Introduction into Logistics Ph D Natasha Lutovinova Logistics

Introduction into Logistics Ph. D Natasha Lutovinova Logistics Lecturer E-mail: Lutovinova. N@nhtv. nl Room: G 1. 006

Handbook: Paul R. Murphy & Donald F. Wood, Contemporary logistics (New Jersey 2011), 10 th edition 3

Introduction into Logistics Course Outline 12. 05 Introduction 13. 05 SCM Concept, Inventory 14. 05 Demand Management, Warehousing Management 15. 05 Transportation Management, International Logistics 16. 05 Poster Session

CHAPTER 12 Transportation 5 -6

Learning Objectives To describe the role of freight forwarders and other specialists To distinguish the five modes of transportation To explain the trade-offs between the five modes of transportation 6 -6

Transportation is the movement of goods and people between two points Influenced by: Transportation costs Transportation modes used: air, motor carrier (truck), pipeline, rail, water Packaging Materials handling equipment (loading-unloading, shipping docks) Order management methodology (maximum consolidation) Customer service goals Environmental considerations 7 -6

8 -6 Inventory Transportation Total cost approach Warehousing Transportation modes Cost Speed Reliability Capability (amount) Capacity (volume) Flexibility (ability to deliver a product to a customer)

Transportation modes Supply chain success requires transportation Transportation costs are affected by location Inventory requirements are influenced by mode Packaging requirements are dictated by mode Materials handling equipment and design of the docks are dictated by mode Maximum consolidation of loads achieved with ordermanagement technology reduces costs Customer service goals influence carrier choice 9 -6

Transportation modes Airfreight Motor carriers (trucks) Pipelines Railroads Water 10 - 6

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Example of the capabilities of transport by ocean vessels: http: //www. youtube. com/watch? v=b oky. Sq. Gd. Rh. M&feature=fvsr A ship on fire: http: //www. youtube. com/watch? v=i 51 q 3 h. M r 0 n. E&feature=related 12 - 6

Modes of transport rated according to criterion (1 - best alternative; 5 = worst alternative) Road Rail Water Air Pipelin e Speed 2 3 4 1 5 Flexibility/ Accessibility 1 3 4 3 5 Reliability 2 3 4 5 1 Capability 3 2 1 4 5 Frequency 2 4 5 3 1 Risk of damage 4 5 2 3 1 Cost 4 3 1 5 2 13 - 6

Transportation modes Airfreight Line-haul (terminal-to-terminal movement of freight), belly freights Consignees Accessorial service Dimensional weight (amount of space occupied in relation to actual weight) Wearing apparel Electronic equipment Machinery and parts Cut flowers and nursery stock Auto parts and accessories Fruits and vegetables Photographic equipment 14 - 6

Aircraft freight capacity 15 - 6

Large Containers Used by International Airlines 17 - 6

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Transportation modes Airfreight Motor carriers LTL (less-than-truckload) Too big to be handled manually, too small to fill a truck LTL trucks carry shipments from many shippers Most large firms are LTL carriers Operations via terminals (consolidation) (F)TL (truckload) 19 - 6

Transportation modes Airfreight Motor carriers Less-than-truckload (LTL) (continued) – Process – Local pick-up – Origin terminal used to load aboard line haul (Movement of goods between cities) – Line haul to terminal near destination – Destination local delivery on smaller trucks – Consignee receives (the consignee is the person to whom the shipment is to be delivered whether by land, sea or air) (F)TL (truckload): 18 tons, 82 m 3, 110 m 3, 120 m 3, 1300 x 2450 x 2500 -3000 mm 20 - 6

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Transportation modes Airfreight Motor carriers (fronthaul & backhaul transportation) Pipelines Excess capacity Slurry systems (phosphate, limestone, copper concentrate, iron concentrate) Pollution - Contamination 22 - 6

Transportation modes Airfreight Motor carriers Pipelines 23 - 6

Transportation modes Airfreight Motor carriers Pipelines Railroads Ton miles: the number of tons multiplied by the number of miles transported Rail gauge: 1435 mm 1520 mm 24 - 6

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Transportation modes Airfreight Motor carriers Pipelines Railroads Water: Deep Sea Shipping Short Sea Shipping Inland Shipping 26 - 6

Transportation modes - water Short Sea Shipping 27 - 6

Ports in Europe and in the Mediterranean that are connected to Antwerp by ‘short sea’ water transport 28 - 6

Transportation modes - water Inland shipping Barge 29 - 6

Ocean Shipping Types of Vessels Containerships Roll On-Roll Off (RO-RO) vessels Tankers Parcel Tankers Tramps Specialized vessels General cargo 30 - 6

1795, Benjamin Outram, Little Eaton Gangway 31 - 6

1955, Malcom Mc. Lean, 3. 0 x 2. 4 20′ co/heavy 40′ tested /duty container metric external dimensions interior dimensions door aperture height length width height maximum gross mass empty weight net load metric 6. 058 m 2. 438 m 2. 591 m 5. 710 m 2. 352 m 2. 385 m 2. 343 m 2. 280 m 33. 1 m³ 12. 192 m 2. 438 m 2. 591 m 12. 032 m 2. 352 m 2. 385 m 2. 343 m 2. 280 m 67. 5 m³ 12. 192 m 2. 438 m 2. 896 m 12. 000 m 2. 311 m 2. 650 m 2. 280 m 2. 560 m 75. 3 m³ 13. 716 m 2. 438 m 2. 896 m 13. 556 m 2. 352 m 2. 698 m 2. 343 m 2. 585 m 86. 1 m³ 14. 6304 m 2. 591 m 2. 903 m 14. 44 m 2. 505 m 2. 726 m 2. 493 m 2. 691 m 98. 8 m 3 16. 1544 m 2. 591 m 2. 908 m 15. 994 m 2. 505 m 2. 710 m 2. 493 m 2. 597 m 108. 6 m 30, 400 kg 30, 848 kg 30, 400 kg 30, 480 kg 31, 000 kg 2, 200 kg 21700/28, 200 kg width metric 30, 400 kg length volume 3, 800 kg 3, 900 kg 4, 800 kg 5, 140 kg 26, 600 kg 26, 580 kg 25, 600 kg Twistlock 32 - 6 40′ high 45′ high-cube 48’ high-cube 53’ high-cube container metric 5, 550 kg Tested up to 25, 340 kg 31, 000 kg

The world’s largest container vessel: MSC “Kalina” Capacity: 13800 TEU http: //www. youtube. com/watch? v=ypye. OV CBSs. E 33 - 6

1. «MSC Kalina» , MSC, 13 800 TEU. 2. «Emma Maersk» , MAERSK, 11 000 TEU (Maersk Line declares 15500 TEU) 3. «CMA CGM Andromeda» , 11 330 CMA-CGM, TEU 4. «COSCO America» , COSCO, 10 062 TEU 5. «CSCL Long Beach» , China Shipping Container Line/CMACGM, 9572 TEU 6. «Bremen Express» , Hapag-Lloyd, 8749 TEU 7. «NYK Adonis» , NYK, 9300 TEU 8. «MOL Creation» , APL, 8100 TEU 9. «APL Russia» , APL, 7900 TEU 10. «Hatsu Sigma» , Evergreen, 7042 TEU Handysize Class — 260— 1000 TEU Handymax Class — 1000— 1700 TEU Feeder Class — 1700— 2500 TEU Sub-Panamax Class — 2500— 4000 TEU Panamax Class — 4000— 7000 TEU Post-Panamax Class — 7000 − 13000 TEU Super-Post-Panamax Class/Е-class - 15500 TEU Triple E-class — 18000 TEU http: //www. worldslargestship. com/ 34 - 7

Figure 15 -1: Loading a Travel Trailer Aboard a RO/RO Vessel in the Port of Seattle 35 - 7

Tanker 36 - 7

Transportation modes- water Bulk cargo 37 - 6

World’s Largest ship: Knock Nevis 38 - 7

Piggyback 39 - 6

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Transportation Specialists Freight forwarders buy space at TL (truckload) rate and sell at somewhat less than LTL rate pick-up and deliver; motor carriers or railroads do line-haul function as transportation departments of small firms may specialize in specific cargoes 42 - 6

Transportation Specialists Freight forwarders Air forwarders (consolidators) – Consolidate shipments – Tender to airlines in containers ready for loading – Forwarders provide for retailing function – Airline provides for wholesaling function 43 - 6

Transportation Specialists Freight forwarders Shipper’s associations Brokers A facilitator who brings together a buyer and seller May consolidate LTL shipments and then give to truckers, forwarders, or shippers’ associations Parcel carriers 44 - 6

Parcel carrier / Courier service 45 - 6

Legal classification of carriers Common carriers Contract carrier Exempt carriers Private transportation is when the shipper provides and operates his own equipment 46 - 6

Private Carriers – Private transportation is used when firms own and operate their own trucks, railcars, barges, ships, and/or airplanes. – Private trucking provides • Improved level of customer service • Advertising on the trucks • May be less expensive 47 - 6

Transportation Regulation Environmental regulation and restrictions Safety regulation Economic regulation 48 - 6

500 km by water 300 km by train 100 km by truck 6 km by air 49 - 6 Five litres of fuel transports one ton ……. km