S. Sarkar and Y. Zhao
Supply chain management.
Report 2000.LT.5346, Transport Engineering and Logistics.
To maintain a sustaining position in today's competitive business world the
most effective and efficient tool for any company is Supply chain or Business
Logistics Management. An efficient and effective way to deliver the finished
goods from producer to consumer is the ultimate aim of Supply Chain Management.
The concept of Supply Chain grew in different countries at different times in
different ways. The main controlling factors for the development of the
logistics concept were shaped by some common factors in all countries
throughout the world. Besides, the local socio-economic and political
situations also shaped the logistics concepts of a particular country.
Supply Chain Management can be subdivided into Inbound Logistics (Materials
Management) and Outbound Logistics (Physical Distribution) systems.
Materials management usually includes the following activities:
Each of these activities should be carried out systematically to end up with a
successful Supply Chain.
- production planning
- inbound transportation
- materials quality control
- inventory management and control
- salvage and scrap disposal
The outbound logistics system controls the physical distribution system of the
products from the manufacturers or sellers to the ultimate consumer. So, for
outbound logistics system the main controlling factors are:
The type and size of the company determines what type of logistics system it is
going to adapt. These factors also dictate whether the company should pay much
attention on the inbound or the outbound system.
- transportation system
- materials handling and packaging
- order processing and information systems
All these concepts of Supply Chain management system are discussed and
examplified in this essay.
Reports on Transport Engineering and Logistics (in Dutch)
, TU Delft