LO G ISTICS, THE SUPPLY CHAIN A N D C O M P E TITIVE STRAT E GY
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more competitive through the value it adds and the costs that it reduces overall.
They have realised that the real competition is not company against company but
rather supply chain against supply chain.
It must be recognised that the concept of supply chain management, whilst rel-
atively new, is in fact no more than an extension of the logic of logistics. Logistics
management is primarily concerned with optimising flows within the organisation,
whilst supply chain management recognises that internal integration by itself is not
sufficient. Figure 1.9 suggests that there is in effect an evolution of integration from
the stage 1 position of complete functional indepen