Solved: research the following topics related to global supply chain management – Logistics

Global supply chain management is managing the goods and services on a larger scale (where overseas business is involved). Global supply chain is a broader term, which deals with the logistics, warehouse management, and transportation. It is directly linked to globalization. So, the three important topics we shall cover in this are – logistics, WMS, and Globalization

1) Logistics :

Logistics is termed as an activity which manages the flow of goods or material from one point to other. It could be from the point of origin to the end point or the point of consumption. The main aim of the logistics is to integrate different activities which require movement. Say for example, there is a manufacturing firm which manufactures paper boards. The raw material for manufacturing the paper board comes from outside (assuming that the firm takes raw material from a vendor). This raw material goes into the factory for manufacturing process. After manufacturing, the board goes to WIP, where the defective boards are removed. After checking, the manufactured lot goes to packaging and after packaging the lot, it goes directly to the shipping area and it is shipped to the customer. There is a lot of movement in this whole exercise. This movement of material from one point to another is done through logistics. If the material is moved inside and movements happen internally, then it is called inbound logistics. If the material is moved outside then it is outbound logistics.

2) Warehouse Management System (WMS) :

Warehouse is a place where the finished goods are kept. Generally all the inventory is stored at the warehouse. Warehouse management system is a system which keeps a tab on the inventory levels in the warehouse in such a way that every good which enters the system should have a proper record while moving out. So, the movement of the goods while entering and exit will be recorded in the system. So, all the stock keeping units are monitored under one system called as warehouse management system.

3) Globalization :

Globalization means, integrating the business practices of one country with the other country. So when two or more nations interact and integrate in such a way that each nation will have some benefit from their business on the global front. So, precisely, when business, technologies, people, process and philosophy meet on a global platform, and when nations benefit from each other, then it is called globalization. When countries work together for the benefit of their respective nations, then it is called globalization.

Technology, has been the principal driver of globalization since few decades. Advances in information technology, in particular, have dramatically transformed economic life. Information technologies have given all sorts of individual economic actors—consumers, investors, businesses—valuable new tools for identifying and pursuing economic opportunities, including faster and more informed analyses of economic trends around the world, easy transfers of assets, and collaboration with far-flung partners.