Logistics management has now become one of the key business areas for companies operating in the food industry to compete, be successful and thrive in nowadays’ business environment, characterized by increasing pressure on customer service levels, quality and operating cost compressions. The current turbulence and volatility of the competitive scenario increase the managerial complexity for businesses. Hence, it is essential that the future managers and professionals are equipped with a solid foundation of the discipline and with cutting edge practical knowledge of logistics and distribution processes and activities. They require knowledge and experience of the key tools of analysis, modelling and measurement for making better and informed decisions to achieve the objectives of efficiency and effectiveness within the food sector.

The aims of this module are:

1. to provide students with advanced knowledge of the principles, practices and tools for designing, analyzing and managing logistics and distribution processes, with particular reference to the food industry;
2. to explore the integrative role of Logistics within food organizations and the impact upon logistics and distribution processes of the significant changes in the wider food sector and its competitive environment;
3. to develop into students a strong problem solving skill also through the use of a scientific and engineering approach (Analysis, Learning, Reasoning, and Modelling capability deriving from a solid and rigorous multidisciplinary background);
4. to lead students to engage with real-life logistics problems working in teams and communicating ideas.

On successful completion of this module, students will be able to:

Indicative content

• The strategic role of Logistics Management in the food supply chain. Definition of Logistics Management. Evolution of Logistics into Supply Chain Management. Logistics processes and principles. The role of Logistics in the corporate strategy. Types of Logistics Strategies.
• Design of Logistics and Distribution Systems in the food supply chain. Logistics network design and management. Modelling of food distribution. Distribution network typologies: single and multi-echelon, hub and spoke, mixed structures. Design methodologies and quantitative decision support tools. Outsourcing of Logistics: objectives, logistics service providers, selection criteria.
• Sales and Operations Planning. Advanced models and tools for demand planning. Forecasting for food demand. Inventory planning in a multi-item multi-node logistics system. Collaborative Planning: Information sharing, Central coordination models (e.g. Vendor Managed Inventory -VMI), Collaboration models (e.g. Collaborative Planning Forecasting and Replenishment-CPFR). Impacts of inventory management on order cycle time.
• Logistics Execution for food regulation, safety and quality. Food packaging. Warehouse Design and Management: objectives, criteria, methodologies, quantitative decision-support models. The storage of perishable products. Automated warehouses: performance indicators, technical features, management policies, application fields, design methods. Order Picking: technological solutions, design methods, management policies. Transportation Management. Transportation modes for the food industry (road, sea freight, rail, air freight, multimodal/intermodal). Temperature-controlled transport for food products.
• Logistics Performance Measurement. Logistics costs measurement and analysis. Customer service KPIs. “Cost-Service” relationship.
• Trends, challenges and food logistics innovation. Emerging issues and challenges in the food supply chain. Supply chain integration and information sharing. Models for improving transparency and visibility in the food supply chain. Risk and sustainability in food supply chains. The challenge of food loss and waste and the opportunities of Circular Economy in the food supply chain. Logistics 4.0 and omni-channel food logistics.

Module Learning and Teaching Methods and Rationale for Selection

Given the aims and the learning outcomes, this module will be delivered through a combination of:

• Lectures, e. theoretical sessions to provide students with the subject knowledge. Sufficient time will be allocated for small group discussions of case study material and real companies’ experiences (LO1, LO2)
• Tutorials, e. practical sessions during which students will have the opportunity to apply the acquired knowledge to solve case studies, industrial problems and interactive exercises (LO2, LO3, LO4)
• Seminars, e. masterclasses delivered by external guests (top managers from companies) to provide students with strong connections to the real-life applications of what has been learnt during the module (LO1, LO2, LO3)
• Company visits, e. virtual in-class (with videos) and/or in-company visits to expose students to the real-life logistics systems and processes of companies operating in the food industry (LO1, LO2)

This kind of approach is suitable for the purposes of this module since it allows for the acquisition of theoretical knowledge and practical application of concepts. It also allows for a deep learning attitude by students (good assimilation of concepts), more inclusivity and it gives the possibility to arrange regularly and optimally formative assessment sessions. Students will be facilitated to achieve all Learning Outcomes and to reach a sufficient depth of learning that is required at a Masters Level.

The teaching material consists of: (i) set of slides supporting the theoretical lectures; (ii) practical exercises; (iii) supplementary exercises; (iv) selected references (selection of papers and chapters of relevant books, videos, etc.). All the material will be available before the related teaching session on https://beep.metid.polimi.it.

The module is based on the assumption that students have a basic knowledge of Production and Logistics Planning Models (Demand Forecasting, Inventory Management, Production Planning). Students that do not have this basic knowledge will be provided with references and material (e.g. slides, MOOCS) to fill the gap.

The chosen assessment strategy is composed of two elements:

• Written individual closed book exam, including
  • Theoretical Questions, i.e. questions that ask for a recall of knowledge, such as questions beginning with “describe”, “discuss” and “explain”, and questions that seek application of knowledge, analytical thinking and problem solving in specific contexts/problems, i.e. “what if” type questions (LO1, LO2, LO3, LO4)
  • Quantitative Exercises, e. practical numerical exercises where students are required to apply the tools and models learnt during the module (LO2, LO3)
• Oral Exam, during which questions that could cover the entire content of the module will be asked. It can modify the module marks from “minus infinite” to “plus 2 points” in the 0-30 marks range (LO1, LO2, LO4). Access to the oral exam is allowed only if the written exam is above the pass mark. The oral exam is mandatory for students who were awarded a mark equal to or higher than 28. It is optional for all the other students. The oral exam must be taken in the same assessment session of the written exam.