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The functions of logistics are combined into three primary operational areas, procurement concerned with purchasing and arranging inbound movement of materials, parts, finished inventory from suppliers; manufacturing support concentrates on managing work-in-process inventory between stages of manufacturing; physical distribution concerns movement of a finished product to customers.
Logistics activities connect and activate the objects in the supply chain. Supply Chain Management is primarily concerned with the efficient integration of suppliers, factories, warehouses and stores so that merchandise is produced and distributed in the right quantities, to the right locations and at the right time, and so as to minimize total system cost subject to satisfying service requirements...
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