Does Operations Management Involve Logistics?

Operations and supply chain management (OSCM) is a wide-ranging field that covers both manufacturing and service industries, and includes activities such as sourcing, materials management, operations planning, distribution, logistics, retail, demand forecasting, order fulfillment and more. Logistics operations managers are responsible for managing distribution centers and overseeing shipping operations and order fulfillment, making sure that the right products are delivered to customers quickly and cost-effectively. Although operations management is usually associated with the production of goods rather than the movement of goods, some would say that it is the basis of both supply chain management (SCM) and logistics. Operations management involves transforming inputs into outputs, which can include services as well as products.

The inputs can range from materials, equipment and technology to human resources such as drivers and warehouse operators. It is the administration of business practices to achieve the highest possible level of efficiency within an organization. Operations management teams strive to balance costs with revenues to achieve the highest possible net operating profit. Organization and productivity are two key elements in being an operations manager, and the job often requires versatility and innovation. There are strong parallels between the skills required for effective operations management and those needed in both logistics and supply chain management. Procurement of raw materials is the first part of supply chain management, which is carried out by the manufacturer or supplier.

They identify optimal dual-channel strategies that depend on the channel environment described by factors such as the cost of managing a direct channel, the hassle of the retailer, and some product features. Inventory management, warehousing and order fulfillment play a key role in optimizing e-commerce logistics. As a logistics operations manager, you manage a team of senders, receivers, drivers and other employees. There are several key parts of warehouse management, such as the protection and safety of stored products, inventory control processes that help optimize inventory storage, and much more. To sum up, operations management does involve logistics in many ways. It is essential for optimizing e-commerce logistics by managing inventory levels, warehousing and order fulfillment.

Operations managers are also involved in coordinating and developing new processes while reevaluating current structures.

Leave Message

All fileds with * are required