Agriculture Reference
In-Depth Information
Plate 15.2 Grain loaded onto a ship
Whether by highway, water, or air, decisions about the transportation of products is an important
area for logistics managers. Photo courtesy of USDA.
Carrier scheduling, routing, and selection
Finally, the scheduling , routing , and selection of the fi nished goods carrier can be a rather
complex decision because of varying rate differentials, destinations, routing methods, and
the mixing of shipments. As a result, sophisticated transportation models have been devel-
oped to enable fi rms to provide fi nished goods sooner, consolidate freight, take advantage of
vendor discounts, and minimize administrative and warehouse labor costs.
Effective scheduling, routing, and selection require a network of information that tran-
scends the physical distribution system. Order processing, transportation, delivery status,
inventory turnover, and system performance are each itemized and carefully calculated in
the effi ciently run distribution system. Today's information systems in the distribution net-
work often involve computerized tracking methods unimagined just 20 years ago. Compare
how your grandparents ordered goods from the (no longer existent) Sears catalog with a
pencil and a stamp, mailing in the order form. Today, the order can be placed online at Sears.
com at the customer's convenience, and the appropriate distributor can get the product to the
customer from the location nearest them for the most cost-effective distribution.
The scheduling, routing, and shipping of products must be coordinated with the inventory
supply management of goods to meet demand. Needless to say, the information processing
technology available today helps to effectively communicate timely and accurate information
 
Search WWH ::




Custom Search