Basics of Supply Chain Management

Chapter 10

Physical Distribution Management

10.1 Introduction

Physical distribution management involves the planning and management of the flow of the finished products from the final assembler or producer of the finished products to the final customers. It is the last part of the procurement–production–distribution system, and is an essential part of the integrated materials and logistics management system. Two kinds of activities are involved in physical supply and distribution management: (1) physical supply management and (2) physical distribution management.

10.2 Physical Supply Management

Physical supply management involves the transportation and storage of goods from suppliers to the manufacturer of finished products. Depending on the ...