Logistics Essay Example | Topics and Well Written Essays - 250 words - 4

Logistics - Essay ExampleIt alike contributes to from utility, based on its ability to fasten the product be in a form in which the customer can use it. For example, logistics can contribute to production economies, such as laboured the cost per unit. The economic impact of logistics can also be seen in place utility, where it helps in the movement of products from one place to another (Bowersox et al 3).Q 2. A reduction in economic regulation has enabled companies to specify various logistics service levels therefore, adjusting prices accordingly. It also enabled those who buy transportation services in large quantities to reduce cost on transportation. Reduction in Economic regulation also allowed individual carriers to have the flexibility to pricing and provision of services (Bowersox et al 6).Q 3. The five activities that force be part of a companys logistics department include customer service, which entails keeping customers satisfied and ensuring that they get the right p roduct. The department may also consist of demand forecasting this includes estimating the future demand of a product (Bowersox et al 18). Facility location decisions may also be part of a logistics department this relates to the location of production and warehousing facilities. The fourth activity entails inventory management logisticians have to consider ordering cost, holding cost, and costs caused by foot race out of stock. Procurement should also be part of a companys logistics department this relates to the acquisition of supplies and raw materials needed for production (Bowersox et al