LOG301CAMOD1

Running Head: BUSINESS AND MARKETING Anticipatory Logistics Name: Institution: Course: Tutor: Date: Anticipatory Logistics Introduction Lenzini (2002) work on the army logistics defines anticipatory logistics as the use of information systems, technologies and set procedure in predicting customer requirements and provision of appropriate sustainment. It has been used in the military on experimental basis as a solution to the increasing demand for an efficient and effective supply chain management of the army petroleum product like oil and lubricants to the combat areas. The concept which helps in prediction of trends in the product requirements in the army has a design has several aspects that are closely related to the corporate business world. On the other hand, it has limitations that could make it unfit in the corporate world. Consequently, questions arise on its viability to supply chain management in the corporate world and the challenges that are likely to be encountered in its implementation. This paper establishes whether or not the anticipatory logistics is applicable in the corporate world by evaluating its aspects that make it fit or unfit in this environment. Anticipatory logistics and supply chain management The applicability of anticipatory logistics is largely dependent on the fact that both the army and corporate business world use Supply Chain Management (SCM) as a tool to manage the storage and movement of their raw materials, the processes and the finished products from the origin to the consumption point (Chakravarty, 2001). As Edwards (2000) explains, SCM in the corporate world involves the production, procurement and delivery of goods and services to the customers. Its scope includes the suppliers, sub suppliers, retail customers, wholesale customers, international operations and end users. The scope in the army is not as expound as in the corporate world but it involves the production, procurement and delivery of the goods and services as present in the corporate world. These similarities in operation mean that the concept can also fit in the corporate world if the army set up is used as a pilot project. The supply chain management in the corporate world and in the army application has seven similar components namely the suppliers, procurement, manufacturing, order management, transportation, warehousing and customers (Michman and Mazze, 2001). Some of the components in the military may be harder to implement than in the corporate world due to regulations, urgency and security issues which may be less significant in the corporate business world. Given that the anticipatory concept works in such conditions, then it is likely to perform better in the corporate world. The military and the corporate world have similar needs that are oppose one another. In the army, they need to enhance the military operations by ensuring faster response but at a lower cost (Lenzini, 2002). This is similar to the corporate world where the businesses seek to satisfy the requirements of the customers but at the same time keeping the costs low. These needs are not constant but keep changing. In the military the demand for supplies in ...