Logistics Management and Strategy - GBV

1 Logistics Managementand StrategyCompeting through the supply chainFourth EditionAlan HarrisonRemko van HoekFinancial TimesPrentice Hallis an imprint ofHarlow, England London New York Boston San Francisco TorontoSydney Tokyo Singapore Hong Kong Seoul Taipei New DelhiCape Town Madrid Mexico City Amsterdam Munich Paris MilanContentsForeword xiiiPreface xvAuthors' acknowledgements xviiPublisher's acknowledgements xixHow to use this book

2 XxiPlan of the book xxiiiPart One COMPETING THROUGH LOGISTICS1 Logistics and the supply chain 3 Introduction Logistics and the supply chain Definitions and concepts Supply chain: structure and tiering Material flow and information flow Material flow Information flow Competing through Logistics Hard objectives Supportive capabilities Soft objectives Order winners and qualifiers

3 Logistics Strategy Defining' Strategy ' Aligning strategies Differentiating strategies trade-offs in Logistics 31 Summary 32 Discussion questions 33 References 33 Suggested further reading 342 Putting the end-customer first 35 Introduction The marketing perspective Rising customer expectations The information revolution Segmentation

4 Demand profiling Quality of service Customer loyalty Value disciplines ' 53viii Relationship marketing and customer relationshipmanagement (CRM) Measuring service quality Setting priorities for Logistics Strategy Step 1: Diagnose current approach to market segmentation Step 2a: Understand buying behaviour Step 2b: Customer value analysis Step 3: Measure Logistics Strategy drivers Step 4: Specify future approach to market segmentation 63 Summary.

5 68 Discussion questions 69 References 70 Suggested further reading 71$ Value and Logistics costs 73 Introduction Where does value come from? Return on investment (ROI) Financial ratios and ROI drivers How can Logistics costs be represented?

6 Fixed/variable Direct/indirect Engineered/discretionary Activity-based costing (ABC) ABC example Cost-time profile (CTP) Cost-to-serve (CTS) A balanced measurement portfolio Balanced measures Supply chain Management and the balanced scorecard Supply chain financial model Supply chain operations reference model (SCOR)

7 101 Summary ' 105 Discussion questions 105 References 106 Suggested further reading 106 Part Two LEVERAGING Logistics OPERATIONS1 Managing Logistics internationally 109 Introduction Drivers and Logistics implications of internationalisation Logistical implications of internationalisation Time-to-market Global consolidation Risk in international Logistics The tendency towards internationalisation Focused factories.

8 From geographicalto product segmentation Centralised inventories \ 121 Contents The challenges of international Logistics and location Extended lead time of supply Extended and unreliable transit times Multiple consolidation and break points Multiple freight modes and cost options Price and currency fluctuations Location analysis Organising for international Logistics Layering and tiering The evolving role of individual plants Reconfiguration processes Reverse Logistics Managing for risk readiness Immediate risk readiness

9 Structural risk readiness Corporate social responsibility in the supply chain 145 Summary 150 Discussion questions 150 References 151 Suggested further reading 1515 Managing thejead-time frontier 153 Introduction 153 > The role of time in competitive advantage Time-based competition: definition and concepts Variety and complexity Time-based initiatives Time-based opportunities to add value Time-based opportunities to reduce cost