BÀI GIẢNG 8: CHIẾN LƯỢC GLOBAL LOGISTICS

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Global logistics is defined as the design and management of a system that directs and controls the flows of materials into, through and out of the firm across national boundaries to achieve its corporate objectives at a minimum total cost...

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Nội dung Text: BÀI GIẢNG 8: CHIẾN LƯỢC GLOBAL LOGISTICS

GLOBAL LOGISTICS MANAGEMENT GLOBAL LECTURE 8: GLOBAL LOGISTIC STRATEGIES
Agenda Agenda 1 Definition of Global Logistics 2 Barriers to Global Logistic Operation 3 Basic conditions for GLO 4 Global business organization 5 Some specific problems with GLO 6 Strategic competencies needed for an efficient GLO 7 Strategies for Global Logistic Operation 8 Summary
1 Definition of Global Logistic Definition Global logistics is defined as the design and management of a system that directs and controls the flows of materials into, through and out of the firm across national boundaries to achieve its corporate objectives at a minimum total cost
2 Barriers to Global Logistic Operation Operation true global operations need so many resources that they are limited to very large companies customers in different countries may demand different types of products products may have features which mean that they are not suitable for global operations
2 Barriers to Global Logistic Operation Operation global products of any kind are not viewed favourably by some customers( Sony, Toyota, Pepsi) organisations lack the human and technical resources needed to work globally organisations may not be able to build the right structures or design strategies that work globally
2 Barriers to Global Logistic Operation Operation managers in different regions have fundamentally different objectives for themselves and the organisation other cultural and economic differences make co-ordination too difficult each country, has different infrastructure, facilities and capabilities that make common operations impossible.
3 Basic conditions for GLO Basic Outsource logistics Have operations with limited needs of logistics Concentrate production and sourcing in one area and then sell globally Or concentrate production in one area and source and sell globally Use postponement to move the finishing of production down supply chains Operate as a local company
4 Global business organization Global Firms may organize as the following forms National companies International companies Multi-national companies Global companies There are clear benefits of moving towards global operations (e. g expand market and economies of scale)
5 Some specific problems with GLO Politicaland legal systems: each country has its own political and legal systems so international company must adapt to local environment. Economic conditions: developed countries vs developing countries Technology available: technological difference may cause extra operational cost Infrastructure: potential extra transportation cost Social systems and culture: extra cost may be incurred due to cultural training
5 Some specific problems with GLO Finance: e.g exchange rate fluctuation, international financial management Competition in logistics: global company vs local company Geography: geographical difficulties increase cost for transportation Customs: Each country or economic zone has its own policy on customs Documentation: many types of documentation depends on each country. E.g potential extra cost ( corruption)
6 Strategic competencies needed for Efficient GLO Efficient Positioning  The selection of strategic and structural approaches to guide global operations Integration  The establishment of what to do and how to do it creatively Agility  The achievement and retention of global competitiveness and global customer success Measurement  The internal and external monitoring of global operations
7 Strategies for Global Logistic Operation Operation Licensing or franchising: less risk of failure but less control of logistic system Exporting finished goods: the need to set up local business partner for distribution, small risk, less profit margin Setting-up local sales and distribution networks: higher investment, better control and higher profit margin
7 Strategies for Global Logistic Operation Operation Exporting parts and using local finishing and assembly: involve in global and regional logistic. High initial investment, high risk, lower cost of operation. Joint venture with a local company: small risk, shared knowledge,partly control, fast access to local distribution channel Full local production: high initial investment, full control, high risk, high profit margin and can get competitive advantages locally.
Summary Global logistic operation has to face with many barriers Some specific factors have great influence over GLO to be efficiently operated In order to move global successfully, firms need strategic competencies According to local environment, global companies must choose appropriate strategies to expand its supply chain