Transportation Is a Critical Link in Overall Supply Chain

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4.0 Transportation in Supply chain

The key role of a Transport system is much more than just delivering goods from one place to another or just from the proprietor to the final consumer. The complexity of Transportation System in Supply chain can only be seen through the high quality management. By transportation mechanism goods can be sent to the accurate place at the accurate time to the accurate customer. So a good transport system not only increases the efficiency of its enterprise but also increases the competitiveness and service of the particular enterprise within the industry.

Without well managed and well developed transportation systems, Supply chain Management (SCM) could not perform to its full and industries could not benefit to the best. Keeping this aside, an effective transportation system increases efficiency, reduces costs and help in promoting service quality to the customers. This system needs effort from both private and public sector for further improvements. A well-controlled transportation system could help both government sector and private sector in increasing the efficiency. Very soon it will be performing an advanced solution for the optimization of routes to lessen the miles driven, the consumption of fuel and thus reduces the carrier’s environmental impact. Rosenau Transport Gains Real-Time (2009)

5.0 Discussion

Transportation helps in linking several steps which results in converting of resources into valuable products for the ultimate consumers. It is planning of all the outcomes and its sub functions in to valuable chains in order to minimize costs and maximize the efficient output for the customers.

Najmi, A., Rashidi, T.H., Abbasi, A. et al. (2017) states that this system, once put together place, must be effectively managed.

In tradition, all these steps includes production, transportation, storage, wholesaling and retailing as well, but performing in all these is transportation. In production it is very essential that the resources are transported from warehouses to the production cycles and vice versa. Similarly in warehousing it is very important to have an independent system of transportation to supply goods to the merchants. Third party Logistics are viewed as strategic partners who are playing an important role in supply chain by providing sustainable competitive advantage. For the effective management of customer, it is obvious that third party logistics collect data from different sources and convert it to some relevant actions for future continuously. Dhanya Jothimani, S.P. Sarmah, (2014)

Based on the previous paragraphs, the combination and promotion of activities in business should involve transportation systems at various stages. This integration provides business to promote flow of information to business operations. Companies and customers can make businesses more profitable by using internet and e-commerce. Although, physical delivery of products relies on transportation systems at various stages to complete its operations. Third party transportation is also evolving as the profitable medium for the middle tier firms for the transit of their products.

Simchi-levi et. Al (2008) argues that the most relevant reason for outsourcing is that it make it possible for the companies to emphasize on the customer requirements and also on the core competencies.

6.0 Conclusion:

This essays talks about the importance of logistics activities and efforts to determine the value of transportation system in supply chain Management through extensive review The major content of the article includes the historical perspective of the logistics activities in supply chain, the role of various transportation activities in logistics, application of transportation and also the position of third party transportation system in supply chain management. To conclude the system of transportation has relevance in supply chain management.

- Transportation has a more and more important position in our social activities.

- Transportation and Logistics have an interdependent relationship that logistics requires transportation to perform its activities.

- The improvement in the efficiency of the transportation system can help grow the overall performance rate.

Cobo, M. J., Chiclana, F., & Collop, A. (2014) states that a good transportation system in supply chain management is the necessity in the intensive competitive market.

Reviewing the advantages that transportations brings to the industry, it is considered to be the most important factor in supply chain. Transport planning is equally important as other strategic planning in the industries as it also requires costs and is the major source of making products available to the customers. This system provides mobility to products including services, goods and also information. Managers throughout the world are investing time in finding new ways to minimize the transportation costs and also finding out more efficient mode of transport to send products from one place to another. This field is also making progress throughout the world, from air transport to water transport and also land transport, it has become the major area for study for the managers and transport planning staff throughout the world.

7.0 References:

Cooper, M.C., Ellram, L.M., Gardner, J.T. and Hanks, A.M. (1997), “Meshing multiple alliances”,

Journal of Business Logistics, Vol. 18 No. 1, pp. 67-89.

Aicha Aguezzoul(2015)” Sourcing and transportation strategies in a supply chain: A nonlinear programming model”,IEEE International Conference Journal, doi: 10.1109/SOLI.2015.7367612

Evangelia D. Fassoula, (2007) "Transforming the supply chain", Journal of Manufacturing Technology Management, Vol. 17 Issue: 6, pp.848-860, doi: 10.1108/17410380610678837

Chopra, S. and Meindl, P. (2012), Supply Chain Management: Strategy, Planning, and Operation,

Pearson Education, Upper Saddle River, NJ.

Stock and Lambert, (2000), Bowersox et.al. (2013), “Strategic Logistics Management, 4th ed., McGraw-Hill/Irwin,New York, NY

Rosenau Transport Gains Real-Time. (2009, Dec 07). Retrieved Dec 12, 2009, from Logistic Today: http://logisticstoday.com/logistics_services/rosenau-transport-realt-time-visibility-customers-1207/

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