A. The plan for implementation will include development or configuration of an information system, introduction of new policies and procedures and the development of a change management plan.
B. Because supply chains are constantly changing and evolving, a company may develop a number of logistics strategies for specific product lines, specific countries or specific customers.
C. To adapt to the flexibility of the supply chain, companies should develop and implement a formal logistics strategy. This will allow a company to identify the impact of imminent changes and make organizational or functional changes to ensure service levels are not reduced.
D. A company can start to develop a logistics strategy by looking at four distinct levels of their logistics organization. By examining the company’s objectives and strategic supply chain decisions, the logistics strategy should review how the logistics organization contributes to those high-level objectives.
E. When examining the four levels of logistics organization, all components of the operation should be examined to ascertain whether any potential cost benefits can be achieved. There are different component areas for each company but the list should at least include the following: transportation, outsourcing, logistics system, competitors and information.