Guess you are a business owner and that is what leads you to come up till here and read this. As a business owner, you must already know the complexity of getting a product to its destination. Obviously, it is not as easy as a customer or a common person thinks of.
Indeed, there are numerous aspects involved that one needs to understand when it comes to handling the product delivery and the entire supply chain.
Here we have come up with a guide that will make you understand logistics and supply chain management in detail and how it can affect your business. So without any further ado, let\'s get started.
What is Logistics and Logistics Management?
If you have been regularly suggested to focus on logistics and supply chain management, then you probably should do the same.
As a beginner, you must be having a number of doubts however, we would be helping you right through the process in detail.
We can define logistics as a process of getting the right product to reach the right customer in the right condition, time, quantity and place.
Other than that, it can be classified into two subcategories. Firstly, inbound logistics and the next is outbound logistics.
Now coming to its another aspect called logistic management, we can define it as a process that deals with efficient and effective management of day-to-day activities.
These activities involve the production of finished goods and services while organizational development depends greatly on them.
What is Supply Chain and Supply Chain Management?
Now jumping to the other part, we would be discussing what the supply chain is. Hence, we can describe it as a network of organizations that are included via upstream and downstream linkages in a variety of processes.
These processes include activities that produce value in the form of products and services until it reaches the hand of the customer.
Guess you are thinking about what supply chain management could be? Well, we can define it as the coordination of production, inventory, location, or transportation among the participants in the supply chain.
All this is done to receive response and efficiency for the market it has served to. We assume that reading until here has clearly made you understand there are differences that logistics and supply chain management come with.
But the question is do they have any similarities? If you really want to know about it, just keep reading!
Are there any Similarities that Logistics and Supply Chain Management share together?
Undoubtedly, we know how logistics and supply chain management is used interchangeably. We can say that there is not much difference between the two.
Though the debate is ongoing, we still want to keep you informed that these two terms do have similarities while they differ in concepts and meanings.
To be detailed, supply chain management is said to be an overarching concept that links together a number of processes so that competitive advantages can be achieved.
Whereas, logistics is clearly all about storing, managing, moving, the flow of goods and services. Again being said, there are not many differences between the two, but surely there are.
You must be thinking what are they? Let\'s just not waste time and find out about them in the next part.
What are the differences between Logistics and Supply Chain Management?
Guess you are too curious to find out more about this topic. This is why we have curated a list of differences between Supply chain management and logistics below.
How do they Work? - Supply chain management can be referred to as a way that links the business processes within and across the company.
This is done so that a high-performance business model can be achieved that brings competitive advantages.
On the other hand, logistics involves the storage and movement of goods in and out of the organization.
What do they Focus on? - supply chain management focuses on competitive advantages.
Whereas logistics\'s main focus revolves around meeting the needs and requirements of the clients.
How old are they? - It is prevalent to point out the fact that logistics has been emerging for a longer period of time, whereas supply chain management is a new term added
Which is Scalable more? - Talking about logistics, it is not as scalable as supply chain management.
To be precise, logistics works with just one organization whereas supply chain management works with multiple organizations together.
Attention businessmen !! We assume that you have now clearly introduced yourself to the concept of logistics and supply chain management.
Even if you were told about it earlier, we are pretty sure that those were not accurate as what we have offered. This is why we highly recommend you to share it with others and cut the crap!!