Ch 9 - delivery

Question 1

Logistics

Answer 1

Mgt of inventory in motion and at rest
-plans, implements and controls the efficient, effective forward and reverse flow and storage of goods, services, and related information between point of origin to the point of consumption in order to meet customers requirements

Question 2

Mode of transportation

Answer 2

Means by which people, freight, or information gain mobility

Question 3

Mobility

Answer 3

Land (road, rail, pipeline), water and air

Question 4

Common carrier

Answer 4

Transportation service to all shippers at published rates in a non discriminatory basis between designated points
-flexibility in est rates and routes

Question 5

Contract carrier

Answer 5

For-hire carrier that provides service to a limited number of shippers and operates under specific contractual arrangements that specify rates and services
-lower rates than common carriers because volumes are higher with individual shippers and scheduling is more predictable

Question 6

Exempt carrier

Answer 6

For-hire carries,

• but exempt from regulation of rates and services
• allow farmers to transport agriculture products on public roads

Question 7

Private carrier

Answer 7

Provides transportation for its company’s own products and the company owns or eases all related equipment and facilities
-advantage of not being restricted by regulations and the flexibility that this status offered

Question 8

Freight forwarders

Answer 8

Buy dedicated space on schedule carries

• benefits: lower rates than the shipper might otherwise receive and one point of contact for shipments that may span two or more modes and carries
• domestic or international

Question 9

Brokers

Answer 9

Charge shippers a fee for arranging transportation services with a carrier
-shippers agent in negotiating rates

Question 10

Customs house brokers

Answer 10

Importing products

• provide est of landed costs, payments to offshore supplies, and insurance options to shippers
• expedited transportation, same day service, freight forwarders, brokers, and customs

Question 11

Expedited transportation

Answer 11

Specific delivery guarantee

- less than 5 days

Question 12

Two categories of carrier rates

Answer 12

1. Line haul rates - per mile truckload pricing charged for moving products to a nonlocal destination has class rates, exception rates, commodity rates, misc rates

2 accessorial rates - charges for services not included in the negotiated line haul rate. Like fuel surcharges, Sunday pickup/delivery, stop-off fee, layover, loading and unloading

Question 13

Rate discounts pg 249

Answer 13

1. Aggregate tender rates
2. Flat percentage discounts
3. Increase volume-increased discount percentage
4. Specific origin and destination points

Question 14

Bill of lading

Answer 14

Key document in the movement of goods
-info about products being shipping, weight and qty
Contract terms and final destination