Added value (logistics)
| Added value (logistics) |
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| See also |
Traditionally logistics was identified with the functions of transportation, stocking and storage of goods. Along with the changes in the market conditions, companies recognized the need to increase the involvement of logistics activities in the processes of production scheduling, procurement and supply Actions defined originally by M. Porter in the value chain concept as services include: warranty and post-warranty services, which is also to a large extent of interest in the area of logistics.
However, it is important to note that depending on the industry impact of the different types of tasks on the value of the products is significantly different. Main factors differentiating the importance of individual business areas can be: characteristics of the products and the associated requirements in terms of production, selection of ways to activate sales and after-sales service (warranty and post-warranty).
It is worth noting that to date, market conditions for enterprises make the value proposition for the buyers, not only by physical characteristics of the product, but also by the support package added with the purchase of the product. Increasingly important role is played by such elements of logistics services, as.:
- The possibility of immediate delivery of goods sought by the customer (product availability "in stock"),
- the delivery time,
- Completeness and safety of delivered cargo,
- ability to deliver emergency supplies
- Range of after-sales services (delivery at the destination, service complaint handling, after sales service, etc.).
See also:
References
- Christopher, M. (2005). Logistics and supply chain management: creating value-added networks. Pearson education.
- Clift, R., & Wright, L. (2000). Relationships between environmental impacts and added value along the supply chain. Technological Forecasting and Social Change, 65(3), 281-295.
- Fawcett, S. E., & Fawcett, S. A. (1995). The firm as a value-added system: integrating logistics, operations and purchasing. International Journal of Physical Distribution & Logistics Management, 25(5), 24-42.
