Session 3 Flashcards
(14 cards)
What is transport in the context of supply chains?
The movement of goods (or people) from one place to another. A transport system includes the goods, mode, and process.
What are the key logistics functions tied to transport operations?
- Transport
- Inventory management
- Warehouse management
- Packaging
What are the main transport modes and how do they compare?
- Air: High speed, High cost, High CO₂, Low capacity
- Road: Medium speed, Medium cost, Medium CO₂, Medium capacity
- Rail: Medium speed, Low cost, Medium CO₂, High capacity
- Ocean: Low speed, Low cost, Low CO₂, Very High capacity
- Pipeline: Low speed, Very Low cost, Very Low CO₂, Very Limited capacity
What factors influence the choice of transport mode?
- Freight rate
- Distance
- Freight volume & value
- Transit time
- Service availability
What is volumetric charging?
A pricing method based on the volume of the consignment, not just its weight—common in air and courier transport.
What’s the difference between LTL/LCL and FTL/FCL?
- LTL/LCL: Less-than-truck/container load (partial shipments)
- FTL/FCL: Full-truck/container load
Goal in SCM: Consolidate LTL/LCL to FTL/FCL for cost-efficiency
What are consolidation centres (CCs) and distribution centres (DCs)?
- CCs: Combine shipments from multiple suppliers into full loads
- DCs: Handle large-scale distribution or redistribution regionally or nationally
What is Factory Gate Pricing (FGP)?
Retailers take ownership and responsibility for inbound transport to DCs, optimizing routes/costs using ex-works pricing.
What is packaging management in transport operations?
Organizing and optimizing packaging processes and load units to support efficient transport, minimize damage, and ease handling.
What are Unit Load Devices (ULDs)?
Containers or pallets used in air freight to group cargo efficiently and securely for loading into aircraft.
What is modal split?
The distribution of total freight transport across different transport modes (e.g., road, rail, barge). Often tracked by freight tonne kilometres (FTKs).
What is an intermodal supply chain?
A logistics system that integrates multiple transport modes (e.g., ship + rail + truck) to move goods efficiently from origin to destination.
What is city logistics and what are its goals?
City logistics aims to improve urban freight flows to reduce traffic congestion and emissions, using:
* Urban Consolidation Centres (UCCs)
* Intelligent Transport Systems (ITS)
* Environmentally friendly transport
What is the connection between urbanization and transport innovation?
Urbanization drives the need for smart, digitalized logistics solutions in cities (e.g., real-time traffic management, electric fleets).