ADVANCED PROJECT AND LOGISTICS MANAGEMENT

Table of Contents
1. Understand the features and aims of project, program, and portfolio management................2

1.1. Compare the features and aims of programme management with project management.. 2

1.2. Define the principles of portfolio management................................................................4

1.3. Examine the differences between programmes and portfolios.........................................5

1.4. Evaluate the relation between portfolio management and organizational strategy...........6

1.5. Evaluate the efficacy of various portfolio selection tools and techniques........................7

2. Understand the requirements for implementing a Project Management Office.......................9

2.1. Critically assess the benefits of the Project Management Office......................................9

2.2. Assess the implementation of a levelled Project Management Office structure.............11

2.3. Critically evaluate the stages involved in planning and implementing the Project
management Office....................................................................................................................12

2.4. Create a Project Management Office charter for an organization...................................13

3. Understand the global supply chain ecosystem......................................................................14

3.1. Define what global supply chain ecosystem is?..............................................................14

3.2. Explain how to map global supply chain ecosystem......................................................15

3.3. Explain the use of the ecosystem framework in supply chain analysis..........................17

3.4. Examine how modern manufacturing and services are intertwined...............................18

4. Understand the role of information technology in logistics and supply chain.......................19

4.1. Critically assess the relationship between logistics and information systems................19

4.2. Define Critical Success Factors (CSF) for IT integration in logistics............................21

4.3. Design a framework to integrate IT into the Total Logistic System...............................22

References......................................................................................................................................27
 1. Understand the features and aims of project, program, and portfolio management.
1.1. Compare the features and aims of programme management with project
management.
Programme Management can be described as the unification and management of a collection of
connected projects with the goal of achieving advantages that would not be realized if they were
handled independently. This can be done with the intention of achieving goals that would not be
attainable otherwise. Even though they are related, this is a separate topic from portfolio
administration (Lycett et al., 2004). PMI defined the project management “A project
management is a temporary endeavor undertaken to create a unique product, service, or result”.
(Institute, 2019), (Institute, 2013).

Program and project management have some commonalities in that they both focus on
innovation and development through the use of teams to bring about change. Additionally, they
aim to boost the organization's success in both financial and non-financial ways.

Differences between programme and project management is given as

Area Project management Program management

Focus Single objective Business strategy
Scope Narrow Cross-functional and wide-ranging
Benefits Benefits are determined in Used to make the decisions and accrue
advanced. Increase in number after during the programme
completion.
Deliverables Defined clearly but few Initially undefined but many
deliverables deliverables
Timescale Clearly defined Loosely defined
Change To be avoided Inevitable
Success Specification, time, and budget ROI, cash-flow, and mission
factors
Plan Bounded, detailed and specific Evolving and high level

References
 1) INSTITUTE, P. M. 2019. A Guide to the Project Management Body of Knowledge
(PMBOK(R) Guide-Sixth Edition / Agile Practice Guide Bundle (HINDI), Project
Management Institute.
2) LYCETT, M., RASSAU, A. & DANSON, J. 2004. Programme management: a critical
review. International journal of project management, 22, 289-299.
3) INSTITUTE, P. M. 2013. A Guide to the Project Management Body of Knowledge:
PMBOK Guide, Project Management Institute.

1.2. Define the principles of portfolio management.

The term "portfolio management" is used to describe the process of overseeing a group of assets
with the intention of meeting a set of predetermined goals, all the while keeping in mind the
investor's risk aversion, investment timeline, and other financial objectives.

Portfolio management is the process of ensuring that an investor's investments continue to reflect
their goals and risk tolerance over time. This is accomplished through analysis of the investor's
current financial situation, the establishment of investment objectives, the selection of an
appropriate mix of investments, monitoring performance, and any necessary adjustments
(Christopulos, 2022),(Carvalhaes, 2022).

One concept of portfolio management is the pursuit of optimal strategy success. The portfolio
level is an ideal place to execute strategies that can have a significant impact on corporate
performance and generate competitive performance among competitors. Efficient decision-
making is another core concept that emerges from portfolio management. When making
important decisions, it helps to use a methodical, data-driven approach that begins with a
thorough analysis of the situation and ends with the formulation of a set of criteria with relative
weights. This phase aids in creating, analyzing, and choosing the optimal solution to be put into
action and assessed afterward (Kopmann et al., 2017).

Strategic investment choices, such as the selection of specific stocks or asset groups, are made in
accordance with the active management principle. When compared to inactive management,
which entails purchasing index funds or other inert investment instruments, active management
has the potential to produce better yields.

References
 1) CHRISTOPULOS, M. 2022. Project Portfolio Management. PROJECT
MANAGEMENT FOR DRUG DEVELOPERS CRC Press.
2) CARVALHAES, J. L. S. A. 2022. Product portfolio management: what are Sonae MC’s
star products?
3) KOPMANN, J., KOCK, A., KILLEN, C. P. & GEMÜNDEN, H. G. 2017. The role of
project portfolio management in fostering both deliberate and emergent strategy.
International Journal of Project Management, 35, 557-570.

1.3. Examine the differences between programmes and portfolios.

According to (Pérez et al., 2017) “A portfolio is a collection of projects and programs that are
carried out in an integrated way, through which an organization seeks to achieve its strategic
objectives, by managing the interfaces between projects and balancing scarce resources across
projects and programs, as well as risks and benefits”. To achieve greater success than would be
possible with the administration of individual programmes, actions, or initiatives, programme
management coordinates these endeavors.

Strategically overseeing a number of interconnected projects or efforts that together serve a

larger business purpose is known as "programme management." To achieve this, numerous
project teams' efforts must be coordinated and integrated to ensure that the organization's
overarching strategy and goals are being met (Mokoka and Mothiba, 2014).

The term "portfolio" is used in project management to describe a gathering of interconnected

projects, initiatives, or other activities that are coordinated in order to reach overarching goals.
Managing and optimizing the distribution of resources like money, people, and machinery is
what a project portfolio is all about, so that the company can hit its mark on the big picture. A
specialised group usually manages the portfolio, making decisions about which initiatives get
funded, prioritized, and carried out (Farrell, 2020), (Joshi, 2018),

Area Programme Project

Scope Its corporate breadth shifts in Its corporate breadth shifts in accordance
accordance with the company's long- with the company's long-term goals.
term goals.
Change It's ready to handle change on both It keeps a constant eye on how both the
the inside and outside of the internal and exterior environments are
 application. changing.
Profit Managers of such programmes keep Managers of diversified financial
an eye on individual parts to make holdings keep an eye on strategy shifts,
sure the whole thing stays on track resource distribution, success metrics,
and delivers the promised results in and portfolio-level risk.
terms of time, money, and other
benefits.
Plan Similar initiatives are managed by it. It coordinates a wide variety of
dissimilar initiatives and programmes.

References

1) PÉREZ, F., GÓMEZ, T., CABALLERO, R. & LIERN, V. 2017. Project portfolio
selection and planning with fuzzy constraints. Technological Forecasting and Social
Change.
2) MOKOKA, K. & MOTHIBA, A. 2014. PROGRAMME MANAGEMENT. Trends in
Nursing, 2, 124.
3) FARRELL, O. 2020. (e)Portfolio: A history.
4) JOSHI, M. 2018. Portfolio Management.

1.4. Evaluate the relation between portfolio management and organizational

strategy.
According to Management Study Guide, A manager's strategy is any course of action taken with
the intention of achieving an organizational objective or set of goals. Strategy can also be defined
as “A general direction set for the company and its various components to achieve a desired state
in the future. Strategy results from the detailed strategic planning process”. (Bukhari, 2019).

A company's organizational strategy is its long-term plan for making decisions about how to best
deploy its resources in order to facilitate its operations. If followed, it can help a business get
where it wants to go. Businesses rely on these methods to aid in achieving their objectives and
planning for the future. Assessments detailing the company's goals are a common component of
organizational plans (Argus and Samson, 2021), (Indeed, 2022).
Portfolio management is the first step in achieving strategic alignment because it requires
selecting and preserving the optimum blend of project expenditures that are in line with and
contribute to the organization's strategic goals (Musawir et al., 2020). To put it another way,
portfolio management acts as a connection point between organizational strategy, programme
management, and project management. A company's ability to capitalize on the success of its
project selection and implementation can be improved through the use of portfolio management,
particularly in industries that are highly competitive and undergoing quick change. Therefore, the
eventual objective of combining portfolio management with organizational strategy is to develop
a workable plan that is well-balanced and that will assist the organization in achieving its
objectives.

Strategic actions taken by an organization can either foster growth, maintain status quo, or
reduce operations. Integration and cooperation open up opportunities for both internal and
exterior growth (mergers alliances etc.) There are a variety of approaches to integration, and one
of them is the vertical kind, which encompasses forward and backward as well as lateral
integration.

The four quadrants of the Ansoff growth matrix—market dominance, market development,
product development, and diversification—represent potential avenues for expansion. The term
"diversification" refers to a broad class of business strategies that encompasses both vertical and
lateral expansion. Defensive measures include retrenchment, divestment, and closure.

The role of the portfolio manager is to analyze all active projects and programmes, and then pick
the most important ones based on the authorized strategy. For instance, if the company chooses a
market growth strategy, the portfolio manager will try to expand the reach of existing
programmes and initiate new ones in untapped regions. Only if the company has solid
infrastructure, surplus manufacturing capacity, and untapped new marketplaces will this plan be
put into action.

References

1) BUKHARI, S. A. 2019. What Is Strategy?

 2) ARGUS, D. & SAMSON, D. 2021. Organisational (Business) StrategyStrategy. In:
ARGUS, D. & SAMSON, D. (eds.) Strategic Leadership for Business Value Creation:
Principles and Case Studies. Singapore: Springer Nature Singapore.
3) INDEED. 2022. What Is an Organizational Strategy and Why Does My Business Need
One? [Online]. Available:
https://www.indeed.com/career-advice/career-development/organizational-
strategy#:~:text=An%20organizational%20strategy%20is%20a%20long-term%20plan
%20that,them%20meet%20their%20goals%20and%20develop%20strategic%20plans.
[Accessed 27 2023].
4) MUSAWIR, A. U., ABD-KARIM, S. B. & MOHD-DANURI, M. S. 2020. Project
governance and its role in enabling organizational strategy implementation: A systematic
literature review. International Journal of Project Management, 38, 1-16
1.5. Evaluate the efficacy of various portfolio selection tools and techniques.

Multiple sources agree that businesses have access to well over a hundred portfolio selection
methods and instruments (Permana and Pribadi, 2019). Strategic portfolio instruments may
include the PESTLE, SWOT, VRIO, and Balanced Scorecard frameworks. By utilizing these
methods, one can develop both an overarching sense of strategy orientation and concentration, as
well as targeted actions to gain a market edge. The portfolio selection procedure can be
simplified if it is broken down into a series of steps that guide decision-makers rationally
towards a combined evaluation of the projects with the best chance of being chosen.

When it comes to picking investments, the aforementioned empirical methods are among the
most reliable. By carefully selecting and choosing project portfolios, organizations increase the
likelihood that their goals will be met through the implementation of successful projects.
Consequently, using the aforementioned resources, a company can greatly enhance its capacity
to implement strategies and produce better outcomes.

The PESTLE analysis and the SWOT analysis are useful and important methods for creating a
strategy. Portfolio selection relies heavily on data from tools like VRIO and the Balanced
Scorecard, which measure things like an organization's success and its ability to gain a
competitive edge. If the company wants to gain an edge over its competitors, it should focus on
implementing strategies like selecting only those inventory items that will help them do so.
Virtual reality investment optimization (VRIO) is the only instrument, alongside the Balanced
Scorecard, that can educate corporate decision makers as to which portfolio is best suited for
selection.

Return on Investment (ROI), Return on Average Investment (RAI), and Expected Value (EV)
are also illustrative instances of biassed stock selection methods (EV). These methods work well
because they facilitate a level playing field when comparing and contrasting potential projects
for inclusion in a portfolio. At significant'milestones,' it is customary to reevaluate the project's
continued growth.

The company could benefit from the use of more impartial and sophisticated methods and
instruments for portfolio selection. Rating models, matrices, optimization models, software, and
artificial intelligence are all examples of effective instruments.

References

1) PERMANA, M. A. A. & PRIBADI, A. 2019. Propose Model of IT Project Selection and

Prioritization: Study Case - Bank Indonesia. Proceedings of the International Conference
on Creative Economics, Tourism and Information Management.
 2. Understand the requirements for implementing a Project Management Office.
2.1. Critically assess the benefits of the Project Management Office.
According to the Project Management Institute (PMI), a Project Management Office (PMO) is a
"functional organization" tasked with managing and coordinating the initiatives that fall under its
purview. The degree to which a PMO achieves its goals is determined by the tasks it selects for
execution, modification, and correction (Husain, 2015).

Project Management Office provide number of benefits to RAC such as (Jair et al., 2022).

1. Coordination
2. Standardization
3. Support

The office coordinates between the rest of the business and the project management group by
defining and sharing goals with all parties involved. If RAC were to extend its activities into new
areas, the PMO could help organize resources across initiatives to reduce variation and meet
overall strategy objectives.

The Project Management Office (PMO) can standardize the RAC organization's approach to
projects by harmonizing its various project management techniques and processes. As an
illustration, enforcing universal standards for processes and operating procedures across all of
our global marketplaces. decreases overhead and boosts productivity, all while saving money.

When it comes to aiding, the PMO has the ability to assist in the development of prospective
stars among project managers by identifying them at an early stage. It is possible to develop
leaders who feel appreciated by investing in a select group of the company's international
employees in the areas of project management and transportation knowledge. This, in turn, can
help to encourage and maintain members of that group.

The lack of competent project management and transportation specialists is impeding RAC's
ability to create and oversee a productive PMO. Given the difficulties of bridging regional and
geographical divides in management, this may prove challenging. Keeping the PMO running
smoothly in the face of expanding global activities may be difficult as well, given the probable
need for increased money and resource distribution, both of which are finite.

Despite the obstacles, RAC stands to gain from a PMO so long as the office is provided with
sufficient resources to accommodate future organizational development.

References

1. HUSAIN, S. 2015. Project Management Office (PMO).

2. JAIR, A., BARROSO, A. & MONTEIRO, C. 2022. AN EXPEDITED MODEL TO
APPRAISE PROJECT MANAGEMENT OFFICE VALUE. International Journal of
Development Research, 11, 52699-52704.

2.2. Assess the implementation of a levelled Project Management Office

structure.
According to (Bredillet et al., 2018), the PMO is an organizational innovation that was launched
with the intention of assisting owner and operator organizations in more effectively controlling
and coordinating their project portfolios. In addition, the overwhelming majority of the research
done on project management offices (PMOs) points to the fact that the function of a PMO is to
support, coordinate, and oversee the activities that are associated with the project. (Sergeeva and
Ali, 2020).

There are a few possible directions that the PMO framework implementation could go. There are
three different kinds of PMO structures, which can be categorized according to how they
implement culture. There are three types of PMOs: directive, controlling, and supporting.

 Projects are managed by directive PMOs, which offer both experience in project
management and direct supervision of project workers.
  Controlling PMOs exercise a middling amount of control because they monitor the
processes, tools, and standards to determine whether or not they are being followed.
 On the other hand, collaborative PMOs have very little authority, and their position is
primarily consultative. This means that they are responsible for providing their
knowledge, frameworks, training, and information.

In terms of the implementation of the hierarchy, examine and demonstrate the PMO organization
at the individual, business unit, and enterprise levels. Each project management office (PMO) is
accountable for delivering assistance for projects and programmes in the areas of infrastructure
and training. The business section is accountable for numerous initiatives across the many
organizations that are under its purview. Enterprise PMOs, on the other hand, are in charge of
strategic project planning as well as the distribution of resources and the ranking of projects.

References

1. BREDILLET, C., TYWONIAK, S. & TOOTOONCHY, M. 2018. Exploring the

dynamics of project management office and portfolio management co-evolution: A
routine lens. International Journal of Project Management, 36, 27-42.
2. SERGEEVA, N. & ALI, S. 2020. The Role of the Project Management Office (PMO) in
Stimulating Innovation in Projects Initiated by Owner and Operator Organizations.
Project Management Journal, 51, 440-451.

2.3. Critically evaluate the stages involved in planning and implementing the
Project management Office.
An organization's project management standards can be defined, maintained, and enforced by a
PMO. A project management office (PMO) can be located within an organization or outside of
an organization (Darling and Whitty, 2016).

PMO has been adopted in several regions, including the Middle East, to improve project revenue
and quality. In order to improve project performance and effectiveness, PMO gets rid of wasteful
practices and redundant processes.
Successful PMO implementation necessitates careful consideration of a wide range of factors,
including but not limited to the following: management expertise; project size; organizational
type; clearly stated objectives and strategy; senior management backing; a well-defined plan; and
effective communication.

The literature also reports that PMOs fail to achieve an organization's goals due to difficulties
like overly ambitious goals, a lack of a solid foundation for execution, and improper
administration of personnel (Al Ahbabi, 2014).

It's clear that the Project Management Office (PMO) is struggling during the pre-launch and
launch phases of the project (Almansoori et al., 2021). For instance, Rego and Silva (2012) noted
that major challenges to PMO planning, and execution include ineffective project management
frameworks, problematic project manager relationships, an inadequate position for the project
manager, and inadequate project manager skills. Slow decision-making, delayed clearance of
designs, bad planning, and an inefficient organizational structure are also problems at various
points in PMO planning and execution.

As a result, a critical analysis reveals that problems and difficulties emerge during the PMO's
planning and implementation phases, and that these are largely grouped as resource management
and project management factors. We agree wholeheartedly that these and other indicators
emerged during PMO preparation and execution.

References

1. DARLING, E. & WHITTY, J. 2016. The Project Management Office: it’s just not what it
used to be. International Journal of Managing Projects in Business, 9, 282-308.
2. AL AHBABI, M. 2014. Process protocol for the implementation of integrated project
delivery in the UAE: a client perspective. PhD, University of Salford.
3. ALMANSOORI, M. T. S., RAHMAN, I. A. & MEMON, A. H. 2021. Correlation
between the Management Factors Affecting PMO Implementation in UAE Construction.
International Journal of Sustainable Construction Engineering and Technology, 12, 155-
165.
 2.4. Create a Project Management Office charter for an organization
A project management office charter is merely a piece of paper, usually made in some sort of
word processor or PowerPoint programme. The paper will include both text and visuals to
describe the PMO's goals, structure, and key players. This ensures that the most important points
are clear and won't put people off reading them (a lengthy document may have 'thud' factor, but
many people will be put off from reading it, important points will be overlooked, and it could be
regarded as being tedious) (Philbin, 2016).

To be effective, a PMO plan need only be a few pages long. All the qualifications and advice that
will be required can be presented in a two- or three-page PMO policy paper. The sample plan for
a Project Management Office is shown below.

Project name and number Project number

Project manager/contact Name of the project manager………….
Contact……………….
Customer/Stakeholders Government
Vision To be……………..
Mission The purpose …….
The values …….
The products and services……
Scope Construction/Recycling……………..
Objectives Rise profit by…….
Rise market share by…..
Time frame Starting date and ending date
Budget -------------$
Challenges and risks Law changes….
Economy instability….
Political issues….

References

1. PHILBIN, S. 2016. EXPLORING THE PROJECT MANAGEMENT OFFICE (PMO) -

ROLE, STRUCTURE AND PROCESSES.
 3. Understand the global supply chain ecosystem.
3.1. Define what global supply chain ecosystem is?
Goods and services are transported from vendors to consumers all over the world by means of a
complicated network of organizations, people, tools, and processes. Activities like purchasing,
purchase, production, shipping, marketing, and operations all need to be coordinated and
integrated. This is called Global supply chain ecosystem (Meixell and Gargeya, 2005).

References

MEIXELL, M. J. & GARGEYA, V. B. 2005. Global supply chain design: A literature review
and critique. Transportation Research Part E: Logistics and Transportation Review, 41, 531-550.

3.2. Explain how to map global supply chain ecosystem.

The mapping of a global supply chain ecosystem requires the identification and visualization of
the many organizations, processes, and technologies engaged in the worldwide distribution of
products and services. It's a technique for dissecting the supply chain and learning its inner
workings, major players, and interdependencies It is the visual representation of products, goods,
and services across the globe.

Figure depicts an illustration of a worldwide supply chain diagram. From their origins in the far
east (Malaysia and China), ram materials travel to Japan, where they are dispersed and changed
in workshops before being sold in the United States.

Transportation links a manufacturer in Japan with a provider in Malaysia. The reason there is no
tariff is because both Malaysia and Japan are signatories to the Trans-Pacific Partnership (TPP)
deal. However, a 10% customs tax is placed on a product when it is transferred from a Japanese
plant to a market like the United States.
Figure 1 Map of Global Supply chain

Source: (Nagao et al., 2021).

A worldwide supply chain diagram facilitates understanding and investigation of supplier

networks. The above diagram, for instance, illustrates how the TPP deal has inspired a joint
strategy between Malaysia and Japan. However, the United States and eastern nations take a
competing strategy, as shown by the high customs tax (10%) they impose on each other, to limit
their product offerings and slow the development of their economies.

References

NAGAO, T., IJUIN, H., YAMADA, T., NAGASAWA, K. & ZHOU, L. 2021. COVID-19
Disruption Strategy for Redesigning Global Supply Chain Network across TPP Countries.
Logistics, 6, 2.

3.3. Explain the use of the ecosystem framework in supply chain analysis.
The supply chain analysis methodology has been fine-tuned to deal with issues in supply chain
management and provides suggestions for appropriate approaches and resources to employ in
 conducting the analysis. This paradigm aids in supply chain research, making it more efficient
and effective.

The development and implementation of a supply chain structure seeks to improve operational
efficiency by anticipating and mitigating problems with process and data interaction (Thoo et al.,
2017). As depicted in the figure, the proposed supply chain efficiency framework will equip
businesses with the tools they need to improve their supply chain performance by examining key
metrics, pinpointing areas for development, and formulating strategies for reaching the pinnacle
of professional achievement. By examining the overall structure of the supply chain, we can
locate any weak points and devise solutions to strengthen the operation.

Figure 2 Supply Chain analysis Map

References
THOO, A., SULAIMAN, Z., CHOI, S. & KOHAR, U. Understanding supply chain management
practices for small and medium-sized enterprises. IOP Conference Series: Materials Science and
Engineering, 2017. IOP Publishing, 012014.

3.4. Examine how modern manufacturing and services are intertwined.

According to (Samar Ali et al., 2019), "Modern Manufacturing" refers to the activities that were
made in the manufacturing sector, including Automotive, Basic Metals and Fabricated Metal,
Cement, Electrical goods manufacturing, Electronics Industry, Food & Beverages, Food
Products, Graphite Electrodes, Lubricants, Machinery, Optical Instruments, Pharma, Plastic
Products, Rubber, Steel Unit, Textile Products, Wood and Wood Products, and However, the
service sector includes categories such as transportation, leisure, and shopping outlets among
other types of businesses and activities .

Some Mideast countries are seeing significant increases in their value addition thanks to the
manufacturing sector (Jordan, Egypt, Tunisia, Iran and Qatar). The conventional services, such
as retail, hospitality, and public administration, make up the majority of the services sector,
which, on the other hand, has been a significant driver of value addition development and
employment creation.

The provision of services has made it possible for contemporary manufacturing to make use of
cutting-edge technologies and to increase its overall level of productivity.

Manufacturing companies have also been able to increase the worth of their operations by
utilizing services, which has been beneficial from the beginning stages of product creation all the
way through to the delivery of finished goods to end users.

Manufacturing has evolved into a complicated amalgamation of a wide variety of services,

mechanization, and computer-driven production, with a significant portion of the value being
generated from the service components, which is expected to continue to increase.

It is much more realistic and essential to think of manufacturing and services as having become
inextricably intertwined in today's economy, as the previous sentence mentioned. This is because
thinking of manufacturing and services as separate economic activities in today's economy is
much less realistic and much less essential.

References

SAMAR ALI, S., KAUR, R., ERSÖZ, F., LOTERO, L. & WEBER, G.-W. 2019. Evaluation of
the effectiveness of green practices in manufacturing sector using CHAID analysis. Journal of
Remanufacturing, 9, 3-27.

4. Understand the role of information technology in logistics and supply chain.

4.1. Critically assess the relationship between logistics and information systems.

Procurement, delivery, transit, inventory management, packing, and production are all examples
of core logistics operations that require careful planning, design, implementation, and
administration of the movement, storing, and interchange of materials and information. The term
"management information system" refers to a collection of formal and informal systems that
support upper-level managers by providing accurate information in a timely manner to aid in the
completion of tasks and the making of decisions pertaining to the internal operations of an
organization or to the external environment (Abualooush et al., 2018).

A company's information system is viewed as a strategic asset, a key to maintaining a

competitive edge, and a driver of innovation. It is also one of the few aspects of transportation
that can aid in internal planning, management, and decision-making, all while boosting
efficiency and cutting costs (Dubois et al., 2010).

Benefits of Logistics Drawbacks of logistics

In order to guarantee timely and undamaged Complexity often arises in logistics due to the
product delivery to consumers, logistics plays involvement of numerous entities, including
a crucial part. The result is happier and more manufacturers, shippers, and end-users. As a
devoted customers. result, proper coordination and management
may be challenging.
Managing the operations of moving products Weather, transportation, and international
from one place to another more efficiently can tensions are just a few of the many
 have a positive impact on business unpredictable exterior variables that can
effectiveness. disrupt logistics.
By analyzing and adjusting a company's The carbon pollution from shipping is one
current transit setup, logistics professionals area where logistics can have a major effect
can help cut transportation expenses on the climate
(Vasiliauskas and Jakubauskas, 2007).

Information systems play a crucial role in logistics by facilitating the timely and accurate
completion of administrative tasks, fostering collaboration and coordination amongst staff and
amongst departments within an organization, and ultimately contributing to the successful
attainment of the logistics organization's sustainability, growth, and profitability objectives
(Abualooush et al., 2018).

However, a poor information system due to information fragmentation can have unfavorable
effects on operations. Logistics operations and procedures will suffer if the data from the
information system are not regularly updated. Decisions will be postponed and less effective if
getting to data is cumbersome, sluggish, or otherwise difficult. A rise in both administrative
expenses and client complaints is also a consequence of inaccurate data.

References

1. ABUALOOUSH, S. H., OBEIDAT, A., TARHINI, A., MASA'DEH, R. E. & AL-BADI,

A. 2018. The role of employees’ empowerment as an intermediary variable between
Knowledge Management and Information Systems on employees’ performance. VINE
Journal of Information and Knowledge Management Systems, 48.
2. DUBOIS, É., HEYMANS, P., MAYER, N. & MATULEVIČIUS, R. 2010. A systematic
approach to define the domain of information system security risk management.
Intentional perspectives on information systems engineering, 289-306.
3. VASILIAUSKAS, A. V. & JAKUBAUSKAS, G. 2007. Principle and benefits of third
party logistics approach when managing logistics supply chain. Transport, 22, 68-72.
4. ABUALOOUSH, S. H., OBEIDAT, A., TARHINI, A., MASA'DEH, R. E. & AL-BADI,
A. 2018. The role of employees’ empowerment as an intermediary variable between
 Knowledge Management and Information Systems on employees’ performance. VINE
Journal of Information and Knowledge Management Systems, 48.

4.2. Define Critical Success Factors (CSF) for IT integration in logistics.

Critical Success Factors (CSF) is defined as “those things that must be done if a company is to be
successful” (Fayaz et al., 2017). The term "critical success factors" (CSF) is used to describe the
most important aspects of a project or business that must be carried out successfully. These are
the few, crucial areas in which a company must shine if it is to realize its vision and accomplish
its objectives. Critical Success Factors (CSFs) are the essential requirements that must be
fulfilled for a business or an initiative to be deemed a success.

According to (Khan et al., 2022), there are 10 IT CSFs integration to Logistics

Building up your analytical chops is crucial, as your ability to make sense of mountains of data is
key to a thriving transportation operation. As a means of transferring knowledge, we developed a
training programme and individual courses to foster an atmosphere conducive to the ongoing
education and development of IT's most crucial elements in the operations process. Logistics
cannot meet the needs of industry without cutting-edge technological networks like the Internet
of Things (IoT), big data analytics, and cyber-physical systems. Logistics, being comparatively
dependent on cutting-edge information technology, necessitates a hospitable atmosphere for
study in order to accomplish its logistical goals.

Following are some other IT CSF integration to logistics:

 Enterprise resource planning integration

 Warehouse Management System (WMS) integration
 Transportation Management System (TMS) integration
 Electronic Data Interchange (EDI) integration
 Radio Frequency Identification (RFID) technology
 Cloud-based solutions
 Mobile integration
 Supply chain visibility
 Advanced analytics
References

1. FAYAZ, A., KAMAL, Y., AMIN, S. & KHAN, S. 2017. Critical success factors in
information technology projects. Management Science Letters, 7, 73-80.
2. KHAN, S., SINGH, R., HALEEM, A., DSILVA, J. & ALI, S. S. 2022. Exploration of
Critical Success Factors of Logistics 4.0: A DEMATEL Approach. Logistics, 6, 13.

4.3. Design a framework to integrate IT into the Total Logistic System

The term "IT in logistics" describes the application of various forms of computer-based
technology to facilitate and enhance logistical processes. Transportation, storage, inventory
management, and order delivery are just some of the supply chain processes that can be managed
and monitored with the help of technology.

Logistics is the management of acquiring, storing, and transporting resources to their ultimate
location. Assessing the viability and convenience of potential carriers and vendors is an
important part of logistics management. Managers in the supply chain industry are called
logisticians (KENTON, 2022).

Information technology (IT) in logistics encompasses a wide range of tools and systems, such as
ERP, WMS, TMS, RFID, EDI, and RFMS (radio-frequency identification). Data collection,
analysis, supply monitoring, and process automation are all areas where these systems can be
used to save time and money.

Companies can better product management, cut down on wait times, gain more insight into their
shipping operations, and maximize their supply chain operations with the help of IT.
Organizations can improve their decision-making, speed up their reactions to shifting market
circumstances, and streamline their product delivery with the help of real-time data and
analytics.
 Figure 3 The use of IT in logistics

Source: (Jean de Dieu Uwisengeyimana, 2016)

Automation of inventory management through IT systems can help avoid shortages and
surpluses. Data analyses can also be provided to help with stocking and productivity. By
optimizing paths, IT systems can lessen transit expenses and turnaround times. Moreover, they
can supply up-to-the-minute traffic reports to facilitate adaptive path selection. The storage can
be automated with the help of IT systems, which will increase efficiency and precision in the
fulfilment of requests. Space in storing can be maximized and product counts made more precise
with their help.
Framework for integrating IT into Logistics
Figure 4 Framework for integrating IT into Logistics

Source: (Introna, 1991)

 Figure 5 Integrating IT into the Total Logistic System

Source: (Introna, 1991).

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92-97.
3. INTRONA, L. D. 1991. The impact of information technology on logistics. International
Journal of Physical Distribution & Logistics Management.
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