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ABA 438: Logistics Management (International Logistics) Notes

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The above document contains detailed notes which covers the unit ABA 438: Logistics Management (International Logistics)
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Brief Overview:
INTRODUCTION:
Logistic is the designing and managing of system in order to control the flow of materials throughout a corporation. This is a very important part of an international company because of geographical barriers. Logistics of an international company includes movement of raw materials, coordinating flows into and out of different countries choices of transportation, cost of transportation, packaging the product for shipment, storing the product and managing the entire process. The concept of logistics is fairly new in the business world, the theoretical development was not used until 1966. Since then business practices have evolved and currently logistics cost between 10 to 25 percent of the total cost of an international purchase.


INTERNATIONAL LOGISTICS:
Logistic is the process of planning and executing the efficient transportation and storage of goods from the point of origin to the point of consumption. The main goal of logistics is to meet customer requirements in a timely cost effective manner.
International logistic is the designing and management of a system that controls the forward and reverse flow of materials, services and information into, through and out of the international corporation.
It is the process of planning and managing the flow of goods and products in the company’s supply chain from acquisition to customer purchase where part of the process involves crossing at least one international border. Through the implementation of international logistics, the firm can implement cost saving programmer such as Just in Time delivery and Electronic Data Interchange.
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