Chapter 6 - Transportation Flashcards
Definition of Transportation
Movement of goods from the point of origin to the point of consumption
Can be divided into two, Private Transport & Public Transport
Modes of Transport
- Rail
- Road
- Water
- Air
- Pipeline
Rail Transport Characteristics
- Convenient for long distance
- Faster than road
- Suitable for heavy load, long distance
- Less affected by weather
- Unavailable in remote areas
- Inflexible for loading & unloading
- Environmentally friendly
Types of services provided (Rail)
- Piggyback
- Trailer on Flatcar (TOFC)
- Container on Flatcar (COFC)
Example of Rail Transport
- Automobile Car Train
- Centre Beam Car Train
- Gondola Car Train
Road Transport Characteristics
- Most suitable for short to medium distance
- Can deliver to the final destination, high accessibility, easy to schedule
- Can transport any kind of goods and people
- No need for specific terminal
Road Transport can be divide into two
Full Truck Load (FTL)
- Carries on dedicated shipment
Less Than Truck Load (LTL)
- Small loads or quantities of freight
Benefits of FTL
- Faster delivery because it only has one load to consider
- Suitable for high value cargo
- Cost effective, negotiable cost
- Less rick, only handled twice
- Environmentally friendly, less truck on the road
Benefits of LTL
- Longer to deliver, more handling, can be scheduled more frequently
- Transport less shipment
- Cut down cost, because shared
- Risk of freight damage, theft or misloading of goods
- Environmental friendly, since trucks carry multiple shipments
Types of Services Provided (Road)
- Road Haulage
- Small Package Carrier
- Third-Party Logistics
- Intermodal Services
Road Haulage Truck
Carry
- Agricultural Products
- Frozen food
- Bakery
- Watches
- Electrical products
Small Package
- Courier companies (FedEx)
- Combine transport modes, air, road
Third Parties
- Transportation Brokers, Freight Forwarders, Shipper’s Association
- Don’t own transportation or equipment
- Partner with carriers
Intermodal Services
- Combine transportation
- Most popular, TOFC & Rolling road trains
- Combine the cost & advantage of transport modes
Example of Road Transport
- Side Curtain Truck
- Tanker Truck
Water Transport Characteristics
- Long distance/International trade
- Carries bulk cargo
- Large capacity
- Cheaper than other modes
- Rough handling, need good packaging
- Slow, but low cost
- Poor accessibility
5 Common Types of Sea Cargo
- Container Cargo
- Liquid cargo
- Dry Bulk
- Break Bulk
- Roll On / Roll Off
Container Cargo
- Items: Computer, clothing, toys
- 20 ft / 40 ft
- Metal walls protect against extreme temperature & weather conditions
Liquid Bulk
- Items: Crude oil, Petroleum products, Chemicals
- Transported in larger specialized tanks
- Vessels are regularly monitored and inspected to meet safety regulations
Dry Bulk
- Items: Grain, Coal, Cement
- Loose cargo transported in large quantity without packaging
- Special measures, visual monitoring and moisture monitoring
Break Bulk
- Items: Steel Beams, Lumber, Machinery
- Cargo that is too large for container.
- Handled individually and loaded directly on the ship
Roll On / Roll Off
- Items: Cars, Trucks, Buses
- Vehicles or wheeled cargo that are driven on/off via ramps
Air Transport Characteristics
- Fast, but expensive
- Handle expensive & valuable goods
- Frequent, reliable service & rapid time transit
- Best for long haul, competitive for shorter distance
- Service coverage is limited to between major points
Air Transport Example
- Airship Aircraft Carrier
- Military Cargo Plane
- Cargo Aircraft
Pipeline Characteristics
- Continuous flow, 24/7
- Expensive initial investment
- Unaffected by traffic, weather
- Less manpower
- Fast delivery
- Flow monitored & controlled by computer
- Low risk of loss & damage
- Limited to only natural gas, crude oil, petroleum, water & chemicals
