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Logistics as the management tool as the management tool
B2B membershipLast decade in the USA the competition between the companies-manufacturers of the goods of mass production has passed from a competition of the goods and their utilitarian characteristics to a price and qualitative competition. The increasing value gets ability of the company to provide the percentage of quality of the goods optimal for the target consumer and the price. Decrease in the cost price of the goods is reached by manufacture optimisation, but the final price and a service degree of quality directly depend on efficiency of the administrative business processes which are carried out in the company.

Find suppliersIn order to avoid decrease in quality of production owing to considerable decrease in the cost price of the goods, the most effective is decrease and optimisation of expenses for marketing promo-actions. So, to 50 % of the price of the goods are expenses directly on management of logistics owing to what each head should be interested in optimisation of logistical processes in the company. And, to focus attention follows not on decrease in expenses for logistics, namely on optimisation of logistical processes. Otherwise inevitably there is a decrease in quality of service of consumers while the natural reason of optimisation of management of logistics — is also optimisation of expenses for logistics as a whole. Advertise your site Free — declare production!

AdvertiseConstruction of logistical business processes and efficient control them means working out of accurate logistical strategy taking into account the general and private purposes of the company.

It is enough important point in management of the company as a whole as not in the last instance result of effective logistical management is formation of the competitive advantages allowing the company to conduct competitive struggle against other participants of the target market, and also maintenance of the general corporate strategy with optimum expenses of resources and observance of strategic stability in the market.

Thus, on the first place leave:

* Processing of the order and service of consumers. This stage allows to avoid omission of potential profit because of impossibility qualitatively to process the order.
* Storekeeping, choice of places of placing industrial and warehouse (optimisation of expenses for production storage).
* Find suppliers with the most favourable procurement prices.
In light above the designated competitive purposes on decrease in expenses for marketing and servicing improvement of quality, the logistical strategy directed on minimisation of investments into logistics as a whole and a logistical infrastructure in particular (working out of transport, warehouse, purchasing logistics) was extended.

Choosing such strategy, the companies place target emphasis on following aspects:

* Decrease in expenses for logistics (that as it has already been told, can essentially reduce the final price of the goods).
* Increase in productivity of a logistical infrastructure (that also can lead to considerable economy of resources of the company).
* Service improvement of quality (for example, optimisation of process of delivery of production to the consumer — the important factor of improvement of quality of service).
* Balance maintenance «expenses/quality» and «expenses/service».
* Free B2B membership for all business structures.
Thus, for working out and introduction of effective logistical strategy it is necessary to be guided first of all by the general corporate purposes and general corporate strategy of the company as they should connect together all processes proceeding in the organisation. Only in this case the logistics can become the effective tool of management of the company as a whole.

F1 Logistics. Singapore -> Japan

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