logistics versus supply chain management

7/16/2019 Logistics Versus Supply Chain Management

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Logistics Versus Supply Chain

Management : An International

Survey PAUL D.LARSON & ARNI HALLDORSSON



ABSTRACT

This paper opens by describing four unique

perspectives on the relationship betweenlogistics and SCM.

Four perspectives: traditionalist , relabelling ,

unionist , inter-sectionist

The result of an international survey of

logistics / SCM experts are reported. For logistics educators, researchers and

practitioners



Four unique perspectives –

Traditionalist

SCM is one small part of logistics.




Traditionalist

Educators can easily accomplish this by

adding a SCM lecture to the logisticsmanagement course, or by inserting a SCM

chapter into a logistics textbook.

SCM analysts would broaden the scope of

logistics analysis




Relabelling

The relabelling perspective simply renames

logistics; what was logistics is now SCM.




Relabelling

More recently, Simchi-Levi et al. (2000)

confessed that they ‘‘do not distinguishbetween logistics and supply chain

management’’.

Relabelling narrows the scope of SCM, since

SCM equals logistics.




Unionist

This perspective treats logistics as a part of

SCM; SCM completely subsumes logistics.




Unionist

Stock & Lambert (2001) suggest ‘‘supply chain

management is the management of eight keybusiness processes:(1) customer relationship

management, (2) customer service management, (3)

demand management, (4) order fulfillment,

(5)manufacturing flow management, (6)

procurement, (7) product development and

commercialization, and (8) returns’’. These

processes subsume or include much of logistics,purchasing, marketing and operations management.




Inter-sectionist

The intersection concept suggests SCM is not

the union of logistics, marketing, operationsmanagement purchasing and other functional

areas.




Inter-sectionist

The supply chain manager would be involved

in the negotiations,but not the purchase order transmission.

At the intersection, SCM co-ordinates cross-

functional efforts across multiple firms. SCM

is strategic, not tactical.



International Survey of Experts

– Method

Researchers created lists of topic/technique

items. Combining these lists yielded over 120 items.

This list was trimmed to 88 survey items,.




– Method

The 88 Survey Items:

Strategic management

Supplier development

Supply chain management (SCM)Information technology

…..




– Method

Respondents were asked to rate the

importance of each of these items twice , onscales from zero (no importance) to five (very

high importance).

The Questionnaire




– Method

Total sample = 208(logistics educators)

via fax

All members of the CLM

(Council of Logistics Management). total of 98 usable surveys was received.

response rate of 47.1%

Survey recipients were from North America,

Europe, South America and Asia.




–Results

34 survey items, significantly more important

for SCM compared to logistics.(SCM>Logistics)

16 items, significantly more important

for logistics compared to SCM.(Logistics>SCM)

38 survey items, there were no significant

differences in importance between logisticsand SCM.




–Results

the top 10 lists, share seven common items

common items:Customer service

Logistics management

Inventory management

Information technology

Cycle time reductione-commerce

Supply chain management



Classifying Logisticians

–Cluster analysis

The first index , abs = sum| SCMi - logisticsi |,

for i=1 to 88 The second index , raw = sum(SCMi-

logisticsi), for i=1 to 88

Identified 50 relabellers, 22 unionists, 16

traditionalists and seven inter-sectionists



Classifying Logisticians

–Results



Research Interests and Methods

The most prevalent research interests were

SCM, e-business, transportation,customer service and relationships.

usefulness of various methods for conducting

their research, on a scale of one to five.

Europeans rated qualitative (case study and

interview) methods significantly more usefulthan their North American counterparts.



Conclusions

– Implications for Logistics Educators Relabellers:

under a new name: ‘‘SCM’’. Unionists:

remove logistics management, cover the essentials

of logistics Inter-sectionists:

champion an interdisciplinary SCM major

Traditionalists:add a SCM lecture to the logistics management

course.



Conclusions

– Implications for Logistics Researchers

Among the researcher’s challenges in SCM

is to put boundaries on the study. relabelling and traditionalism imply narrow

definitions of SCM.

unionism and inter-sectionism suggest broad

definitions.

focus group discussions , could uncover intuitive and/or theoretical arguments

supporting the various perspectives.



Conclusions

– Implications for Logistics Rractitioners

Logistics practitioners must define ‘‘SCM’’

and adopt a perspective on SCM versuslogistics.

Relabellers can implement SCM

Unionists have the challenging task of creating a SCM line organisation andchanging many reporting relationships within

the firm. Inter-sectionists can start small, adding a

SCM staff function available



The End.

Thanks for your listening!!

logistics versus supply chain management

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