The (re)discovery of structural and process organization
Integral supply chain management as a means to economic success The previous four trends have shown that changes in the worldwide economy have triggered an urgent need for expertise in the design of complex supply and value chains, supporting everyday management and flow of goods, information and funds - a need which logistics can help fulfill.
Additional trends from the logistics sector are directly affecting the global economy, providing examples of how to do business and showing why logistics is now becoming such a strong force.
One important trend coming from the logistics sector concerns structure and process: the more efficient use of material, financial and personnel resources, functional optimization, opportunities for research and development and product innovation to secure company survival and success. But it doesn't just stop there. Many "best practices" from current corporate management principles are based on the realization that the way in which economic activities serve and link with customer needs has a decisive impact on production costs and quality, on reaction speed and ability to adapt to the changing demands of surroundings and the market itself.
This discovery attracted particular worldwide attention in the 1980s thanks to published work by Michael Porter, a professor at Harvard. However, his work was in fact a rediscovery of correlations that had been researched much earlier, such as Norddieck's work in 1934. Increasingly, this principle has now entered the language and activity of companies as process orientation or supply chain orientation (also known as process-oriented thought, value chain orientation or flow system orientation).
Essentially, logistics is the field in which the knowledge and methods of integral, systematic, optimized process and supply chain design, management and mobilization are collected and implemented.
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