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Transportation plays an important role in manipulating logistic.
The vision of FedEx supply chain services is to become the world leader in global integrated logistics management, supply chain solutions and time-definite delivery (FedEx, 2014a). In the international market, FedEx faces competition from DHL, UPS, foreign postal authorities like Deutsche post and TNT N.V, freight forwarders, passenger airlines and all-cargo airlines.
There are three important aspects of transportation management: Carrier selection, documentation and shipper carrier relationship. Carrier selection process includes the activities of identifying and procuring the best modes, the best carrier for each mode and best rates (Younkin, 2006).
Companies tend to have a carrier mix like combination of aircrafts and road vehicles to order to have smooth operations, speed delivery at a low cost. Fed EX has a great air-and-ground network which facilitates the quick delivery of time sensitive shipments that deliver the shipment in one to two days with guaranteed delivery time. Its transports approximately 4 million packages and 11 million pounds of freight daily.
For smooth functioning and fast delivery across the globe FedEx has mix of air and delivery fleet which consists of 650 aircrafts and 48000 motorized vehicles. FedEx has collaborated with more than 375 airports worldwide for the landing of its aircrafts without any difficulty.
In October 2013, FedEx added first new Boeing 767-300 freighter in its air fleet. This is a major step in company’s strategic aircraft fleet modernization program as it is a more efficient and lower emission aircraft. 767 replaced MD 10 aircraft and is 30 percent more fuel efficient and incur 20 percent less unit operating cost (FedEx, 2014a).
FedEx also provided a customized carrier to transport the skeleton of Wankel T-Rex dinosaur. In that customized lorry temperature was kept at 22C and each crate of bone was surrounded by
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After the invention, development process continued and finally airplane was made available for commercial purposes in the 1950s. The commercialization of aviation made air transport as the most swiftest and flexible mode of transportation. Slowly with the passage of time air transport has been able to gain large acceptances in the market place.
Transport therefore plays the same role - to bring goods at various stages of being prepared for ultimate purchase or consumption, from one point to another - many times in the whole supply chain process. It is the multiple usage of this role along the whole supply chain that brings up the share of transportation in the total cost structure of any product.
In the fast changing competitive market environment and in the backdrop of the necessity to improve customer service and reduce the inventory and transportation operational costs, there is an imposing need to strengthen the supply chain by integrating its warehouse management systems (WMSs) and transportation management systems (TMSs) into a Global Inventory Visibility (GIV).
Sound email and telephone service management will be imperative in this process.
In order to effectively manage deliveries, it will be imperative to use vehicles with refrigeration facilities, adequate
At international level, transportation capabilities have emerged as more strategic issues because they have a major role to play in determining the success of the international supply chain structure and global integration practice. The technology
According to the research, it is worth noting that well-designed transport management and warehouse systems help organizations achieve optimum performance and also helps streamline the movement and the storage of goods. Integrated warehouse management system with transport management systems allows for real-time information concerning warehouse facility and the movement of inventory and materials.
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