Logistic information system

Logistic information system is a part of Management Information System to manage, control and measure the logistical activities. A logistics information system is a system of records and reports – whether paper-based or electronic – used to aggregate, analyze, validate and display data (from all levels of the logistics system) that can be used to make logistics decisions and manage the supply chain.

The information system ensures the transformation of logistics functional operations into a process with the goal of pursuing customer satisfaction at the lowest cost. It facilitates planning and control of logistics activities related to order fulfilment.

The goal of information logistic is to deliver the right product, consisting of the right information element, in the right format, at the right place at the right time for the right people at the right price and all of this is customer demand driven. The systems are important for achieving logistics efficiency and effectiveness.

Adopting an information system that is specialized for logistics can also decrease the load on the sales management system. The biggest advantage of adopting a logistic information system is that the information systems for commercial distribution and logistics can be separated and each can function at its highest performance.

Logistic information system promotes systems that link the operations of the firm, such as manufacturing and distributing, with the suppliers’ operations on one hand and customer on the other.

There are four types of information system in logistics
*Supply Management and Logistics
*Distribution and Material Movement
*Production Logistics and Management
*Reverse Logistics and Product Return
Logistic information system

What are the basic functions of warehouse?

Warehousing has three basic functions, namely: movement, storage and information transfer.

The first major function, movement can be further divided into four handling activities: receiving, transfer, order selection and shipping. Warehouses receive shipments in bulk from several sources and using an automated or manual sortation system put together individual customer orders and ships them directly to the customers.

Warehouses also do the inspection and quality controls, which are an extension of the receiving process and are done when suppliers are inconsistent in quality or the product being purchased is heavily regulated and must be inspected at all steps in the process.

The second function of warehousing, namely storage, can be performed on a temporary or a semi-permanent basis. To achieve economies of scale in production, transportation and handling of goods, it is often necessary to store goods in warehouse and release them to customers as and when the demand occurs. The form of storage will depend on the size and quality of the items in inventory and the handling characteristics of the products or its container.

While the third major function information transfer occurs simultaneously with the movement and storage functions. Not only does the movement and storage of goods have managed in warehousing, but the information that goes along with the movement and storage also has to be managed.
What are the basic functions of warehouse?

Supply chain information system

An effective way for linking all logistics activities in supply chain together is to implement an integrated supply chain information system.

Supply chain information system can be defined as information systems that automate the flow of information between a firm and its suppliers to optimize the planning, sourcing, manufacturing and delivery of products and services.

The information system becomes the glue of the supply chain. Visibility through operating data coordinates operations, either through automated task or management surveillance.

Information technology can provide managers with overall directions for strategic decisions, to match market requirements with resource allocations to optimize the system. The supply chain management information system and decision-making components are tightly interrelated.

The decision-making components use information from various sources in the supply chain management information system.

Information technology also can automate processes such as documentation and internal operation routines. Orders can be processed and result in complete fulfillment without human intervention.
Supply chain information system