Logistics focuses on processes within the supply chain, such as transportation and storage of products. This process involves the movement and storage of products throughout the supply chain. Logistics encompasses activities such as demand planning, transportation, inventory management, material handling and order fulfillment.
Supply chain management (SCM) refers to the network that includes all activities such as sourcing, production, transportation, storage and sales. The main goal of SCM is to find processes that ensure an efficient and smooth flow of goods to deliver a positive experience to customers. Additionally, it supports all aspects such as purchasing, production and distribution.
The logistics function, unlike supply chain management, focuses on product movements within the company and does not address activities between different organizations.
The Importance of Logistics and SCM in Modern Businesses
In today's businesses, supply chain management and logistics play a critical role in the success of companies.
Effective use of logistics systems can reduce storage and transportation costs and increase efficiency.
SCM software can help track goods and ensure the flow of information across touchpoints.
Proper inventory control can minimize theft within the company and increase operational efficiency.
Green logistics practices focus on reducing the carbon footprint and creating a sustainable balance in the supply chain while minimizing the environmental impacts of technology.
Benefits of Applying Logistics and SCM in Modern Businesses
Delivering products/services efficiently
Cost Savings
Increasing Productivity
Cooperation Development
Management of Risks
Artificial Intelligence Applications in Logistics and SCM
Predictive Maintenance
Inventory Management
Optimization of Routes
Real Time Tracking
Demand Forecast
How Is Artificial Intelligence Revolutionizing the Supply Chain?
Digitizing Documents and Eliminating Errors
Robotics to Automate Repetitive Tasks
Cognitive Automation with RPA
Measurement of CO2 Emissions and Data Analysis for Carrier Selection
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