1 INTRODUCTIONThe key to success in any business is how well the entrepreneur utilize their resources, use them efficiently and bring the maximum output and at the same time eliminating waste. Efficient management of supply chain is a very important factor in any business as it is directly related with the cost of the product manufactured.My thesis work is based on my business plan and the importance of logistics and supply chain management in any business. The business plan contains information about how to import goods from Pakistan, in my case I will be importing footballs. Many import and export businesses are using almost the same pattern as I have described in my thesis, so for the reader who needs some idea about how the import process takes place in Finland can get help by my work as numbers would be different for example, tax and other forms of regulations but the idea remains the same.Why I choose footballs as my product has a very good reason behind it. Pakistan is one of the leading countries in manufacturing footballs and responsible for supplying nearly half the demand in the world. The biggest name in the industry for instance; Nike, Adidas and Puma are the main customers.Football was first brought to Finland in the 1890s by English sailors, and it was first played in Turku. The first national competition in the sport was set up in 1906, and won by a school team from Turku. The Football Association of Finland was founded in 1907 and it joined FIFA the following year. Ice hockey is traditionally the most popular sport in Finland but football is increasing in popularity over the past years especially among kids, youth and women (2016).Finland hosts two major youth football tournaments that are open to international teams: Helsinki and Kokkola cups. The Helsinki cup was established in 1976 and has since been competed by teams from different continents. The tournament is annually staged either in June or July in Helsinki (2016).Kokkola cup is organized by lower-division club GBK Kokkola. The tournament usually last for four days and has a recorded a maximum participation of 330 teams (2016).21.1 Background of the StudyLogistics management is the part of supply chain that arranges, actualizes, and controls the proficient, powerful forward, and turns around stream and capacity of merchandise, administrations, and related data between the purpose of inception and the purpose of utilization with a specific end goal to meet client’s requirements (Waters, 2009). An expert working in the field of logistics administration is known as a logistician.The purpose of the thesis is to provide some data to import football from Pakistan to Finland while keeping the cost low on transportation as it is the most expensive part of the business, by choosing the right selection of port and selecting the proper size of vehicle for transporting goods from ports to the destination, to compete within the market with other similar products is by offering the lower price and providing quality products.The aim and of this thesis work is1. To present a cost-effective and efficient way to import goods from Pakistan to Finland.2. Selection of suitable transportation system.3. Comparison between FCL (Full Container Load) and LCL (Less than a Container Load).4. Selection of a logistics company.In order to achieve the above objectives, I have divided the entire thesis in different successive topics, which are Introduction (Background of the study); Logistics and supply chain management, and import and export procedures.In the beginning I have given the foundation of the study and strategy used to accomplish the task. In a similar way the different activities of supply chain management and logistics from receiving of raw materials to final customer. It also gives a brief idea on various (cost effective) possible modes and ways of importing goods from foreign manufacturer. Under the topic of logistics and supply chain management I have also explained different possibilities on how cost3can be reduced in terms of FCL and LCL along with effective management system of warehouse.42 SUPPLY CHAIN MANAGEMENT2.1 IntroductionSupply chain management is the control and organized flow of material, information, and finances as they move in a process from supplier to manufacturer to wholesaler to retailer to the end customer. The ultimate goal of effective supply chain system is to reduce the inventory and waste. With the help of sophisticated software systems such as ERP, it’s easier to track flow of all the activities in supply chain management.Supply chain management flows can be divided into three main flows:a) the product flowb) the information flowc) the finances flowThe product flow includes all the movements of goods starting from supplier to the customer. The information flow related to the fill up the demand, location providing services and feedbacks. And finally the finance flow deals with all the payments, consignment and title ownership arrangements (SCM, 2010) (Waters, 2009).Supply chain management is a very complex process, thus to keep the productivity flow smoothly and focusing on the weak area in a chain, as there is always room for improvement.2.2 Key issues in supply chain managementIn this section, the addressed issues are in supply chain management in much more details. These issues span a large spectrum of a firm’s activities, from the strategic through the tactical to the operational level:5The strategic level manager’s choices have significant impact on the firm. It concludes the choices with respect to item outline, what to make inside and what need to be outsourced, supplier selection, and addition to the number of suppliers, area and limit of distribution centers and assembling plants and the stream of material through the logistics system.The strategic level incorporates choices that are ordinarily upgraded every three to four months consistently. These include purchasing and production decisions, inventory policies, and logistics strategies, incorporating the recurrence with which clients are visited.The operational level handling by supervisors or team leaders refers to day-to-day decisions such as scheduling, lead time quotations, routing, and truck loading (McGill, 2010).An inability to define potential risk and create alleviation methodologies for those dangers that have a high likelihood of occurring could risk business congruity and benefit. On the other hand, companies that tackle risk as a top priority inclined to face real issues identified with versatility and responsiveness to unpredictable interest. In this manner, small and medium size organizations need to make a vigorous danger moderation arrange for that addresses the absolute most basic and basic inventory network related dangers including supplier quality and execution, ware value instability, more muddled item and administration blend, absence of perceived ability to outsourced operations and connections, lacking physical appropriation bases, and unpredictable transportation cost (Waters, 2009).63 LOGISTIC MANAGEMENTLogistics management is the part of supply chain management that plans, implements, and controls the efficient, effective forward and reverses flow and storage of goods, services, and related information between the point of origin and the point of consumption in order to meet customers’ requirements. (Taylor, 2009)Logistics exists to fulfill customer demands by encouraging relevant manufacturing and marketing operations. The principle obligation of logistic is the geographical positioning of raw materials, work in progress and finished inventories at the lowest conceivable expense.Creating logistics value is costly. Logistics represent one of the highest costs of doing business. The expenditure normally goes from 5% to 35% of sales depending on the type of business. In this manner thus logistics even though very important part for any business success remains one of the most expensive part (may 2016).Logistics management includes the design and administration of systems to control the flow of materials work in progress and finished inventory to support business unit strategy”From the above definitions, we conclude that:? Logistics management is the function of managing the total flow of materials which includes movement of raw materials from suppliers, in process within the firm, and movement of finished goods to the customer.? Logistics management covers both physical flow of products as well as information flow covering reports and documentation relating to goods movement.? Logistics management involves procedures that meet customer service at the minimum cost.? Logistic management achieves cost reduction by speeding the flow of materials, work-in-progress and finished products.73.1 Activities of the Logistics FunctionsLogistics is the science of management, engineering and activities concerned with maintaining the resources which helps to improve the plans and operation taking place in any business. The role of the logistics is to maintain the balance between supply and demand. There are various activities of logistics covered in this section.3.1.1 Order ProcessingThough this activity does not contribute much in total costs, yet it is treated important because of its contribution to lead time. Order processing relates exchange of information between customers and organizations. The information can be used later for further analysis about fulfilling the market demand, the kind of operation should be involved and the quantity of product available for customers (Taylor, 2009).