Companies and Their Types

There are different types of companies, and they can be classified in many ways.

Firstly, companies differ in size. There are big multinational corporations that have subsidiaries in many countries; there are small family-owned businesses that belong to the members of one and the same family.

Secondly, companies work in all sectors of the economy. They are involved in the production and distribution of goods and services. Some companies work in traditional industries, such as agriculture, manufacturing, retail and wholesale trade, or service industries; others choose modern spheres of science and technology, for example, electronics, computers and information technology.

A lot of companies operate via the Internet or combine their traditional and on-line business.

Finally, there are several forms of business entities in every country, and people can choose one of the forms to organize their business. For example, in the United States, there are such forms of companies as Corporation, Limited Liability Company (LLC), and Partnership.

Before starting a company, we should consider all advantages and disadvantages of each type and the general situation in the industry.

Logistics

Logistics is the management of the flow of resources, not only goods, between the point of origin and the point of destination in order to meet the requirements of customers or corporations. Logistics involves the integration of information, transportation, inventory, warehousing, material handling, and packaging, and often security. Today the complexity of production logistics can be modeled, analyzed, visualized and optimized by plant simulation software, but is constantly changing. This can involve anything from consumer goods such as food, to IT materials, to aerospace and defense equipment.

Main logistics target

Logistics is one of the main functions within a company. The main targets of logistics can be divided into performance related and cost related. They are high due date reliability, short delivery times, low inventory level and high capacity utilization. But when decisions need to be made, there is always a trade off between these targets.

Logistics fields

Given the services performed by logisticians, the main fields of logistics can be broken down as follows:

• Procurement Logistics

• Production Logistics

• Distribution Logistics

• After sales Logistics

• Disposal Logistics

Procurement Logistics consists of activities such as market research, requirements planning, make or buy decisions, supplier management, ordering, and order controlling.

Production Logistics connects procurement to distribution logistics. The main function of production logistics is to use the available production capacities to produce the products needed in distribution logistics.

Distribution Logistics has, as main tasks, the delivery of the finished products to the customer. It consists of order processing, warehousing, and transportation. Distribution logistics is necessary because the time, place, and quantity of production differs with the time, place, and quantity of consumption.

Disposal Logistics' main function is to reduce logistics cost(s), enhance service(s), related to the disposal of waste produced during the operation of a business.