Logistics vs Supply Chain Management: Key Differences Explained
Understand the difference between logistics and supply chain management. Explore roles, SCM definitions, and career paths with insights from Cyprus West University.
Many students and professionals use the terms logistics and supply chain management (SCM) interchangeably, but they are not the same. Understanding the differences between logistics vs supply chain management is essential for those pursuing careers in transportation management, logistics roles, and broader supply chain careers. In this article, we’ll explore what sets them apart—and how they work together.
What Is Supply Chain Management (SCM)?
Supply chain management (SCM) is the strategic coordination of all activities involved in the production and delivery of goods, from raw materials to the end customer.
Key components of SCM:
- Direct procurement involves purchasing items used directly in production, such as raw materials or components.
- Manufacturing involves taking raw materials and using them to craft a part or component. A company may manufacture springs from hardened steel.
- Warehousing is the process of storing goods until they’re ready for transport to retailers, distributors or customers
- Transporting and delivering products
- Managing customer expectations and feedback
SCM takes a broad, strategic view, focusing on efficiency, integration, and optimization across the entire chain.
What Is Logistics?
Logistics, on the other hand, is a subset of supply chain management. It deals specifically with the planning and execution of the movement and storage of goods.
Logistics focuses on:
- Transportation management: Planning and overseeing the movement of goods to ensure timely and cost-effective delivery.
- Inventory control: Monitoring and managing stock levels to prevent shortages or excess inventory.
- Order fulfillment: Processing customer orders accurately and efficiently, from picking to delivery.
- Warehousing operations: Managing storage facilities to optimize space, safety, and inventory handling.
- Delivery tracking and coordination: Monitoring shipments in real-time and coordinating schedules for smooth delivery.
At CWU, logistics students explore real-world case studies that emphasize operational execution—getting the right product, to the right place, at the right time, at the lowest cost.
Logistics vs Supply Chain: Key Differences
Here’s a simple comparison table to help clarify:
| Aspect | Logistics | Supply Chain Management (SCM) |
|---|---|---|
| Scope | Part of SCM, focused on transportation & storage | Broad system covering all steps in product flow |
| Main Activities | Shipping, warehousing, inventory, distribution | Procurement, production, logistics, customer service |
| Goal | Efficient delivery and cost control | End-to-end integration and strategic optimization |
| Time Horizon | Short to mid-term operational focus | Long-term strategic planning |
| Departments Involved | Warehouse, transportation, fulfillment | Procurement, production, logistics, marketing |
How Logistics and SCM Work Together
Although they are distinct, logistics and SCM must collaborate seamlessly to ensure efficient operations.
For example:
- SCM designs the supply chain network, while logistics ensures the goods flow properly within it.
- SCM manages supplier relationships, while logistics arranges the transportation of incoming materials.
- SCM sets delivery expectations, and logistics fulfills them.
At Cyprus West University, students studying logistics or business administration gain a comprehensive understanding of both roles and how they interact in real-world industries.
Career Paths in Logistics and Supply Chain
Both fields offer strong career potential globally. Here’s a breakdown of common roles:
| Career Title | Field | Typical Salary (USD/year) |
|---|---|---|
| Logistics Coordinator | Logistics | $45,000 – $65,000 |
| Supply Chain Analyst | SCM | $60,000 – $85,000 |
| Inventory Manager | Logistics | $50,000 – $75,000 |
| Procurement Officer | SCM | $55,000 – $80,000 |
| Transportation Manager | Logistics | $65,000 – $95,000 |
| Supply Chain Manager | SCM | $80,000 – $120,000 |
Studying Logistics and SCM at Cyprus West University
Cyprus West University (CWU), located in Famagusta, is a non-profit, internationally accredited university offering undergraduate and graduate programs in both English and Turkish.
CWU’s programs include:
Faculty of Engineering and Architecture
The Faculty of Engineering and Architecture provides students with an education enriched with the latest technologies in the field, enhancing their analytical thinking and problem-solving skills. Through laboratory work, project-based learning, and industry collaborations, we provide real-world experience, preparing our graduates to become successful professionals in the engineering field, such as Computer Engineering, Information Systems Engineering and Electrical and Electronics Engineering.
Faculty of Economics, Administrative and Social Sciences
The Faculty of Economics, Administrative, and Social Sciences at Cyprus West University has a broad academic spectrum and aims to prepare students for successful careers in the business world and social sciences. Our faculty offers an innovative and dynamic academic environment that provides education at international standards.
The Faculty of Economics, Administrative, and Social Sciences not only imparts theoretical knowledge but also offers practical experiences, aiming to meet the highest standards in preparing our graduates for the workforce. With our innovative educational approaches and international connections, we equip our students with a global perspective.
Institute of Graduate Studies
The Graduate School offers a comprehensive and innovative educational environment for individuals looking to advance their academic and professional careers.
Why Choose CWU?
- CWU is accredited by YÖK (Turkey) and YÖDAK (Northern Cyprus).
- Courses include case studies, simulations, and projects involving real-world logistics and SCM challenges.
- With scholarships up to 50%, international students can study for as low as $2,750 per year.
- CWU helps students build skills in transportation management, warehouse systems, and global supply chains—areas in high demand globally.
Logistics and SCM—Two Parts of a Whole
In summary, while logistics focuses on the physical movement and storage of goods, supply chain management takes a broader, strategic view of all processes involved in delivering value to customers. At Cyprus West University, students are prepared to enter both logistics and SCM careers with confidence, backed by a strong academic foundation and practical industry insight.
