03 Logistics Planning

You might also like

Download as pdf or txt
Download as pdf or txt
You are on page 1of 10

Logistics

Operations
Almahi Suliman
Logistics Planning Supply Chain Consultant
Planning of logistics activities:

• Supply chain managers balance total logistics cost

factors against customer service factors

• Logistics Planning

• Trips scheduling and fleet management

All rights reserved to Outsource Training


2
Center Sudan
Supply chain managers balance total logistics cost
factors against customer service factors

All rights reserved to Outsource Training


3
Center Sudan
Logistics Planning
Strategic Planning Operational Planning
• Service Level • Setting Priorities
• Maintenance & Repair
• Logistics Targets (Quality, Time, Cost,
Responsiveness) • Trips and delivery schedule
• Drivers’ management
• Logistics Strategy
• Capacity Planning
• Insurance
• SLA & KPIs • Fueling
• Facilities (warehouses) • Licensing
• Equipment (Trucks & Handling equipment) • Records keeping
• Facilities Design • Inventory control
• Storage Systems • Material handling
• Inventory Levels
• Shipment building
• Own, Lease, Outsource
• Reporting
• Hire, Fire & Training
• Technology (ordering system)
• HSSE issues
• Policies (usage, HSSE) • Inbound logistics follow up
• Routes • 3PL contract Mgt & Performance Evaluation
• International Freight • Disputes Resolution
• Resolving different legal issues
All rights reserved to Outsource Training
4
Center Sudan
Trips scheduling and fleet
management:
• Planning and Scheduling Deliveries
• Warehouse siting & delivery cycles
• Variable vs. Fixed Delivery Schedules
• Variable Delivery Schedules
• Required Handling Capacity under Variable vs. Fixed
Delivery Schedules
• Fixed Delivery Schedules

All rights reserved to Outsource Training


5
Center Sudan
Two variables are important in the planning of
inter-stores transport:
✓ Siting of each working store and its territory to serve
✓ Delivery frequency & load size for the working store

The nature of those two variables determines:


✓ The size and design of the store
✓ The vehicle size which suits direct deliveries to
working stores

All rights reserved to Outsource Training


6
Center Sudan
ITC M10:U4:4.3-64
Variable vs. Fixed Delivery
Schedules

Variable delivery schedule (with fixed quantity)

Week 1 Week 2 Week 3 Week 4 Week 5

Fixed delivery schedule (with variable quantity)

All rights reserved to Outsource Training


7
Center Sudan
ITC M10:U4:4.3-66
Variable Delivery Schedules
Variable delivery schedules wait until a full vehicle
load of materials is needed in the working store

Advantages:
✓ Efficient use of transport

Disadvantages:
✓ Increased administration
✓ Increased possibility of stock shortages or stockouts
✓ Increased inventory charges & storage capacity
✓ Increased difficulty in transport management
✓ Increased staff expenses for overtime

All rights reserved to Outsource Training


8
Center Sudan
ITC M10:U4:4.3-67
Fixed Delivery Schedules
Fixed delivery schedules ensure that deliveries take place according
to a pre-determined plan with equal, fixed periods between
deliveries

Advantages:
✓ Schedules can be planned
✓ Less administration is required
✓ Safety stocks are reduced
✓ No need for increase in stock, inventory or storage

Disadvantages:
✓ Higher transportation costs as vehicles operate with less than full loads

Due to the considerable advantages, many well-designed logistics


systems prefer to use fixed delivery schedules

All rights reserved to Outsource Training


9
Center Sudan
ITC M10:U4:4.3-69
• Our location: Khartoum 2, Nearby Ozone
• website www.outsourcemena.com
• Phone +249 183580586
• Business WhatsApp: +249123450445
• email info@outsourcemena.com

Outsource Training Center 10

You might also like