5 Logistics and Distribution Management Free Online FlashCards

What does logistics coordinate?

Logistics coordinates the movement, handling, storage, and related information flows of goods, including forward deliveries and reverse flows such as returns.

What is a basic objective of logistics?

Deliver the right product, quantity, and condition to the right place at the right time, while using resources efficiently.

Why should logistics decisions be evaluated across the whole system?

A decision that reduces cost in one area, such as delivery distance, may increase costs elsewhere, such as facilities and inventory. Management weighs total service and system cost.

What is direct shipment, and what is one trade-off?

The supplier ships directly to the customer, bypassing a company distribution center. This avoids facility handling but can make small deliveries costly.

What are the main stages of order fulfillment?

Order capture and validation, allocation, picking, packing and labeling, dispatch, then delivery confirmation and issue handling.

What does inbound logistics manage?

Inbound logistics moves goods from suppliers toward the receiving organization or production site, including transport coordination, receiving, inspection, and recording receipts.

Which measures can assess fulfillment performance, and how should they be used?

Measures include order accuracy, on-time delivery, order cycle time, product availability, and cost per order. Interpret them together because speed and low cost can conflict.

How does supply chain management differ from logistics?

Supply chain management includes logistics, but also covers broader activities such as sourcing, production, and coordination among organizations.

What is a key trade-off in centralized distribution?

One or a few facilities serve a broad area. Pooling inventory can reduce duplicated safety stock, though customers may be farther from stock.

What service and cost trade-off does regional distribution create?

Several facilities hold inventory closer to customers. This can support faster delivery but increases facility and inventory costs.

What happens during cross-docking?

Inbound goods are sorted and transferred to outbound vehicles with little or no long-term storage. It works best when shipments, timing, and demand are coordinated.

What factors shape a distribution network design?

It depends on customer locations, demand volume and variability, delivery promises, product characteristics, transport costs, and disruption risk.