Logistics In Commerce: Transport (Copy)
Cheat Sheet: 4.1 Transport in the Supply Chain
Functions of Transport
| Function | Meaning | Example |
|---|---|---|
| Time | Goods delivered when needed | Supermarkets receiving daily fresh food |
| Place | Moving goods to where demand exists | Exporting rice from Pakistan to Middle East |
| Quantity | Correct amount delivered | Partial truckload delivering smaller batches |
Written and Compiled By Sir Hunain Zia, World Record Holder With 154 Total A Grades, 7 Distinctions and 11 World Records For Educate A Change O Level And IGCSE Commerce Full Scale Course
Types & Methods of Transport
| Method | Examples | Advantages | Disadvantages |
|---|---|---|---|
| Road | Vans, trucks, couriers | Flexible, door-to-door, fast for short distances | Affected by traffic, fuel costs |
| Rail | Freight trains | Carry large loads, cheaper over long distances | Limited routes, slower than road |
| Air | Freight planes | Fastest for long distances, suitable for perishables | Very expensive, limited capacity |
| Sea | Ferries, tankers, container ships | Low cost per unit, suitable for bulky goods | Very slow, weather delays |
| Pipeline | Oil, gas, water | Constant supply, safe, low labour cost | High setup cost, limited to liquids/gases |
Written and Compiled By Sir Hunain Zia, World Record Holder With 154 Total A Grades, 7 Distinctions and 11 World Records For Educate A Change O Level And IGCSE Commerce Full Scale Course
Choice of Transport Factors
| Factor | Influence |
|---|---|
| Nature of Goods | Perishables need air/road; bulky goods → sea/rail |
| Urgency | Urgent deliveries need air/road |
| Cost | Businesses may prefer cheaper sea/rail |
| Security | High-value goods need secure methods (air, road with tracking) |
| Distance | Long international → sea/air; domestic short → road |
| Reliability | Consistent services preferred for efficiency |
Written and Compiled By Sir Hunain Zia, World Record Holder With 154 Total A Grades, 7 Distinctions and 11 World Records For Educate A Change O Level And IGCSE Commerce Full Scale Course
Containerisation
| Feature | Explanation |
|---|---|
| Standardised Containers | Uniform sizes (20ft/40ft) for all modes of transport |
| Transshipment | Goods moved between transport types (ship → truck → train) without unpacking |
| Security | Goods sealed, reducing theft/damage |
Advantages
- Faster loading/unloading
- Reduced theft/damage
- Efficient use of space
- Lower transport costs in bulk
Disadvantages
- High initial cost (cranes, ports, containers)
- Not suitable for small/irregular goods
- Empty container storage issues
Written and Compiled By Sir Hunain Zia, World Record Holder With 154 Total A Grades, 7 Distinctions and 11 World Records For Educate A Change O Level And IGCSE Commerce Full Scale Course
Summary
| Key Idea | Takeaway |
|---|---|
| Transport ensures goods reach the right place, time, and quantity. | |
| Choice depends on nature, urgency, cost, distance, and security. | |
| Containerisation makes global trade faster and safer but requires heavy investment. |
Written and Compiled By Sir Hunain Zia, World Record Holder With 154 Total A Grades, 7 Distinctions and 11 World Records For Educate A Change O Level And IGCSE Commerce Full Scale Course