1. 2 Transportation

2. 2.1 Transportation Adds Time and Place Utility
Logistics involves the movement of products (such as raw materials, parts, supplies, finished goods) from point-of-origin to point-of-consumption.
A product produced at one point has very little value to the potential customer unless it is moved to the point where it will be consumed.
-An industrialized society without an efficient transportation system seems a contradiction in terms. We often assume that products will move from where they are produced to where they are consumed with a minimum of difficulty in terms of both time and cost. The transportation sector of most industrialized economies is so pervasive that we often fail to comprehend the magnitude of its impact on our way of life.
--Therefore, the time and place utility are of great importance, and are disserved to pay much attention on it.
Transportation achieves this movement
Movement across space or distance creates value or place utility. 2

3. how fast and how consistently of a product moves
Time and Place Utilities
Time utility is mostly created or added by the warehousing and storage of product until it is needed.
Transportation is also a factor in time utility, since
how fast and how consistently of a product moves
Most logistics managers are familiar with the problems created by late arrival of needed items. United Parcel Service, Federal Express, have been successful because they are able to increase the time and place utility of their customers’ products. 3

4. 2. 2 Transportation concept
Transportation refers to the physical movement of goods from one point to another point.
It includes specific activities such as selecting appropriate transport mode, choosing the particular route, selecting the right carrier, and complying with various local transportation regulations.

5. 2. 2 Basic Transport Modes Air Land transport Water Other modes Road
Rail
Water
Other modes
Pipeline
Electronic
---A variety of options is available for individuals, firms, or countries that want to move their products from one point to another. Any one or more of five transportation modesmotor, rail, air, water, or pipelinemay be selected. Significant variations can and do exist. In addition, certain modal combinations are available, including rail-motor, motor-water, motor-air, and rail-water. Such intermodal combinations offer specialized or lower cost services not generally available when using a single transport mode. Finally, other transporters (sometimes called indirect or special carriers or nonoperating third parties) offer a variety of services to shippers. These transporters include freight forwarders, shipper cooperatives, parcel post, United Parcel Service (UPS), and other services such as Federal Express and Roadway Express. Special carriers usually act as transportation intermediaries and use one or more of the basic modes for moving their customers’ products.
-- Each mode transports a large amount of freight, as shown in Table 61. The parti- cular mode(s) a shipper selects dep- ends on the characteristics of the mode(s) and the needs of the com- pany and its customers. 5

6. Air transport Advantages of air transport over other modes:
Suitable for goods with high value, i.e. a high ratio of price to weight.
Can afford the high cost of transportation and can be benefit from quick delivery
Indispensable to perishable goods, which are liable to deteriorate or become useless if the voyage takes a longer time, say more than a week.
Air transportation has many advantages compared to other modes of transport. It is generally most suitable for goods with high value, i.e. a high ratio of price to weight. These goods may include but not limited to precious art goods, fur garments, high-class instruments, computers, cameras, watches, etc., which can afford the high cost of transportation without any dampening effect on their marketability. Merchants are more inclined to ship these goods by air. Furthermore, exporters can benefit from quick delivery, since they can achieve quick turnover and maintain a relatively small inventory of raw materials or finished products, particularly in the export market. In addition, air transportation proves to be almost indispensable to perishable goods, which are liable to deteriorate or become useless if the voyage takes a longer time, say more than a week. 6

7. Land Transport
Land transport covers all land-based transportation systems that provide for the movement of people, goods and services.
Land transport plays a vital role in linking communities to each other. Land transport is a key factor in urban planning.
It has 2 kinds they are, Rail and Road.

8. Water Transport
Water transport is the process of transport that a watercraft, such as a barge, boat, ship or sailboat, makes over a body of water, such as a sea, ocean, lake, canal or river.
If a boat or other vessel can successfully pass through a waterway it is known as a navigable waterway.

9. Other modes Pipeline transport
Pipeline transport sends goods through a pipe, most commonly liquid and gases are sent, but pneumatic tubes can also send solid capsules using compressed air.
The world's longest ammonia pipeline from Russia to Ukraine
For liquids/gases, any chemically stable liquid or gas ; Short-distance systems exist for sewage, slurry water and beer, while long-distance networks for petroleum and natural gas.
A "Pig" launcher/receiver, on the natural gas pipeline in Switzerland 9

10. Other modes Cable transport
Cable transport is a broad mode where vehicles are pulled by cables instead of an internal power source.
For liquids/gases, any chemically stable liquid or gas ; Short-distance systems exist for sewage, slurry water and beer, while long-distance networks for petroleum and natural gas. 10

11. 2. 3 Intermodal Transportation
Intermodal transportation combines two or more modes to take advantage of the inherent economics of each and thus provide and integrated service at lower total cost.
Rail-truck, called piggyback, has been widely used.

12. 2. 4 Containerization
Containerization is a system of intermodal freight transport using intermodal containers (also called shipping containers and ISO containers).
Containers are the boxed utilized for intermodal product storage and movement between motor freight, railroads, and water transportation.

13. 2. 4 Containerization
They can be loaded and unloaded, stacked, transported efficiently over long distances, and transferred from one mode of transport to another— container ships, rail transport flatcars, and semi-trailer trucks—without being opened.
Thus containers are particularly suitable for multimodal transportation.

14. The Professional Vocabulary and definition Needs To Master In last Lessons
time /place utility;
potential customer;
lost sales;
customer dissatisfaction ;
production downtime;
Product-related factors;
Market-related factors;
Density;
stow-ability;
ease or difficulty of handling;
Liability;
transportation carriers;
Inter-mode/Intra-mode;
dependability;
time-in-transit;
outsource
market coverage;
flexibility;
freight traffic;
trailer-on-flatcar (TOFC) /container- on-flatcar (COFC);
Freight Forwarders;
Shippers’ Associations;
Broker;
Shippers’ Agents;
Parcel Post;
United Parcel Service;
Auditing freight bills;
claim evidence, and filing claims;
commodity rates;
freight bills ;