Transportation mode decisions are generally driven by two major factors: cost and service.
Economies of distance replace economies of scale in transportation decisions.
Deregulation in the United States meant transportation companies could raise their prices, Governments own parts of transportation systems, even whole systems, and Outside the United States, governments tend to own more of the transportation systems in place.
The government plays a key role in logistics decisions, Inventory management is often included in definitions of logistics, and Logistics is often included as the "place" in the 4Ps of marketing. Annual logistics expenditures worldwide are.
According to the Gulf Intracoastal Canal Association, one barge can move as much freight as 15 airplanes or 60 trucks.
Transportation costs are accounted for in the basic EOQ model.
d. Postponement is the process of delaying product customization until the product is closer to the customer at the end of the supply chain.
a. The fluctuation of orders is larger than the fluctuation in sales.
d. Federal Express has over one million pickup and delivery sites and therefore, is a good example of multisite management.