Transportation is the movement of products from one node in the distribution channel to another. By providing for the swift and uninterrupted flow of products back and forward through the distribution channel, transportation provides companies distinct markets on an equal footing. Transportation also permits wider and deeper penetration of new markets far from the point of production. In addition, by maximizing vehicle and materials handling capacities and cargo requirements, effective transportation permits distributors to leverage economies of scale by lowering the per unit cost of transporting the product. Efficient transportation enables distributors to reduce the selling price by holding costs down, thereby providing for more competitive product positioning. Finally, transportation provides other business function with essential information concerning products, market place and time utilities and transit costs, and capabilities necessary for effective enterprise planning and operational execution. The first step in the management process is to establish the cost effectiveness of private transportation fleets and the search for and selection of public carriers. The goal is to ensure the highest level of customer service at the lowest possible price. The selection of a carrier is normally a combination of the price of service, carrier financial stability, reliability and mode availability and subjective elements. The second step involves the ongoing choice of selected transport mode to meet daily shipment requirements.
[...] Fuel consumed is a big cost in transportation C. Environmental this activity is a fuel guzzler, eats up natural fuels like oil, directly and indirectly. - 67% of all domestic fuel usage in the US is by transportation activity. Creates congestion, air pollution and noise pollution. Environmental cost is tangible and substantially intangible. As transportation utilizes temporal, financial and environmental resources items must be moved only when product value is enhanced Product Storage:- Temporary storage in stationary vehicles or Vehicles kept moving on a circuitous route - Product storage is expensive in a transport vehicle. [...]
[...] If this infrastructure is inadequate transportation gets slowed down resulting into a major obstacle in the growth of trade and business in that area. Elements of transportation infrastructure Terminal facilities - well maintained loading unloading facilities, space for movement of vehicles, platforms, railway yards Vehicles- trucks, ships or wagons depending on the mode. Their size, shape & speed Right of way- passage to move on. Rails, roads, airways, limitations on speed, weight, height etc. If we use this particular passage. [...]
[...] Containerization:- Containers were introduced in US during 1955 and in India during 1960 Features of a container: 1. Robust but still light to ensure several handlings during unbroken transport of goods by several modes 2. Equipped with fittings to facilitate safe and easy handling 3. Easily be stuffed or unstuffed in a short time 4. Water tight and air tight outer shell 5. Internal lining that doesn't buckle under temperature and can be easily cleaned 6. Watertight flooring, air tight door seals and locks 7. [...]
[...] Hence from the above example it can be understood that container corporation of India limited place a vital role in the logistics systems of an India. Indian Transportation Sector India's transport sector is large and diverse; it caters to the needs of 1.1 billion people. In 1997, the sector contributed 4.4 percent to the nation's GDP, with road transportation contributing the lion's share. Good physical connectivity in the urban and rural areas is essential for economic growth. Since the early 1990s, India's growing economy has witnessed a rise in demand for transport infrastructure and services by around 10 percent a year. [...]
[...] There is a talk going on between India, Iran and Pakistan regarding the transportation of crude oil from Iran to India with the help of a pipeline which will pass through Pakistan. This will reduce the cost of transporting crude oil from Iran to India. In comparison with the other modes of transport, pipelines operate on a 24 hour basis, seven days a week. They stop functioning due to change in the commodity to be transported, or due to maintenance. [...]
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