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1.1 Evaluate the logistics challenges that globalization presents
• Consequences for inventory handling and transport such as:
• Centralised vs. regionalised inventory holdings
• International logistics practices – storage and handling practices
• Extended transportation pipelines and time to market - obsolesce and inventory holding costs
• Global consolidation
• Economies of scale and batching
• Price and currency fluctuation
• Multiple freight modes and cost
• Location analysis
• Trade-offs between responsiveness to local markets and economies of scale
1.2 Assess the structure of a global strategic logistics and supply chain network
• Layering and tiering
• Information flow and coordination
• 3 and 4PL
• Influence of Original Equipment Manufacturers (OEM)
• Time horizons – preparation, finalisation, shipment and delivery
• Individual plants
• Changing role of distribution centres
• Flexibility to respond to local markets
• Response to governmental incentives – adjusting taxes, incentives and infrastructure to favour selection
• Reconfiguration processes
• Changing the global pipeline
• Local vs. global postponed manufacturing
1.3 Assess the strategic logistical risks of globalisation and the associated responses
• Supply chain volatility:
• Geopolitical threats
• Transportation and/or pipeline breakdowns
• Security threats
• Responses such as:
• Inventory policies and levels
• Transport network redesign
• Sole vs. global trading arrangements
• Contingency planning and risk protocols
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2.1 Contrast the strategic influences on globalised supply chain governance
• Geographical spread and supply chain/network complexity
• Coordination between units and elements of the supply chain/network
• Embedded teams vs. virtual centralisation
• ‘Decentralised centralisation’ - central reporting and working but not centrally co-located
• Incorporating new regions into global governance
• The flow of goods vs. the flow of ownership
2.2 Assess the impact of international legislation on the globalised supply chain
• The role of international courts in deciding precedence
• Which legal system is generally accepted by all parties – multiple countries passed through during the course of the trade
• Which court has jurisdiction over form of contract, disputes, underperformance etc. – exporter, importer or third country
• Legal considerations in global markets, shipment, insurance, handling, clearance, payment and other related matters
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3.1 Assess the concept and requirements of reverse logistics
• What is reverse logistics
• Waste reduction
• Point of consumption back to point of origin
• Why is the concept becoming more influential:
• Product returns
• Repairs and maintenance
• Reuse
• End of life returns and recycling or dismantling
3.2 Assess the strategic factors which influence reverse logistics
• Government policy and legislation
• Economic considerations
• Increasing landfill costs
• Increasing cost of disposal vs. profit from recoverable manufacturing
• Environmental considerations
• Triple bottom line and sustainability
• Corporate Social Responsibility
• Green logistics
• Buying sets of services
• E.g., include maintenance contract covering repairs and parts – return of broken products and take back at life-end
3.3 Contrast factors that influence strategic reverse logistics
• External factors such as:
• Legislation
• Customer demand
• Incentives
• Internal factors such as:
• Environmental concerns
• Strategic cost/benefits
• Volume and quality returns
• Resource
• Integration and coordination
3.4 Compare factors which affect the implementation of reverse logistics strategy
• No infrastructure and insufficient resources
• Difficult to forecast flow and composition
• Not a priority
• Driven by legislation and not identified business value
• Regarded as an additional cost
• Unpopular as regarded as a sign of failure
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