Organization of procurement and logistics activity costs in food processing companies Cover Image

Organizacja zaopatrzenia i koszty działań logistycznych w przedsiębiorstwach agrobiznesu
Organization of procurement and logistics activity costs in food processing companies

Author(s): Tomasz Rokicki, Ludwik Wicki
Subject(s): Economy
Published by: Wydawnictwo Uniwersytetu Ekonomicznego we Wrocławiu
Keywords: TURNOVER AND TRADE BALANCE; COMPARATIVE ADVANTAGE; COMPETITIVENESS

Summary/Abstract: The aim of this article is to evaluate the organization of procurement and logistics costs in food processing firms. The study was conducted in 443 enterprises. The research shows that the degree of logistics organization was low, particularly in small companies. Enterprises bought raw materials mainly directly from manufacturers (60% of companies), and one company cooperated with ca. 206 suppliers, of which 87% were farmers. The average logistics costs amounted to 8.1% of total costs and depended significantly on the size of business or the type of processing industry. In companies with higher costs of logistics, logistics departments were often established and there were introduced formal techniques of inventory management. Business plans mainly related to the investment in the development of its own storage facilities and transport. Only 11% of them intended to increase the scope of logistics services use.

  • Issue Year: 2011
  • Issue No: 166
  • Page Range: 634-646
  • Page Count: 13
  • Language: Polish