The basic logistics system can be described very simply.The prosess begins with a customer placing an order with the ognization.A productis then either produced or shipped from an inventory to the customer.As more products are sold more raw meterials must be acquired form suppliers and more products produced to fill demand or replenish inventories.The way that the part of this system are configured will determing how and when the customer receives the order.Thus,the output of the logistics systemis customer service,and the job of the logistician is to design a system that delivers a desired level of customer service at the lowest total cost.Cost—cuting,while important,must be balanced with the need provide optimum levels of customer service and satisfaction.