LOGISTICS - Best Practices

Businesses often define their activities in terms of domestic and export sales. This can be a shortsighted and restricting view. Shortsighted firms also define their logistics and supply chains in terms of freight, warehouse and other costs. They fail to understand the impact of supply chain management on their customers and, especially, on their businesses. Often the result of all this myopic thinking is that these firms trap themselves into being defined as a commodity product provider where price is the key differentiator with competition. They lack value proposition key customers.

Companies that view themselves as dynamic and as global see the prospects for themselves. They have value propositions that separate them from competitors; they know that value propositions are about the customers-and not about what the firms do. They understand trends; they lead. These firms understand what supply chain management can do to not only create service advantage but to be a catalyst for new business.