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Implications of Cost-Service Trade-offs on Industry Logistics Structures

Author

Listed:
  • Donald B. Rosenfield

    (Arthur D. Little, Incorporated, 25 Acorn Park, Cambridge, Massachusetts 02140, and Sloan School of Management, MIT Cambridge, Massachusetts 02139)

  • Roy D. Shapiro

    (Graduate School of Business Administration, Harvard University, Boston, Massachusetts 02163)

  • Roger E. Bohn

    (Graduate School of Business Administration, Harvard University, Boston, Massachusetts 02163)

Abstract

The characteristics of the technology and markets within an industry will affect the range of logistics systems observed in that industry. In some industries the range is wide, while in others all firms make the same logistics choices. This paper explores these differences. We propose the concept of an efficient frontier of cost-service choices and show how firms align themselves along the frontier.

Suggested Citation

  • Donald B. Rosenfield & Roy D. Shapiro & Roger E. Bohn, 1985. "Implications of Cost-Service Trade-offs on Industry Logistics Structures," Interfaces, INFORMS, vol. 15(6), pages 47-59, December.
    • Handle: RePEc:inm:orinte:v:15:y:1985:i:6:p:47-59
    DOI: 10.1287/inte.15.6.47
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    Cited by:

    1. Uday Venkatadri & Shentao Wang & Ashok Srinivasan, 2021. "A Model for Demand Planning in Supply Chains with Congestion Effects," Logistics, MDPI, vol. 5(1), pages 1-24, January.

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    Keywords

    manufacturing strategy;

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