Logistics System A logistics system consists of different functions and activities,such as the following: 1.Customer service is a core function in the logistics process.Each business entity should have a customer service department to handle complaints,special orders,loss and damage claims,returns,bills problem,and etc．This function becomes crucial because any dissatisfaction can lead to failure to retain customers. 2.Inventory management is to maintain the stock of raw materials and half-finished products.In order to satisfy the customers＇demand and minimize costs,a company should establish an optimal level of inventory to meet the market demand that exceeds our expecta-tions,and at the same time,minimize your inventory holding costs and inventory write-down costs. 3.Transportation has taken a great role in many logistics systems for two reasons.First of all,globalization and importing-exporting activities make most products necessary to be transferred from one country to another.Secondly,information revolution has propelled the manufacturing process and consumer behaviors to be changed drastically.Traditional trans-portation methods need to be upgraded to accommodate modern transportation demand,therefore,containerization and usage of information sharing system emerge. 4.Storage is needed to manage the materials and store ready-for-market products in warehouses.There is new technology applied in the storage,for example,automatic ware-house.Old-fashioned warehouse has become the distribution center where container trucks deliver and pick up the goods. 5.Information system links all logistics processes and integrates all information to en-sure all the handling of large quantity of goods are delivered in an efficient,cost-effective and accurate manner. Questions:

Logistics System A logistics system consists of different functions and activities,such as the following: 1.Customer service is a core function in the logistics process.Each business entity should have a customer service department to handle complaints,special orders,loss and damage claims,returns,bills problem,and etc．This function becomes crucial because any dissatisfaction can lead to failure to retain customers. 2.Inventory management is to maintain the stock of raw materials and half-finished products.In order to satisfy the customers＇demand and minimize costs,a company should establish an optimal level of inventory to meet the market demand that exceeds our expecta-tions,and at the same time,minimize your inventory holding costs and inventory write-down costs. 3.Transportation has taken a great role in many logistics systems for two reasons.First of all,globalization and importing-exporting activities make most products necessary to be transferred from one country to another.Secondly,information revolution has propelled the manufacturing process and consumer behaviors to be changed drastically.Traditional trans-portation methods need to be upgraded to accommodate modern transportation demand,therefore,containerization and usage of information sharing system emerge. 4.Storage is needed to manage the materials and store ready-for-market products in warehouses.There is new technology applied in the storage,for example,automatic ware-house.Old-fashioned warehouse has become the distribution center where container trucks deliver and pick up the goods. 5.Information system links all logistics processes and integrates all information to en-sure all the handling of large quantity of goods are delivered in an efficient,cost-effective and accurate manner. Questions:

—Does modern logistics mean transportation and delivery?

—                      . Modern logistics is more about effective and efficient flow of materials and information.

What are the main differences between traditional and modern logistics? （）

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