What is internal and external logistics?

What is internal and external logistics?

External logistics is especially concerned with things that move between your suppliers, your factories and distribution centers and your customers. Internal logistics has similar goals, but the things that are tracked are usually moving within the global four walls of your organization.

What are the internal factors in logistics management?

This includes several internal factors like management style, culture, human resources, facilities and several external factors like technology, globalization and competition. This is where the concept of logistics plays a major role, i.e. it helps to leverage certain advantages the firm has in the marketplace.

What is internal supply chain?

Internal supply chain refers to the chain of activities within a company that concludes with providing a product to the customer. This process involves multiple functions within companies such as sales, production, and distribution.

What is external supply chain?

The external supply chain refers to the network of activities outside of a company such as transportation, and the environmental factors, which can have a direct or indirect effect on operations e.g. supplier failure, changes in laws and natural disasters.

What is an internal supply chain?

What are examples of internal factors?

Some examples of areas which are typically considered internal factors are:

• Financial resources like funding, investment opportunities and sources of income.
• Physical resources like company’s location, equipment, and facilities.
• Human resources like employees, target audiences, and volunteers.

What is internal supplier?

A supplier who is a part of the same company as its customer is an internal supplier. They may provide products, services, or other resources. They are the upstream processes and the support groups that provide their coworkers with the tools, materials, and work-in-process to do their jobs.

What is an internal logistics service?

An internal logistics service provides trusted, reliable, accountable, trackable and visible logistics service for everything that is not part of the supply chain. An internal logistics service optimizes the transportation spend, reduces costs, follows best practices, reduces losses and provides valued services to its internal customers.

What is intra-logistics management?

In general, intra-logistics is all about the internal controls between information flow and material handling. Its benefits are quite fulfilling in the supply chain management answering why it has created a buzz in many industries.

What is high-performance internal logistics?

High-performance internal logistic departments understand the culture, processes and needs of their customers (the organization itself) far better than any external provider. And this illustrates an important point about internal logistics namely, the internal service is competing with external providers.

What is the definition of logistics?

Logistics is a very well-understood term. A Google search for logistics turns up 83 million hits. Look it up on Wikipedia, and you see that, Logistics is the art and science of managing and controlling the flow of goods, energy, information and other resources like products, services and people, from the source of production to the marketplace.