Transportation Strategy SCMN 4780 Spring 2012 – Test #3 Study Guide Air & Parcel Transportation Industry What product types with what shipment characteristics are most commonly shipped via air freight? What relationship / correlations do air and parcel industry have with ocean water? What marketplace description should best describe the domestic air industry? Who are the key players? What is the history of FedEx Corporation? What are its core competencies? What is the history of UPS Corporation? What are its core competencies? What shipment characteristics are attributable to the parcel industry? Who are the key players? What is the air & parcel transportation industry evolving? What are the projections for the future? Third-Party Logistics What is the definition of a third-party logistics company? What is its relationship to shippers and carriers? What are the current characteristics of a 3PL? What are the most common reasons for a shipper to outsource logistics services to a 3PL? What are the types of 3PLs? What is a 4PL? What industries most commonly use 3PLs? What logistics services are most commonly outsourced? What are the typical benefits generated to shippers from the use of 3PLs? Describe is the future direction of the 3PL industry and why? Transportation Strategy Summary How is the transportation strategy integrated and aligned with the corporation and business unit? Contrast a business or functional objective with a personal or team goal. What is the continuous improvement cycle? How is the 21st century supply chain characterized and differentiated? In the context of a LEAN supply chain, what are the key objectives for each segment of logistics? What are the components of a transportation network? What are the transportation performance variables that differentiate transportation service providers? What is benchmarking? How is it used in managing transportation? When deciding how to manage logistics, a business has what model choices? Provide comparison between the models and the advantages / disadvantages of each. What are the strengths, limitations and application of each mode of transportation? What are the key objectives of a carrier selection process? Explain What is a carrier report card? How does the measurement system benefit a business? Gerry Hempstead Presentation What are the Top 5 transportation / logistics companies in the world? Of this group, what are the distinguishing characteristics of each? What are the 2 questions (in order) that a shipper must ask the employee when moving a package? How can an enterprise save money in challenging the employee on the answers? What is a routing guide? How are they used to save a shipper’s transportation cost? What attributes are used by the carrier to determine the price to be charged for a parcel shipment? KIA Motors What model does KIA use to manage its logistical processes? KIA utilizes both JIT and JIS supply chain management model. Contrast the application of each to the automotive assembly plant. What is a milk run? How does it bring benefit to the shipper? For KIA, what is a complete knock-down (CKD) part flow? How is it applied? What will be the impact of the Panama Canal widening project on KIA operations? How are the finished automobiles distributed to the dealerships? DAMCO / MAERSK Presentation What are the future prospects for the ocean transportation industry? What are the ocean freight supply – demand premises for 2012 going forward? Regarding ISO containers, what is happening to lease rates and why? Considering the supply – demand status of container ships, what actions are carriers taking? For the major players in the container ship industry, what is the ownership trend? What is a VOCC and a NVOCC? What key criteria do customers focus on when contracting with an ocean carrier? For an ocean carrier, what is meant by a service offering called a “seamless solution”? What 2 global concerns were identified as possible issues? What opportunities / issues are presented to the ocean carriers with the Panama Canal widening project? C. H. Robinson Presentation What is the approximate percentage of transportation business ($1,000 billion) is managed by 3PLs? What are the key drivers of the 3PL industry growth? What are the 4 major segments of the 3PL marketplace? What is the purpose of freight brokerage firms? What are C. H. Robinson’s network enablers (people, processes, technology)? How does C. H. Robinson seek to differentiate itself from other 3PLs?