LOGISTICS & SUPPLY CHAIN MGMT - Assignment Example

Logistics and Supply Chain Management Compare the concept of a modern supply chain with more traditional distribution channels. Be specific regarding similarities and differences.Traditional distribution channels take less time to complete orders and the incidence of error increases time period. Traditionally, it was essential to maintain inventory at each point of the supply chain. It was ensured that required goods were available. In modern supply chain, the orders are not only completed at a greater speed, but the time for inventory management has also reduced.

The focus is on consumer’s desires and timely delivery of products. Higher performances can be achieved at reduced costs and finances and the chances of errors decrease due to the objective of having zero error six sigma performances.What specific role does logistics play in supply chain operations?Logistics play the role of transportation, managing orders, warehousing, taking care of raw materials, inventory and packaging to be utilized in an organized network.4. Compare and contrast anticipatory and responsive business models.

Why has responsiveness become popular in supply chain strategy and collaboration?These two business models are useful in accomplishing consumer demands, but timing is a major dissimilarity amongst the two.Anticipatory model, a traditional model, was based on predictions which were used by organizations as the purchasing behavior of consumers was not obtainable and partnerships were not working together. Thus, the predictions pursued by retailers, wholesalers, distributors and manufacturers led to surplus inventory in the market.

This lead to a huge probability of misjudgment of consumer demands which was replicated by all companies.Response based model decreases the effects of dependence on anticipations by mutual discussion and instant communication amongst the partners. This helps in obtaining accurate information and rapid fulfillment of consumer demands. Unlike anticipatory model lesser expenses help to finish the process speedily with huge levels of customization. Technological advances have enhanced the response rate.

It not only increases the consumer contentment but also lessens the expenses.