ILCHP1

• International Supply Chain Management


  The planning and management of all activities involved in sourcing and procurement, conversion, and all Logistics Management activities, including coordination and collaboration with channel partners (suppliers, intermediaries, third-party service providers, and customers), regardless of their location

  
• Logistics


  The process of planning, implementing, and controlling procedures for the efficient and effective transportation (forward and reverse flow) and storage of goods including services, and related information between the point of origin to the point of consumption for the purpose of conforming to customer requirements
• Supply Chain


  The network of organisations that are involved, through upstream and downstream linkages, in the different processes and activities that produce value in the form of products and services in the hands of the ultimate consumer
• Degrees of supply chain complexity

  • Direct Supply Chain (supplier, company, customer)
  • Extended Supply Chain (suppliers of immediate supplier, company, customers of immediate customers)
  • Ultimate Supply Chain (all organisations involved in upstream and downstream flow of materials from ultimate supplier to ultimate customer)
• Supply Chain Management encompasses the planning and management of all activities involved in sourcing and procurement, conversion, and all Logistics Management activities. It also includes coordination and collaboration with channel partners, which can be suppliers, intermediaries, third-party service providers, and customers.
• Key flows in Supply Chain

  • Physical flows of materials
  • Flows of information that inform the supply chain
  • Tangible resources (including finance, people and equipment) which help the supply chain to operate effectively
  • Intangible resources - good quality relationships between supply chain actors
• Eight Rights of Logistics

  • Product
  • Way/Method
  • Quantity
  • Quality
  • Place
  • Time
  • Customer
  • Cost
• International Logistics


  The process of planning, implementing and controlling the flow and storage of goods, services and related information from a point of origin to a point of consumption located in a different country
• International Supply Chain Management integrates supply and demand management within and across companies and borders

  
• International logistics generate approximately US $500 billion in additional government revenues (Customs duty)
• The costs of International Logistics represent about 15% of the total volume of the international trade; that is about US$ 1.5 trillion world-wide
• Reasons for the economic importance of international logistics in the US include corporations becoming more efficient in their use of inventory through JIT, MRP I, II, and more efficient means of transportation such as the use of container boxes