Essays on Logistics Management Activities of Online Retail Store Assignment

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The paper "Logistics Management Activities of Online Retail Store" is an outstanding example of a management assignment. The emergence of information communications technology and electronic commerce has enabled organizations to be flexible ad responsive to the ever-changing market requirements. Due to emergence of new organizational environments ad information technologies, organizations have been able to adopt electronic supply chain which connects trading partners via several information technologies including electronic data interchange and the internet, allowing them to purchase, sell and transport services, products and cash. The conventional schemes of logistics control are unable to manage the dynamics of modern-day logistics service requirements.

Online logistics is the scheme of automating logistics activities and offering an incorporated, end to end fulfillment and the supply chain management services to players of logistics procedures. The e-logistics automated processes offer supply chain visibility. Most retailers have entered the electronic commerce environment, driving their operation into the logistics arena and fulfillment of picking packing and shipping of small orders. How online retail store logistics activities can contribute to low production costs and add value to the place and time utility In a modern-day increasingly competitive environment, several retail stores are becoming global in order to increase profit, market share and sales, and take advantage of efficiencies in sourcing and production.

Bayles (2008) notes that a major determinant of the performance of a business is the function of logistics in making sure that there is a smooth movement of products, information and materials throughout an organization’ s supply chain. Online retail store logistics activities can contribute to electronic procurement to low production costs and add value to place and time utility. Electronic procurement is the sourcing of services of goods through electronic means, typically the internet. According to Baily (2008), procurement is a support action for purchase of inputs such as raw materials, production and office supplies and information systems for every part of the value chain.

Procurement activities are aimed at sourcing, anticipating requirements attaining supplies, moving the supplies into the firm and evaluating the category of supplies as a present asset. Improvements of procurement procedures through online procurement in business to business markets lower the expenses incurred in the identification and the consequent selection of the most superior suppliers, increases the value of purchases on basis of their quality-price relationships as well as reduce costs of transactions linked with increased process efficiency. A key procedure in electronic procurement decision making is the supplier selection process.

At the public level, electronic procurement enhances non-restricted and unlimited access to state information and promotes market transparency, as well as economic integration based upon complementarities. It also promotes global procurement opportunities for domestic businesses. Neef (2004) notes that identification of the possible advantages of electronic procurement for Chinese business can be reflected in the development of websites by the government to enhance the implementation of e-procurement.

Electronic procurement has the probability of lowering overhead costs linked with purchasing and increasing an organization’ s bargaining power. This power, in turn, leads to superior purchasing conditions and terms, superior suppliers, increased reliable supply of superior services and goods, better costs and reduced overall purchasing costs. For these reasons, electronic procurement is viewed as having the potential of playing a key role in an organization’ s efforts to create a competitive price advantage that that will last for numerous years, thus grounding a long term competitive advantage.

This is especially significant for China because information and communication technology is the vital enabling technology and the key contributor to national growth and productivity.


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