Meaning
Cumulative resistance within a logistics chain slows the movement of materials and increases the energy cost of coordination. Through supply line friction, the total time required to move a unit from production to the end user increases beyond the theoretical minimum. Friction is not measured in cases of total supply line breakage where movement stops entirely.
Latency Variable
Variable delays account for the time lost during handovers between different transport modes or international borders. Friction in the latency variable of the term is measured in hours or days added to the baseline transit time. Each handoff introduces a risk of delay that compounds as the chain grows longer.
Economic Weight
Weight is the additional price paid for every unit moved due to administrative hurdles or physical bottlenecks. High levels in the economic weight of the term force a business to hold more safety stock, which ties up capital and increases the cost of warehousing. Over time, these small inefficiencies aggregate into a substantial gradient that separates a profitable operation from one that struggles with overhead.
Process Complexity
Complexity describes the number of steps required to complete a single movement. The process complexity of the term grows as more intermediaries join the supply chain. Simplifying these steps reduces the opportunity for errors to occur.
