Difference between supply chain and logistics

Posted By: Sm Adminon: November 27, 2015In: Miscellaneous

Supply chain:
A supply chain is a system of organizations, people, activities, information, and resources involved in moving a product or service from supplier to the customer. Supply chain management focuses more on the purchasing and procurement. Supply chain management can include the factors relating to the inventory, materials and production planning too in its concept.
Logistics:
Logistics is the management of transportation or information from one place to another. Logistics deal with strategy and coordination between marketing and production. Logistics include factors relating to the demand management and forecasting in this concept.
Differences:

Basis	Supply chain	Logistics
Definition (www.oxforddictionaries.com)	The sequence of processes involved in the production and distribution of a commodity.	The sequence of processes involved in the production and distribution of a commodity.
Synonyms	Modular production	Engineering, strategy, coordination and planning
Types	Its types are: Integrated make-to-stock model Build-to-Order model Continuous replenishment model Channel Assembly model
Word origin		It was originated in the late 19th century: from French logistique.
Pronunciation	Eng (UK): /səˈplʌɪ / /tʃeɪn/ Eng (US): /supply / /CHān/	Eng (UK): / ləˈdʒɪstɪks/ Eng (US): / ləˈjistiks/
Main function	Its main functions are: defining business boundaries managing demand and supply logistics purchasing selling system interface manufacturing system interface product design interface	Its main functions are: warehousing inventory management transportation
Advantages/Benefits	Its advantages are: improve your supply chain network minimized delays enhanced collaboration reduced costs
Disadvantages	Its disadvantages are: heavy investment of time, money and resources needed
Example in Sentence	They hired supply chain management specialists. We have established the supply chain with the wholesalers.	The logistics meeting will be discussing about the flow of information. They have checked the logistics of the entire operation.