The first step is to devise one or more logistics methods that will be suitable for the various product families and their production and procurement processes (make or buy). Is reorganization desirable? Can the existing organization actually be carried over to the new? Can the new logistics be implemented? What will this cost? Computerization should intentionally be left out of the equation because, as mentioned above, all the tasks of logistics software can, at least theoretically, be carried out by people. If computerization is intended, it should merely be clarified at this point whether in principle logistics software with the necessary functionality is available on the market. The break-even analysis for this first step must then consider the cost of the training required to cope with all aspects of the new logistics. Consideration should also be given to how the company’s objectives (e.g., to reduce lead times in the goods flow) can actually be achieved by the changed logistics.......
Only then comes the second step and thus the second break-even analysis, in which the precise value of computerization with standard logistics software is considered. Here, again, there will be costs associated with training employees in the correct use of the hardware and software. On the other hand, in this case it will also be possible to reduce staffing numbers since the flow of information will no longer be processed manually.