Logistic Management Strategies Employed by Humanitarian Aid

Discuss about the Contingent Value of Dynamic Capabilities Method.

Logistic management is one of the subjects looked down upon by many business scholars and researchers. It should, however, be appreciated that this is one of the most important subjects that should be given priority and fresh mind exploration because it is a critical component in any organization. At its best, logistics management can be defined as a component of the supply chain management that is responsible for planning, controlling and implementing the efficient, effective forward, as well as flow and the storage of goods, services and other related information between the origin point and the point of consumption to be in a position to meet the requirements of customers.

This paper will select a case study to analyze its logistics management. To satisfactorily analyze the logistic management of the company chosen, this study will involve preparation of a report based on the identification of logic management strategies employed by the company to ensure that it maneuvers up well.This paper will also look at how the selected company can maintain its competitive advantage and whether the logistic management strategies embraced by the company could be used by other companies for success. This report will also discuss the concept of sustainability and its relevance to the company featured in the case study. Lastly, the report will conclude and give recommendations depending on the findings of the research conducted therein.

For the purpose of this paper, Humanitarian Aid will be used as the case study company. This paper will explore into details the role played by this company as well as its logistics management strategies that have placed it in the better place that it is today. This company ensures that there is efficient, effective and cost-effective movement and storage of goods and other commodities with the aim of ameliorating the pain and suffering of the vulnerable people and Groups (Crane, 2015).This Company begun in 2004 during the time of Indian Tsunami relief effort. Now, Humanitarian Aid logistics means the process of planning, controlling and implementing cost-effective flow and the storage of goods and other commodities and other related information from the origin to the consumption point with the aim of alleviating the suffering of the helpless. This process involves preparedness, procurement, planning, warehousing, and transport, tracing and tracking as well as custom clearance.

Any given company, whether big or small, would succeed in its operations based on the logistic management strategies that it puts into place. Logistic management strategies determine whether or not a particular company will be successful in its operations (Narasalagi, 2015). For the case of Humanitarian Aid, this company has laid out and implemented excellent and functional logistic management strategies that have led to its success. Indisputably, the position that Humanitarian Aid holds today is because of the workable logistic management strategies that it has put in place. On the same note, the success it is enjoying today is as a result of proper logistic planning and implementation. The logistic strategies that the company has put in place to succeed are as discussed below:

Transparency and Accountability

Firstly, the company is more results-oriented and transparent in its operation. Transparency and accountability are one of the challenges affecting modern-day companies and corporations. Lack of transparency and accountability in the supply chain has put several companies in a particular state of imbroglio with nothing to do to be in a position to recover from that menace.

Since Humanitarian Aid is a company that deals with the provision of vital materials and commodities to disaster-stricken people, it has to prove to donors pledging millions in aid and goods that they are reaching to those in need.This company is much scrutinized to track the impact of the aid they deliver, not only regarding input and output but also the whole operation. Contrary to this company, Nintendo is a company located in Japan whose activities are not transparent. It is a company whose supply chain is not resulting oriented, and thus the company has failed terribly to the point of getting closure threats.

The company has also used partnership as one of the logistic strategies for its success. This company understands that joining hands with relevant units and bodies will ease the logistic plans. For instance, this company partners with the local government, the United Nations International Humanitarian organizations and military forces to be able to bridge the relief resource and capability gap (Bloemhof, 2015). Evidently, the joint partnership is one of the few ways that organizations use to succeed in their supply chain. Were it not for partnership with the above-mentioned bodies, Humanitarian aid could fond it difficult to cope up with bridging challenges. The partnership has enabled this company to have a quick response to disasters and emergencies.

Malaysia Airport Holdings Berhad, the leading aviation company in Malaysia, uses the same strategy for its success. It believes in partnership with other companies and corporations for the betterment of its operations. Undoubtedly, the partnership has fostered company’s success and growth in many parts of the world.

Establishment and management of an emergency supply chain is yet another logistic management strategy that this company has employed for its success (Liao, 2014).This case happens in places where sophisticated logistics are trying to establish such as in Nepal and Haiti where some extent of coordination between the government and nongovernmental organizations is required (Oliveira, 2014).This move ensures that the logicians can procure, transport and receive effectively for speedy delivery in the event of occurrence of a disaster. This step has ensured that unpredictable disasters such as natural disasters are dealt with effectively when they occur.

Partnership

The company has also employed the strategy of coordination and prioritization of the movement of the required relief items to the place of occurrence of the disaster. This strategy was put forward based on the fact that relief items differ regarofding their urgency (Ong, 2016).This means that medicines, food volumes required, clothing, kitchen kits and vaccines among other items have a varying degree of sustainability which needs a specific input (Waas, 2015).  The setting of priority on which material to transport first depending on their urgency has brought about effectiveness in this company. Many other companies like the Japanese Nintendo have failed due to lack of prioritization to be able to determine which commodity need to go first and the order in which they should be supplied.

Humanitarian Aid has also determined the best packaging for materials to be delivered to disaster-stricken places. This move is often one of the strategies ignored or forgotten by many suppliers even though it is critical. This strategy has ensured that the material transported to the disaster places arrive safely (Schilke, 2017). This strategy was put into place because different materials such as grains, blood, pharmaceuticals among other materials are transported where each material needs its specifications regarding packaging

Proper choice of the unit of carriage depending on the prevailing conditions is another logistic strategy employed by Humanitarian Aid (Schönsleben, 2017). The quality of the infrastructure in the host country, its topography and political situation usually affect the selection of units of carriage with the sole aim of timely delivery of materials to the point of consumption (Selviaridis, 2016). Other barriers, in this case, include inadequate housing, transportation, shelter and communication difficulties. In this case, humanitarian managers consider delivery options such as trucks, ships, aircraft or rail. As opposed to Humanitarian Aid, Nintendo Company does not consider delivery alternatives in areas with poor infrastructure or political instability hence the failure.

It is an undisputable fact that competition is one of the challenges faced by all the business units all over the world, whether small or big. Based on this fact, it becomes imperative therefore to develop ways of gaining and maintaining competitive advantages (Bing, 2014). Now that Humanitarian Aid has won several competitive benefits, there are several ways that it can keep and manage them as discussed below:

1. Collaboration with the customers. Even though Humanitarian Aid is not a profit based company, collaboration with its customer is a good idea as far as competitive advantage maintenance is concerned(Burgin, 2016). This company can do this via social media platforms like Facebook, blogs, Twitter among others. They can take advantage of free social media advertising to reach out to their clients and get direct feedback from them that will ease self-evaluation. In this case, they should invite customers to be part of their planning. The company also need to develop a collaborative culture with the employees contributing.
2. Offering understanding and insight. Commuting with customers through ways such as phone calls, emails among others is another move towards competitive advantage management well-conducted surveys will give idea for the company. Again, the company ought to train its stakeholders on the dos and don’ts put forward to achieve the competitive advantages(Zijp, 2017). All the staff ought to be taught how to conduct themselves and to operate to be in a position to manage the hard acquired competitive advantages.
3. Sharing the company story. Modern-day clients associate themselves with the brands they know and trust. Humanitarian Aid ought to share its story with the public and leave them with the obligation of making decisions on their own (Saenz, 2015). Sharing real and not necessarily an inspiring story about the company serves a significant role in competitive advantage management.
4. Being customer generic. This company ought to put itself in the place of its clients to see how they feel depending on how they are treated by the company. This step can often be done by stepping through the customer touch points and consciously thinking about them. The company needs to look at its website, flyers, and staff among others in the customer’s point of view and make an informed decision on whether or not to make changes.
5. Exploring new ideas. The company ought to create a culture where its stakeholders try and experiment new ideas in the effort to become the best.
6. Loving its employees. Since employees are the soul of any business, the company should ensure that they are loved and kept happy. Clients will always feel if they encounter a positive or a negative environment.

Most of the logistics management strategies that have led to the success of Humanitarian Aid are universal and can be actively applied in any other company to bring about the same effects (Mowforth, 2015). The fact that different companies deal with various commodities and clients does not validate the argument that each organization has its logistic strategies. For instance, an organization that has the component of the supply chain would find these strategies relevant (Baker, 2014). Every organization, usually, has target customers for who the commodities are intended. The movement of these commodities from the origin point to the consumer point would involve logistic management thus making these strategies applicable.

Emergency Supply Chain Management

Regardless of the company or organization, the logistics management works the same thereby demanding incorporation of similar strategies (Childers, 2017). For instance, collaboration, partnership, determination of the most suitable packaging, exploration of alternative means of delivery if the ordinary methods fail, among other strategies can be employed by any logistic management company to ensure fast, efficient and cost-effective delivery of commodities, material, and any additional information.

Sustainability is a broad concept that deals with politics, economics, philosophy as well as other hard and social sciences. In simple terms, it is the ability of an organization to continue with a defined behavior indefinitely.

Sustainability tackles aspects such as renewable fuel sources, protection of the environment, reduction of emission of carbon (IV) oxide and other harmful gases to the atmosphere as well as devising a way of keeping the planet’s ecosystems in balance (Ahmad, 2017). In few words, sustainability aims at protecting the natural environment, the ecological health for human beings while at the same time bringing about innovation but not compromising people’s way of life (Munguia, 2018). It acknowledges that the civilization of human beings requires resources to sustain their modern way of life. Sustainability takes into account the likelihood of human beings living in harmony with the natural environment while protecting it from destruction and damage.

In the modern day, human beings consume a lot of natural resources on a daily basis ranging from power, water, minerals among others. Sustainably focuses on balancing the line between our zeal to move forward economically and technology as well as the urge to protect the natural environment we live. Sustainability does not solely deal with the environment but also deals with the health of human beings in the society (Wood, 2016). It ensures that no people are suffering as a result of environmental legislation. It also examines the long-term actions of human beings and determines how they can be improved.

There are three pillars of sustainability as discussed below:

1. Economic development.This pillar deals with businesses, jobs, and employability. It also deals with the provision of incentives to businesses and other organizations to be able to adhere to sustainability guidelines that are beyond their usual requirements of the legislation. In general, economic development is giving people what they want without compromising the quality of life.
2. Social Development.This pillar deals with the creation of awareness and protection of people pollution hazards and other harmful activities undertaken by business organizations.
3. Environmental protection. This pillar involves all the activities that are meant to protect the environment. These activities include and are not limited to recycling, switching off unused lights, and reduced the emission of harmful gases to the atmosphere among others.

The goals of sustainability are:

1. Achieving gender equality
2. End of poverty and hunger
3. Better education and healthcare standards
4. Sustainable economic growth
5. Control of environmental pollution among others

As discussed earlier in this report, Humanitarian Aid provides help to disaster-stricken places. This move helps achieve most of the sustainable goals. For instance, it ensures that victims of disaster recovery and continue with their daily a actions as before thereby reducing hunger and poverty. In general, the function played by Humanitarian aid and the goals of sustainability are interwoven and inseparable. Both foster for reduced human suffering, economic wellbeing as well as environmental conservation and therefore they are inseparable.

Coordination and Prioritization

Conclusion

Logistic management is one of the most critical components of supply management chain that determines the success of any business organizations. From the above discussions, it has been evident that the organizations using the most suitable and relevant strategies succeed as opposed to those that use non-functional and poor strategy. Something that must be appreciated is that the strategies employed serve as competitive advantages for companies and corporations. It also should be understood that logistic management strategies are universal and can be applied to any organization.

Having discussed all findings and come to a conclusion, I would recommend the logistic management strategies employed by Humanitarian Aid to any other company. These strategies are valid, universal and functional and therefore embracing them would lead to success.

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