Different Modes of Transport in India Latest

8/8/2019 Different Modes of Transport in India Latest

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DIFFERENT MODES OFTRANSPORT IN INDIA

prepared by:Nikhil Madaan0791663908readmission


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TRANSPORTATION

Transport or transportation is the movement of people and goods from one location to another.

Modes of transport include air, rail , road , water , cable , pipeline ,and space .

The field can be divided into infrastructure , vehicles ,and operations .


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Transport Fundamentals

Transport involves equipment (trucks, planes, trains, boats, pipeline), people (drivers, loaders & un-loaders), and decisions (routing, timing, quantities, equipment size,

transport mode).

When deciding the transport mode for a given productthere are several things to consider:Mode priceTransit time and variability (reliability)Potential for loss or damage.

NOTE: In devel oping countri e s we often find it necessaryto locat e pro duction c los e to both mark e ts an d re sourc e s, while in countries with developeddistribution systems people can live in places far fromproduction and resources.


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Logistics Int e gration for

Custom e r SatisfactionLeads to customer satisfaction through superiorcustomer service.Organizational objectives of P [Productivity],Q

[Quality],C [Cost],D [Delivery],E [EmployeeMorale],F [Flexibility],S [Safety],H [Health],E[Environment] are set to meet customerexpectations of Q,C,D.Q, C, S, H, E are parts of must be quality that acustomer expects. Logistics addresses D, Fobjectives which lead to customer satisfactionthrough superior customer service


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Routes of Goods

Goods atshippers

Freightforwarderwarehouse

Airterminal

planeair

Freightforwarderwarehouse

Goods atconsignees

Container

terminal vesselsea Maychange

transpor-tationmodes

truck

landrailway

land barge

mid-streampier

bulk goodssea


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Comparison of Transport Mo de sComparison of Transport Mo de s

Mode Speed Depend-ability inMeeting

Schedules

Frequencyof

Shipments

Availabil-ity in

DifferentLocations

Flexibility in

Handling

Cost

Rail Average Average Low Low High AverageWater Very

slowAverage Very low Limited Very

highVerylow

Truck Fast High High Veryextensive

Average High

Pipeline Slow High High Verylimited

Very low Low

Air Very fast High Average Average Low Veryhigh


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Ranking Modes of Transportation

14 14 -- 77

RankingRanking Cost Cost Delivery Delivery Speed Speed

Delivery TimeDelivery TimeDependability Dependability

Risk of LossRisk of Loss& Damage& Damage

Number of Number of Points Served Points Served

(Best)(Best)11

2 2

33

44

5 5

(Worst)(Worst)

Legend Legend Air Air Water Water Rail Rail PipelinPipelinee

Truc Truc k k


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Distribution costs

Analysis of distribution cost may be made on thefollowing lines:

Product or Product linesIndividual customers or Group of customersChannels of distributionSalesmenGeographical area or territoriesTerms of salesOrder sizes


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Elements of Total cost in Physical DistributionSystems

Total Distribution CostTDC = TC + FC + CC + IC + HC + PC

+ MC


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TC - Transport Cost(S ubstantial Fixed Cost element) Capacity to match volumes Centralised Distribution Route Planning Optimal S chedules Use of software Railways, Airways ,Seaway cost


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F C F acility Cost W arehousing, capital cost and running

cost related to infrastructure andinternal systems to store and pick upstocks

Use of Information S ystems, ElectronicData Interchange

W arehouse Management S ystem likeradio links. Reduction in wage bill Refer to HR


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CC Communication Cost Cost associated with EDI and other

communication through the chain.These are administrative costs

I C I nventory Cost Direct capital cost for goods purchased

and Opportunity cost for carryinginventory. These are cost associatedwith maintenance and replenishment of inventory


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H C H andling Cost Cost associated with Damage, Pilferage,

Deterioration of stocks

P C P ackaging Cost Repacking, shrink wrapping, pallets,

boxes, containers, tapes, labels etc


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THE IMPORTANCE OF CUSTOMER

SERVICE


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THE COMPONENTS OF CUSTOMER SERVICE

Pre-transaction elements : customer service factors that ariseprior to the actual transaction taking placeTransaction elements : the elements directly related to thephysical transaction and are those that are most commonlyconcerned with distribution and logistics.Post-transaction elements : these involve those elements thatoccur after the delivery has taken place


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LOGISTICS


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Logistics acti viti e s can b e d ivided into thr ee cat e gori e s:

Pro ductionStorag eTransportation

The te rm Re sourc e app lie s to a ll of th e factors of pro duction, inc lud ing mat e ria ls (e. g., Iron, fabric,parts), eq uipm e nt ( e. g., machin e s or ve hic le s),e ne rgy ( e. g., oi l, coa l, ele ctricity) an d labor .


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PRODUCTION: Fun dam e nta l logistics que stions ar e : (1) wh e n shou ld a r e sourc e be pro duc ed; an d (2) wh e re shou ld a r e sourc e be pro duced.

The whe n que stion inc lude s th e topics of aggr e gat e re sourc e p lanning , an d

pro duction sch ed u ling . The whe re que stion inc lude s th e topics of faci lity location an d pro duction

a llocation .

Som e of th e important pro duction que stions ar e :

(a) What outsi de sourc e shou ld be us ed to supp ly a part?(b) Wh e re shou ld a n e w faci lity b e bui lt?

(c) Wh e n shou ld a faci lity pro duc e d iff e re nt it e ms, taking into account:

Se asona l de man d patt e rns?

De man d unc e rtainty?

Cost of op e rating sing le , doub le , trip le shifts?

Labor costs?

(d ) Wh e n shou ld a firm us e two or mor e sourc e s for a part?


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INVENTORY: Fun dam e nta l logistics que stions ar e (1) wh e n shou ld a r e sourc e (mat e ria l, machin e or labor) b e put in in ve ntory an d tak e n out of in ve ntory ; an d (2) wh e re shou ld a r e sourc e be stor ed.

The whe n que stion inc lude s th e ge ne ra l topics of e conomic-or de r-quantitymo del s, saf e ty stock mo del s an d se asona l mo del s, an d sp e cia lized topics of f lee t manag e m e nt, an d pe rsonn el p lanning .

The whe re que stions inc lude s th e topic of in ve ntory e ch el ons .

Som e of th e important in ve ntory que stions ar e :

(a) How much doe s it cost to stor e re sourc e s in in ve ntory?

(b) How much saf e ty stock shou ld be carri ed in in ve ntory to pr eve nt againstrunning out of a r e sourc e ?

(c) How much in ve ntory shou ld be carri ed in or de r to smooth out s e asona l variations in de man d?

(d ) Wh e re shou ld re p lac e m e nt parts b e stor ed in mu lti- e ch el on in ve ntory syst e m?


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TRANSPORTATION: Fun dam e nta l logistics ar e : (1) wh e re shou ld re sourc e s b e mo ved to, an d by what mo de an d rout e; (2) wh e n shou ld re sourc e s b e mo ved.

The whe re que stion inc lude s th e topics of t e rmina l location, ve hic le routing, an d short e st path m e tho ds an d ne twork f low a llocation .

The whe n que stion inc lude s th e topic of d istribution ru le s.

Som e of th e important que stions ar e :

(a) Wh e n shou ld shipm e nt b e se nt through t e rmina ls, an d wh e n shou ld shipm e nt b e se nt d ire ct?

(b) Which, an d how many, t e rmina ls shou ld shipm e nts b e se nt through?

(c) What ar e th e be st ve hic le rout e s?(d ) Wh e n shou ld a ve hic le be d ispatch ed ove r a rout e ?


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Different Modes of Transport in India Latest