Differences between Supply chain management and Logistics management.

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  1. Supply chain management is a broader concept whereas Logistics management is a narrower concept.
  2. The concept of Supply chain management is relatively new whereas the concept of Logistics management is relatively old.
  3. Supply chain management is an extension of Logistics management.
  4. Logistics management is primarily concerned with optimizing flows within the organization whilst supply chain management recognizes that internal integration by itself is not sufficient.
  5. Logistics is essentially a planning orientation and framework that seeks to create a single plan for the flow of product and information through a business. Supply chain management builds upon this framework and seeks to achieve linkage and co-ordination between processes of the other entities in the pipeline, i.e. suppliers and customers, and the organization itself.
  6. The focus of Supply chain management is upon the management of relationships in order to achieve a more profitable outcome for all parties in the chain where as the focus of Logistics management is upon the management of resources within the organization.
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