Materials
In these definitions we have talked about the movement of materials – but what exactly do we
mean by materials? Sometimes this is obvious when, for example, a power station brings coal
from a mine, a farmer moves potatoes to a wholesaler, or a computer manufacturer delivers PCs
to a warehouse. At other times it is less clear when, for example, a television company delivers
entertainment to its viewers, a telephone company provides a communications service, or a research company creates new knowledge. Tangible goods clearly have to be moved, and you
can easily see the role of logistics. Even organisations providing the most intangible services
move some goods around – perhaps paperwork or consumables – so they still need logistics.
However, we can take a broader view and say that logistics also moves less tangible things, such
as information and messages. Then a television company uses logistics to move around its
production facilities, and also to transmit programmes to customers. In different circumstances,
logistics is responsible for moving raw materials, components, finished products, people, information,
paperwork, messages, knowledge, consumables, energy, money and anything else
needed by operations. To simplify things, we describe all of these as materials.
Materials
In these definitions we have talked about the movement of materials – but what exactly do we
mean by materials? Sometimes this is obvious when, for example, a power station brings coal
from a mine, a farmer moves potatoes to a wholesaler, or a computer manufacturer delivers PCs
to a warehouse. At other times it is less clear when, for example, a television company delivers
entertainment to its viewers, a telephone company provides a communications service, or a research company creates new knowledge. Tangible goods clearly have to be moved, and you
can easily see the role of logistics. Even organisations providing the most intangible services
move some goods around – perhaps paperwork or consumables – so they still need logistics.
However, we can take a broader view and say that logistics also moves less tangible things, such
as information and messages. Then a television company uses logistics to move around its
production facilities, and also to transmit programmes to customers. In different circumstances,
logistics is responsible for moving raw materials, components, finished products, people, information,
paperwork, messages, knowledge, consumables, energy, money and anything else
needed by operations. To simplify things, we describe all of these as materials.
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