Logistic of distribution

8/7/2019 Logistic of distribution

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Logistic of distribution

By

Gautam paul(67)Shankar paul(71)


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Distribution? Product distribution (or place) is one of the four

elements of the marketing mix.

Movement ofgoods and services from the source

through the distribution channel, right up to thefinal customer, consumer, or user and the

movement ofpayment in the opposite direction,

right up to the original producer or supplier


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The distribution channel

I

t refers to the distribution of a good from onebusiness to another. It can be factory to supplier,

supplier to retailer, or retailer to end customer.

It is defined as a chain of intermediaries, each

passing the product down the chain to the next

organization, before it finally reaches the consumer

or end-user.

This process is known as the 'distribution chain' orthe 'channel.'


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Logstics??

Logistics is the management of the flow ofgoods and services between the point oforigin and the point of consumption in order

to meet the requirements of customers.

Logistics involves the integration of

information, transportation, inventory,warehousing, material handling, andpackaging, and occasionally security.


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Obj. of logistics is the management of the flow of goods

information and other resources.

integration of information

Cost reduction Improving customer service

Rapid Response

Reduce total distribution costs Generating additional sales

Creating time and place utilities

Quality improvement


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Information logistics

Information Logistics (IL) can be defined as

"managing and controlling information handling

processes optimally with respect to time (flow

time and capacity), storage, distribution andpresentation in such a way that it contributes to

company results in concurrence with the costs of

capturing (creation, searching, maintenance etc)."


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Goal

information logistics is about providing:

the correct information product

at the accurate point of time

in the correct format / quality

for the intended recipient

at the right location


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transportation

Transportation plays a connective role among the

several steps that result in the conversion of

resources into useful goods in the name of the

ultimate consumer. It is the planning of all these functions and sub-

functions into a system of goods movement in order

to minimize cost maximize service to the customersthat constitutes the concept of business logistics.


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Mode of transport

Aviation

rail transport

road transport

water transport

pipelines


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Inventory management

Managing inventory in distribution system is

one of the most critical activity in logistic

management system.

Inventory level directly influence the

profitability of a company


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Why we need inventory

Improve customer service

Reduce cost

Smoothing the operations of the logisticsystem

avoiding stock out problem


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Inventory control decision

Pull and push inventory control

Order quantity decision

Risk pooling


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warehousing

Awarehouse is a commercial building for

storage ofgoods.

Warehouses are used by manufacturers,importers, exporters, wholesalers, transport

businesses, customs, etc.


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FUNCTIONS OFWAREHOUSING

1. A balance between demand and supply

2. Storage of goods at various stages of

production 3. A place for product assembly, product

aggregation and bulk breaking

4. Specialized services


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IMPORTANCE OFWAREHOUSING

1. Stability of prices of goods

2.An opportunity for saving on transportation

costs 3. Cost savings passed on to the consumers

4.Facilitation of foreign trade


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Main decision in warehousing

1. number of warehouse

2. location of the warehouse

3. macro prospective in warehouse location

4.micro prospective in warehouse location


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conclusion


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Thank u

Documents

Logistic of distribution