Understanding Logistics

A popular commercial for Big Brown likes to call themselves the logistics company. I think it is nice to introduce that concept to America, but I don’t think the average person understands what logistics means and how important it is to most companies. Unless you have worked in shipping and receiving or in a manufacturing business, you are not normally exposed to logistics.

When I worked at the computer company, I was eventually assigned to work in the Logistics division. My boss was a Director and eventually a Vice President of the company, and had worked in logistics when he was in the military. So his idea of running the division was based on military standards, which was fine. Those methods were proven to work for the military and it was not that hard to adapt it to private enterprise.

The Logistics Division was divided into several different departments, including shipping and receiving, the repair depot, and my Distribution Department. Together, we supported the Manufacturing Division with items going in and coming back, and we were pretty much the Black Sheep of the company, because we did not make money for the company – we cost them money. So it was very hard to justify any raises or bonuses for our staff. We were considered an expense and if we did our jobs right we cost the company money, but if we didn’t do our jobs right we cost the company even more money. So it was a lose – lose situation and the stress was incredible.

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