The logistics was at one moment alone used in military. It said that term logistics was first used in military need, just to supply itself as soldiers and material moved from their base to a leading position. Logistics involved the migration of, equipment, troops, food, and machinery to and from a combat zone to maintain the necessary supplies to battle efficiently in wars. Even present-day, army’s rely on getting the appropriate and sufficient supplies - logistics plays a life-and-death role in their survival.
Over the years, logistics has become an ordinary word used in almost all business and for private as well as corporate purpose. Logistics is the science and art of the assimilation of transportation, material handling, inventory knowledge, warehousing, and packaging. In easy terms, it is transporting goods to the right …show more content…
The Pain-Points and Practices: As mentioned earlier, the automotive industry today is struggling for growth and profitability in a setting that features both increasing costs and declining profit margins. There are many problems that need to be resolved, known as pain-points. The pain-points are weak points in current practices that have an impact on the AS-IS process and manufacturing performance, leading to declining profitability for the whole industry. Hence, the automotive industry should try to find new practices to make the industry thrive again.
• The inaccuracy of sales forecasts
• A disconnection between manufacturing and customers
• The self-fulfilling cycle to provide an inaccurate sales forecast, and the increasing cost of sales from incentives
• The vulnerable and unreliable information or scheduling from manufacturer to suppliers
• The delay in order entry
• The delay in order processing and scheduling process
• The delay from distribution
• The high inbound and outbound logistics cost
Over the years, logistics has become an ordinary word used in almost all business and for private as well as corporate purpose. Logistics is the science and art of the assimilation of transportation, material handling, inventory knowledge, warehousing, and packaging. In easy terms, it is transporting goods to the right …show more content…
The Pain-Points and Practices: As mentioned earlier, the automotive industry today is struggling for growth and profitability in a setting that features both increasing costs and declining profit margins. There are many problems that need to be resolved, known as pain-points. The pain-points are weak points in current practices that have an impact on the AS-IS process and manufacturing performance, leading to declining profitability for the whole industry. Hence, the automotive industry should try to find new practices to make the industry thrive again.
• The inaccuracy of sales forecasts
• A disconnection between manufacturing and customers
• The self-fulfilling cycle to provide an inaccurate sales forecast, and the increasing cost of sales from incentives
• The vulnerable and unreliable information or scheduling from manufacturer to suppliers
• The delay in order entry
• The delay in order processing and scheduling process
• The delay from distribution
• The high inbound and outbound logistics cost