test 3

Question 1

Packaging

Answer 1

refers to materials used for the containment, protection, handling, delivery, and presentation of goods

Question 2

3 general functions of packaging

Answer 2

Promote, protect, identify

Question 3

3 kinds of information to properly design packaging

Answer 3

• Severity of the distribution environment
• Fragility of the product to be protected
• Performance characteristics of various cushion materials

Question 4

Unit Loads

Answer 4

Big pallets of product. Hard to pilferage from and forces mechanical labor rather than human. Sometimes theres too much shit for resellers though if they are selling to small quantities

Question 5

A basic unit

Answer 5

also called a pallet or skid. should be less than 50 pounds

Question 6

Materials handling

Answer 6

short-distance movement that usually takes place within the confines of a building such as a plant or DC and between a build and a transportation service provider

Question 7

two categories of materials handling equiptment

Answer 7

Storage equipment: shelves racks bins

Handling equipment: carts cranes lift trucks etc

Question 8

Transportation

Answer 8

The actual, physical movement of goods and people between two points

Question 9

How different processes are affected by mode of transportation

Answer 9

Transportation costs - affected by mode
Inventory requirements - influenced by mode
Packaging requirements - dictated by mode
Carrier classification rules - dictate package choice

Question 10

Airfreight

Answer 10

The fastest for trips over 600 miles. Best suited for high value low volume products or products with small life cycle

Question 11

Motor carriers

Answer 11

biggest strength is flexibility.
LTL: 150-10,000 pounds. utilize ups fed ex etc
TL: More than 10,000 pounds. Shipments move directly from shipper to cosignee

Question 12

Pipelines

Answer 12

slowest method. One way only. High fixed cost but low cost per unit (most reliable) (cheapest)

Question 13

Railroads

Answer 13

Dominated by four carriers. Not the best or worst on anything

Question 14

Water freight

Answer 14

low value and can hold highest high volume. Sometimes unrealiable

Question 15

Intermodal

Answer 15

refers to transportation when using a container or other equipment that can be transferred from the vehicle of one mode to the vehicle of another mode without the contents being reloaded or disturbed

Question 16

What are freight forwarders

Answer 16

Exists by offering a service to shippers that must use LTL rates because they do not generate enough volume to use TL rates. 3PLs find clients with complimentary transportation to maximize equipment utilization.

Question 17

What are brokers vs 3PLs

Answer 17

Both try to find another party (freight forwarder) to ship goods for LTL. 3PLs do not consolidate the goods while brokers do

Question 18

What are Parcel carriers

Answer 18

Specialize in carrying Goods that weigh up to 150 pounds

Question 19

Environmental Protection agency

Answer 19

federal regulatory agency established to protect human health and the environment. Current concerns are noise and air pollution as well as resource conservation

Question 20

Federal Aviation Administration

Answer 20

has primary responsibility for air transportation safety

Question 21

US coast Guard

Answer 21

has safety regulation responsibilities for marine safety considerations

Question 22

Economic regulation

Answer 22

Refers to control over business practices and activities such as entry and exit, pricing, service, accounting, and financial issues, and mergers and acquisitions

Question 23

Surface transportation board

Answer 23

Has primary responsibility for resolving railroad rate and service disputes and potential rail mergers

Question 24

Transportation carriers classifications

Answer 24

For hire - Common, Contract, exempt

Private

Question 25

Common Carriers

Answer 25

Serve general public

Question 26

Contract Carriers

Answer 26

Offer specialized service to customers on a contractual basis

Question 27

Excempt Carriers

Answer 27

Exempted from economic regulation due to legislation

Question 28

Private Carriers

Answer 28

Companies whose primary business is other than transportation and provide their own transportation service (Exempt from economic regulation)

Question 29

Transportation Management

Answer 29

refers to the buying and controlling of transportation service by either a shipper or consignee1

Question 30

Transportation rates three factors

Answer 30

Product, Weight, distance. Weight x rate = transportation charge

Question 31

Amodal shipper

Answer 31

Refers to a transportation manager who purchases a prespecified level of transportation service and is indifferent to the mode(s) and or carrier(s) used to provide the actual transportation service.

Question 32

Shippers are more concerned with

Answer 32

Transportation metrics rather than the mode

Question 33

Bill of lading

Answer 33

a delivery receipt when products are tendered to carriers

Question 34

4 classifications of Bill of Lading

Answer 34

- Straight bill of lading - Order bill of lading - Long-form bill of lading - Preprinted short-form bill of lading

Question 35

Freight bill

Answer 35

Invoice submitted by the carrier requesting to be paid

Question 36

Internal vs External audits

Answer 36

Internal - Conducted to detect current errors that result in overcharges and to External - work is done by independent 3rd party to find errors

Question 37

Freight claims

Answer 37

Refers to a document that notifies a carrier of wrong or defective deliveries, delays, or other delivery shortcomings

Question 38

Demurrage

Answer 38

Penalty payment made to the railroad for keeping a railcar beyond the time when it should be released back to railroad

Question 39

Detention

Answer 39

Penalty for keeping a truck too long when it should be back on road

Question 40

Routing

Answer 40

Process of determining how a shipment will be moved between origin and destination1

Question 41

Expediting

Answer 41

Involves the need to rapidly move a shipment to its final destination

Question 42

Non tariff barriers

Answer 42

Limits the amount or product (either in units or by value) that may be imported from any one country during a period of time

Question 43

Embargos

Answer 43

the prohibition of trade between particular countries

Question 44

Commonly used documents for international shipments at point of importation

Answer 44

Certificate of origin Commercial invoice Shipper’s export declaration (SED) Shipper’s letter of instruction (SLI)

Question 45

Incoterms

Answer 45

Terms of sale for international shipments

Question 46

Factors for macroenvirnomental influences (6)

Answer 46

``` Cultural Demographic Economic Natural Political Technological ```

Question 47

Four Methods of payment

Answer 47

Cash in advance Letters of credit Bills of exchange Open account

Question 48

Payment method

Answer 48

Should be established at the time that a shipment price is decided upon

Question 49

International Freight Forwarders

Answer 49

Specialize in handling either vessel shipments or air shipments

Question 50

International Airfreight 3 types

Answer 50

Charted aircraft Integrated air carriers Scheduled air carriers