Logistics, Trade Administration and Supply Chain

Outdated philosophies may prevent us from recognizing and integrating some of the new ways the warehouse or distribution center (DC) can add real value to our operations. Let’s talk about moving dinosaur thinking into the 21st century. Let’s talk about the evolution of warehousing as a means of adding value to your organization. In another “era,” when I first started out, there were basically only four types of warehousing that were thought to benefit an organization: Storage Warehouse: The use of a facility to stockpile inventory for outbound shipment in a make-to-stock plant environment or where MRO items are held for consumption, repair, and service of plant facilities and equipment. The intention is to have long-term storage. Production Warehouse: The utilization of a facility to hold materials and components for inventory prior to their need in processing, production, or manufacturing. The goal is to level demand. Order Fulfillment DC: A facility that holds inventory to meet cust...

The Regional Trade Pact Import/Export Declaration is a standardised import/export document used in common by members of a regional trade group containing compliance, administrative and statistical information. This document is typically issued by the exporter or seller (shipper). The typical trade pact import/export declaration contains the following elements: Name and address of the exporter/seller/consignor/shipper, Name and address of the importer/buyer/consignee, Description and value of the goods, A statement of origin of the goods, Country of destination of the goods, Carrier and means of transport, Other compliance, administrative and statistical information. This document is used as an export declaration when exporting from any trade pact member country to a non-member country and as both an import and export declaration when transporting goods across country borders within the trade group. Because of its standardised format, this document is often linked to a...

Form Utility . It refers to the value added to goods through a manufacturing, production or assembling process. For example, form utility results when raw materials are combined in some predetermined manner to make a finished product. This is the case, for instance, when a bottling company adds together syrup, water and carbonation to make a soft drink. The simple process of adding the raw materials together to produce the soft drink represents a change in product form that adds value to the product. In today's economic environment, certain logistics activities can also provide form utility. For example, breaking bulk and product mixing, which typically take place at distribution centres, change a product's form by changing its shipment size and packaging characteristics. Thus, unpacking a pallet of breakfast cereal into individual customer size boxes form utility to the product. However, the two principal methods in which logistics adds value are in place and time utility...