Presentation on Logistics and transportation includes IMPORTANCE OF LOGISTICS MANAGEMENT, Objectives of Logistics Management, Functional Framework of Logistics Management, Elements and Functions of Logistics, Role of Transportation, Functions of transportation, Modes of Transportation, Factors influencing the Transportation, Warehousing, Functions of Warehousing, Distribution of warehousing, Inventory Management, Types of Inventory, Inventory Management and Control

1. Made by
Group 3rd
 Akansha Negi
 Alisha Mago
 Ankit
 Neeraj Kumar
 Varsha Gautam

2. • Logistic and transportation is define as the movement of
goods and services by the marketer to the customers at the
least cost.
• It depends upon planning and facilitating movement of right
things, at right time, at the right place, and at the right cost.

3. Logistics involves Integration of information, transportation,
inventory, warehousing, Material Handling, and often security.
Importance of logistics management can be summarized on the
three parameters :-
• Making goods and Services available
• Significant part of cost and Expenditure
• Sustainable Competitive Advantages(SCA)

4. The main objective is to link market place, distributors,
manufacturers and procurement so as to fullfill the customer
requirement at a reasonable cost. The logistic mangement needs
to ensure 7 R’s :-
• Right Cost
• Right Place
• Right Time
• Right Quantity
• Right Condition
• Right Product
• Right Customer

5. Functional Framework of Logistics
Management

6. • There are 8 activities that needed to be discussed for an
effective and efficient logistics System :-
• Production Planning
• Storage and Warehouse
• Procurement
• Packaging
• Material Handling
• Transportation
• Customer Service
• Order Fullfillment

7. • Transportation refers to the movement of product from one
location to another as it makes its way from the beginning of
supply chain to the customer
• Transportation is an important supply chain driver because
products are rarely produced and consumed in the same
location.

9. • Helps in movement of goods from one to another
• Helps in mobilizing the labour and capital
• Creates Place and Time utility
• Provides Employment
• Stabilizes Demand and Price of product

10. Modes of
Transportation
Air Land Sea
Road Rail

11. Transportation
Economic
Factor
Environment
Factor
Technological
Factor
Geographical
Factor

12. • The place where the products are stored before their final
consumption is known as warehouse.
• Storage or Preservation function of products is known as
warehousing.
• It also provides the information about the status and items
being stored in the warehouse to the management.

13. • Supports customer service policy
• Maintain an uninterrupted supply of goods
• Act as the Control Centres
• Achieve the transportation economy
• Overcome time and space differential
• Provide customers the right kind of product at right time and
at right place

14. Distribution warehouses are the network of warehouses setup
close to the customer location to service markets better at a
minimum cost. The location of these distribution warehousing
could be :-
• Market Positioned
• Production Positioned
• Intermediaries Positioned

15. • Inventory is an idle stock of physical goods that contain
Economic value and are held in various forms by an
organisation
• An organisation which is into marketing process will hold stock
of various physical resources for future consumption and sale.

16. Types of
Inventory
Manufacturing
Inventories
Raw
Material
Work in
progress
Finished
Goods
Packing
Materials
MRO
Supplies
(Maintena
nce,
Repairs,
Operating)
Merchandise /
Trading
Inventories
Here, All
Material
are same

17. Inventory is required to be classified with some logic
to be able to manage the Inventory.
ABC Classification is based on Pareto Principle. Inventory classified based on
the value of units
• “A” Category Items :- 20% of Items contribute to 80% of revenue
• “B” Category Items :- 30% of Items contribute to 15% of revenue
• “C” Category Items :- 50% of Items contribute to 5% of revenue