Logistics is a process of movement of goods across the supply chain of a company. However, this pro-
cess consists of various functions that have to be properly managed to bring effectiveness and effi ciency
to the supply chain of the organization. The major logistical functions are shown in Figure 1.2.
Table 1.2Distribution of logistics cost
StagesCost itemsPercentage
Inbound logistics
Transportation
Storage
Inventory
12.0
8.0
8.0
Process logistics
Transportation
Storage
2.0
5.0
Outbound logistics
Transportation
Storage
Inventory
Order Processing
33.0
15.5
6.5
10.0
Fig. 1.2 Logistics functions
Logistics ...
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