Logistics

Academic Year 2026/2027 - Teacher: DIEGO D'URSO

Expected Learning Outcomes

Knowledge and understanding.

Acquisition of in-depth knowledge of material procurement processes, production logistics support, goods distribution, and the principles underlying the design, sizing, and operational management of material handling and storage systems within industrial production and service delivery systems.

Applying knowledge andunderstanding 

Application of the fundamental principles of performance analysis and measurement for industrial processes, with particular reference to efficiency and effectiveness. Application of the basic methods for designing commercial demand forecasting systems, inventory management systems, and material handling and storage systems.

Course Structure

The teaching methodology consists of lectures, written exercises and cases of study models coded using a Microsoft Excel® software application.

Required Prerequisites

The achievement of these learning outcomes is supported by a sound understanding of the main probability distributions and the fundamental principles of economic evaluation of investment projects.

Attendance of Lessons

Students are required to attend at least 70% of the course lectures, see Section 3.3 of the Academic Regulations of the Master’s Degree in Management Engineering, unless new or additional provisions related to pandemic emergency management are issued.

Detailed Course Content

Modulo

Rif. testo

0. A general overview about the supply chain management. 

[1] (cha.1)
[6] (cha.1)

1. Development of the logistics concept - productive systems breakdown. Process mapping and re-engineering analysis

[2] (cha.1)
[6] (cha.1)

2. Supply chain performances measures: principle levels of service definition.

[1] (cha.15)
[3] (cha.5)
[6] (cha.2)

3. Logistics costs breakdown and modelling. Activity based costing definition and application.

[6] (cha.3)

4. Supply chain dynamics: the Forrester's lesson.

[6] (cha.4)
[8] (cha. 5; App.A)

5. Forecasting. Definition, application and discussion of the principle time series models.

[1] (cha.6)
[5] (App.C)
[6] (cha.5)
[8] (cha.2)
[9] (cha.4)

6. Material management: material requirement vs inventory management. Managerial implications in material management under the focus of the Pareto law.

[1] (cha.7)
[6] (cha.6)

7. Inventory management: economic lot size model (EOQ-OP), periodic review policy (IE). Safety stocks design under stochastic demand conditions.

[1] (cha.7)
[4] (cha.5-6)
[6] (cha.7)
[8] (cha.2)
[9] (cha. 16)



Case of studies
E1. Process mapping of the Moon enterprise.
E2. Modelling of a single-channel queue system.
E5. Application of exponential smoothing forecasting models to a single item time series data.
E7. Simulation of the EOQ-OP and IE inventory management models.

Textbook Information

  • Course handouts - Collection of exercises

  • Simchi-Levi, D., Kaminsky, P., & Simchi-Levi, E. (2000). Designing and managing  the supply chain. Concepts, strategies, and case studies, 2.

  • Jacobs, F. R., Chase, R. B., & Lummus, R. R. (2014). Operations and supply chain  management (pp. 533-535). New York, NY: McGraw-Hill/Irwin.

  • Bowersox, D. Closs y M. Bixby Cooper. Supply Chain Logistics Management, 1-656.

Course Planning

 SubjectsText References
1Introduction: Logistics as an integrated process perspective. Historical evolution of logistics: from its origins to the present day (3 h).[1] (cap.1); [6] (cap.1)
21. Classification of production systems: the Brandolese and Wortmann models. Introduction to industrial process analysis. Discussion of the key phases of business process reengineering (3 h).[2] (cap.1); [6] (cap.1)
32. Performance of logistics-production systems: definition and calculation of the main indicators of customer service levels (10 h).[3] cap.5; [6] (cap.2); [1] (cap.15)
43. Logistics costs: key terminology and calculation models. Application of Activity-Based Costing in production management accounting (6 h).[6] (cap.3)
54. Integrated planning of the logistics system (overview). Introduction to the dynamics of complex systems. The Forrester effect and managerial mitigation strategies (3 h).[6] (cap.4); [8] (cap.5; App.A)
65. Commercial demand forecasting: overview of demand forecasting techniques and time series analysis. Definition and application of key forecasting models based on time series extrapolation (10).[1] (cap.6); [5] (App. C); [6] (cap.5); [8] (cap.2); [9] (cap.4)
76. Materials planning: understanding stock-based and requirement-based materials management. Concepts of inventory, inventory dynamics, key logistics variables, and management indicators. Application of Pareto’s law to design materials management strategies (10).[1] (cap.7); [6] (cap.6)
81.      7. Inventory management: analysis and implementation of fixed-order quantity and fixed-order period models, including the calculation of safety stocks under stochastic demand conditions (18 h).[1] (cap.7); [4] (cap. 5-6); [6] (cap.7); [9] (cap.16)
91.      8. Material handling and storage systems: overview of equipment, key performance indicators, and their calculation. The design process of a material handling and storage system, including principal strategies for material assignment (12 h).[1] (cap.9/10); [5] (cap.1-5); [6] (cap.8); [8] (cap.2)
101. Exercises: E1. Process design and classification of the corresponding production system. E2. Modeling of a single-channel queue production system. Calculation of the main simulated service levels. E5. Application of key demand forecasting models based on time series extrapolation. E7. Simulation of EOQ-OP and IE inventory management models (12 h).[7]

Learning Assessment

Learning Assessment Procedures

Students may choose between the following assessment methods:

1. Two written mid-term tests consisting of numerical problem-solving exercises (the first scheduled for the first week of November 2026 and the second for the final week of the course), together with an assessment of theoretical knowledge through a questionnaire administered at the time of the second written mid-term test.

2. A written examination consisting of numerical problem-solving exercises and an oral examination aimed at assessing theoretical knowledge, to be taken during the scheduled examination sessions.

The final grade is calculated as the average of the grades obtained in the individual assessments.


Learning assessment may also be carried out on-line, should the conditions require it. To ensure equal opportunities and in compliance with current laws, interested students may request a personal interview in order to plan any compensatory and/or dispensatory measures based on educational objectives and specific needs. Students can also contact the CInAP (Centro per l’integrazione Attiva e Partecipata — Servizi per le Disabilità e/o i DSA) referring teacher within their department (https://www.cinap.unict.it/content/referenti).

Examples of frequently asked questions and / or exercises

As regard to the inventory management topic:
1. Write the Harris formula;
2. Comment on the factors allowing the use of the Harris formula, specifying what information is necessary to find for their quantitative evaluation;
3. Prove Harris' formula.
(Each of the three questions may be presented sequentially; Question 3 will precede Question 2 if Question 1 is not answered. Therefore, memorizing the formula is not strictly necessary)