LIS is an older way of extracting logistics data to BW. It 
is no longer supported and there will be no additional 
development by SAP. LO is the new technology for extracting 
the same data. It uses cluster tables and V3 updates, 
whereas LIS uses transparent tables and V2 updates.

mainly 3 differences between LIS and LO's
1) In LO's  provides Data sources specific level of 
information can be taken like header, item and schedule 
line, but in case of LIS it provides information structures 
specfic to Sales Order Information.
2). LO's uses V3 update(Asyncronous Background )which gives 
the option of LUW's in the Background, but in case of LIS 
we use v1 or v2.
3)In LO's we fill setup tables and once data is extracted 
into BW side we can delete the setup table s by using LBWQ 
(T.Code), but incase of LIS we cannot delete the 
information structure.
and Information Structure is also filled with delta 
records, which is no use.

In Lo we use Cluster tables. In Lis we use Transparent 
tables.
Lo generates extract strucutures annd Lis generates 
transfer structures.
In lo we use pull scenario and in Lis we use push scenario.
In Lis we use two tables for Delata update. In Lo we use 
strucures for Lo update.