LOGISTICS MANAGEMENT 2: ASSIGNMENT 1 [100] QUESTION 1

1.1 Explain the role and influence of globalisation to the logistics function. (10) 1.2 Discuss the financial impact of logistics in today's businesses. (15)

QUESTION 2 Understanding customer needs is essential in product-focused industries. Being able to predict customer demand will result in fulfilling orders with short lead times on time. This will also have the effect of increasing trust between customer and supplier. With this regard,

2.1 Describe the importance of demand forecasting for effective logistics management. (12) 2.2 Discuss how seasonality can affect a long-term forecast. (9)

QUESTION 3 Logistics operations can be improved by optimizing aspects of the supply chain, including materials management, order fulfilment, and shipping. It is important for the logistics team to be aware of the negative aspects of this technique that could affect the company's operation effectiveness not only concentrating on just the brighter side for instance: high cost of transportation, greater length of supply-lead-time which results to supplies interruption or supply chain disruption and the effect of political weather or climate change resulting to likelihood of setbacks of product delivery. With this regard,

3.1 Discuss the relationship between Materials Requirements Planning (MRP) and distribution requirements planning (DRP) in relation to the logistics function. (12) 3.2 Explain the role of Direct Product Profitability (DPP) in managing logistical costs. (12)

QUESTION 4 [30] 4.1 Briefly discuss the future trends in the outsourcing process. (15) 4.2 Discuss the differences between the third-party logistics (3PL'S) and the fourth party logistics (4PL's). (15)