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HOW TO USE LOGISTICS AND DISTRIBUTION TO GAIN A COMPETITIVE EDGE

by Keith J. Launchbury, (CIRM, CFPIM)
Keith Launchbury & Associates

To gain a competitive edge today, a company must be capable of delivering excellent value for money, providing not only a world class product, but also world class service. World Class is one of those grossly overused terms that have become diluted by use and abuse. 

However I believe World Class can be defined as Watching Operational Results Leap Dramatically while Competitors Lose All Significant Sales.This kind of company is truly competitive in the global environment. 

Every organization today is facing the same set of competitive challenges, these challenges can be classified in terms of integrating resources in the supply chain; listening to the voice of the customer; competing for time; containing costs; coping with environmental and regulatory issues; assimilating new technology, working in teams; dealing with change, setting new performance standards and creating new reward systems.

lntegrating Resources in the Supply Chain In the organization, managing resources has now become one of the most important challenges in any enterprise. Resources can be anything that the organization uses in order to accomplish its mission. Resources can be both internal and external. 

The challenge today is to integrate resources from varyin~ organizations across the entire supply chain and focus activities on delivering value to customers. 

Some more advanced organizations have recognized this fact by creating a new position, the Chief Resource Manager. This person is responsible for selecting, developing and retaining internal and external resources, deciding which processes are core competencies to be maintained internally, and which processes can be effectively outsourced. 

I predict that this trend will continue as many organizations struggle with delivering superior value to their stakeholders while managing with resources that are subject to time and funding constraints. 

One of the biggest challenges in the resource area is how to develop suppliers and people at the rate necessary to ensure competitive survival. This requires a sign)ficant commitment of every organization to lifelong learning, and the organization must adopt a reaming culture.

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