SOLE - The International Society of Logistics - Global Logistics For Dummies

Global Logistics For Dummies

Published by: John Wiley & Sons, Ltd., The Atrium, Southern Gate, Chichester,www.wiley.com

This edition first published 2017

2017 by John Wiley & Sons, Ltd., Chichester, West Sussex

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Library of Congress Control Number: 2017952101

ISBN 978-1-119-21215-7 (pbk); ISBN 978-1-119-21216-4 (ebk); ISBN 978-1-118-98765-2 (ebk); ISBN 978-1-119-21219-5 (ebk)

1. Table of Contents

There are many good reasons to consider expanding your successful domestic business into a new foreign location. There may be a new market in which to sell or distribute your product. There may be manufacturing cost savings by locating closer to either new consumers or to your products raw materials and components. Or, you may have determined that you can achieve labor cost savings in order to meet the expanding demand for your product. However, in spite of all the economic advantages you may have perceived, be aware that the physical and cultural challenges of your new location may far outweigh any potential cost savings. In this book, we will assist you in identifying and, hopefully, avoiding these challenges.

The book has four major focuses: the logistics involved in establishing and sustaining a global manufacturing operation () we highlight ten companies that have been successful in their global expansion; examine ten companies that made significant missteps in their global expansion (although some of those companies adjusted their approach and are very successful today); and provide ten suggestions for resources you may consider when conducting your due diligence to make your ultimate decision to go global.

We also use the following conventions throughout the book to make the world of global logistics even easier for you to venture into:

• New terms appear in italics and are closely followed by an easy-to-understand definition. In a few instances, italics are also used for emphasis.
• Bold text highlights the action parts of numbered steps.
• Web addresses appear in monofont . (Some URLs may have broken across multiple lines as we laid out this book, but rest assured we havent added any spaces or hyphens. Just type in the address as you see it.)

Because the world of global logistics can be daunting, this book is based on the premise that you already are part of a business or organization that has a solid logistics foundation; one that is considering expanding its domestic logistics operations whether manufacturing, selling product, or providing some form of logistics services into a new and foreign market.

While the basic language of logistics may be familiar to you, the world of humanitarian and disaster relief (H&DR) may be totally foreign. There are an almost overwhelming number of governmental and non-governmental agencies that become involved in a natural or man-made disaster. Because we didnt want your introduction to H&DR logistics to thoroughly discourage you from participating in disaster relief efforts, we limited our focus to discussing just the major elements and agencies of the United Nations (UN). We apologize in advance for the detail of the discussion, but hope that youll see value in becoming part of relief initiatives in spite of the UNs organizational complexity.

Finally, we understand that your understanding of logistics may be more limited than that of the authors. When SOLE The International Society of Logistics (SOLE) talks logistics, it speaks to the entire enterprise that is logistics, and not just a single aspect (such as supply chain management). Accordingly, in we introduce you to what we mean when we speak of whole enterprise logistics.

As you may expect, this icon highlights important points you wont want to forget.

This icon clues you in to some tips that can help you along the way and potentially make your life a little easier.

When you see this icon, read carefully. It marks potential pitfalls and helps you steer clear of frustrating and time-consuming mistakes.

In addition to all the great information provided within this book, you can also find a handy online Cheat Sheet that provides both an overview and summary of the hurdles in mastering the logistics of global manufacturing, marketing, and distributing your products; providing logistics services to foreign customers; and an introduction to the logistics of providing global humanitarian and disaster relief. To get this Cheat Sheet, simply go to