Difference between domestic logistics and international logistics

Logistics Management is a fraction of Supply Chain Management.

Difference between domestic logistics and international logistics

Share on Facebook Logistics refers to the planned coordination of the movement of goods and information in a company. Managing logistics domestically is quite different than managing logistics in a multinational enterprise. A simple example is the much narrower geographic scope you have to manage in a domestic operation.

However, a global logistics strategy involves a number of other challenges and distinct factors relative to a domestic business. Transportation Requirements Domestic companies typically can use a variety of transportation options to move goods.

Difference between domestic logistics and international logistics

Ground transportation is a common preference for many U. With a MNE, though, you have more limited transportation options.

Difference between domestic logistics and international logistics

In fact, many multinational companies use multiple transportation methods to get goods from warehouses to stores or to buyers. Cost Factors You have more cost factors to consider in planning global logistics as well. In a domestic business, your costs generally include technology, store facilities, logistics workers and transportation.

In an MNE, you typically have these same costs, but you also have to consider tariffs when you trade internationally, as well as additional government taxes and fees.

Key Differences Between Logistics and Supply Chain Management

Currency exchange rates also fluctuate, which can positively or negatively affect you as you pay out or receive money across borders. Management and Coordination Many U. While you can have a corporate logistics manager for an MNE, that person often coordinates logistics activities with geographically-dispersed, regional logistics managers.

The coordinated effort may cause challenges in decision-making and requires clear plans on how to execute information-sharing and distribution processes. Supply Chain Partnerships Many industry suppliers and resellers rely on strong, trusting relationships with core suppliers.

References Warsaw University School of Management: He has been a college marketing professor since Kokemuller has additional professional experience in marketing, retail and small business.Logistics refers to the planned coordination of the movement of goods and information in a company.

Managing logistics domestically is quite different than managing logistics in a multinational enterprise. A simple example is the much narrower geographic scope you have to manage in a domestic operation. Key Difference: An agreement is an informal compromise between two or more parties, which may or may not be legally binding.

A contract is a legally-binding agreement that is entered into voluntarily by two or more parties, with the intention of creating one or more legal obligations among them.

The Logistics Handbook encompasses all of the latest advances in warehousing and distribution. It provides invaluable "how to" problem-solving tools and techniques for all the ever-increasing logistical problems managers face -- making it the most complete and authoritative handbook to date.

Difference Between Logistics and Supply Chain Management (with comparison chart) - Key Differences

10/Dimerco dedicates to Academia-Industry Collaboration with Takming University of Science and Technology in Vietnam. Difference Between Domestic and International Logistics Logistics is the organization and implementation of a complex operation that incorporates management of flow of things between the points of origin and consumption to meet the requirements of the customers.

Difference between Domestic & International Logistics can be said to arise mainly on account of the three major factors: 1) Logistic costs is International Business is much more higher than the domestic business 2) The Logistic Mechanics are much more complex in the context of international logistics than the domestic logistics.

DIMERCO - Your China & ASEAN Logistics Specialist