Transportation Management Research
Transportation Management, on the other hand, entails distinct processes that are coherent to transport. It merges elements such as Electronic Data Interchange (EDI) implementation, warehousing, mapping, routing, vehicle tracking, cost of fuel, maintenance, communications, cargo handling, management accounting, and even selection of courier (Merkert, 2012). Over the decades, management of transportation was not an integrated discipline in the aspect of trade. Communities of the olden days had a particular group of people whose way of life entailed moving from one trade center to another trade center. The invention of cargo ships gradually revolutionized the aspect of management. Globalization has resulted in the integration of businesses. These businesses have grown such that the sourcing of raw materials is part and parcel of the delivery of the final product in different locales.
Furthermore, the implementation of the just in time strategy encourages the use of an integrated transportation, inventory, production, and sales system. There has been resource constraints such as increased demand for raw materials and lower supply of reliable transport materials have been prevalent in the current market situation. Customers of locally produced goods have increased and their requirements in terms of delivery have been quite different. Therefore it is quite essential that the loading utilizes the correct management principles. How the process of loading is managed has an impact on all the other processes within the supply chain management. Due to the limitation of space in most transportation media such as trains, trucks, and ships, how the goods are loaded is quite important.
Transportation management will decide which methods of loading to be used depending on the vehicle to be used for transportation. Preparing a load plan is core to transportation management; a practical example is that having an effective load plan will schedule the work sequence in a warehouse ensuring that the right equipment is available to maintain an orderly flow of products. Secondly, correctly implemented line hauling reduces the overall costs of transportation reducing in lower costs for the consumers and reduced costs for the transporting companies ("Line Haul Optimization", 2018). Local Routing Another transportation management component is local routing. Local routing analyzes the efficiency of the various geographical routes of the transportation modes. Transportation management seeks to solve the problems of the shortest paths to different delivery locations, the number of vehicles allocated to the various locations.
By assessing the various challenge brought about by routing of vehicles, transportation management experts through advanced shipment notifications are able to successfully solve these challenges. Each of these rating criteria has particular basis through which they are calculated. Cube rate is based on the volume that the consignment occupies on the transportation vessels. This one is particularly specific to large consignments which are further categorized into weight break groups. Commodity rates are another method which is mostly used for the particular quantity of goods. They are calculated dependent on location and each commodity rate is specific to particular products. However, gaps in communication result in failure of the whole operation. Communicating with the specific carriers has to be well coordinated with the inventory managers in the warehouses.
The sales teams have to be in tandem with the inventory managers. Therefore any management organization and especially the transportation management organizations communication is a vital element (Christopher, 2016). Monitoring of the various carriers in the transportation cycle is core to a successful management of transport services. Convenience and accessibility are what makes Transport Management Systems over the cloud attractive to both large-scale and middle enterprises (McCrea, 2018). Lean Transportation Management Lean Transportation Management systems involve the use of a unique specialized computer software for management. These specialized computer programs are prepared according to the legal regulatory models. However, their functionality is modified to suit particular needs of the various companies and organization having transportation management departments. Lean management will combine various formerly independent platforms into one integrated system.
Unlike older transportation management systems, lean management systems require better internet connectivity across all involved departments. Risks in Transportation Management Each transportation management system has some inherent and external risks of which they must be successfully be mitigated. Although the risks cannot be fully eliminated from occurring, understanding the various sources of the risks is important to ensure the system runs efficiently. Business practices and norms are one of the major sources of the risks in transportation. The probability of misdirection in the routing or wrongful loading of consignments are some the risks inherent to the trade of transport. The Role of Transportation in Logistics(Doctoral dissertation, University of South Australia). Christopher, M. Logistics & supply chain management. Pearson UK. Tang, O.
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