Although the topic of this blog is “Difference Between Logistics And Supply Chain”, however, it should be “Connection Between Logistics And Supply Chain” as both of the methodologies work parallel and side by side and one without the other will be incomplete. The relation between both depends on the way that both deal with a basic area of the operational infrastructure. Without either of the logistics and supply chain, a company cannot fully operate or survive.

What is logistics?

Logistics is everything that has to be transported within the company. It is independent of the direction in which the transport must go, i.e. whether it must be carried out as part of the purchase or sale. Logistics deals with the necessary processes, including storage, and tries to capture the individual processes in their entirety and to present them clearly. It is basically the building block needed to successfully organize and monitor procurement and sales processes within a company.

Logistics And Supply Chain


What is the supply chain?

The supply chain refers to the overall process. Does the process work? Where are there opportunities to optimize and improve? Can costs be saved and is it worthwhile, for example, to buy more expensive software or hardware to increase efficiency? It is important to a supply chain manager that the goods or information arrive at the end-user on time and in good quality, but the focus is on the prevention of errors, optimization and cost control.

The difference between the supply chain and logistics

Although the topic of this blog is “Difference Between Logistics And Supply Chain”, however, it should be “Connection Between Logistics And Supply Chain” as both of the methodologies work parallel and side by side and one without the other will be incomplete. The relation between both depends on the way that both deal with a basic area of the operational infrastructure. Without either of the logistics and supply chain, a company cannot fully operate or survive.

What is logistics?

Logistics is everything that has to be transported within the company. It is independent of the direction in which the transport must go, i.e. whether it must be carried out as part of the purchase or sale. Logistics deals with the necessary processes, including storage, and tries to capture the individual processes in their entirety and to present them clearly. It is basically the building block needed to successfully organize and monitor procurement and sales processes within a company.

Logistics And Supply Chain

What is the supply chain?

The supply chain refers to the overall process. Does the process work? Where are there opportunities to optimize and improve? Can costs be saved and is it worthwhile, for example, to buy more expensive software or hardware to increase efficiency? It is important to a supply chain manager that the goods or information arrive at the end-user on time and in good quality, but the focus is on the prevention of errors, optimization and cost control.

The difference between the supply chain and logistics

Logistics and supply chain management is often mentioned in the same breath. Basically, that’s not wrong either. Both methods deal with the delivery, transport, and handling of people and goods and an increasing ineffectiveness. But the delimitation between both becomes apparent in the qualitative increase through the introduction of SCM. Logistics looks at all processes without a detailed look at the individual questions and problems. Supply chain management, on the other hand, deals with precisely these questions and takes into account the individual and autonomous processes and sub-areas that are necessary for the creation of the overall product. Lay people often use the “technical word” due to the close interrelation of both terms supply chain logistics, but unfortunately, that’s not correct. SCM and logistics are as different in detail as bread and water, but they can never do without each other.