7. The physical network: logistics
The final phase of manufacturing is delivering the product to the customer safely and on schedule. The logistics network serves as the critical bridge connecting the factory floor to the global market.
This chapter defines the standard operating procedures for both inbound and outbound logistics. Key topics include managing freight forwarders, navigating customs clearance processes for international shipments, and optimizing payload densities to minimize transit damage while ensuring efficient delivery.
- 7.1 Incoterms & liability
Incoterms are more than just shipping instructions; they establish the fundamental framework for financial liability. They define the precise point where risk, cost, and legal responsibility transfer...
- 7.2 Import/export compliance
Customs authorities act as the ultimate physical gatekeepers in the international supply chain. They function independently of your production schedules or engineering urgencies. If shipping documenta...
- 7.3 Reverse logistics & RMA
Reverse logistics should be handled as an investigative process. A failed component indicates a potential issue with the manufacturing process or the material itself. Returning loose, poorly documente...
- 7.4 Freight booking, consolidation & exception handling
Freight costs can significantly impact the final landed margin of electronic components. Negotiated material savings can be offset if logistics teams book express couriers for heavy pallets without a...