1-18 Develop Logistics Support Strategy

Logistics is defined as that part of the supply chain process that plans, implements, and controls the efficient, effective forward and reverse flow and storage of goods, services, and related information between the point of origin and the point of consumption to meet client needs. Some supply chains include return processes, or the reverse flow of goods, in addition to outbound delivery (e.g., the return and replacement of repairables, packing materials, or damaged goods). Logistics planning will address these considerations.

The Postal Service encourages the practice of results-based logistics to optimize the flow of materials through the supply stream. Results-based logistics stresses speed and reliability over quantity. Because of the expense associated with managing large quantities of material, SM focuses on the swift and reliable supply and maintenance of material essential to proper operation of a product or service, as opposed to managing large quantities of inventory on its own.

The item manager is responsible for developing, implementing, and monitoring the performance of a logistics strategy for the product(s) required by the client. The client and the purchase/SCM team will support the development of the strategy, with the client having approval authority. While a number of Postal Service organizations, systems, and processes exist for logistics support, the common factors are: