Final exam

Question 1

Beneficial Cargo Owner (BCO)

Answer 1

1. Person or legal entity that
   owns or has title to the freight being transported.
2. BCOs may
   use third parties such as IMCs to negotiate transportation
   services and rates on their behalf

Question 2

Chasis

Answer 2

rectangular trailer with twist-locks that provides framework on which a shipping container is attached for
road transport.

owned by leasing companies, motor carriers, steamship lines, etc

Question 3

Gate Cut Time

Answer 3

the latest time a container may be delivered to a terminal for loading to a scheduled barge, vessel, train, or truck.

Question 4

Distribution Center

Answer 4

A specialized facility where goods
are loaded, unloaded, processed and redistributed to retailers,
wholesalers or consumers

Question 5

Intermodal Marketing Company (IMC)

Answer 5

logistics providers that purchase capacity directly from the railroads and trucking companies to offer door to door solutions.

Question 6

Interior Point Intermodal

Answer 6

The import traffic movement from an origin port to an inland point on an ocean bill of
lading

Question 7

Over the road (OTR)

Answer 7

The movement of freight for long
distances by truck.

Question 8

Precision scheduled railroading

Answer 8

operational method of running a railroad for maximum asset utilization

freight movements are scheduled and managed on the individual carload (rather than entire train level)

Question 9

Steamship Agent

Answer 9

local representative who acts as a
liaison among ship owners, local port authorities, terminals
and supply/service companies.

agent handles all details
for getting the ship into port, having it unloaded and loaded,
inspected, etc .

Question 10

Stevedore

Answer 10

An individual or firm employing longshoremen for
the purpose of loading and unloading a vessel

Question 11

20 foot equivalent units (TEU)

Answer 11

the standard measure of container capacity on a ship.

Determines how many 20-foot-long containers can fit on particular container ships.

Question 12

Major geographic, infrastructure bottlenecks in global ocean shipping

Answer 12

Panama Canal fees: variable fees based on # of containers

Suez Canal ?

Question 13

Critical factors that contributed to increase in globalization of supply chains over the past 30 yrs

Answer 13

1. Wage differences
2. capacity concentration
3. containerized shipping

Question 14

competitive trade offs of PSR

Answer 14

Service Plan focuses on all departments (not just transportation)

Management by exception; knows what to expect

Value leadership/ initiative; reduces beaucracy

Whole operation optimized; avoids local optimizations / unintended penalties

Question 15

Operating ratio in railroading

Answer 15

Operating expenses/ operating revenues

Question 16

transloading

Answer 16

The process of transferring goods from one transport mode to another by the consolidation of multiple ocean containers into larger domestic containers.

Question 17

Key decision criteria for distribution expansion of SnugSocks

Answer 17

Expanded to a larger warehouse in LA for bigger capacity

expanded online via webnet for more sales with cut costs

expanded with vendors (NJ, SAV, CHI) to maintain company image

Question 18

Challenges of the trucking industry including driver shortage and turn times at ports

Answer 18

Lots of driver turnover

2021 shortage=80,000 with 2028 shortage expected to be 160,000

higher quality of life issues
(harsh work conditions, low pay, etc)

Question 19

Compare and contrast SACP 2.0 vs. 3.0

Answer 19

2.0-
contributors/providers: DCLI, TRAC,Flexi, NACPC
management: CCM oversight
equipment: average 18 years

3.0-
contributors/ providers: CCM (as EP)
management: ccm full service
equipment: newly refurbished

Question 20

carrier vs merchant haulage contracts

Answer 20

Carrier haulage-shipping company takes care of the transport of container

merchant haulage- the movement of the container by the consignee via specified haulage contractor.

Question 21

Liner versus tramp service pros and cons

Answer 21

Liner Service:
Pros-follows a fixed port rotation and schedule as well as the destination

Has published dates/calls at advised ports

Cons- Force majeure (uncontrollable circumstances)
Lack of cargo to load/unload

Tramp Service:
Pros-does not have a fixed schedule or route for ships

Cons- usually much slower, unstable, unorganized

Question 22

Historically highest four (in order) container throughput seaports in the U.S.

Answer 22

1. Port of LA, California
2. Port of Long Beach, California
3. Port of New York and New Jersey
4. Port of Savannah, Georgia

Question 23

Factors that sway which U.S. seaports to import/export cargo through

Answer 23

stability of labor market
drayer shortage
distribution of network (inland connections)

Question 24

Expansion projects for the Port of Savannah 2023-2027

Answer 24

Renovation of Berth 1 (expands capacity by 1M TEUs)

Conversion of Ocean Terminals ( use to be breakbulk, but soon to be fully containerized)

Mason Mega rail

Garden City Terminal

Question 25

Ways companies can be less reliant on globalized supply chains

Answer 25

Nearshoring
reshoring
regionalization