Inbound logistics
Inbound logistics manages receipt, storage and handling of inputs needed by an organisation. In Porter’s value chain it is a primary activity, distinct from procurement’s role in obtaining goods, services and other resources. Good coordination can affect quality, stock availability, cost and continuity, not simply transport speed.
Worked example
A manufacturer schedules component receipts, checks deliveries and places materials where production can use them. Selecting suppliers and negotiating their contracts belong to the broader procurement process.
Common mistake
Using inbound logistics as an exact synonym for every upstream supply-chain activity or for supplier selection.
Where it appears in your exams
| Qualification | Exam | Relationship | Period |
|---|---|---|---|
| ACCA | BT | Direct | September 2026–June 2027 |
| ACCA | SBL | Direct | September 2026–June 2027 |
| FIA | FBT | Direct | September 2026–June 2027 |