20. How Should We Organise for Logistics?

Logistics can be superimposed upon the conventional functional structure of most companies. This requires effective horizontal integration and co‐ordination of materials and information flows. Accordingly, the organisation structure that is required must straddle conventional vertical relationships. This is best accomplished by a matrix approach to organisational design in pursuit of product/market missions. The patterns of conflict arising if any other approach is taken can normally be seen to result in unsatisfactory performance.