What is Procurement Logistics?
Definition: Procurement Logistics refers to the area of logistics that focuses on the planning, execution, and control of material and goods procurement. The goal is to ensure the efficient and timely supply of raw materials, components, and services to enable smooth production processes and enhance competitiveness.
Key Activities of Procurement Logistics
- Demand Analysis: Assessing the need for materials and goods.
- Supplier Selection: Choosing and evaluating suppliers and negotiating contracts and prices.
- Procurement Process: Ordering goods, organizing transportation and storage, and monitoring deliveries to ensure they meet agreed requirements.
- Inventory Optimization: Implementing measures to reduce lead times and optimize stock levels.
Benefits of Efficient Procurement Logistics
- Cost Reduction: Lowering storage costs and avoiding shortages.
- Supply Reliability: Ensuring a high level of reliability in material supply.
- Quality Assurance: Guaranteeing the quality of delivered materials.
Through efficient processes and transparent supply chains, procurement logistics supports the optimization of the entire supply chain and contributes to achieving strategic business goals. In summary, it encompasses the planning and control of material procurement to ensure cost-efficient and reliable supply and optimize production processes.