Order Consolidation
Introduction
Logistics (from the medieval Latin logisticus, and this from the Greek. λογιστικός, logistikós)* is the set of means and methods necessary to carry out the organization of a company, or a service "Service (economy)"), especially distribution "Distribution (business)").[1].
Logistics is responsible for coordinating transportation, the strategic vision of the supply chain, the management of production and distribution processes, as well as tasks related to purchasing in companies. In the business field there are multiple definitions of the term logistics, which has evolved from military logistics to the contemporary concept (which understands it as the art and technique of organizing the flows of goods, energy and information).[2][3] Logistics is fundamental for commerce. Logistics activities make up a system that is the link between production "Production (Economy)") and markets that are separated by time and distance.[4] Business logistics, through logistics and supply chain management, covers the management and planning of activities of the purchasing, production, transportation, storage, maintenance and distribution departments.
Origin of logistics: background and military logistics
Since the origin of civilization, the products that people want are not produced where they want to be consumed or are not available when they are wanted to be consumed. At that time, food and other products existed in abundance only at certain times of the year. At first, humanity had to choose whether to consume products where they were found or transport them to a certain location and store them there for later use. Since there was no developed transportation and storage system, the movement of products was limited to what one person could carry, and storage of perishable products was possible only for a short period. This transportation and storage system forced people to live near production sites and consume a fairly small range of products or services.[5].
When logistics systems began to improve, consumption and production began to separate geographically. The different areas specialized in what they could produce most efficiently. Thus, excess production could be profitably shipped to other regions and products that were not manufactured in the area could be imported.[5].