6533b855fe1ef96bd12b157b

RESEARCH PRODUCT

THE DEVELOPMENT OF BUSINESS LOGISTICS CONCEPT. FROM OPERATIONAL MANAGEMENT OF LOGISTICS PROCESSES TO THE INTEGRATED FLOW MANAGEMENT WITHIN THE SUPPLY NETWORK

subject

description

Background: Firms constantly search for ways enabling them to achieve and maintain longterm competitive advantage. Among the most significant concepts influencing the achievement of such an advantage by a firm, an important role is played by the business logistics concept. The aim of the chapter is to identify the most important stages of the logistics concept development, ranging from the operational management of logistics processes to the integrated flow management throughout the entire supply network. Methods: The chapter has a conceptual character. A review of significant works devoted to the development of the logistics concept in business was carried out. Within the chapter there is also a methodical attempt concerning the consecutive logistics concepts (i.e. first logistics concept, second logistics concept, etc.) related to its development towards the flow management in the entire supply network. Results: Within the logistics concept development one may indicate five main stages, typically named as the consecutive logistics concepts – the first logistics concept, the second logistics concept, etc. Within the first concept, logistics “cuts through” the traditional functional areas of a firm, i.e. procurement, production and distribution. Logistics is then perceived as a service function of a firm, whose main task is to secure the desired availability of materials and goods in accordance with the customers’ needs and expectations. The second logistics concept emphasizes the importance of the coordination function in the area of goods flows. Within this concept the most important logistics’ goal is to optimize the structure of goods flows along the entire value creation network, as well as to reduce the suboptimization of individual activities in the entire flow structure. Within the third concept logistics is perceived as a flow-oriented business management. In this concept the main attention is paid to management functions concerning the individual business management subsystems (planning, organizing, etc.). Within the fourth concept, logistics is perceived as a flow-oriented management across the entire supply chain and value creation system. In this concept logistics is a key part of supply chain management, and supply chain management itself is perceived as the most advanced stage of logistics development and integration. Finally, the fifth logistics concept relates to the most significant and expressive tendencies of supply chains and value chains integration towards the logistics networks and supply networks. Logistics is then perceived as a business concept integrating value chains in the form of global networks. Conclusions: The concept of business logistics is constantly developing towards the managerial direction. The symptom of such development is the perception of business logistics as a concept of flow management on the scale of: (1) firm, (2) supply chain, and (3) supply network. These symptoms may be perceived as so-called managerial re-evaluations of the logistics concept within business management.