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We define logistics as a business activity whose main objective is the planning and management of all operations that are directly related to the flow of raw materials, semi-finished products and finished products, from their origin to the final consumer.

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FUNCTIONS OF LOGISTICS IN INDUSTRIAL COMPANIES

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FUNCTIONS OF LOGISTICS IN INDUSTRIAL COMPANIES

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In industrial companies , logistics functions are divided into 4 groups.
PROVISIONING
The procurement function consists of supplying the production centers with raw materials, elements or parts that best respond to the rhythm and volume of production, guaranteeing the minimum cost.
PRODUCTION
It implies organizing all the means of production: physical (factories and machinery), human (adequate and efficient personnel) and the activities of elaboration or transformation (packaging, handling and storage).

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FUNCTIONS OF LOGISTICS IN INDUSTRIAL COMPANIES

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FUNCTIONS OF LOGISTICS IN INDUSTRIAL COMPANIES

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COMMERCIAL DISTRIBUTION
It is the coordination between the means of transport and the warehouse. Within the warehouse, logistics activities are focused on studying the optimal location of the premises, the distribution of spaces, the placement of products in the precise place, the management of stocks, etc. When logistics is applied to transportation, criteria are established for selecting means and optimizing routes.
SERVICES POST-SALE
The logistics activities in terms of after-sales service focuses on managing orders and returns, studying customer needs, establishing after-sales services for durable products, etc.

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As its main objective, logistics seeks to satisfy the demand for the best conditions of services, quality and cost.Guarantee, on the one hand, the quality of the product and / or service, which will provide a competitive advantage and cost reduction, which will increase the profit of the company. For this reason, logistics is responsible for managing the necessary means (premises, means of transport, IT management programs ...) and mobilizing the most appropriate human and financial resources.

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The objectives that are achieved with good logistics planning are:

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The objectives that are achieved with good logistics planning are:

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1. Acquire the materials in the most suitable conditions, in this way we avoid carrying out unpacking, preparation and subsequent adaptation operations.
2. Reduce transport costs, grouping loads and minimizing stages and distances along the route.
3. Reduce handling costs, trying to change the binding merchandise the least number of times.
4. Reduce the classification groups of the stock, as well as minimize the volume, space and the number of rooms for storage.
5. Reduce the number of reviews and stock control, making the necessary ones and in the easiest and most comfortable way possible.

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It's not Magic, it's Logistics | Alejandro Rodríguez Villalobos |

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It's not Magic, it's Logistics | Alejandro Rodríguez Villalobos |

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No es Magia, es Logística | Alejandro Rodríguez Villalobos | TEDxAlcoi