Supply systems management

Ing. Ondrej Stopka, PhD.

Study guide for the course

The aim of the course is to acquaint students with the issues of the technology and supply chain management (SCM - Supply Chain Management. The graduate demonstrates the knowledge of the stock systems, logistics and supply systems, he can describe the enterprise information systems and basic strategies in supply chains. He is capable to make the plans in terms of supply chain and work with time factor in the supply systems management.
 

Basic study topics

1. Integrated material and information flows of the supply systems.

2. Value-creating chains, characteristics, system functions, process approach.

3. Supply chains in organizational structure of the enterprise and processes.

4. Structure of the procurement, production and distribution logistics.

5. Process management in the supply systems.

6. Analysis of supply chains and model resources.

7. Planning the supply systems.

8. Informatics and communications in supply processes.

9. Storage systems and warehousing in the supply chain.

10. Transport in the supply chain.

11. Material handling in the supply chain.

12. Trends in the supply systems and processes.

References

• BLECKER, T., KERSTEN, W., HERSTATT, C. Key Factors for Successful Logistics: Services, Transportation Concepts, IT and Management Tools: Erich Schmidt Verlag GmbH & Co KG, 2007. 308 p. Vol. 5. ISBN 978-3-503-10600-4.
• LUKOSZOVÁ, X. Logistické technologie v dodavatelském řetězci. 1st. ed. Prague: Ekopress, 2012. 121 p. ISBN 978-80-86929-89-7.
• JEŘÁBEK, Karel. Logistika: study support for combined study. 1. ed. České Budějovice: Institute of Technology and Business in České Budějovice, 2012. 96p. ISBN 978-80-7468-016-8.
• Pernica, P.: Logistika pro 21. Století (Supply Chain Management) 1^st, 2^nd and 3^rd ed., Radix Prague, 2005. 1.ed. 569 p. ISBN 80-86032-59-4.
• Gros, Ivan. Logistika. ed. 1. Prague: Publishing VŠCHT, 1996. 228 p. ISBN 80-7080-262-6.
• Cempírek, V., Kampf, R. Logistika. ed. 1st. Pardubice: Jan Perner Institute, 2005. 108 p. ISBN 80-86530-23-X.
• TOUŠEK, R. Management dopravy. České Budějovice: Jihočeská univerzita v Českých Budějovicích, 2009. ISBN 978-80-7394-172-7.
• FIALA, P. Dynamické dodavatelské sítě. Prague: Professional Publishing, 2009. ISBN 978-80-7431-023-2.
• BAZALA, J. et al. Logistika v praxi. Prague: Verlag Dashöfer, 2004. ISBN 80-86229-71-8.
• LAMBERT, Douglas M. Supply Chain Management: Processes, Partnerships, Performance. 2nd ed.: Supply Chain Management Institute, 2005. 344 p. ISBN 978-0-9759949-1-7.
• HUGOS, Michael H. Essentials of Supply Chain Management. 3rd ed.: Wiley, 2011. 348 p. ISBN 978-0-470-94218-5.
• ŠIROKÝ, J. et al. Transport technology and control. Brno: Tribun EU, 2012. 237 p. ISBN 978-80-263-0268-1.
• SOUTHERN, R. Neil. Transportation and Logistics Basics. Northwestern University: Continental Traffic Publishing Company, 1997. 375 p. A Handbook for Transportation and Logistics Professionals and Students. ISBN 978-0-9655014-0-8.
• SCHULTE, CH.: Logistika. Prague, Victoria publishing, 1994. ISBN 80-85605-87-2.
• MACUROVÁ, L. et. Logistika. A collection of examples. Study materials for part-time study. Zlin, Tomas Bata University, 2008. ISBN 978-80-3718-745-3.
• JEŘÁBEK, K. Transport, Handling, Storage - Logistics. Construction information, Volume XI, September 2004, Monothematic Number, 28th Edition, pp. 3-31. ISSN 1211-2259.
• KULČÁK, L., K RÁL, D. Logistika. Study materials for part-time students. Brno, Sting Academy in Brno, 2010. ISBN 978-80-86342-88-7.
• Jeřábek, K., Frajová, M. Výroba a distribuce stavebních materiálů – racionalizační potenciály logistiky. Construction information, Volume XIII. September 2006, monothematic number, 44th publication, pp. 3-27. ISSN 1211-2259.
• KUHN, A. Prozessketten in der Logistik. Dortmund, Verlag Praxiswissen 1995. ISBN 3-929443-49-X.
• JüNEMANN, R.: Materialfluss und Logistik. Berlin, Springer-Verlag, 1989. ISBN 3-540-51225-X.

Methods of study and communication

Organizational forms of teaching:

• Lecture

• Seminar

• Tutorial

• Consultation

Complex teaching methods:

• Frontal Teaching

• Project Teaching

• Group Teaching – Cooperation

• Brainstorming

• Critical Thinking

• Individual Work– Individual or Individualized Activity

• Teaching supported by multimedia technologies

• E-learning

1. Issue
© Institute of Technology and Business in České Budějovice, 2017
Published by: Institute of Technology and Business in České Budějovice, Okružní 10, 370 01 České Budějovice, Czech Republic
Author is responsible for content and language accuracy

Key words:

Logistic transformation, transformation process, value-creating chain, logistics chain, integration of material, information and energy flows, system, system structure
Chapter objectives:

• Explain the contribution of logistics to creating values
• Clarify logistics transformation in supply chains
• Emphasize system and process approach to supply chains

Time required to study the chapter: 8 hours
Interpretation:

 
 

Fig. 1- 1: Model of materials circle and related information

   
 
 

Fig. 1-2: Cybernetic structural model of the logistics system

              System S = (A, R),
            where         A = (a₁, a₂, a₃ ... a_n) - set of elements
                           R = (r₁, r₂, r₃, ... r_m) - is a set of relationships between them
 
The structure of the system is a set of system elements and a set of relationships between them.  

Study materials:

Basic literature:
JEŘÁBEK, Karel. Logistika: study support for combined study. 1. ed. České Budějovice: Institute of Technology and Business in České Budějovice, 2012. 96p. ISBN 978-80-7468-016-8.
TOUŠEK, R. Management dopravy. České Budějovice: Jihočeská univerzita v Českých Budějovicích, 2009. ISBN 978-80-7394-172-7.
FIALA, P. Dynamické dodavatelské sítě. Prague: Professional Publishing, 2009. ISBN 978-80-7431-023-2.

Recommended study materials:
SCHULTE, CH.: Logistika. Prague, Victoria publishing, 1994. ISBN 80-85605-87-2.
 

Questions and tasks:

1. The material basis for reproduction is:
   1. process of continuous restoring the production
   2. a set of system elements and a set of links between them
   3. purposeful defined set of elements
2. Smooth processes in production and entire market mechanism require so that labor, resources and objects (both work and consumer) are:
   1. mathematically expressed
   2. in the required quantity, assortment and quality, - ecologically and economically optimally - in a determined time and at the desired location
   3. the transformation of the technological or logistics nature of the material objects
3. The production, distribution, circulation and consumption of production means and consumed objects are realized through transformation processes in which:
   1. model of materials circle and related information occur
   2. process chains occur
   3. the structure, shape, position and time of substances (masses, materials), information and energy are transformed
4. The model of materials circle and related information does not include:
   1. consumption
   2. inter-warehouse
   3. tram
5. The term system represents a purposeful defined set of elements and set of relationships (relations) between them which together determine the properties, behavior and functions of the system as a whole. Mathematically can be expressed as:
   1. S = (A, R)
   2. S = (m, g)
   3. S = (v₁, v_i….v_j)

Key to solve the questions

1. a
2. b
3. c
4. c
5. a

Key words:

Value-creating chain model, inputs to element, outputs from element, elements structure, element parameters, SCM

Chapter objectives:

• Get acquainted with the value-creating chain model
• Learn how to define the structure and parameters of elements
• Manage the identification of technological and logistics elements of the value-creating chain

 

Time required to study the chapter: 8 hours

Interpretation:

Functional model of a logistics chain element   
 

Fig. 2- 1: Inputs and outputs of the value-creating chain

 
Processes management
From the point of view of logistics goals, the influencing the process chain elements or the whole chains is limited to four basic factors. These factors are:

• processe,
• management,
• tools,
• structures.

From these four factors, a set of 17 classes of rationalization potentials, which are the building blocks of strategic logistics planning, can be derived by:

• customer,
• supplier,
• structure of processes.

Management includes:

• normatives,
• administrative,
• networks,
• control.

Tools are represented by:

• personnel,
• space,
• stocks,
• work tools,
• aids (ancillary tools),
• organizational tools.

Structure is represented by:

• layout,
• organizational structure,
• communicational structure.

Study materials:

Basic literature:
JEŘÁBEK, Karel. Logistika: study support for combined study. 1. ed. České Budějovice: Institute of Technology and Business in České Budějovice, 2012. 96p. ISBN 978-80-7468-016-8.
TOUŠEK, R. Management dopravy. České Budějovice: Jihočeská univerzita v Českých Budějovicích, 2009. ISBN 978-80-7394-172-7.
BAZALA, J. et al. Logistika v praxi. Prague: Verlag Dashöfer 2004. ISBN 80-86229-71-8.

Recommended study materials:
SCHULTE, CH.: Logistika. Prague, Victoria publishing, 1994. ISBN 80-85605-87-2.
KUHN, A.: Prozessketten in der Logistik. Dortmund, Verlag Praxiswissen 1995. ISBN 3-929443-49-X.
 

Questions and tasks

1. Logistics ensures and manages the movement of:
   1. normative, administrative and auxiliary tools
   2. objects (products, pallets, orders, etc.) through partial chain processes
   3. work tools, aids, and communication
2. Each element acts in the process chain as:
   1. both as a customer and as a supplier
   2. only as a customer
   3. only as a supplier
3. Structure of process chain elements includes inputs and outputs. The inputs do not include:
   1. material
   2. labor
   3. final products
4. From the point of view of logistics goals, the influencing the process chain elements or the whole chains is limited to four basic factors. These factors do not include:
   1. procesess
   2. structures
   3. customers
5. Tools within processes management do not include:
   1. personnel
   2. normatives
   3. stocks

Key to solve the questions:

1. b
2. a
3. c
4. c
5. b

Key words:

Procurement logistics, supplying, border elements, procurement market, supplier

Chapter objectives:

• Understanding the role of procurement logistics and supplying,
• To deepen the understanding the links between functions of corporate departments and corporate structures,
• Understanding the importance of logistics for enterprise profitability.

Time required to study the chapter: 8 hours

Interpretation:

 
Logistics management ensures:
in the purchase field:

• market survey,
• finding and selection of optimal resources,
• negotiating and concluding contracts,
• price and value analysis,
• purchase management.

in the supply field:

• acceptance and inspection of goods,
• storage and warehouse management,
• in-house traffic and handling,
• planning, managing and controlling integrated flows of materials and information.

 
Stages of the purchase process is created by:

1. specification of the enterprise's needs,
2. determination of product types and its quality,
3. detailed needs specification,
4. identification of suppliers,
5. offers analysis,
6. supplier selection and pricing,
7. an order issue and economic contract conclusion,
8. continuous monitoring of suppliers and their evaluation.

 
System of variants evaluation and business partners selection

• supplier solvency,
• the level of management of its production process and possibilities of capacities expansion,
• guarantee of goods and deliveries quality,
• delivery times and their reliability,
• meeting the packaging requirements,
• the rate of possible defective deliveries exchange,
• flexibility within supplier-customer relationships.

The general criteria for evaluating or comparing products include utility value and procurement costs. This can be expressed by the so-called relative effective value.
From the economic point of view, the variant having the smallest costs (while maintaining the other parameters) will be most advantageous.

Study materials:

Basic literature:
JEŘÁBEK, Karel. Logistika: study support for combined study. 1. ed. České Budějovice: Institute of Technology and Business in České Budějovice, 2012. 96p. ISBN 978-80-7468-016-8.
MACUROVÁ, L. et. Logistika. A collection of examples. Study materials for part-time study. Zlin, Tomas Bata University, 2008. ISBN 978-80-3718-745-3.

Recommended study materials:
SCHULTE, CH.: Logistika. Prague, Victoria publishing, 1994. ISBN 80-85605-87-2.

Questions and tasks

1. The content of logistics in a modern conception includes:
   1. market survey
   2. finding and selecting optimal resources
   3. to provide comprehensively the material and integrated information flows from suppliers to enterprises and by enterprise to customers
2. Procurement logistics ensures:
   1. supplier solvency
   2. the input processes to the enterprise in the whole range of integrated material and information flows
   3. input processes in the supply chain on a business side
3. The task of procurement logistics is:
   1. to plan and ensure the necessary material inputs with the optimal economy
   2. to provide a relative effective value
   3. supplier selection and pricing
4. Logistics management in the supply field does not provide:
   1. acceptance and inspection of good
   2. relative effective value
   3. planning, managing and controlling integrated flows of materials and information
5. When selecting a supplier, it is recommended to put particular emphasis on some criteria. They do not include:
   1. supplier solvency
   2. delivery times and their reliability
   3. storage and warehouse management

Key to solve the questions:

1. c
2. b
3. a
4. b
5. c

Key words:

Corporate (business) logistics, market, supply chain, transhipment, crossdocking, 1st distribution law, 2nd distribution law, SCM

Chapter objectives:

• Understanding alternative logistics market structures,
• To enhance knowledge of logistics strategies,
• Understanding distribution laws.

Time required to study the chapter: 8 hours

Interpretation:

 
Alternative logistics structures
The value-creating chain forms a sequence of technological and logistics elements in which undergo transformation processes in which the products required in the market are created.
The value-creating chain begins by suppliers of raw materials for production and has a different structure depending on:

• the type of commodity,
• supplier's location,
• the way and organization of transport,
• customers requirements, etc.

 
Alternative supply chain structures include:  
Storage and transport strategies:
   The most commonly used transport and storage strategies include:

• external distribution warehouse,
• transhipment concept,
• Randez-Vous system,
• the concept of regional carriers,
• logistics centers.

Supply chains:
Supply chains linking suppliers, warehouses, manufacturers, logistics centers and final customers can have a different structure. The most commonly used are as follows:

• direct deliveries,
• shipments through the central warehouse,
• transhipment,
• crossdocking.

Physical distribution and distribution networks

Physical distribution means not only the movement and storage of goods (primary logistics objects), but also the related information and financial flows running through the distribution space.
Supply Chain Management (SCM)

Study materials:

Basic literature:
JEŘÁBEK, Karel. Logistika: study support for combined study. 1. ed. České Budějovice: Institute of Technology and Business in České Budějovice, 2012. 96p. ISBN 978-80-7468-016-8.
MACUROVÁ, L. et. Logistika. A collection of examples. Study materials for part-time study. Zlin, Tomas Bata University, 2008. ISBN 978-80-3718-745-3.

Recommended study materials:
JEŘÁBEK, K. Transport, Handling, Storage - Logistics. Construction information, Volume XI, September 2004, Monothematic Number, 28th Edition, pp. 3-31. ISSN 1211-2259.
KULČÁK, L., K RÁL, D. Logistika. Study materials for part-time students. Brno, Sting Academy in Brno, 2010. ISBN 978-80-86342-88-7.
Jeřábek, K., FRAJOVÁ, M. Výroba a distribuce stavebních materiálů – racionalizační potenciály logistiky. Construction information, Volume XIII. September 2006, monothematic number, 44th publication, pp. 3-27. ISSN 1211-2259.

Questions and tasks

1. Alternative supply chain structures do not include:
   1. one-stage with tranship areas
   2. two-stage structure
   3. Supply Chain Management
2. The most commonly used transport and storage strategies do not include:
   1. external distribution warehouse
   2. logistics centers
   3. JIT
3. Supply chains linking suppliers, warehouses, manufacturers, logistics centers and final customers can have a different structure. The most commonly used are as follows::
   1. direct deliveries, shipments through the central warehouse, transhipment, crossdocking
   2. Randez-Vous system, concept of regional carriers, logistics centers
   3. 1st distribution law, 2nd distribution law and Supply Chain Management
4. The distribution network consists of:
   1. all distribution points, distribution equipment, distribution interactions and their mutual relationships
   2. distribution sources, distribution centers, customers and mutual relationships between these elements
   3. Supply Chain Management, Transhipment a Crossdocking
5. 1st distribution law says:
   1. The sum of logistics objects at the exit of a distribution source over a given period of time is equal to the inventories volume at the distribution nodes at the end of that time period
   2. The sum of the logistics objects entering the distribution node and located at that node is equal to the sum of the logistics objects exiting from that node and remaining there
   3. interconnection of all internal and external participants along the entire process chain, from the customer of the final product to the raw material supplier

Key to solve the questions:

1. c
2. c
3. a
4. b
5. b

 
Key words:

Logistics function, logistics objectives, STEP and SWOT analysis, logistics strategies and concepts, Lean Management, TQM

Chapter objectives:

• To apply the logistics function to supply systems,
• To understand the relationships of logistics and process objectives within supply chains
• To warn about transformation management logistics methods. 

Time required to study the chapter: 8 hours

Interpretation:

Corporate philosophy and strategy

• S-social factors
• T-technical (technical and technological) factors
• E-economic factors
• P-political-legal factors

SWOT analysis is a tool especially used within value management and corporate strategy creation to identify enterprise strengths and weaknesses taking into account opportunities and threats.

Enterprise strengths:

• Individual approach
• Favorable prices
• New innovative products and services
• Enterprise location
• Experience in the field
• New technologies

Enterprise weaknesses:

• Bad marketing strategy
• Enterprise size and location
• Low awareness among potential clients
• Poor quality of products and services

Enterprise opportunities:

• Opening the EU market
• Possibility to extend for additional services
• Increasing need for tax advice
• Low competition
• Possibility to expand outside the region
• Inflow of foreign investment

Enterprise threats:

• Unexpected entry of the competition
• Change in regulations (directives)
• Government policy oppressing small entrepreneurs

Another important part of this matter is to determine the position on the market. Each company should continuously perform a market segmentation of its products or services.

Logistics objectives

• to provide the necessary performance in the field of supply, transport, handling, storage,
• to ensure the required quality of these performances (supplier capacity, flexibility, meeting terms, consignments quality, ...) and
• to optimize costs (personal, transport, handling, storage, ...).

while respecting the requirements of the environment throughout the entire process chains.

Transformation management methods  

Study materials:

Basic literature:
JEŘÁBEK, Karel. Logistika: study support for combined study. 1. ed. České Budějovice: Institute of Technology and Business in České Budějovice, 2012. 96p. ISBN 978-80-7468-016-8.

Recommended study materials:

Questions and tasks

1. STEP consists in:
   1. assessing the impact of only external factors (global environment factors) on the enterprise position
   2. identification of enterprise strengths and weaknesses taking into account opportunities and threats
   3. respecting the requirements of the environment across the entire process chain
2. „E“ in the term STEP means:
   1. E- econometric factors
   2. E-environmental factors
   3. E- economic factors
3. SWOT analysis is a tool especially used within value management and corporate strategy creation:
   1. to identify enterprise strengths and weaknesses taking into account opportunities and threats
   2. to respect the requirements of the environment across the entire process chain
   3. to assess the impact of only external factors (global environment factors) on the enterprise position
4. Relevant objectives in the field of logistics, ranging from large to small companies and individual craftsmen include:
   1. required performance, required quality of these performances, optimize costs
   2. individual approach, favorable prices and new innovative products and services
   3. opening the EU market, possibility to extend for additional services, low competition
5. Lean Production  or  Lean Management is based on Japanese conditions:
   1. Kanban
   2. Kaizen
   3. Seiketsu

Key to solve the questions:

1. a
2. c
3. a
4. a
5. b

Key words:

Logistics, analysis, systematics and objectives, modeling, simulation

Chapter objectives:

• Understanding the significance of analyzes in logistics,
• Getting acquainted the tools used in analyzes,
• Understanding the methodology modeling,
• Getting acquainted the benefits of simulation for logistics.

Time required to study the chapter: 8 hours

Interpretation:

Intentions and objectives of logistics analyzes
Intentions for analyzing logistics chains and systems can be very diverse. The most common ones are:

• rebuilding, extending or building new objects,
• capacity expansion and equipment upgrading,
• change of technological or logistics processes,
• reducing costs, the number of vehicles and workers,
• increasing competitiveness, etc.

Similarly to intentions to analyze logistics chains and systems that can be very diverse, even objectives of analyzes may vary from case to case. Usually, the purpose of the analysis is:

• identifying critical locations in material flows,
• reducing inventory volumes,
• shortening the running time,
• improving the organization and management of material flows,
• etc.

• objectives determination,
• task formulation,
• creating an action plan,
• preparatory work,
• specification of analyzed objects,
• elaboration of working procedures for the examination,
• performing a survey.

Techniques used within analyzes

Querying
Simulation
The simulation is an imitation of the dynamic process on the model in order to gain knowledge transferable to reality. It offers us possibilities:

• exclusion of errors when designing complicated systems with complicated behavior,
• comparing the multiple variants,
• ensuring the proper functionality of the material flow system,
• assessing the stochastic effects (e.g., system behavior failures),
• determining the system performance limits, etc.

 

Study materials:

Basic literature:
JEŘÁBEK, Karel. Logistika: study support for combined study. 1. ed. České Budějovice: Institute of Technology and Business in České Budějovice, 2012. 96p. ISBN 978-80-7468-016-8.
MACUROVÁ, L. et. Logistika. A collection of examples. Study materials for part-time study. Zlin, Tomas Bata University, 2008. ISBN 978-80-3718-745-3.
FIALA, P. Dynamické dodavatelské sítě. Prague: Professional Publishing, 2009. ISBN 978-80-7431-023-2.

Recommended study materials:
BAZALA, J. et al. Logistika v praxi. Prague: Verlag Dashöfer, 2004. ISBN 80-86229-71-8.
KUHN, A. Prozessketten in der Logistik. Dortmund, Verlag Praxiswissen 1995. ISBN 3-929443-49-X.
JEŘÁBEK, K. Transport, Handling, Storage - Logistics. Construction information, Volume XI, September 2004, Monothematic Number, 28th Edition, pp. 3-31. ISSN 1211-2259.
 

Questions and tasks

1. Intentions for analyzing logistics chains and systems can be very diverse. They do not include:
   1. capacity expansion and equipment upgrading
   2. change of technological or logistics processes
   3. simulation
2. Usual objectives of analyzes do not include:
   1. observation
   2. reducing inventory volumes
   3. shortening the running time
3. The outcome of the analysis and its qualitative level depends on a number of factors. First of all, however, it depends on the clear and unambiguous:
   1. ensuring the proper functionality of the material flow system
   2. formulation of the assigned task
   3. data flow simulation
4. Analytical systematics does not include:
   1. task formulation
   2. assessment of stochastic influences
   3. specification of analyzed objects
5. Simulation is:
   1. an imitation of the dynamic process on the model in order to gain knowledge transferable to reality
   2. an image of a real state, however, insignificant properties are suppressed (not shown), and on the other hand, significant properties in terms of the monitored objectives are highlighted
   3. rebuilding, extension or construction of new objects

Key to solve the questions:

1. c
2. a
3. b
4. b
5. a

Key words:

Planning, logistics planning, planning process, stages, procedures

Chapter objectives:

• Understanding the effectiveness of logistics planning,
• Understanding the basic objectives of planning processes,
• Understanding the fundamentals of enterprise structures strategic planning,
• To acquire planning procedures.

Time required to study the chapter: 8 hours

Interpretation:

Relation between enterprise strategy and logistics planning

Planning is a gradual, partially iterative process, in which a number of functions are applied.
Planning includes a wide range of activities, such as:

• developing business plans,
• production or assembly planning,
• logistics planning,
• material flow planning, etc.

Planning monitores the optimal solution to the problem in the term, usually predetermined, while respecting all the essential influential factors and quantities. The result of planning consists in a plan. Plan determines:

• goals,
• tasks and activities,
• as well as the tools,
• or ways to achieve them.

The main task of logistics planning is to implement a strategic business plan into implementation plans in compliance with the environmental changes and the system possibilities.

Structure of the logistics plan
Main objectives:

• competitive products or services,
• optimal material and information flows mutually integrated,
• high systems and processes flexibility,
• favorable use (consumption) of areas, premises and equipment,
• short lead and delivery times,
• favorable working conditions and motivation for staff,
• cost minimization.

The planning process covers the entire logistics, in other words the process, chains within the scope or influence of the enterprise.

• planning, management, implementation and control of material procurement,
• ensuring production tools,
• inventory planning in shopping warehouses,
• etc.

In the field of manufacturing logistics, it includes, for example:

• production program planning,
• production batch planning,
• needs planning,
• inventory management of semi-finished products
• planning and management of material flows,
• planning and management, including in-house traffic control,
• workshop planning,
• etc.

In the field of distribution logistics, it includes, for example:

• distribution structure planning,
• inventory management of final products,
• ensuring supplier services, etc.

Objectives and process of planning

• Intention
• Objectives defining
• Planning space analysis
• Decision on further steps
• System study
• Decision on the concept selection
• System planning
• Decision on offers selection
• Implementation.

Study materials:

Basic literature:
Recommended study materials:
SCHULTE, CH.: Logistika. Prague, Victoria publishing, 1994. ISBN 80-85605-87-2.
KULČÁK, L., K RÁL, D. Logistika. Study materials for part-time students. Brno, Sting Academy in Brno, 2010. ISBN 978-80-86342-88-7.
 

Questions and tasks

1. The main task of logistics planning is:
   1. to implement a strategic business plan into implementation plans in compliance with the environmental changes and the system possibilities
   2. planning the distribution structure
   3. planning the manufacturing program
2. Main objectives of the logistics plan do not include:
   1. optimal material and information flows mutually integrated
   2. cost minimization
   3. objectives defining
3. The field of procurement logistics does not include:
   1. inventory management of final products
   2. inventory planning in shopping warehouses
   3. planning, management, implementation and control of material procurement
4. Stages of the panning process do not include:
   1. system study
   2. inventory management of final products
   3. decision on offers selection

Key to solve the questions:

1. a
2. c
3. a
4. b

Key words:

Logistics information system, structure of the information system, EDI

Chapter objectives:

• To define the task of the logistics information system,
• To explain the structure of the enterprise information system,
• To show the information movement in the network while contract (order) processing,
• To describe the EDI.

Time required to study the chapter: 8 hours

Interpretation:

Tasks of the logistics information system

The task of the logistics information system (LIS) is to provide:

• the right information - necessary and understandablefor users,
• at the right time - to be available for decision-making,
• in the right amount - as many as needed, as little as possible,
• in desired quality - proper, undistorted, sufficiently detailed and immediately applicable,
• in the right place - ready for the recipient (consignee).

Structural changes in society lead to logistics goals varying in various sectors of the economy, but informatics is a common denominator.

Structure of the enterprise information system
The basic functions of the manufacturing enterprise's information systems can be summarized in the following list:

• cataloging / management of dial lists (recording, repairing, deleting, viewing: materials, products, warehouses, packaging and pallets, vehicles, payments, etc.)
• purchase (production / sales plan, supply orders, certificates),
• warehouse management (general warehouses, receipts, claims, returnable packaging, inventory management, ABC analysis, etc.)
• material demand planning (general planning, capacity planning and production management, etc.)
• communication with the external surroundings,
• information system administration (database backup, access rights, system software administration, etc.).

As a matter of fact, individual elements, however, are of lower level – these are especially the systems:

• storage,
• production,
• sorting,
• picking (commissioning),
• etc.

including logistics tools and other components. The information transfer in these systems is conditional upon the sorting the computers and peripherals into networks.

In terms of the range, the networks in the context of the LIS are divided into:

• local - LAN (Lokal Area Network)
• wide- WAN (Wide Area Network).

Communication in supply - EDI  

Study materials:

Basic literature:
JEŘÁBEK, Karel. Logistika: study support for combined study. 1. ed. České Budějovice: Institute of Technology and Business in České Budějovice, 2012. 96p. ISBN 978-80-7468-016-8.
FIALA, P. Dynamické dodavatelské sítě. Prague: Professional Publishing, 2009. ISBN 978-80-7431-023-2.

Recommended study materials:
BAZALA, J. et al. Logistika v praxi. Prague: Verlag Dashöfer, 2004. ISBN 80-86229-71-8. 

Questions and tasks

1. The task of the logistics information system (LIS) is:
   1. warehouse management, material demand planning and system study
   2. to provide the right information, at the right time, in the right amount, in desired quality, in the right place
   3. production, storage and supply
2. The basic functions of the manufacturing enterprise's information system do not include:
   1. securing the production equipment
   2. warehouse management
   3. communication with the external surroundings
3. In terms of the range, the networks are divided into:
   1. picking and server
   2. local and wide
   3. server a storage network
4. the automatic transmission of messages formatted according to a given standard among business partner application systems is referred to as:
   1. WAN
   2. JIT
   3. EDI

Key to solve the questions:

1. b
2. a
3. b
4. c

Key words:

Warehouses, storage, commissioning, logistics objects

Chapter objectives:

• To explain functions of warehouses,
• To specify types of warehouses,
• To assess ways of commissioning,
• To define the concept of a logistic objec

Time required to study the chapter: 8 hours

Interpretation:

Functions and types of warehouses
Requirements for the warehouse are of three kinds:

• the order resulting from the nature of users´ orders of stored material and the nature of orders addressed to suppliers for stocks replenishment in the warehouse,
• flow and warehouse capacity requirements resulting from the amount of revenue and expense depending on time,
• assortment requirements, i.e. requirements for type, properties and number of items, parameters of handling units, movement of articles, etc.

Warehouses are divided according to many criteria:
In terms of warehousing type:

• free
• stacking
• warehousing in racks

In terms of construction, we distinguish warehouses:

• free, adjusted surfaces
• covered
• open
• closed

Whereby, such warehouses may be (fig. 9-1):

• flat
• layered
• high
• inflatable halls, etc.

Figure 9- 1: Warehouses kinds

 
Organization and communication in the warehouse management

• warehouse regime field,
• administrative field.

The first field consists of:

• stocks and storage places management,
• handling and auxiliary equipment management,
• receipt and management of orders,
• orders formulation,
• assignment of orders and handling equipment,
• orders issue.

The second field consists of:        

• invoicing,
• inventorying,
• statistics.

In order to ensure the optimal operation of the warehouse, it is necessary to monitor a number of static and dynamic variables.

Picking  
Logistics objects

Study materials:

Basic literature:
JEŘÁBEK, Karel. Logistika: study support for combined study. 1. ed. České Budějovice: Institute of Technology and Business in České Budějovice, 2012. 96p. ISBN 978-80-7468-016-8.
BAZALA, J. et al. Logistika v praxi. Prague: Verlag Dashöfer, 2004. ISBN 80-86229-71-8. 
MACUROVÁ, L. et. Logistika. A collection of examples. Study materials for part-time study. Zlin, Tomas Bata University, 2008. ISBN 978-80-3718-745-3.

Recommended study materials:
SCHULTE, CH.: Logistika. Prague, Victoria publishing, 1994. ISBN 80-85605-87-2.
 

Questions and tasks

1. What is the main function of storage?
   1. to assemble (collate) a certain amount of logistics objects from the prepared quantity of required assortment based on information about the assigned requirements
   2. stocks and storage places management
   3. to balance capacity and time disproportion among raw material suppliers and their processors, among individual technological or logistics processes in the production or assembly, among the rhythm of production and requirements of the products users, among the dates of supplies of construction materials and the construction procedures, etc.
2. Requirements for the warehouse do not include:
   1. commissioning
   2. flow and warehouse capacity requirements resulting from the amount of revenue and expense depending on time
   3. assortment requirements
3. In terms of warehousing type, warehouse can be divided into:
   1. free, covered and open
   2. free, stacking, warehousing in racks
   3. flat, layered, high
4. What requirements are placed on the organization of warehouses? We can divide them into two fields:
   1. billing and inventory field
   2. warehouse regime field, administrative field
   3. assortment requirements and order
5. Picking is:
   1. to balance capacity and time disproportion among raw material suppliers and their processors
   2. to assemble (collate) a certain amount of logistics objects from the prepared quantity of required assortment based on information about the assigned requirements
   3. ensuring the optimum operation of the warehouse

Key to solve the questions:

1. c
2. a
3. b
4. b
5. b

Key words:

Transport, transport, handling unit, means of transport

Chapter objectives:

• To define elementary concepts of transport systems,
• To model transport problems,
• To select the transportation system.

 Time required to study the chapter: 8 hours

Interpretation:

Elementary elements of transport systems
Elementary transport elements are:

• handling unit or logistics object,
• means of transport,
• transportation process.

Special transport mode
More often, apart from traditional transport modes, we encounter non-standard modes of transport and handling. It is relatively common to use helicopters to transport various construction and other structures. Synergic effect can occur in the form of connection of transport and assembly of transported object, e.g. end-of-line transmitter antenna, power distribution masts, bells and crosses of churches, etc. Helicopters allow transporting loads up to 20 tons.

Study materials:

Basic literature:
Recommended study materials:
BAZALA, J. et al. Logistika v praxi. Prague: Verlag Dashöfer, 2004. ISBN 80-86229-71-8.
 

Questions and tasks

1. Transport is referred to as:
   1. a special mode of transport
   2. the intentional movement (ride, voyage, flight) of means of transport in transport systems and their infrastructure
   3. the transported shipment, i.e. containers, pallets, crates and other auxiliary secondary logistics
2. Elementary transport elements are:
   1. handling unit or logistics object, means of transport, transportation process
   2. JIT, EDI and mean of transport
   3. transport costs, transport performance and distance and means of transport
3. Handling units consist of:
   1. JIT, EDI and means of transport
   2. transported consignments, i.e. containers, pallets, crates, other auxiliary secondary logistics tools and goods carried therein, i.e. general cargo, bulk material, liquid, gas, even biological objects, referred to as the primary logistics objects
   3. handling unit or logistics object, means of transport, transportation process
4. The means of transport are:
   1. transport costs, transport performance and distance and means of transport
   2. WAN devices, LAN devices and handling units
   3. rail vehicles, road, off-road and special vehicles, vessels, airplanes, helicopters, airships and balloons, or special means of transport

Key to solve the questions:

1. b
2. a
3. b
4. c

Key words:

Handling system, handling equipment, criteria for handling equipment selection, handling equipment dimensioning

Chapter objectives:

• To identify basic types of handling equipment and describe their function,
• To describe the structure of the handling system,
• To apply criteria for selecting the handling equipment,
• Dimensioning the handling equipment

Time required to study the chapter: 8 hours

Interpretation:

 

Study materials:

Basic literature:
JEŘÁBEK, Karel. Logistika: study support for combined study. 1. ed. České Budějovice: Institute of Technology and Business in České Budějovice, 2012. 96p. ISBN 978-80-7468-016-8.
TOUŠEK, R. Management dopravy. České Budějovice: Jihočeská univerzita v Českých Budějovicích, 2009. ISBN 978-80-7394-172-7.
JEŘÁBEK, K., FRAJOVÁ, M. Výroba a distribuce stavebních materiálů – racionalizační potenciály logistiky. Construction information, Volume XIII. September 2006, monothematic number, 44th publication, pp. 3-27. ISSN 1211-2259.

Recommended study materials:
JüNEMANN, R.: Materialfluss und Logistik. Berlin, Springer-Verlag, 1989. ISBN 3-540-51225-X.
 

Questions and tasks

1. Material handling is:
   1. complex issue of transportation, loading and storage processes consisting of a number of operations performing in handling systems and which need to be mutually aligned and controlled in order to achieve the desired effects in an optimal way
   2. the matrix of connections, flow, frequency of operations, paths topology, restrictions, properties of logistics objects, their kinds, quantity in total as well as individual kinds, frequency of warehouse operations, storage period
   3. handling equipment together with organizational means and means of information and communication
2. Handling equipment consists of:
   1. the matrix of connections, flow, frequency of operations, paths topology, restrictions, properties of logistics objects, their kinds, quantity in total as well as individual kinds, frequency of warehouse operations, storage period
   2. organizational means and means of information and communication
   3. handling tools (devices) as well as building structures
3. Handling equipment together with organizational means and means of information and communication is referred to as:
   1. handling equipment
   2. material handling
   3. handling system
4. Prerequisites for selection of the optimal handling equipment or system are:
   1. material flow of continuously operating equipment, organizational means and means of information and communication
   2. the knowledge of the matrix of connections, flow, frequency of operations, paths topology, restrictions, properties of logistics objects, their kinds, quantity in total as well as individual kinds, frequency of warehouse operations, storage period
   3. handling equipment, material handling and handling system
5. Material flow for the handling equipment can be:
   1. loading and storage
   2. continuous and pulsating
   3. traffic and transport

Key to solve the questions:

1. a
2. c
3. c
4. b
5. b

Key words:

Process chain, RFID, transponders, sensors

Chapter objectives:

• To expand the knowledge about the process chain,
• To understand the basic rules and criteria of selecting the HW and SW of systems for the RFID technology.

Time required to study the chapter: 8 hours

Interpretation:

Study materials:

Basic literature:
JEŘÁBEK, Karel. Logistika: study support for combined study. 1. ed. České Budějovice: Institute of Technology and Business in České Budějovice, 2012. 96p. ISBN 978-80-7468-016-8.
FIALA, P. Dynamické dodavatelské sítě. Prague: Professional Publishing, 2009. ISBN 978-80-7431-023-2.
MACUROVÁ, L. et. Logistika. A collection of examples. Study materials for part-time study. Zlin, Tomas Bata University, 2008. ISBN 978-80-3718-745-3.
 

Recommended study materials:

JüNEMANN, R.: Materialfluss und Logistik. Berlin, Springer-Verlag, 1989. ISBN 3-540-51225-X.
BAZALA, J. et al. Logistika v praxi. Prague: Verlag Dashöfer, 2004. ISBN 80-86229-71-8.

Questions and tasks

1. The corporate strategy means:
   1. the complex issue of transport, loading and storage processes consisting of a number of operations that take place in handling systems and which need to be mutually aligned and controlled
   2. the formulation of basic enterprise development processes. Enterprise strategy includes its strategic goals and strategic operations
   3. handling equipment together with organizational means and means of information and communication
2. Logistics provides and controls the movement of:
   1. objects (products, pallets, orders, etc.) through partial process of the chain processes
   2. hardware a software
   3. administration and legislation
3. The level of interactions among process chain elements affects the quality of logistics and the level of ……………………………………….is therefore the main aim of logistics experts (add the correct answer instead of the dots).
   1. administration and legislation
   2. communication systems
   3. means of transport
4. RFID is an abbreviation for:
   1. radio frequency identification
   2. rapid perishable food while import and distribution
   3. rapid freight import of distribution units
5. Transponder consists of:
   1. WAN module ana LAN module
   2. the transponder antenna and the chip
   3. RIDF module and JIT antenna

 
Key to solve the questions:

1. b
2. a
3. b
4. a
5. b