Logistics has been described as the glue that holds the supp

Logistics has been described as the \"glue that holds the supply chain together.\" What do you think is meant by that statement? Discuss some specific characteristics of logistics activities that points to the truth of this statement.

Solution

Logistics is nothing but the business activity that is done for the purpose of carrying and transporting the goods from one point to another. (one location to another) Logistics is usually confined to one organization whereas supply chain means all the activities that are done with the purpose of making the product reach from the manufacturing unit t the end customer. Logistics is the tying knot that holds the entire chain together. Logistics of one company carries the product to another company, logistics of that company then moves the product forward and hence in the entire supply chain there are many check points and logistics holds the entire chain together like glue. Hence this statement is very apt and appropriate as if the logistics is ineffective then the entire supply chain fails to function properly resulting in business loss. Some of the specific activities of logistics are transportation, procurement, unhindered flow of materials from one location to another till it reaches the end customer, warehousing etc.