Contemporary Logistics Chapter 4

Front 1

the value or usefulness of a product in fulfilling customer needs or wants.
The four general types are possession, form, time, and place. Logistics clearly contributes to time and place utilities.

Back 1

Economic utility

Front 2

the value or usefulness that comes from a customer being able to take possession of a product.
Can be influenced by the payment terms associated with a product.

Back 2

Possession utility

Front 3

A product’s being in a form that (1) can be used by the customer and ( 2) is of value to the customer.

Back 3

Form utility

Front 4

Having products available where they are needed by customers; products are moved from points of lesser value to points of greater value.

Back 4

Place utility

Continuing with the diet cola example, place utility is increased by moving the soda from a point of lesser value ( e. g., stored in a warehouse) to a point of greater value ( e. g., on a supermarket shelf).

Front 5

Having products available when they are needed by customers.

Back 5

Time utility

Front 6

"...that part of Supply Chain Management that plans, implements, and controls the efficient, effective forward and reverse flow and storage of goods, services, and related information between the point of origin and the point of consumption in order to meet customers’ requirements.”

Back 6

Logistics Management

Front 7

in which every customer gets the same type and levels of logistics service— will result in some customers being overserved while others are underserved.

Back 7

Mass logistics approaches

Front 8

in which groups of customers with similar logistical needs and wants are provided with logistics service appropriate to these needs and wants.

Back 8

Tailored logistics approaches