The definition of logistics that will be discussed by the author below has a broader understanding than just distribution, wherein it also takes place in storage work, inventory management and delivery arrangements or the movement of goods.
If we explore more deeply, the term Logistics comes from Greek, which consists of two syllables, namely logic, which means rational, reasonable and can be accounted for and the second syllable is thicos, meaning thinking. If the meaning of the two syllables is strung together, it has the meaning of rational thinking and can be accounted for.
Logistics has many designations, but their meaning still has similarities, such as business logistics, channel management, warehouse & distribution, industrial logistics, logistical management, material management, physical distribution, quick response systems, supply chain management, and supply management. (Lambert, 1998)
Another more structured definition is proposed by Bowersox (1978), namely: “The process of strategically managing the movement and storage of suppliers of materials, parts and finished inventory, between enterprise facilities, and to customers”
Since logistics will always involve suppliers, manufacturers, distribution and customers, the logistics mission must be able to carry out the delivery of goods and services needed by customers efficiently, while the logistics mission in question is: (Ballou, 1992)
“The mission of the right of goods, or services to the right place, at the right time, and in the desired condition, while making the greatest contribution to the firm”
In general, logistic activities consist of 2 (two) activities, namely movement (move) and storage activities (store), so that if both of these activities are planned and controlled strictly, then the overall logistics system problems will be resolved properly.
The two main activities are broken down into several activities, namely order processing, transportation, inventory, goods handling, structure of information and communication facilities and systems. The seven activities are also referred to as the logistics activity mix where all of these activities cannot be avoided in a supply chain system.
In this distribution system there are many factors that influence the success or failure, as for the intended factors, namely (1) whether transportation facilities and infrastructure are adequate, in order to send goods to the destination in a timely manner (transportation) (2) must be in accordance with the DO (Delivery Order) issued by the Sales Department (3) Are the distribution centers (Warehouses) along with supporting facilities ready, so that the goods arrive at the Dealer are not constrained (facility structutre), (4) what is the handling system the goods are adequate, so that there is no damage and loss in distribution (material handling), (5) whether the information and communication system owned / used is in accordance with the needs (communication & information).
In various activities of profit or non-profit oriented organizations, the process of logistics activities is a necessity that cannot be avoided, because there will always be a process of movement and storage (move and store activity). Moreover, activities that are of national level and receive international attention, logistics must absolutely get serious attention