Logistics Versus Supply Chain Management by elfphabet8


									Logistics Versus Supply Chain
Management : An International


 This paper opens by describing four unique
 perspectives on the relationship between
 logistics and SCM.
 Four perspectives: traditionalist , relabelling ,
 unionist , inter-sectionist
 The result of an international survey of
 logistics / SCM experts are reported.
 For logistics educators, researchers and
Four unique perspectives –
 SCM is one small part of logistics.
Four unique perspectives –
 Educators can easily accomplish this by
 adding a SCM lecture to the logistics
 management course, or by inserting a SCM
 chapter into a logistics textbook.
 SCM analysts would broaden the scope of
 logistics analysis
Four unique perspectives –
 The relabelling perspective simply renames
 logistics; what was logistics is now SCM.
Four unique perspectives –
 More recently, Simchi-Levi et al. (2000)
 confessed that they ‘‘do not distinguish
 between logistics and supply chain
 Relabelling narrows the scope of SCM, since
 SCM equals logistics.
Four unique perspectives –
 This perspective treats logistics as a part of
 SCM; SCM completely subsumes logistics.
Four unique perspectives –
 Stock & Lambert (2001) suggest ‘‘supply chain
 management is the management of eight key
 business processes:(1) customer relationship
 management, (2) customer service management, (3)
 demand management, (4) order fulfillment,
 (5)manufacturing flow management, (6)
 procurement, (7) product development and
 commercialization, and (8) returns’’. These
 processes subsume or include much of logistics,
 purchasing, marketing and operations management.
Four unique perspectives –
 The intersection concept suggests SCM is not
 the union of logistics, marketing, operations
 management purchasing and other functional
Four unique perspectives –
 The supply chain manager would be involved
 in the negotiations,but not the purchase order
 At the intersection, SCM co-ordinates cross-
 functional efforts across multiple firms. SCM
 is strategic, not tactical.
International Survey of Experts
                                  – Method
 Researchers created lists of topic/technique
 Combining these lists yielded over 120 items.
 This list was trimmed to 88 survey items,.
International Survey of Experts
                                  – Method
 The 88 Survey Items:
 Strategic management
 Supplier development
 Supply chain management (SCM)
 Information technology
International Survey of Experts
                                  – Method
 Respondents were asked to rate the
 importance of each of these items twice , on
 scales from zero (no importance) to five (very
 high importance).
 The Questionnaire
International Survey of Experts
                                  – Method
  Total sample = 208(logistics educators)
  via fax
  All members of the CLM
 (Council of Logistics Management).
  total of 98 usable surveys was received.
  response rate of 47.1%
  Survey recipients were from North America,
  Europe, South America and Asia.
International Survey of Experts
 34 survey items, significantly more important
 for SCM compared to logistics.
 16 items, significantly more important
 for logistics compared to SCM.
 38 survey items, there were no significant
 differences in importance between logistics
 and SCM.
International Survey of Experts
 the top 10 lists, share seven common items
 common items:
 Customer service
 Logistics management
 Inventory management
 Information technology
 Cycle time reduction
 Supply chain management
Classifying Logisticians
                             –Cluster analysis
 The first index , abs = sum| SCMi - logisticsi |,
 for i=1 to 88
 The second index , raw = sum(SCMi-
 logisticsi), for i=1 to 88
 Identified 50 relabellers, 22 unionists, 16
 traditionalists and seven inter-sectionists
Classifying Logisticians
Research Interests and Methods

 The most prevalent research interests were
 SCM, e-business, transportation,customer
 service and relationships.
 usefulness of various methods for conducting
 their research, on a scale of one to five.
 Europeans rated qualitative (case study and
 interview) methods significantly more useful
 than their North American counterparts.
   – Implications for Logistics Educators
 under a new name: ‘‘SCM’’.
  remove logistics management, cover the essentials
 of logistics
  champion an interdisciplinary SCM major
  add a SCM lecture to the logistics management
  – Implications for Logistics Researchers
 Among the researcher’s challenges in SCM
 is to put boundaries on the study.
 relabelling and traditionalism imply narrow
 definitions of SCM.
 unionism and inter-sectionism suggest broad
 focus group discussions , could uncover
 intuitive and/or theoretical arguments
 supporting the various perspectives.
 – Implications for Logistics Rractitioners
 Logistics practitioners must define ‘‘SCM’’
 and adopt a perspective on SCM versus
 Relabellers can implement SCM
 Unionists have the challenging task of
 creating a SCM line organisation and
 changing many reporting relationships within
 the firm.
 Inter-sectionists can start small, adding a
 SCM staff function available
The End.
Thanks for your listening!!

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