From the course: Understanding Logistics

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Logistics cuts across department boundaries

Logistics cuts across department boundaries

From the course: Understanding Logistics

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Logistics cuts across department boundaries

- Logistics focuses on managing and filling the customer's order. And doing this, it cuts across the borders of many different business functions so it's important that we understand how logistics interacts with those other roles within the organization. Let's look at three important areas that require communication and coordination. First, consider the manufacturing or operations part of your company. You must deliver the right materials and components to the factory at the right time and then deliver finished products from the factory to the customer. Your deliveries to and from the factory, must of course be coordinated with their production runs and you must do so while controlling inventory and transportation costs. Certainly this is not an easy job. These considerations about quantity and timing of delivery are also influenced by the purchasing function because they write the contracts for materials. In fact…

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