Transportation in Logistics and Supply Chain Management
Why is transportation so important? There are different kinds of transportation. Transportation is used to get people or things from point b to point a. Without transportation how would things get moved? According to an article written by Marco Cristini, transportation has had a huge impact on many countries and without transportation it would be difficult for customers to receive their items from oversea. Like Newton’s Third Law, transportation controls the opposed reaction to every action. For example, when purchasing items online from Ebay, a website that sells goods, Ebay uses FedEx to transport items to the customers. When it comes to logistics and supply chain, transportation plays a major role. Each of these has a role to play. They all are connected together in one way or another. Sheikh explains that logistics activities cover the entire supply chain so they become important involving in improving supply chain’s overall performance. The goal of the logistics process is to merge and organize all activities involved in acquiring, converting and distributing goods from raw materials to finished goods to the customer in order to achieve customer service objective in a proficient cost efficient way (Bryne and Markam, 1991). Logistics is the main event that is where everything is coming from. Logistic is a part of supply chain which is also a part of transportation. The supply chain consists of 3 areas which includes
Reorders are placed at the time of review (T), and the safety stock that must be reordered is:
International trade is defined by shipping commodities and finished goods between countries, including both exporting commodities and goods from the U.S. as well as importing commodities and goods from around the world. Logistics is the process of planning, implementing, and controlling the efficient flow of goods and services through the supply chain from producer to consumer. Distribution comprises all freight carriers (water, air, trucking, and intermodal) and warehousing. Until recently, most manufacturing organizations took responsibility for the warehousing
The group of firms that makes and delivers a given set of goods and services is known as a supply chain.
In the San Diego distribution center (DC) information flow example, dealers not being notified automatically of order status would be classified as
Logistics is a vital component of supply chain management. Both involve the planning, carrying out and management of goods, services and information from the point of origin to the point of consumption. Logistics aligns the multifaceted pattern of traffic and transportation, shipping and receiving, import and export operations, warehousing, inventory management, purchasing, production planning and customer service. Organizations, like the one I work for, see logistics as a critical design of the supply chain. When organizations incorporate logistics as a key component of the business plan, they can use it to manage, coordinate and monitor resources needed to move products in a smooth, timely, cost effective and reliable manner.
When marketing, engineering, and operations simultaneously develop a process (cross -functional integration), this approach is known as __________ ________________.
Transportation is at the centre of logistics as it represents the physical movement of materials between points in a supply chain. High customer expectations and little tolerance for inadequate performance create a competitive environment for operating a fleet, which forces fleet managers to achieve high levels of reliability and cost-efficiency (Peter Mbuthia Gitahi, Dr
Enterprise systems can be helpful to solve diverse business problems and optimize numerous processes in commercial organizations. Though the CIO is interested in different types of these systems being used, particular emphasis is placed on Supply Chain Management (SCM), which can be defined as “the management of information flows between and among activities in a supply chain to maximize total supply chain effectiveness and corporate profitability” (Baltzan, 2014). In order to profoundly evaluate the impact that these systems can have on different types of organizations, the paper will analyze two case studies, whose objective was to “promote further understanding of this process of adoption and integration of supply chain management
Soon afterwards, UPS disbursed packages nationwide and began to increase their international services (Rodrigue, n.d.).
The logistics of a supply chain can be very difficult to understand. There are many different parts involved and if one does not function correctly the others will soon follow. From manufacturing to transportation there is always something happening within the supply chain. Every section of the supply chain is scrutinized and checked to see if the process is going as smoothly as possible. Knowing different styles of research can help in diagnosing problems from within the supply chain. Two of these methods are quantitative research and qualitative research.
The way products are moved today has changed dramatically compared to the slow manual process in the past. Initially products were mainly moved on ships. Once rail became available products were able to be moved more quickly on land. Then came trucking and air planes that could be used to move cargo even quicker. These changes occurred slowly over time and each of them still have play an important part in transportation and the supply chain. (http://amhistory.si.edu/onthemove/, n.d.)
1.1 Forecasting is the basic and initial step in supply chain planning. Matching supply and demand is at the heart of operational planning. As most of the production systems fail to give an instantaneous response to customer demand, forecast of future demand is very necessary to make efficient and effective operational plans.
Transportation is a key element in the logistic chain. It joins together those components that are considered to be separated. In order for transportation and logistics to work together successfully, there must be good management between them. It plays a
Transport plays a critical role in the supply chain and according to Bhattacharya et al. (2014) it is becoming one of the key components of the whole supply chain valuation for many organizations. Transportation is the movement of good from one location to another. Supply chain is a network of individuals, organizations, activities, resources and technology that is involved in formation and sale of a product, which is from the delivery of source materials from the supplier to the manufacturer, through to the end user. Hopkins (2007) states that supply chain professionals look at whole business procedures, which is from raw materials to manufacturing, wholesaling and retailing. And by
In the vast industry that is transportation and logistics management, has a lot of influence on the economy of the United States. One of the reasons for the close connection of the industry and U.S economy is because of globalization, and in the content of this paper we will examine different segments of the industry, and how they affect the economy in different ways. Addressing specific segments of the industry tells us just how important each segment is to the economy, instead of speaking of the industry in general. Throughout this research paper we will be looking at five specific transportation and logistics operation within the industry. The airline industry is very important to the many cities within the United States, creating a number of jobs because of the ability that airports have to connect cities to the rest of the world. Job created through the air transport systems that help boost a cities economy is tourisms and airport jobs, which can help to transform a city. The cruise ship industry also help boost cities, which operates port of call for the cruises that operate from them. Cruises also generates many jobs in the tourism sector as people sometimes have to fly and overnight from different cities to board these cruises. Another major factor that is affecting the industry is globalization and how it is able to create jobs and help improve the economy. Other areas in the transportation and logistics industry that has an affect on the economy is the overuse of