Logistics Management vs. Supply Chain Management: The difference

There seems to be some confusion about the meaning of Supply Chain Management and Logistics Management. Some people use both terms interchangeably to refer to the same activity, while others know there is a difference, but can’t quite explain it. There are many definitions for both terms, depending on which source you listen to. In North America, Logistics is often associated with transportation or distribution only. In Europe, Logistics involves the entire supply chain. For those who look for clarification on this topic, here is one explanation of the difference between the two terms that we at Logistics Advice stand behind. Logistics Management is the management of the flow of goods, information and other resources, including energy and people, between the point of origin and the point of consumption in order to meet the requirements of consumers at the lowest cost possible. Supply chain management involves coordinating and integrating Logistics Management (as described above) within and among companies. Our view on these definitions is that Logistics Management involves the entire supply chain (from point of origin to point of consumption) but is often practiced at a local level (within an individual company) where Supply Chain Management specifically focuses on optimizing the flow of goods throughout the entire chain (within and among companies). http://www.tripleclicks.com/15338663