The Use of Computers in Physical Distribution Management

Abstract

Why is it important to use computers in physical distribution management (PDM)? The reason is simple. PDM covers almost all of the activities concerned with distributing a product. Some authorities claim that logically the functions of procurement‐and manufacturing should also be considered as part of the overall process of making goods available to customers at the right place, at the right time, and in the right quantity. These activities and functions are inherently complex, involving many stock‐keeping items (SKIs) different in size, colour and other product characteristics. In addition to multiple items, there are multiple options for producing and distributing these items. Think of the many combinations of plant locations, distribution centre locations, choices of transportation modes, inventory levels, and channels of distribution that the physical distribution manager must consider. Imagine having to compare the many possible alternatives by hand calculations, and you can get some feel for the necessity of using modern computers for planning, operating, and controlling physical distribution.

Citation

Herron, D.P. (1980), "The Use of Computers in Physical Distribution Management", International Journal of Physical Distribution & Materials Management, Vol. 10 No. 8, pp. 479-506. https://doi.org/10.1108/eb014481