implementing, and controlling the physical and information flows concerned with materials and final goods from the point of origin to the point of usage.' International logistics involves the management of these resources in a company's supply chain across at least one international border.
Conceptual Framework
It may sound complicated, but logistics is basically the management of stuff, and information regarding the stuff, from one place to another until it reaches the consumer. The logistical management of physical items may include integration of information (such as inventory databases and shipping schedules), material handling, production, packaging, inventory, transportation, distribution, storage, and security for the resources.
Example of International Logistics
Let's look at a simple example. Just pretend for a moment that you work as a logistics manager for a large American jewelry company based out of New York. Your company has an extensive international supply chain. We'll walk through a simplified logistical process for a diamond ring.
Your diamond supplier is in South Africa. You get your gold from a supplier in China. The jewelry itself is assembled in Switzerland. Your job is to manage the supply chain from acquisition of a resource through its transformation into a finished product and until it is sold to a customer. Your responsibilities may include the following: * Oversight of the purchase of diamonds in South Africa and gold necessary from China to fulfill the company's production demands * Arranging for the temporary warehousing of the purchased diamonds and gold at local storage facilities * Arranging for the international shipping of the gold stored in China to a subsidiary in a small Eastern European country, where the gold will be
