Introduction
Logistics is a type of goods’ movements from the time a customer orders it till the product’s final consumption. This process consists of several stages, which are planning and implementation. Effective logistics plays a very important role in economy of any country.
Craig Voortman identifies effective logistics as supply of the correct product, to the correct place, in a proper condition, and in the necessary time. (2004, p 13) According to Pr. Christopher, there are three supply chains compounds, three feasible pipelines deigns, which are of great importance for effective logistics.
They are product, demand, and lead times. Such designs may be effective for many other industries, not only pipelines. For example, these three pipeline designs may have value for fashion industry.
Discussion
Langevin and Riopel say that effective logistics may be perfectly organized only in case if managers investigate various areas, which have some connection to the chosen industry. (2005, p 1) In their turn, Martin Christopher and Denis Towill prove that the philosophy of “one size fits all” (2002, p 20) cannot be used to any pipeline design and its control.
There are three major variables, which need to be taken into consideration in order to provide a customer with really effective logistics. Also, it is necessary to consider their possible gradations in order not to have any problems during the delivery and implementation. These compounds are: products (standard or special), demand (stable or volatile), and lead time (short or long).
It is necessary to admit that SCM has already considerably influenced the development of logistics operations. Dr. Ross underlines that such innovations help to find out some new types of products and choose the quickest forms of transportation. (1997, p 137)
Such conditions raise the level competitions between the companies and make them improve their products to attract more and more people.
Let us analyze these developing market specific strategies of delivery into the frames of one concrete industry – fashion. If demand is stable, it is easy to forecast any possible difficulties and problems. If demand is volatile, any kind of management will be untenable.
Fernie and Sparks prove that volatility of demand will hardly help to forecast possible sales. This is why conventional wisdom is rather simple – think about possible methods to improve the quality of forecasts in the fashion logistic pipeline. One of the essential characteristics of effective logistics is lead time.
Fernie and Sparks present three important lead times, which need to be completed in all fashion marketplaces: time to market, to serve, and to react. (2004, p 83 – 84) During the time to market, it is important to choose the best product and give it to shops.
During the time to serve, it is necessary to forecast during what period of time this or that product will be in fashion in order to deliver it to the shops beforehand. And during the time to react, sellers try to analyze customers’ preferences and find out what they like more.
Conclusion
Companies with effective logistics have all chances to win any competitions with other companies. The products of good quality are delivered in time, less money are spent for some damages, and perfect organization help to attract more people.
With the help of researches conducted by Christopher and Towill, three essentials of effective logistics have been identified: product, lead times, and demand. These compound have an unbelievable impact to any industry, fashion in particular.
Reference List
Christopher, M. and Towill, D. R. (2002), ‘Developing Market Specific Supply Chain Strategies’, International Journal of Logistics Management, Vol. 13, No 1, 1-2.
Fernie, J. and Sparks, L. (2004), Logistics and Retail Management: Insights into Current Practice and Trends from Leading Experts. Kogan Page Publishers.
Langevin, A., Riopel, D. (2005), Logistics Systems: Design and Optimization. Springer.
Ross, D. F. (1997), Competing Through Supply Chain Management: Creating Market-Winning Strategies Through Supply Chain Partnership. Springer.
Voortman, C. (2004), Global Logistics Management. Company Limited.