Abstract

One of the basic problems hindering effective implementation of the physical distribution management (PDM) concept in many companies today is organisational rigidity. By this is meant the inability and unwillingness of management to respond to the changing demands of new concepts and new techniques inherent in the successful adoption of PDM in existing corporate organisations. This rigidity manifests itself in two related ways: firstly, in the relationships structure within an organisation, and the place of physical distribution relative to other functional areas in management, such as marketing, production, finance, etc., and secondly, in the characteristics of distribution executives and their perceived role within an organisation.

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