Reliant Logistics Institute


Logistics and Integrated supply chain management


Logistics Management and Integrated Supply Chain Management, the very product, concerning its properties and features, is of great importance. Depending on the possible range in design changes, the appropriate strategy can be selected. In case of adjustment strategy, there are few possibilities to implement changes in the product and this, in turn, determines the necessity to use the adjustment logistics management. As for conceptual strategy, it is oriented to new products and processes developed in terms of logistics, the product role is stressed and the notion of the logistically efficient product appears. Logistically efficient product is defined as a material object in market exchange characterized by a set of properties and features which enable the effective and efficient internal and external flow of the product itself and the related information in the spheres of supply, manufacturing, distribution, disposal and returns. The properties and features at the internal level allow for effective and efficient integration of IT, transport, storage, packaging, inventory management, order handling processes within the framework of an Integrated Supply Chain Management concept. Logistic product efficiency enforces an inquisitive product analysis and a selection of an appropriate strategy: conceptual or adjustment and the use of relevant methods, techniques and tools to adapt the chosen strategy to the market conditions.

Another basic element in Total Logistics Management concerns sustainable approach to logistic aspects which guarantees the right supply chain impact on the widely-understood environment. The practical aspect of sustainable development is based on integrated governance where ecological, social, land, institutional and political aspects become the superior spheres of politics and management. Therefore, a sustainable approach to logistics should be founded on two key areas: ecological supply chain optimization concentrated on the goods and information flow from the raw material acquisition to the delivery to the final client, the use of Reverse Logistic concept interpreted as the activities that are encompassed in the traditional logistics concept but the emphasis is put on their reverse operation. Therefore, it seems to accomplish the logistics ecological aspect and the use of Reverse Logistics might become one of the biggest challenges for the researchers and practitioners in the coming decades. It is important to note that nowadays the consumption goods generally are not designed in a way to facilitate future value recapturing or proper disposal of the used goods. Product designs often assume waste and strengthened consumption rather than rational management. This creates a space for the product and its total management in the Total Logistics Management concept.


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