120
5.2.5 Transportation documentation 121
5.2.6 Market and pricing decisions 122
Words and terms 123
Notes 125
Exercises 127
After-class reading 129
Chapter 6 Logistics Information 132
6.1 Logistics information system 132
6.1.1 Logistics information system overview 132
6.1.2 Inforrnation functionality 136
6.1.3 The importance of information in logistics management 139
6.2 Information technology 140
6.2.1 Introduction to the information technology 140
6.2.2 Use of EDI in the supply chain 143
6.2.3 Technology at UPS 145
6.3 Logistics information management 146
6.3.1 Principles of logistics information 146
6.3.2 DANZAS'principles of logistics information 149
Words and terms 150
Notes 152
Exercises 153
After-class reading 155
Chapter 7 Supply Chain Management 157
7.1 Basic knowledge preparing 157
7.1.1 Concepts of supply chains and its management 157
7.1.2 Model of supply chain management 160
7.1.3 Key attributes of supply chain management 161
7.1.4 Seven principles of supply chain 164
7.1.5 Agile supply chain and its principles 165
7.2 Supply chain management and demand chain management 166
7.2.1 Supply chain management 166
7.2.2 Demand chain management 167
7.2.3 Demand/supply chain linkages 168
Words and terms 171
Notes 172
Exercises 174
After-class reading 176
Chapter 8 Logistical Strategy 179
8.1 Basic knowledge preparing 179
8.1.1 Why formulate logistics strategies 179
8.1.2 A conceptual approach to formulating logistics strategy 182
8.1.3 Strategic direction 186
8.1.4 Distribution strategies—international distribution channel strategies 189
8.1.5 Strategic action itineraries in logistics 190
8.2 View your supply chain as a strategy assert 194
8.2.1 Five key configuration components 195
8.2.2 Operations strategy 195
8.2.3 Channel strategy 197
8.2.4 Outsourcing strategy 197
8.2.5 Customer service strategy 200
8.2.6 Asset network 200
8.3 Illustrated typology of possible logistics strategies 202
8.3.1 Cost domination 203
8.3.2 Differentiation 203
8.3.3 Innovation 204
8.3.4 Alliance 206
Words and terms 207
Notes 207
Exercises 210
After-class reading 212
Chapter 9 Outsourcing Logistics 214
9.1 Basic knowledge preparing 214
9.1.1 Factors promoting outsourcing 214
9.1.2 The process of externalization 217
9.1.3 Recent trends in the purchase of logistical service 218
9.2 Evolving relationship between providers and users of logistical services 229
9.2.1 More precise contract specification 230
9.2.2 Improved LSP-client communications at all levels 230
9.2.3 Joint initiatives 230
9.2.4 Adoption of open-book accounting 231
Words and terms 232
Notes 233
Exercises 235
After-class reading 237
Chapter 10 International Logistic 239
10.1 Basic knowledge preparing 239
10.1.1 The definition of international logistics 239
10.1.2 Stages of international development 242
10.1.3 Non-trade international logistics 243
10.2 Management of the international logistic 246
10.2.1 Containerization 246
10.2.2 International muhimodal transport 247
10.2.3 Managing the Global Supply 249
10.2.4 International logistics center 252
Words and terms 254
Notes 256
Exercises 260
After-class reading 262
Chapter 11 Global Logistics 267
11.1 Surroundings introduction & basic knowledge preparing 267
11.1.1 The trend towards globalization in the supply chain 267
11.1.2 Sources of competitive advantage from a global strategy 269
11.1.3 The nature of competitive advantage in global industries 270
11.1.4 Cultural differences 271
11.1.5 Country comparative advantages 272
11.1.6 Types of international strategy:multi-domestic vs.global 273
11.1.7 Global cost structure analysis 274
11.2 Integration the supply chain 275
11.2.1 Requirements for integration 275
11.2.2 Preparing to integrate the supply chain 277
11.2.3 International partnerships 278
11.2.4 Balancing price,quality and service 279
11.3 Global enterprise logistics:one tradition ends and another begins 280
11.3.1 Global enterprise logistics 281
11.3.2 Global logistics:current issues 281
11.3.3 Knowledge management in global firms 283
11.3.4 Case study 284
Words and terms 287
Notes 288
Exercises 290
After-class reading 291
Chapter 12 Performance Measurement in Supply Chain 293
12.1 Performance measurement 293
12.1.1 Keeping score—a basic management principle 294
12.1.2 The fundamental concepts of supply chain management and measurement 295
12.1.3 The principle of"input and output measures" 296
12.1.4 Setting goals across the chain through service level agreements 299
12.1.5 Future directions in performance measurement 301
12.2 Benchmarking 303
12.2.1 What benchmarking is 304
12.2.2 A brief history of benchmarking 305
12.2.3 What it can do for you 306
12.2.4 The pitfalls and critical success factors(CSFs) 307
Words and terms 309
Notes 309
Exercises 312
After-class reading 314
Chapter 13 New Directions in Logistics 317
13.1 Surrounding introduction and basic knowledge preparing 317
13.1.1 The emergence of the value-conscious customer 317
13.1.2 The new competitive framework:the three Rs 318
13.1.3 The organizational challenge 320
13.2 The supply chain and IT 322
13.2.1 The path to the internet 323
13.2.2 The internet implications 325
13.3 Green logistics 329
13.3.1 Green and logistics 329
13.3.2 Development and application of green logistics 330
13.3.3 The paradoxes of green logistics in transport systems 332
13.3.4 A blueprint for green logistics 334
Words and terms 336
Notes 337
Exercises 339
After-class reading 341
Glossary 343
References 349