exactly how is a “procurement” job role not the same as a “logistics” work role? I’ve pointed out that the 2 terms are sometimes made use of loosely, even though both obviously fall under the larger umbrella of supply sequence administration, it really is sometimes tough to determine in which logistics finishes and procurement starts and the other way around.
Answer # 1
A procurement offer string person is right responsible for the purchasing or procurement of every product (i.e. garbage, components in manufacturing), solutions (logistics or else). A logistics offer chain individual is concentrated on the logistical expense and efficiencies inside the offer sequence of a business.
When we see “procurement, ” I immediately believe “purchasing”. This excludes attempting to sell, functions, administration, and finance. When I see “logistics” we see a coordinating role that involves businesses and perhaps advertising and marketing, finance, and management. The predominant and also the self-evident distinction is that as the scope of a procurement offer string person’s part is restricted to half or smaller of complete offer string – from origin to usage – that of the logistics offer sequence person is an all encompassing one.
Answer number 3
A procurement supply sequence individual could be centered on the acquisition of supply string services. A logistics supply sequence individual will have a more holistic strategy which will encompass purchasing plus planning, execution, operations, cost management and optimization.
The procurement offer sequence person needs the logistics supply string individual arrange to the full “journey” from beginning to final end, including all the resources needed to make an audio and safe adventure.
Answer number 5
The word “logistics supply sequence” encompasses the look and handling of all logistics tasks across the supply chain, the actions that incorporate price globally throughout the supply sequence – from procurement end to last circulation of completed products. Procurement supply string focuses on the sooner part of logistics within a supply chain, maybe not suggesting a relation towards tasks that stem from work-in-progress and completed goods stock and distribution.
Answer number 6
The procurement offer chain person draws up the strategic plans with manufacturers to aid the production flow management process in addition to growth of services. Activities related to getting products and products from external companies include resource preparing, provide sourcing, settlement, purchase positioning, incoming transport, storage space, managing and quality guarantee, many of which range from the duty to coordinate with manufacturers on matters of scheduling, offer continuity, hedging, and analysis into new resources or programs. The logistics offer chain individual is concerned using the movement of a finished product/service to consumers. In real distribution/logistics, the client could be the final destination of an advertising station, as well as the availability of the product/service is an important element of each channel participant’s advertising energy. Additionally it is through the real distribution process that the time and room of customer service become an integral part of marketing, therefore it connects an advertising station using its consumers.
Solution # 7
Procurement could be the purchasing or purchasing of products or services. Logistics may be the motion, storage space, and operations around no matter what business is in.