In brief
A logistics concept describes how material and information flow from suppliers through warehouses and production to customers. It integrates network, sites, processes, technology, organisation, IT and economics into a consistent target system with a clear implementation roadmap.
Seven components of a logistics concept
- Network: Suppliers, plants, warehouses and customers.
- Sites: Capacities, roles and supply regions.
- Processes: Procurement, storage, supply, distribution and returns.
- Technology: Storage, transport, line-side supply and automation.
- Organisation: Roles, shifts, responsibilities and escalation.
- IT: Master data, planning, control, feedback and interfaces.
- Economics: Investment, operation, labour, space and risk.
From current-state analysis to target concept
The current-state analysis clarifies system boundaries, volumes, service promises and weaknesses. Objectives and scenarios are then defined. Process and technology variants are developed iteratively rather than separately. A preferred variant is selected only when performance, space, organisation and economics are plausible together.
Five common mistakes
- Selecting technology before process and requirements
- Underestimating interfaces between production, warehouse, procurement and IT
- Planning with averages only instead of peaks and seasonality
- Stating growth without translating it into space and capacity
- Creating a target concept without planning migration and operational transition
Sample table of contents
- Initial situation, target state and system boundary
- Volume model and scenarios
- Current processes and weaknesses
- Target processes and material flow
- Technology and layout variants
- Organisation, workforce and IT
- Economics and risks
- Preferred variant and implementation roadmap
Make decisions traceable
Every important definition should document objective, assumption, variant and decision. A simple evaluation matrix separates mandatory criteria from weighted objectives. Sensitivity analyses show whether the preferred variant remains stable under a second volume scenario.
Learn more about our logistics concept, material flow analysis and warehouse planning in six steps.