Logistics Management Information System [LMIS]

Kashyap.Manoj.Menon2
The logistics management
information system (LMIS) is
a system of records and reports –
whether paper-based or electronic –
used to aggregate, analyze, validate
and display data (from all levels of
the logistics system) that can be used
to make logistics decisions and
manage the supply chain. The
logistics is “the process of strategically

Logistics information systems are important for achieving logistics
efficiency and effectiveness. In an enterprise, logistics information system
seeks to achieve the following:
1. It ensures of logistics functional operations into a process pursuing
customer satisfaction at the lowest total cost.
2. Information system facilitates planning and control of the logistical
activities related to order fulfilment.
3. It makes the firm more competitive, by making better tactical and
strategic decision for the benefits of the firm and its customer.
4. Helps provide customers information regarding product availability,
order status, and delivery schedules promoting customers service.
5. It reduces the requirements of inventory and human resources by
enabling requirements planning.
6. It interfaces with marketing, financial, and manufacturing information
systems and provides information to top management to help
formulate strategic decisions for the whole firm.

The following are the Information System under the
Logistics Information System:
 Sales Information System
 Purchase Information System
 Inventory Control
 Shop Floor Information System
 Plant Maintenance Information System
 Quality Management System
 Retail Information System
 Transport Information System

LOGISTICS MANAGEMENT INFORMATION SYSTEM
[LMIS]
PLANNING/ FORECASTING
EARLY WARNING SYSTEM
INVENTORY
INFORMATION
SYSTEM
SHOP FLOOR
INFORMATION
SYSTEM
SALES
INFORMATION
SYSTEM
PURCHASE
INFORMATION
SYSTEM
PLANT
MAINTANENCE
INFORMATION
SYSTEM
QUALITY
MANAGEMENT
INFORMATION
SYSTEM
LOGISTICS INFORMATION LIBRARY
RETAIL
INFORMATION
SYSTEM
TRANSPORTATI
ON
INFORMATION
SYSTEM

The Sales Information System is a flexible
tool which allows you to collect, consolidate,
and utilize data from Sales and Distribution
processing. It can used in different levels in the
decision making process as a control and
planning instrument, enabling you to recognize
market developments and economic trends
early on and to take the appropriate measures.

Some of the important components of sales
information system are as follows:
SIS has four components:
1. Collection of data from internal sources on
continuous basis
2. Collection of data from internal sources on ad-
hoc basis
3. Scanning of environment
4. Marketing research

The Purchasing Information System can
be used at a variety of levels in the decision-
making process as an instrument for
monitoring, controlling and planning your
business operations. It is a flexible tool for
collecting, aggregating and analyzing data
from Purchasing. The information system
allows you to view all information in the
operative application from a wide range of
perspectives. The Purchasing Information
System contains informative key figures
which help you to detect and appraise
changes and trends at an early stage.

The following are features of Purchase Information
System:
1. It determine the quality and quantity needed and the time
is needed.
2. It manifests the best possible price.
3. It maintains information on sources of supply.
This system includes the Economic Order Quality [EOQ],
Optimal Reorder Point [ORP], Quantity Discount [QD]
, and Material Requirement Planning [MRP].

The Inventory Control System is a system the
encompasses all aspects of managing a
company's Inventories; purchasing, shipping,
receiving, tracking, warehousing and storage,
turnover, and reordering.
It keeps control of the stock so that we are able
to hold the least amount of inventory in your
warehouses which makes easier for
organization, lower holding costs, better cash
flow, and more space within the warehouses.
When it comes to inventory control procedures,
less is definitely more.

The Inventory Management can take a variety forms, and
choosing a method is critical to optimized storage practices.
Depending on the size of the business, one or more of these
methods can help get you the right track.
The main 4 methods are as follow:
1. The Periodic Method: Data is send to the inventory system
periodically.
2. The Perpetual Method: Data is constantly send to the
inventory system.
3. Barcode System: Mobile scanners and barcodes help
efficiently find and move stock.
4. RFID Tagging System: more expensive but actively scan
without input from employees.

The Quality Management System is a collection of business
processes focused on consistently meeting customer requirements
and enhancing their satisfaction. It is aligned with an organization's
purpose and strategic direction.
Benefits of QMIS are as follows:
1. Defining, improving, and controlling processes
2. Reducing waste
3. Preventing mistakes
4. Lowering costs
5. Facilitating and identifying training opportunities
6. Engaging staff
7. Setting organization-wide direction
8. Communicating a readiness to produce consistent results

QUALITY STANDARDS
RELATIONSHI
P
MANAGEMEN
T
EVIDENCE
BASED
DECISION
MAKING
LEADERSHIP
ENGAGEMEN
T OF PEOPLE
IMPROVEMEN
T
PROCESS
APPROACH

The Transportation Management System is a
platform that's designed to streamline the shipping
process. A typical scenario of the application of
automated Transportation System include
procurement and shipping orders to be evaluated
by the planning module offering the various the
user various suggested routing solutions.

COMPONENTS OF TRANSPORTAION
INFORMATION SYSTEM

The main structural components of Transport
Networks are:
1.Node
2.Link
3.Flow
4.Gateway
5.Hub
6.Feeder
7.Corridor

Plant Maintenance Information
System. Information System in logistics is used
as tool for monitoring, controlling & planning the
business processes. Many modules have
different Information Structures and LIS reports
for example Material Management, Sales and
Distribution, Plant Maintenance, Production etc.

The following functions of Plant Maintenance key
figures are as follow −
1.Damage Analysis
2.Object Statistics
3.Breakdown Analysis
4.Cost Analysis
5.Customer Notifications
6.Vehicle Consumption Analysis

Retail management information
systems (RMIS) collect and
organize information needed by retail
managers and company decision-
makers to better stock, staff and guide
the business to financial success. Often,
RMIS rely on computer programs that
track inventory and dictate what is
ordered.

1.Transaction Processing System:
A Transaction Processing System is a set of information which
processes the data transaction in database system that
monitors transaction programs. The system is useful when
something is sold over the internet. It allows for a time delay
between when an item is being sold to when it is actually sold.
2. Management Information System:
A management information system is an information system used
for decision-making, and for the coordination, control, analysis, and
visualization of information in an organization. The study of the
management information systems involves people, processes and
technology in an organizational context.

3. Decision Support System:
A decision support system (DSS) is a computerized program
used to support determinations, judgments, and courses of
action in an organization or a business. A DSS sifts through
and analyzes massive amounts of data, compiling
comprehensive information that can be used to solve
problems and in decision-making.
4. Executive Information System:
An executive information system (EIS), also known as
an Executive support system (ESS), is a type of
management support system that facilitates and supports
senior executive information and decision-making needs. It
provides easy access to internal and external information
relevant to organizational goals.

The Business dictionary defines shop floor as – “The area in
a manufacturing facility where assembly or production is
carried out, either by an automated system or by workers or
a combination of both. The shop floor may include
equipment, inventory and storage areas.”
Shop floor is the place where design specifications are
referred, machinery and manufacturing equipment are
employed for production, parts are assembled or some raw
material is processed. The shop floor is responsible to
produce an intermediate or a final product.

The Shop Floor Information System (SFIS) links activities on
the manufacturing shop floor to manufacturing control
systems. This is done by capturing data about the
manufacturing shop and communicating it to appropriate
control systems. Since the SFIS operates both as a
computer data link to manufacturing control systems and as
the data capture link to shop floor personnel, the SFIS
design incorporates two data structures, one for efficient use
of computer resources and one for efficient and effective use
of shop floor personnel. SFIS technology and implementation
issues are also addressed with respect to the impact they
have on the degree of success of any SFIS.

Forecasting is an attempt to determine in advance the most likely
outcome of an uncertain variable. Planning and controlling logistics
systems need predictions for the level of future economic activities
because of the time lag in matching supply to demand. Logistics
requirements to be predicted include customer demand, raw material
prices, labour costs and lead times. Qualitative methods are mainly
based on expert judgement or on experimental approaches, although
they can also make use of simple mathematical tools to combine
different forecasts. This chapter describes the main forecasting
method when the demand pattern displays a constant or linear trend
and a seasonal variation with periodicity M. It outlines some
advanced forecasting techniques.

An early warning system can be implemented as
a chain of information communication systems and
comprises sensors, event detection and decision
subsystems. They work together to forecast and signal
disturbances that adversely affect the stability of the physical
world, providing time for the response system to prepare for
the adverse event and to minimize its impact.
EWS Observer Controller Model and the Subsystem
To be effective, early warning systems need to actively
involve the communities at risk, facilitate public education
and awareness of risks, effectively disseminate alerts, and
warnings and ensure there is constant state of
preparedness. A complete and effective early warning
system supports four main functions: risk analysis,
monitoring and warning; dissemination and communication;
and a response capability.

Logistics information systems are a subset of the firm's
total information system, and it is directed to the particular
problems of logistics decision making. There are three distinct
elements that make up this system: the input. the database and
its associated manipulations.
There are three distinct elements that make up this system:
1. The input
2. The database and its associated manipulations
3. The output

Logistics: The Inputs
The inputs are data items needed for planning and operating
logistics system obtained from sources like customers, company
records, and published data and company personnel.
Logistics: The Database and Its Associated
Manipulations
Management of the database involves selection of the data to be
stored and retrieved, choice of the methods of analysis and choice
of the basic data-processing procedures.
Logistics: The Outputs
The outputs of a logistics information system include:
1. summary reports of cost or performance statistics,
2. status reports of inventories or order progress,
3. exception reports that compare desired performance with actual
performance,
4. reports that initiate action.
Output can also be in the form of documents such as
transportation bills of lading and freight bills.

Logistics Management Information System [LMIS]

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