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Just-in-time
Published in Stuart M. Rosenberg, The Digitalization of the 21st Century Supply Chain, 2020
In the 1990s, companies began to view logistics as more than simply a source of cost savings and to recognize it as a source of augmenting products or services offerings as a part of the broader supply chain process to create a competitive advantage. The Council of Logistics Management defines logistics as the process of planning, implementing, and storage of raw materials, in-process inventory, finished goods, and related information from the point of origin to the point of consumption for the purpose of meeting customer requirements. The general description of logistics in the literature is ‘7Rs’, that is, the ability to deliver the Right products to the Right customer at the Right place, in the Right condition and Right quantity at the Right time, at the Right costs. Logistical activities serve as a link between production and consumption and provide a conduit between production and market locations or suppliers separated by distance and time. The operations which are coordinated by logistics can be listed as follows: planning and marketing strategy, market strategy and product design, production planning, materials management, inventory management, warehousing and materials handling, distribution, warehouse, and transportation.
Materials Management
Published in Susmita Bandyopadhyay, Production and Operations Analysis, 2019
Materials management is the planning, organizing, controlling, and decision making of and related to the flow of materials in an organization. The objective is to coordinate all the activities that are related to various materials in an organization. Materials management is “a wide spectrum of varied activities and is totally committed to providing a smooth flow from suppliers to production to finished goods inventory to customers” (Colton and Rohrs). The American Production and Inventory Control Society (APICS) defines materials management as “the grouping of management functions supporting the complete cycle of material flow, from the purchase and internal control of production materials to the planning and control of work in process to the warehousing, shipping, and distribution of finished product.” According to James R Evans, materials management is “planning, coordinating, and controlling the acquisition, storage, handling, and movement of raw materials, purchased parts, semi-finished goods, supplies, tools, and other materials that are needed in the production process.” Some other authorities who have defined materials management include the following. American Production and Inventory Control Society (APICS)Association for Manufacturing Excellence (AME)Delta Nu Alpha (DNA)Materials Handling and Management Society (MHMS)
Integrated textile material and production management in a fuzzy environment: A logistics perspective
Published in The Journal of The Textile Institute, 2021
R. Ghasemy Yaghin, Fateme Darvishi
Several important suggestions are presented to follow our proposed framework. The further analysis of effective material management and production planning could incorporate appropriate procurement visibility levels into globalized supply chains (similar to Ghasemy Yaghin & Goh, 2020). One could also study the benefit of the risk-pooling in the integrated multi-site production decisions. How are parallel manufacturing sites affected by stochastic demand? What is the optimal number of active production sites to meet the uncertain, varying demands with correlated market demands? The challenges of raw material sourcing and product architecture for new product development in the textile industry (cf. Hakala et al., 2018) could also be an interesting research area to integrate supply and textile development chains. Thus, managing the integrated tactical decisions can be enriched for newly introduced products such as medical textiles.
The propellants of the Logistics Performance Index: an empirical panel investigation of the European region
Published in International Journal of Logistics Research and Applications, 2023
Serdar Alnıpak, Erkan Isikli, Sudi Apak
Logistics is basically defined as activities including material management, information and funds flow between the points of production and consumption. The fierce global competition requires the effective use of logistics functions to increase on-time delivery and flexibility (Jazairy et al. 2017). Logistics activities are pivotal in a country’s economic growth and productivity increase (Wong and Tang 2018) and highly efficient logistics activities contribute to the commercial competitiveness of countries (Wong, Soh, and Goh 2016; Ferrari, Migliardi, and Tei 2018). Better logistics systems created in today’s global supply chains should allow for and facilitate the more efficient flow of resources, goods and services. Improving the logistics performance is vital for both developed and developing countries since logistics includes many activities such as transportation, storage, handling, terminal operations, customs clearance, inventory management, and information management that facilitate trade (Ekici, Kabak, and Ülengin 2019). A better performing logistics sector expedites the trade between countries (Tang and Abosedra 2020). International organisations and associations have developed various indicators to evaluate and compare the logistics systems of countries (Stojanovic and Ivetic 2020). The best known of these is the LPI concept that was introduced in 2007. As an important tool created to measure the logistics performance of countries, it aggregates data into a single indicator using traditional statistical techniques (Kabak, Ekici, and Ülengin 2020). It is widely used in global logistics research for the purpose of benchmarking and comparison of countries and analyzing the intra-country logistics performance (Edirisinghe 2013).
Big size highly customised product manufacturing systems: a literature review and future research agenda
Published in International Journal of Production Research, 2019
Ilenia Zennaro, Serena Finco, Daria Battini, Alessandro Persona
As these companies work with one-of-kind products, they do not have high material inventories and components are ordered after customer confirmation. Components can be divided into two groups, as standard components, that are usually common and little spare parts, not so expensive, and high customised components that are cumbersome, voluminous, heavy and expensive. Material management aims to provide the right components, in the right quantity in the right moment. Land and Gaalman (2009) propose a deep analysis of PPC in MTO and ETO SMEs, aiming to individuate principal criticalities and general PPC concepts. Other authors focused on the risk of missing components, cause of significant delays in production. Tolio, Urgo, and Alfieri (2008), focusing on the uncertainty of production scheduling, proposed an approach to improve production activities scheduling and timing and so better support material management. Little et al. (2000), instead, present an overview of ETO sector, studying 13 companies in terms of data capture methods, event process chains and planning and scheduling process models; they present a comprehensive model of information requirements for ETO sector. Recently Manzini and Urgo (2015) propose two indicators, as Risk Index and Criticality Index, to classify components and minimise missing risk. Sjøbakk, Bondarenko, and Kamran (2014), instead, focus on the need of a performance measurement system (PMS) to control the production process and material management, in ETO companies. Many works investigate this topic, but few of them are focused on big size components criticalities; in fact material management of these components should be considered critical especially its handling in the production environment. Work Breakdown Structure (WBS) is a very common resource and material planning tool, especially for project management, and it provides the decomposition of a project into smaller activities, components and resources in a tree structure. WBS is very useful not only at the level of the project management but also for PPC. It allows to manage all product production process, its components, its costs, production scheduling and risk mitigation. Sharon and Dori (2012) proposed a model based on WBS approach and lifecycle management applied to complex products. Nan, Yan-Xin, and Bing-Jie (2013) present a simulation model to study WBS of complex big products (as ships) considering overlapping probability, rework probability, resource constraints, etc. to individuate different scenarios.