Understanding the fundamentals of logistics and supply chain management is key to designing efficient distribution networks and controlling costs. Today, we focus on core principles.

What is Logistics? – Defining logistics and its impact on supply chain success.
Structure of Production & Distribution Networks – How businesses design their supply chains.
Key Factors in Logistics Strategy:
Competition Factors – What drives competitive logistics strategies?
Cost Drivers – Identifying and managing key cost elements.
Strategic Approaches – Aligning logistics decisions with business goals.
The Role of Inventories in Distribution – Balancing availability and cost.
Inventory Management Models:
Economic Order Quantity (EOQ) – Understanding order optimization.
Cycle vs. Capacity-Induced Stock – Managing stock based on demand and capacity.
Managing Uncertainty in Supply Chains:
Setting Safety Stocks – Planning for demand fluctuations.
Two-Stage Decision Process in Assemble-to-Order Systems – Production planning for customized orders.
Decision-Making in Logistics:
Time Horizons & Hierarchical Levels – How long-term vs. short-term decisions affect efficiency.
Decision Approaches & Information Flows – Optimizing communication in supply chains.