Global Logistics and Supply Chain Management, Third Edition
By John Mangan and Chandra Lalwani
Contents
Foreword ix
About the authors xi
About the contributors xiii
Preface xv
Acknowledgements xix
Map xxi
PART ONE – LOGISTICS AND SUPPLY CHAIN CONTEXT 1
Introduction 3
Globalisation and International Trade 20
Supply Chain Relationships 34
Supply Chain Strategies 57
Part One Case Studies 77
Dell’s Configure-to-Order (CTO) Supply Chain Strategy 77
The Medical Devices Company 80
Humanitarian Aid Supply Chains 81
Global Supply Chains in Motion: The Case of Jaguar Land Rover 89
PART TWO – LOGISTICS AND SUPPLY CHAIN OPERATIONS 101
Transport in Supply Chains 103
Transport Security 117
Logistics Service Providers 131
Procurement 142
Inventory Management 167
Warehousing and Materials Handling 189
Technology in the Supply Chain 208
Information and Finance Flows in the Supply Chain 220
Part Two Case Studies 239
John Lewis Partnership: Semi-Automated National Distribution Centre 239
Air Cargo in the United Kingdom 244
Port Logistics City: A Case Study of Melbourne in Australia 249
PART THREE – SUPPLY CHAIN DESIGNS 253
Supply Chain Vulnerability, Risk, Robustness and Resilience 255
Sustainable Logistics and Supply Chain Systems 275
Reverse Logistics 289
Service Supply Chains 306
Management Science Applications 317
Emerging Supply Chain Designs 329
Part Three Case Studies 338
Patient Safety and the Pharmaceutical Supply Chain 338
Contamination in the Bulk Agri-Commodity Logistics Chain 347
Why Supply Chains should be Involved in Product Design 354
EIB Transport Project Appraisal 358
From Terrestrial to Extraterrestrial Supply Chain Networks 370
Glossary 372
Index 383
Preface
We are delighted to present the third edition of our textbook which builds upon our first edition (published in 2008) and second edition (published in 2012). We acknowledge in particular the contributions of Dr Tim Butcher (Royal Melbourne Institute of Technology) who was co‐author on the first and second editions, and Dr Roya Javadpour (California Polytechnic State University) who was co‐author on the second edition. This book traces its origins to the University of Hull Logistics Institute in the UK where Mangan, Lalwani and Butcher worked together between 2005 and 2008. It was during this time that we recognised the need for this textbook which we are glad to say has been very well received by students, practitioners and lecturers. In this third edition we have endeavoured to again produce a comprehensive book with the following key characteristics:
- Be concise – logistics is a very pragmatic subject and it has been our intention throughout to ‘stick to the point’. We hope that you the reader will appreciate this. Notwithstanding such intended brevity, we have endeavoured to cover both practical and strategic aspects of the subject matter. The book is neither a ‘how to’ cook book, nor is it a high‐level strategy book with little relevance to practice. The aim of the book is to convey to both advanced students and practitioners of logistics and supply chain management the diverse operational and strategic content of the subjects of logistics and supply chain management.
- Truly global, up‐to‐date perspective – the world is changing daily and the typical ‘Western’ worldview no longer necessarily dominates. As we will see in the book, logistics is a key driver of globalisation and a facilitator of international trade and development. We have thus endeavoured to reflect these characteristics by adopting a truly global perspective and hope that the book will appeal to students regardless of where they are located. The context of logistics is constantly shaped by emerging trends and new technologies and we have tried to ensure that the book is as up to date as possible and takes cognisance of these trends and technologies. Sadly, despite much progress, today’s world still contains many divisions, conflicts, tensions and inequalities. We have attempted to be aware of these while fully embracing a neutral and non‐political perspective.
- Pedagogical approach – we have endeavoured to use a variety of pedagogies in this book, which we hope will create a fertile learning platform for the reader. Both long(er) and short(er) case studies are included and are intended to highlight key issues in a focused manner. Key points are detailed in separate boxes and this should also help with revision. Italics are used within the text to emphasise specific issues. Various terms are in bold when first used to indicate that explanations for these terms are given in the glossary at the end of the book. We hope that you find these various features useful. There are two other features of our pedagogical approach which we believe are especially important.
Firstly, the authors named on the cover are not the only people to have contributed to this book. We are very fortunate to have contributions from various experts in specific areas of logistics and supply chain management. They have written chapters and case studies based on their specific areas of expertise and which we believe add to the richness of this book over and above what we could have achieved working on our own. The second pedagogical feature we wish to highlight is the mix of qualitative and quantitative content in this book. We are of the view that many logistics and supply chain management books tend to occupy one of two opposite positions, either containing a large share of quantitative material or else none at all. We believe that a certain level of quantitative aptitude and knowledge is an important feature of most logistics and supply chain managers’ jobs (for example, in the areas of logistics costs analysis and inventory management). Many such managers, however, do not routinely engage in sophisticated mathematical analysis; this is usually the domain of operations researchers, engineers and management accountants. We thus aim to convey the necessary quantitative features of logistics and supply chain management, while at the same time not burdening the reader with excessive quantitative analysis.
These various characteristics and perspectives adopted in the book are discussed further in Chapter 1 which details the book’s framework. The book is divided into three parts, again this is discussed and the content of each part elaborated in Chapter 1. In this third edition, we have restructured the book and updated relevant content from the second edition. For example new cases have been added, data in all chapters has been updated, and new chapters have been added on topics such as technology, information flows in the supply chain, and management science applications to logistics and supply chain management.
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