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Retail Service and Manufacturing Logistics: Comparison Report

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Updated: May 28th, 2020

Executive summary

Logistics is the distribution of manufactured goods from the places of production to areas of demand. Logistics concentrates on two major areas, namely retail logistics and manufacturing logistics. Manufacturing logistics looks into the initial process of production of goods while retail logistics involves the division of the distribution channels so as to avail the goods to different locations (Tompkins, 2005).

The focus of this paper is to provide a report concerning the distribution process. The issue in question looks at the difference between service/retail logistics and manufacturing logistics. The paper provides an analysis of both topics focusing on the elements that set them apart from each other. This is followed by the provision of recommendations and a conclusion which summarizes the contents of the topic at hand.

The recommendations in this case rally for better treatment during production, storage, and transportation. Proper management of retail and manufacturing logistics entails controlling the specified portions, sizes and quality of the goods. Careful inspection of the manufacturing and storage conditions maintains the quality and standards of the goods (Gustafsson, 2006).

Introduction

Logistics basically involves creating the availability of goods and services so as to meet the demands of the present market. There are two major steps involves in the logistics process, namely storage and transportation. Both processes account for the quality of the goods which undergo a process for them to reach their final destination. Accounting for logistics involves the observation of two forms of logistics, namely retail and manufacturing logistics (Tompkins, 2005).

Retail logistics

Retail logistics entails the overall observation of the distribution process. This form of logistics involves breaking down the chains of distribution to smaller and manageable elements. Goods are received from the main manufacturing location to the different points of sale. They are then classified according to the form, shape and size. Goods are then stored according to the date of manufacture so as to observe the required standards. Storage is a major part of retail logistics when distributing manufactured goods. The storage facilities should meet the various storage conditions so as to maintain the original form of the good delivered. Transportation also plays an essential part in retail logistics, making it one of the vital features. Transport should cover the different sources which have placed orders of the products at hand. Transportation must thus be efficient, reliable and affordable so as to reduce the overall cost of the distribution process. Retailing stretches as far as local store such as supermarkets, shops and shopping farmers markets (Koch, 2008).

Manufacturing logistics looks at the initial stages of the production of the goods before their distribution. Manufacturing involves putting together different objects with the main aim of attaining a final product. The process is intended to cater for a vast amount of people making it significant to the sustainability of the economy as a whole. The supply chain owes its existence to the manufacturer that makes goods available for use in the market. Finished goods are then stored and packed to suit the requirements of the various markets available.

Manufactures dictate the number of goods to be supplied in each production season (Gustafsson, 2006). The logistics, in this case, concentrate on the quality of the production in relation to the needs of the market. An ideal part of the manufacturing process is the availability of warehouses. The warehouses act as a link between the manufacturers and the middlemen. Goods that are finished are relocated into the warehouse until they are in demand. Goods are then packed and distributed to different avenues when the time comes. The process takes place in different stages until the order for more goods is placed. Proper manufacturing ensures that quality, supply and standards of goods are maintained on an annual basis (International Heinz Nixdorf Symposium & Danglemaier, 2010).

Both forms of logistics are strenuous and thus require an evaluation by supervisors in charge. Most economies have issues with the distribution of goods which, as a result, cause scarcity of basic goods. This leads to an increase in prices that reduces the consumer power of the country as a whole.

Recommendations

People in charge of observing retail and manufacturing logistics should ensure that all steps are carefully followed so as to avoid the production of mediocre goods. This can be done by controlling production in terms of portions, size and quality. Assessing produced goods before and after the manufacturing process ensures that standards are maintained from the initial stages.

Distribution of goods should be done using the best equipment so as to reduce the chances of spoilage of the goods. This involves observing the correct temperatures, ventilation, and storage space when distributing to various parties.

Conclusion

Manufacturing and retail logistics are essential for the provision of goods and services to specified markets. It is difficult to maintain the quality of the goods owing to the sensitive nature of the different stages. It is, therefore, ideal for one to understand the proper methods involves ensuring that correct standards are achieved.

References

Gustafsson, K. (2006). Retailing logistics & fresh food packaging managing change in the supply chain. London: Kogan Page.

International Heinz Nixdorf Symposium, & Dangelmaier, W. (2010). Advanced manufacturing and sustainable logistics 8th International Heinz Nixdorf Symposium, IHNS 2010, Paderborn, Germany, April 21-22, 2010: proceedings. Berlin: Springer.

Koch, T. (2008). Lean business systems and beyond: first IFIP TC 5 Advanced Production Management Systems Conference (APMS ‘2006), New York: Springer.

Tompkins, J. A. (2005). Logistics and manufacturing outsourcing: harness your core competencies. Raleigh, NC: Tompkins Press.

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IvyPanda. "Retail Service and Manufacturing Logistics: Comparison." May 28, 2020. https://ivypanda.com/essays/retail-service-and-manufacturing-logistics-comparison/.

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IvyPanda. 2020. "Retail Service and Manufacturing Logistics: Comparison." May 28, 2020. https://ivypanda.com/essays/retail-service-and-manufacturing-logistics-comparison/.

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IvyPanda. (2020) 'Retail Service and Manufacturing Logistics: Comparison'. 28 May.

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