Discuss the considerations required when planning for transportation|Essay guru
Posted: January 30th, 2023
Transportation is required to move both work in process and finished goods. Discuss the considerations required when planning for transportation. Research two organizations and provide examples on the types of transportation and logistics methods used.
SOLUTION
Considerations in transportation planning:
- Transportation mode: options include truck, rail, air, and sea, each with unique advantages and disadvantages.
- Cost: shipping expenses, fuel costs, and tariffs/taxes should be considered to determine the most cost-effective option.
- Speed of delivery: urgency of delivery affects the choice of transportation mode, for example air for fast delivery, sea for lower cost and bulk items.
- Capacity: the amount of goods to be shipped must be considered, as well as the size and weight of the items to ensure the selected mode of transportation can accommodate the shipment.
- Route optimization: the most efficient and quickest route should be selected to minimize transportation time and costs.
Organization examples:
- Amazon: uses a combination of air, truck, and sea transportation to move its goods. They also utilize logistics services such as cross-docking and hub-and-spoke systems to optimize their shipping processes.
- Walmart: relies on truck transportation for most of its deliveries and has a fleet of trucks for its own deliveries. They also use rail and sea for bulk shipments and have partnerships with shipping companies for cost-effective delivery.
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