Physical distribution transportation system
Introduction
This is the last chapter in the first section of our chapter. It closes our study of the major aspects of logistics.
This chapter will focus on the physical distribution system and transportation systems. Transportation is the physical link between the various activities associated with an integrated logistics system. Without transportation raw materials cannot flow to the suppliers or manufacturers of goods, nor can the finished product reach wholesalers and retailers and finally the customer or end user. This chapter outlines the salient features of the different modes of transportation, intermodal services, transportation cost structures and carrier selection process. Finally we shall briefly discuss transport management, which is one of the very important functions of a logistics manager.
Learning objectives
After completing the work for this chapter you should be able to:
- Detail the role of transportation in the economy of a country
- Establish economic and service characteristics of the different modes of transportation
- Analyse the economic and service characteristics of intermodalism
- Determine the characteristics of transportation costs
- Undertake the process of carrier selection
- Establish and explain the fundamentals of transport management