An organisation can be a member of many Supply Chains, depending on the markets it serves. The Supply Chain is often referred to in the context of commercial relationships and extends from the final consumer, back through various manufacturing and service organisations to the initial supplier of materials at the mine or farm. The Supply Chain provides strategic external and internal integration between member organisations in the Chain, through co-ordination of processes and integration of data. Business Logistics is concerned with optimising the material and operational flows within the organisation and out to their immediate customers and suppliers.
Major objectives are to develop customer service strategies, reduce cycle times and reduce costs.
Business Logistics is a vital component of successful organisations in manufacturing and service industries, plus Logistics Service Providers who typically operate within the transport and distribution sectors. Business Logistics managers must have the latest knowledge and capabilities to successfully work within the increasing complexity of global supply chain networks, procurement and customer service. As Supply Chains become more complex with their increasing volatility, the need to analyse and plan strategies and operations becomes more urgent. Logistics executives need to identify and prioritise systems requirements, challenging both IT specialists and business managers to define and implement logistics analysis and planning systems that will provide major benefits. Speed of response within Supply Chains means that capital equipment must be reliable, available and with capable support at all times.