Logistics Management Practice Flashcards

A set of vocabulary flashcards covering the fundamentals of logistics management, government integration, and inventory types based on the Unit 1, 2, and 3 lecture notes.

Logistics management

The integration of information, transportation, inventory, warehousing, material management, and packaging.

Upstream logistics

Activities related to sourcing, procurement, and the inbound flow of raw materials, focusing on supplier relationships and material input.

Downstream logistics

Activities related to distribution, delivery, and the outbound flow of finished goods, focusing on customer relationships and product delivery.

Logistics

The physical movement, storage, and flow of goods, services, and information, such as transporting maize from rural farms to milling plants.

Logistics management (process)

The planning, implementing, and controlling of efficient logistics operations aimed at cost reduction and service quality.

Inbound logistics

The flow of raw materials, components, and supplies into a business for production, such as Transnet rail moving iron ore from mines to processing plants.

Outbound logistics

The flow of finished goods from a business to customers, retailers, or distributors, such as Transnet port importing steel products through Durban.

Transnet freight logistics chain

A logistics chain connecting RSA with the world consisting of 6 divisions: engineering, freight rail, port terminal, port authority, pipelines, and property.

Vertical integration

Coordination from top to bottom across national, provincial, and local spheres of government with clear roles and support.

Horizontal integration

Coordination across departments and agencies on the same level of government, such as collaboration between municipalities and NGOs.

Inventory

A stock of goods and materials held for future use, including medical supplies, office stationery, and spare parts.

Raw material

Material required to manufacture either components or a final product, such as vehicle parts.

Work in progress (WIP)

Inventory held to support manufacturing that consists of semi-finished goods.

Packaging material

Materials that form part of the manufacturing process similar to WIP, such as cold drink cans.

Finished goods inventory

Completed products or items that are ready to be sold, such as a packed iPhone.

Cycle stock

Inventory kept for regular use, such as medication and stationery.

Safety stock

Buffer stock kept for emergency parts.

Seasonal stock

Inventory held in preparation for specific timeframes, such as ahead of floods or an exam season.

Promotional stock

Inventory used for public awareness campaigns, such as HIV awareness month materials.

Dead stock

A type of stock that has become unusable, such as old CDs and perishable items.

Non-conformance stock

Unusable stock kept that could be used by other parties due to a change, such as old computers being replaced with smart laptops.