Blog

What is Supply Chain and Logistics?

Posted by [email protected] on Oct. 15, 2020  /  Subscribe 0

You hear a lot about Supply Chains in the news lately, and it often begs the question; what is Supply Chain and Logistics? A Supply Chain is a network of suppliers and vendors used to acquire merchandise or workpieces used in manufacturing. Logistics, on the other hand, is the management of supplies, inventory, transportation, and production, as well as the warehousing of materials from acquisition through final delivery to customers. Although both terms deal with similar environments and conditions, they are separate disciplines within the scope of production and manufacturing management operations.

Look Closely and You'll See the Difference

Supply Chain Management (SCM) deals with the vendors and materials necessary for manufacture, as well as the acquisition of those materials before manufacturing takes place. Identifying vendors to source materials needed for production is a vital role in any manufacturing environment. The Supply Chain process includes those companies that will provide the needed parts and pieces like links in a chain that eventually ends at the production floor. Every nut, bolt, screw, subassembly, raw stock, electronic, and other necessary components are acquired from vendors that meet production specifications and standards. In most cases, multiple vendors will be utilized to acquire the same materials to guarantee an uninterrupted flow of goods and materials to support manufacturing.

Logistics Management plans, implements, and controls the vendor groups, transportation providers, warehousing, inventory management, and manufacturing processes to incorporate needed materials at the proper time and in the proper quantities so production can run smoothly. Logistics also manages completed product inventories as well as the shipment of the finished products to the final customer. Think of it like this: The Supply Chain finds what is needed and Logistics gets it to the factory on time and delivers the finished products to the customer once they're built.

Challenging Times Create Opportunities

The world has changed recently, and the ability to successfully coordinate and supply all the necessary components to keep a manufacturing production line operating has become an important and valuable skill. Sources and networks that existed a few months ago don't exist any longer, and many suppliers have ceased operations, making the need for discovering new resources to replace the old ones is more urgent than ever. That means there's an opportunity for those who are interested in pursuing careers in Supply Chain and Logistics management. There are schools and educational resources that provide certification for professionals seeking valuable skills in Supply Chain and Logistics management.

Certification in Supply Chain and Logistics Management

Accredited institutions offer certifications in Supply Chain as well as Logistics management through training programs that can be accessed online. Becoming certified in Logistics, Transportation, and Distribution (CLTD) is a great first step toward a career in Supply Chain and Logistics management. Classes include all aspects of the subject as well as other related areas of manufacturing and production management. Certifications available for professionals include:

• Certified Logistics, Transportation, and Distribution - CLTD
• Certified Supply Chain Professional - CSCP
• Certified Production and Inventory Management - CPIM
• Supply Chain Operations Reference - SCOR-P 

Now is the Time

Global, as well as domestic, supply chains have been affected by recent developments, and the result is confusion, consternation, and complete breakdowns of traditional supply chains. The demands of politics and production have created a unique situation in the supply chain and logistics industry that has never before been encountered. Creative ways to resolve complex supply chain and logistics problems are in demand. Professionals with the right training, education, and background will find tremendous opportunities for growth. Changes in the supply chain and logistics landscape, combined with advances in technology, have created an environment that places ever-greater emphasis on developing the skills and effectiveness necessary for industry managers and executives. 

Get Onboard and Get Ahead

The scramble to adjust to the new supply chain and logistics paradigm is only just beginning. More professionals are gaining the knowledge and training they need to make headway in today's complex and highly-competitive environment. Online education can provide the credentials needed to achieve a higher level of earning and advancement. 

Being at the forefront of the revolution in Supply Chain and Logistics management will create a broad range of opportunities for a great career while providing the foundation for important professional growth in the future. The world is waiting and a career in Supply Chain and/or Logistics management can literally take you anywhere you wish to go. If you're wondering what is Supply Chain and Logistics, the answer is: it may be your ticket to success.

APICS

At APICS, our mission is to continue the advancement of end-to-end supply chain management through a body of knowledge, innovative research, and methods to create value for customers, members, and organizations alike. For more information on the certifications and exam preparation courses we offer, visit our certifications and credentials page today!

Return to list