Day 5: 7/10/23

This morning we ate breakfast at our hotel and then took the metro to our first activity of the day, a logistics lecture at the Universitat Autónoma de Barcelona. 

These are the notes I during the presentation:

• The objective of logistics is to maintain high quality organization while reducing costs and time.

Some logistics definitions 

• The careful organizations of a complicated activity do that it happens in an effective and successful way 
• The careful organization of a complicated military, business, or other activity so that it happens in a successful and effective way. 
• The process of planning and organizing to make sure that resources are in the places where they are needed, so that an activity or process happens effectively. 

What is logistics management?

• to plan to coordinate all activities necessary to achieve the desired level I delivered service and quality and at the lowest possible costs.
• The scope of logistics includes the entire gamut of activities starting from the procurement and management of Rae materials through to the delivery of the final product to the customer. 
• Satisfy customers by developing links or connections to people in various levels in organizations of your desired or current markets.
• Because products are so competitive, it so important to create distinction through quality customer service. 

The seven R’s of logistics and where we want to be

1. Right time: within hours
2. Right place: consumers (stores becoming dcs) (distribution centers)
3. Right price: greater willingness to pay for convenience and speed
4. Right product: wider scope of products being shipped or produced in transport
5. Right quantity: focusing on units of product not pallets or shipping containers 
6. Right customer: D2C
7. Right condition: perfect, no tolerance for slack

Video: The future of logistics

• Logistics originated in the military with Romans organizing the transport of weapons
• The video focuses on a logistics company named DHL based in the Netherlands
• DHL transports goods via trucks, ships, planes, and delivery bicycles. 
• DHL organizes the transportation of goods via smart warehouses which use robots and many employees to complete product processing, customs clearance, and placement
• Logistics is constantly progressing due to technologies AI, robotic labor, and parcel delivery by drone.

Question I asked during the lecture: 

• Do you think that it is smarter for large companies to provide their own logistics or to use another logistics company to transport their goods? For example Amazon provides almost entirely their own logistics like warehouse storage and organization, transportation, and delivery. 

Supply Chain

• Raw material 
• Supplier 
• Factory
• Distribution 
• Retail 
• Consumer 

Transport

• The most important form of global transport is ocean freight (70%)
• Types of cargo ships: bulk carrier (raw materials), oil tanker, container ship, chemical tanker, LNG (liquid natural gas) ship, VLCC, RORO ship, General Cargo, Livestock ship

Supply chain challenges 

• Rising freight prices 
• Raw materials shortage 
• Congestion at ports
• Inflation 
• Digital transportation supply chain ESG (environmental social governance)
• Demand forecasting 
• Rising freight prices 

After our guest lecture we took the metro to a nearby restaurant to grab some lunch. We then took the metro back to our hotel and had lecture time for three hours. Then Mae and I went back up to our hotel room and did schoolwork for the remainder of the day.