- Transportation is a entity that helps a lot in supply chain where as there are moving goods either in a form of finish goods or raw materials from the point of origin to the point of consumption. Type of transportation that commonly used are air transportation, sea transportation, rail transportation and road transportation.
"...freight transportation is vital to the Nation's economy. At any given moment, billions of dollars' worth of goods are being moved by truck, train, ship or barge, or held in a yard for transport or distribution."
* Scott Johnson, Reliability in logistics is Key to Global Market, Public Road Magazine
The roles of transportation :
- Transportation should concern more in movement of goods from its sources such as starting from plant, factory or work-shop to a destination as examples, warehouse, customer or retails store. The products will being moved by different modes of transportation.
- Standard cargo handled by 4 modes :
- Roadways
- Seaways
- Railways
- Airways
- Everybody who owns the business had their own company goals. And the goals are to minimize the transportation costs. It is a very higher costs in logistics where as it is generally calculated depends upon the distance between the sources and the destination, the means of transportation chosen, and the size and quantity of the product to be shipped.
Roadways play a major role in handling cargo even to a small town. And it is also done in a form of lorries or truck. Cargo brought can't be handled in every part of country as examples delivery to Sabah and Sarawak needs to be brought by aircraft. The delivery option are done based on capacity of cargo and quantity of finish goods. Also based on type of cargo. A few advantages of a roadways transportation are :
- Cost effective
- Fast delivery
- Ideal for short distances
- Ideal for transporting perishables goods.
- Waterways is the cheapest means of transportation where actually this type of shipment are brought the product either in a type of raw materials or finish goods in a form of bulk. It is happen when the shipment are doing between two different country in a large volume of world trade. This mode actually take a quite longer time to reach the destination of customer. It is usually take about a month when sail. So that, the product brought are not the type of product that easy to expired.
- Railway play a major role in cargo handling. Railway handle cargo from sea port to various part of the country. Railway have their special wagons to carry the cargo. Through the railway large volume of cargo can be handle in a short period of time .
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