TRANSPO Flashcards
largest expenditure in logistics
Transportation
Is the movement of goods and people from one place to another.
Transportation
moving whatever comes out of one location to the next location. That might mean transporting something from a manufacturer to a distributor, or from a distributor to a customer
Transportation
True/False
Without transport the whole world would be stagnant and movement of goods and human beings would have been nearly impossible.
True
responsible for moving inventory throughout a firm’s supply chain and to customers
Transportation manager
the most fundamental choice in transportation
- between using for-hire carriers or,
- a firm’s owned and operated transportation fleet.
a category of software that helps in planning and executing the physical movement of goods. It can be used by all members of the supply chain from manufacturers to distributors and third-party logistics providers (3PLs) – virtually any party that wants to coordinate shipments
Transportation Management System or TMS
deals with the principles, systems, processes, and best practice methodologies, and tools that will help equip the practitioner or operator with the needed skills and know how to better perform in this highly competitive logistics industry.
Transport operations management module
comprises the processes and systems used to manage the needs and requirements specific to the physical transportation of goods and cargo as part of supply chain or logistics management
Transportation management
two major logistics services
Product Movement
Product Storage
whether in the form of materials, components, work in process, or finished, the basic value provided by transportation is to move inventory to specified destinations throughout the supply chain.
goods
Product Movement
True or False
performance of transportation is vital to procurement, manufacturing, and customer relationship management.
True
a less visible aspect of transportation .
Product Storage
can also be used for temporary product storage at shipment origin or destination
transport vehicles
another transport service having storage implications
Diversion
occurs when the original shipment is changed after a product has been shipped
Diversion
the process of planning, implementing, and controlling the effective and efficient flow of goods and services from the point of origin to the point of consumption
Logistics
source and destination of transportation
may be in the same country, or one may be in a different country requiring international movement
role of transport
to facilitate the movement of goods from points of manufacture, storage or prepositioning, to points of use; or between hubs and distribution points; or hubs to end use; or distribution points to end use; or return from end use back to hub and prepositioning points or manufacturers
who State this “Logistics includes the integrated planning, control, realization, and monitoring of all internal and network-wide material, part, and product flow, including the necessary information flow, industrial and trading companies along the complete value added chain (and product life cycle) for the purpose of conforming to customer requirements.”?
Council of Logistics Management
one of the primary processes of logistics, concentrating on purchasing and arranging the inbound movement of materials, parts, and/or finished inventory from suppliers to manufacturing or assembly plants, warehouses, or retail stores.
Inbound logistics
the process related to the storage and movement of the final product and the related information flows from the end of the production line to the end user.
Outbound logistics
explains how a company will manage its corporate activities in order to meet consumer expectations
operating plan
which explains specific department objectives within an active organization
operational plan
Why do organization Write operating plan?
to reduce risk, enhance productivity, create efficient systems and establish protocols
It considers the integration of internal and external support functions
Effective Planning
a person or a company responsible for organizing and transporting goods from one point to another. Generally, bears the cost of freight, except otherwise stated in the transport contract before shipment
Shipper
means a person entitled to take delivery of the goods under a contract of carriage indicated on a bill of lading
Recipients/Consignee
Five Main Stakeholders Involved In Transportation Decision
- Shipper/Consignor
- The recipient (consignee)
- Carrier and agents
- The government
- The public
a person that enters into a contract of carriage with a carrier and also known as consignor.
Shipper
the business that performs a transportation service
Carrier
wants to charge their customers the highest freight rate possible while minimizing labor, fuel, and vehicle operating cost.
Carrier
True or False
To achieve this objective, the carrier seeks to coordinate pickup and delivery times for a group of shippers to achieve efficient operations
True
are transport agent that facilitates carrier and customer matching
Brokers and Freight forwarders
has a vested interest in transportation because of the critical importance of reliable service to economic and social well being
Government
also promote carrier development by supporting research and providing right-of-way such as roadways and airports
Government
desires a stable and efficient transportation environment to support economic growth.
Government
concerned with transportation accessibility, expense, and effectiveness as well as environment protection, security, and safety.
Public
The final transportation system participants
Public
BENEFITS OF TRANSPORTATION MANAGEMENT SYSTEM
1.Better Customer Service
2.Improved Warehouse Productivity
3.Tracking Deliveries
4.Inventory Management
5.Lower Shipping Costs
6.Supply Chain Visibility
7.Enhanced Routing Capabilities
8.Aligned Dock Scheduling
9.Accurate Order Fulfilment
10.Minimal Documentation
TOF: Customers today expect lightning-fast delivery, last-minute adjustments, and unique delivery times as part of every order.
TRUE
TOF: New generation TMS can link the systems responsible for managing orders and those in charge of managing warehouses.
TRUE
TOF: Consolidating customer orders makes it easier to choose the least expensive carrier.
FALSE; Consolidating customer orders can make it easier to choose the most cost-effective carrier, but it does not guarantee that the carrier will be the least expensive.
TOF: New generation TMS can help businesses meet customer expectations by adapting their operations.
TRUE
TOF: New generation TMS will only benefit customers, not businesses.
FALSE; New generation TMS can help businesses meet customer expectations by adapting their operations, which will benefit both customers and businesses.
TOF: The more you use your TMS, the less time you spend managing freight.
TRUE
TOF: Using a transportation management system (TMS) can help improve warehouse efficiency.
TRUE
TOF: If your TMS is incorporated into other systems like your ERP, you’ll spend less time fixing mistakes caused by entry errors or entering new data.
TRUE
TOF: Deploying a Warehouse Management System (WMS) in conjunction with a Supply Chain Visibility Solution (SCIS) can help further reduce costs and improve efficiency.
TRUE
TOF: A TMS is only useful for managing transportation, not warehouse operations.
FALSE; A TMS can help improve warehouse efficiency in a number of ways, such as by automating tasks, optimizing order fulfillment, and providing real-time visibility into inventory levels and shipment status. When integrated with other systems, such as an ERP or WMS, a TMS can further improve efficiency by eliminating manual data entry and reducing the risk of errors.
TOF: A TMS can be used to track the location of shipments at all times.
TRUE
TOF: Organizations can be notified when a shipment is late or has not arrived at its destination using a TMS.
TRUE
TOF: Businesses can benefit from knowing when service outages occur by using a TMS, as they can make necessary adjustments promptly.
TRUE
TOF: Tracking data can be used to calculate the time it takes to complete a route using a TMS, in order to develop more efficient route schedules.
TRUE
TOF: A reliable TMS solution can help companies track their order and shipping lifecycles in real-time.
TRUE
TOF: TMS software can help companies track their shipments, but it cannot guarantee that customers will receive their goods on schedule.
FALSE
TOF: TMS software can help companies predict their inventory with more accuracy, which can improve supply chain transparency and accountability.
TRUE
TOF: Having a high level of control over inventory management can benefit all other supply chain activities in the future.
TRUE
TOF: Ecommerce freight transportation is declining
FALSE
TOF: Good transportation management software can help minimize shipping expenses.
TRUE
TOF: TMS software can provide user-oriented solutions for cutting costs in areas such as fuel consumption or driver overtime.
TRUE
TOF: TMS software is only useful for large businesses.
FALSE
TOF: TMS software can eliminate all shipping expenses
FALSE
TOF: The best TMS will consider the financial factors of each logistical route to determine the most efficient one.
TRUE
TOF: Today’s TMS solutions can provide transparency across the entire supply chain.
TRUE
TOF: Being able to see and access data from all other integrated systems in real-time is a significant advantage of TMS solutions.
TRUE
TOF: TMS solutions can help logistical managers identify and act on potential problems more quickly and effectively, but they cannot prevent all problems from happening.
FALSE
TOF: TMS solutions can help maintain high customer satisfaction without sacrificing performance or efficiency.
TRUE
TOF: Optimized routing is more important today than ever before due to shorter order cycles and smaller cargo quantities.
TRUE
TOF: Pool distribution can be implemented with the help of the right TMS technology, which can help businesses save money and gain more control over their deliveries.
TRUE
TOF: Picking and delivering cargo for pool distribution can be as simple as selecting the best pool location.
TRUE
TOF: Pool distribution is always the fastest and cheapest delivery method.
FALSE
TOF: Dock scheduling becomes more efficient as transportation planning and execution become more predictable.
TRUE
TOF: An effective TMS can cut waiting times while also ensuring high-quality transportation from one point to another by aligning deliveries with dock schedules.
TRUE
TOF: All orders must be broken down and routed individually for pool distribution.
FALSE
TOF: An effective TMS can eliminate all dock scheduling delays.
FALSE
TOF: An effective TMS can be used to schedule docks for any type of transportation mode, including trucks, ships, and trains.
TRUE
TOF: The use of transportation management systems (TMS) helps to improve the accuracy of shipping to a great extent.
TRUE
TOF: Real-time tracking and supply chain insights from a TMS can help to improve order fulfillment accuracy.
TRUE
shouldsimplify and reduce the cost of shippingfor manufacturers, distributors, retailers, and third-party logistics (3PL) provider
good TMS platform
TOF:A lack of an integrated TMS platform leaves companies unable to smoothly process orders, track them, and establish how well their processes are working for their bottom line.
TRUE
costs valuable time and money that a TMS system streamlines. A simplified shopping system also helps ensure their employees are following through even finding the best carrier rates for every. single. shipment.
carrier rate shopping task
FIVE MAJOR WORK FLOW OF TRANSPORTATION MANAGEMENT
SHOP
SHIP
TRACK
ANALYZE
AUDIT
analyzing the expenses, routes, service levels, and more
ANALYZE
ensuring all carrier charges are accurate and processing refunds
AUDIT
processing the shipment to get it to its destination
SHIP
finding the best LTL, parcel, truckload, or international carrier & rates for the job
SHOP
tracking the inbound and outbound shipments of goods and raw materials
TRACK
the six main modes of transportation
road
maritime
air
rail
intermodal
pipeline
The first, and most common mode of transportation in logistics
Road transportation
It has been around longer than mode and is utilized the most of any mode in logistics
Road transportation
the most versatile of the four main modes with the least geographical constraints
Road transportation
only mode that performs door-to-door d
road
TOF: Consequently, most shipments that initially were carried by another mode of transportation are completed by road transportation.
TRUE
TOF: Anything that can be shipped in small-to-medium quantities can be shipped by road
TRUE
TOF: shipments larger than 150lbs. are considered freight and require a truck
TRUE
The two main forms of road transport
Less-than-Truck-load (LTL) and Full Truck Load (FTL).
smaller shipments (primarily palletized shipments) to their respective locations along a specified route
LTL Transport
known as the Hub and Spoke model
system of transportation
advantage of LTL
the shipper only pays for the portion of the truck occupied by their freight while the rest is payed for by the shippers using the rest of the truck
disadvantages of LTL
the multiple stops and transfers that the shipment undergoes end route to its destination
TOF: A shipment will be transferred multiple times to different trucks along the route much like a passenger on a plane will be transferred to different planes en route to their destination. This results in a longer shipping time and the possibility of the shipment being damaged
TRUE
much faster than LTL because it does not operate on a hub and spoke model
FTL
Dis advantage pf FTL
FTL is that a shipper must ship a lot of freight in order to make the shipment economical
main downside to road transport
the external influences that play into its effectiveness, primarily weather, traffic, and road regulations, three things that mostly don’t influence other modes
Cargo ships travel on almost every major body of water and have capacity to transport the highest volume of freight of any mode of transportation at the lowest cost
Maritime Transportation
drawbacks OF ROAD TRANSPORT
shipping environment it has become increasingly difficult to find truck drivers. This capacity shortage has led to an increase in intermodal transportation.
disadvantage of maritime cargo ships
the speed at which they operate
TOF: maritime is the slowest mode of transportation
TRUE
TOF: the carbon emissions produced by one cargo ship are equivalent to the emissions produced by 50 million cars
TRUE
newest mode of transportation
AIR TRANSPORTATION
The closest alternative to maritime shipping
air shipping
The newest mode of transportation Airplanes are becoming increasingly important in domestic and international trade
Air Transportation
confined to a more limited infrastructure than road transport
Rail transport
TOF: As a defining trait, locomotives (trains, monorails, etc.) are confined to a traced path going between point A and B with very few points of divergence
TRUE
are costly and time consuming to construct and only a few new
ways have been constructed since the early 1900’s
RAILWAYS
TOF: railways are limited to semi-level geographic areas making construction increasingly laborious
TRUE
primarily only accessible in large metropolitan areas. This attribute makes rail one of the primary players in the intermodal transportation.
RAILWAYS
TOF: The rail vehicle is not influenced by traffic, points of diversion, and switch offs between modes
TRUE
commonly carry bulk cargo items such as coal, corn, iron, ore, and wheat, items that would be uneconomical to ship by truck.
TRAINS
one shipment is completed using multiple modes of transportation
INTERMODAL TRANSPORTATION
The purpose OF INTERMODAL TRANSPORTATION
to take advantage of the individual strengths of the different modes, thus reducing costs
standard size for intermodal containers
8’ wide and 20’ or 40’ long, There is no set standard for height; however, most containers average 8.5’ in height
not a formal mode of transportation in the traditional sense
Pipeline shipping
TOF: Pipeline transportation is important to acknowledge for its importance in the current fossil fuel market
TRUE
transport unrefined fossil fuels such as gas and oil from their point of origin to the point where they can then be transferred to the refineries or another mode of transportation.
Pipeline
involves the integration of digital technologies to enhance and streamline various aspects of the supply chain process
Digital transformation in the supply chain
where did the pipeline built?
above ground, underground, or underwater making them ideal for offshore drilling
