Question 3. Briefly comment on the following: d. Logistics variable and costs interact in a complex and indirect way.
Solution: Logistics variable and costs interact in a complex and indirect manner. Cost reduction in one area can affect many other logistics costs. This entire set of complex interactions should be checked together in a systematic manner. Then, there are organizational struggles that make the logistics plan difficult. Responsibility for many logistic activities is spread through the organization. There are different interests in different organizational functions and they create contradictory objectives and requirements for a logistic system.