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Bus 698 Essay

370 words - 2 pages

BUS 632
BUS 632
The logistics system is the most significant aspect of a manufacturing business and is extremely necessary for a business to provide practical and prudent management in this arena because customers will require the company to deliver the highest of customer service along with the highest possible quality product. “The effective and efficient use of information allows organizations to simultaneously reduce their costs and improve customer satisfaction in the sense that organizations stock the inventory that will be demanded by customers (Murphy, & ...view middle of the document...

Say for example a company would eliminate a step (accuracy step) in the shipping department because it was taking too long for orders to go out and orders were behind. So the company deletes the person and the step in accuracy by eliminating these positions, which saves money but also creates more of a chance for orders to be wrong because the step is deleted, which is not efficient. I am thinking that the amount of time that someone else would have to spend on dealing with all the customer complaints and additionally would add on more costs for return packages. The company may have thought it was effective to eliminate this step to save money but ended up costing money in the long run because of the errors that were created by omitting the accuracy step.
Logistics should always consider the distributors, supply chain, and transportation and delivery to reach an effective and efficient performance. It would also be advised to increase each worker’s efficiency level to circumvent any unfortunate and inconvenient problems when manufacturing and constructing products.
Murphy, Paul R., Jr., Donald Wood. (2011) Contemporary Logistics, 10/e Vitalsource eBook for Ashford University, 10th Edition. Pearson Learning Solutions. VitalBook file.

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