Consider an organization youre familiar with If you were ben

Consider an organization you’re familiar with. If you were benchmarking the logistical functions of this organization, what methodology would you use? What methodology, if any, is currently in use? Comment upon its appropriateness. Please support your statements of fact with citations and references

Solution

Consider the logistics functions of the Amazon.

Benchmarking is the process of measuring products, services, practices & processes against the best in the industry. To measure the effectiveness of the logistics function of the Amazon I will use the reactive control i.e. measure and compare the output. I will compare the output of the logistics function per unit of $ invested and compare it with the competitors. This is most convenient, easy to measure and comparable to industry standards easily.

An additional method that I would like to use to see the % of value added time and non value added time in the logistics function of the company by producing a flow chart and then analysing it.

Christopher, M., (1998), “Logistics and Supply Chain Management. Strategies for Reducing Cost and Improving Service”, Financial Times Pitman Publishing, London.