International Journal of Physical Distribution & Logistics Management

Giunipero, Larry C.; Monczka, Robert M.

1990 International Journal of Physical Distribution & Logistics Management

doi: 10.1108/09600039010138622

Analysis of the organisational structures utilised to conduct international purchasing activities was undertaken at 24 multinational corporations. The majority of the corporations studied had decentralised purchasing organisations and all had corporate purchasing staffs. Four basic approaches were found 1 totally decentralised 2 coordinated 3 totally centralised and 4 separate international purchasing group. Within this overall framework there were several forms of staff assistance to assist operating units effectively accomplish their international purchasing goals. This assistance included foreign buying offices, trading companies and international staff specialists. There was also a common philosophy which indicated the necessity of worldwide sourcing.

Fawcett, Stanley E.

1990 International Journal of Physical Distribution & Logistics Management

doi: 10.1108/09600039010142005

Maquiladora operations have become increasingly popular during the past 10 years. The driving force behind this popularity has been the dramatic devaluation of the Mexican peso, which has made Mexican labour among the lowest cost in the world. However to take full advantage of maquiladora operations additional logistics costs are incurred in supporting the Mexican productionassembly facilities. The logisticsmanufacturing cost tradeoffs inherent in maquiladora operations are explored empirically. While logistics costs were found to increase and logistics performance decreased, most of the firms involved in maquiladora operations considered their operations to be highly successful based on product cost savings.

Powell Robinson, E.; Satterfield, Ronald K.

1990 International Journal of Physical Distribution & Logistics Management

doi: 10.1108/EUM0000000000360

The interaction between customer service policy,as defined by the intransit delivery lead time component of the order cycle and the design of least cost distribution systems is examined. A broader view of the distribution system design problem than previously taken in the literature is given and both the firms network strategy number and location of facilities and transportation strategy modemethod of shipment into the planning process are incorporated. Procedures for incorporating customer service policy into the distribution system design process are discussed the effect of alternate customer service definitions on the least cost distribution system design are evaluated and new mathematical procedures that integrate customer service policy, network strategy and transportation strategy into a comprehensive planning model are provided. Example problems in the text illustrate the potential benefit of accepting premium transportation costs in return for reduced facility proximity to customers.

Gourdin, Kent N.; Clarke, Richard L.

1990 International Journal of Physical Distribution & Logistics Management

doi: 10.1108/09600039010138866

As American firms formulate competitive strategies for the 1990s and beyond they are realising that significant profit opportunities exist outside the United States. As managers deal with globalising their logistics systems to support overseas marketing efforts transportation becomes an extremely important factor. The readiness of the US transportation system to support the growing global logistics needs of American business is examined. The authors conclude that with few exceptionsthe US international freight transport industry cannot meet the challenges presented by the rapid globalisation of the marketplace.

Kirk, S.V.

1990 International Journal of Physical Distribution & Logistics Management

doi: 10.1108/EUM0000000000361

Considerable emphasis is put on service tocustomers of Engineering Polymers Du Pontmaking rising logistics increasingly important. Thecurrent supply chain serving customers in the UK and Eire was developed when service was considered less important. Analysis of this supply chain revealed many operational defects. New systems of performance measurement had to be developed to allow this analysis. As a result operational improvements were made and continued performance analysis should demonstrate that improved service is being provided. In addition,it was recognised that the real need was for an integrated supply chain that enabled the total logistics concept to be put into practice. Two such tactical requirements were the need for a customer service strategy and a logistics cost analysis system recommendations are made as to how both could be developed and how future systems could meet the needs of an integrated supply chain.