Supply Chain Management Vs Logistics: Key differences & similarities

Supply Chain Management (SCM) and Logistics appear similar. Making many misconstrues between the two. They are services focussing on procurement and supply of goods. Requiring meticulous planning, management, and coordination, the services require skilled manpower and technical support.

We are looking into this article’s key differences and similarities in logistics and supply chain management. At the same time, if you are an aspirant looking for a career in the field, you can consider joining logistics and supply chain management courses.

What is Supply Chain Management (SCM)?

Supply chain management is a series of activities including manufacturing of products from raw materials to delivering them to the retailer or customer. It has different layers of activities like processing, planning, scheduling, managing, and procuring. Logistics and supply chain management courses in Dubai are intended to offer a better understanding of the concept and make capable employees.

What is Logistics?

Logistics is basically the process of planning and delivering cargo from point A to point B. Planning and execution are the key steps in the case of logistics services. Smooth movement of goods and seamless delivery services are vital for maintaining logistics support to the clients.

Differences Between Logistics and Supply Chain Management

For clients, both activities are the same. Nonetheless, a professional must understand the key differences, to offer the right services to them. Logistics and supply chain management courses are designed methodically to induce the correct knowledge and skills in the aspirants.

Let’s look into the differences between SCM and logistics:

  • SCM is a comprehensive activity that comprises planning, labor management, material management, provision of facilities, and supply activities. Logistics is a part of SCM.
  • Logistics function with the sole intention of fulfilling customer requirements. On the other hand, supply chain management looks at improving the methods and procedures to ensure more effective customer service. Besides gaining a competitive advantage over the opponents.
  • Logistics has a single aim, i.e. to deliver the cargo efficiently in a budget-friendly manner.
  • SCM process begins with raw materials that undergo production processes at the entity and finishes at the end customer.

Similarities Between Supply Chain Management and Logistics

Even though different, they both share some common characteristics as well. The logistics and supply chain management courses would teach you about both in detail. The elaborative classes would offer insights into the subtle aspects of SCM and logistics. The similarities between SCM and logistics are:

  • Cargo service, procurement, and product support are common features of SCM and logistics.
  • The services aim to maintain the availability of raw materials, goods, and products. To keep the firm functioning as per the schedule.
  • The efficient functioning of SCM and logistics is essential for ensuring a competitive advantage over the rivals.
  • The services involve the flow of goods and services from producers and suppliers to customers.
  • Geopolitical or climatic uncertainties can affect SCM and logistics. Therefore, companies in this field must have well-connected networks around the globe for maintaining consistent services.

The Conclusion

The brief aspects of SCM and logistics are:

  • More often than not, clients use SCM and logistics interchangeably, even though they are intended for different activities, which appear similar.
  • Logistics simply pick a product or cargo from a specific location and deliver it to another location as directed by the client. It does not have any role in the procurement of raw materials or the production of goods.
  • Supply chain management comprises the entire activity, from the production of items to the delivery of the same to the end user.
  • Supply chain management and logistics are the lifelines of companies around the world. Even a small error can cause cascading effects and may lead to company failure.

Logistics and supply chain management courses are formulated with the intention of offering the best professionals to firms around the world. A team of knowledgeable professionals is the mainstay of every organization. This has led to an increase in demand for candidates with the requisite qualification. Offering better career options to aspiring candidates.

You can join logistics and supply chain management courses to have a bright and promising future. For more info, call us now.

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