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3 . L i n k B e t w e e n I n t e r n a t i o n a l i s a t i o n a n d L o g i s t i c s
3 Link Between Internationalisation and Logistics
There is a close relationship between inter- For companies this has dramatically facilitated
nationalisation activities and logistics. On the to set up off-shore facilities and the integra-
one hand logistics is driving internationalisa- tion of overseas operations into highly com-
tion as one of its key enablers. On the other plex value chains. Still, the design and man-
hand internationalisation is challenging the agement of these complex flows of goods and
logistics discipline with its unprecedented information remains a challenge for logistics
pace. managers worldwide.
It is clear that the degree of globalisation we The existence of global communication and
experience today would not have been pos- advanced transportation systems frames an
sible without the advancements in global important prerequisite for global operations.
transport and communication systems. Trans- But that does not imply that going global is an
portation costs have been decreasing signifi- easy task. In order to successfully internation-
cantly during the last century, and so have alise business activities, it takes a compre-
communication costs. The costs for the most hensive management approach, incorporating
important international transport modes, sea logistics principles and methodologies.
and air freight, have fallen by approx. 65 %
and about 88 % within the past 70 years. At
the same time the transportation speed for
goods and data has reached unforeseen lev-
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