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CHAPTER1LogisticsandtheSupplyChain?2008PrenticeHall1-2LearningObjectivesTolearnthedefinitionoflogisticsTounderstandtheeconomicimportanceoflogisticsTolearnofrecenteventsandtheirinfluencesonlogisticspractices?2008PrenticeHall1-3LearningObjectivesTogainanunderstandingoflogisticspracticeswithinafirmTolearndifferentpricingpoliciesToknowaboutlogisticscareers?2008PrenticeHall1-4LogisticsandtheSupplyChainKeyTermsChannelintermediariesCosttrade-offsEconomicutilityFIFOFOBorigin/destinationpricingsystemsKeyTermsFormutilityFreightabsorptionLandedcostsLIFOMarketingchannel?2008PrenticeHall1-5LogisticsandtheSupplyChainKeyTermsPhantomfreightPlaceutilityPossessionutilityReverselogisticsSupplychainKeyTermsStock-keepingunits(SKUs)StockoutsSystemsapproachTimeutilityTotalcostapproach?2008PrenticeHall1-6EconomicImpactsofLogisticsMacroeconomicImpactsEconomicUtilityPossessionutilityFormutilityPlaceutilityTimeutility?2008PrenticeHall1-7Table1-1:

TheCostoftheBusinessLogisticsSysteminRelationtoGrossDomesticProduct(GDP)in$BillionYearInventoryCarryingCostsTransportationCostsAdministrativeCostsTotalU.S.LogisticsCostLogisticsAsaPercentageofGDP1960314437814.719653864410614.719705691615314.7197597116922213.519802202141745116.119852272742052112.419902833512565911.419953024413077310.42000377590391,00610.1Source:R.WilsonandR.Delaney,TwelfthAnnualStateofLogisticsReport,2001?2008PrenticeHall1-8Logistics:WhatItIsCouncilofLogisticsManagementdefinition:“Logisticsisthatpartofthesupplychainprocessthatplans,implements,andcontrolstheefficient,effectiveforwardandreverseflowandstorageofgoods,services,andrelatedinformationbetweenthepointoforiginandthepointofconsumptioninordertomeetcustomers’requirements.”Source:?2008PrenticeHall1-9Logistics:WhatItIs《中華人民共和國物流術(shù)語標(biāo)準(zhǔn)》中物流的定義:物流是物品從供應(yīng)地向接受地的實(shí)體流動的過程。根據(jù)實(shí)際需要,將運(yùn)輸、儲存、裝卸、搬運(yùn)、包裝、流通加工、配送、信息處理等功能有機(jī)結(jié)合,來實(shí)現(xiàn)用戶要求。?2008PrenticeHall1-10TheIncreasedImportanceofLogisticsAReductioninEconomicRegulationRecognitionbyProminentNon-LogisticiansTechnologicalAdvancesTheGrowingPowerofRetailersGlobalizationofTrade?2008PrenticeHall1-11TheSystemsandTotalCostApproachestoLogisticsSystemsApproachInterdependenceofcompanyandlogisticsgoalsInterdependenceoffunctionalareasStock-keepingunits(SKUs)InterdependenceoflogisticsactivitiesorIntrafunctionallogistics?2008PrenticeHall1-12Figure1-1:

ControlOvertheFlowofInboundandOutboundMovements?2008PrenticeHall1-13Figure1-2:

TheUtilizationofLogisticsServiceasaMajorSellingPoint?2008PrenticeHall1-14TheSystemsandTotalCostApproachestoLogisticsTotalCostApproachCosttrade-offs:changestooneactivitycausesomecoststoincreaseandotherstodecreaseTotalLogisticsConcept:tofindthelowesttotalcostthatsupportsanorganization’scustomerservicerequirements?2008PrenticeHall1-15LogisticalRelationshipswithintheFirmFinanceLIFOFIFOProduction?2008PrenticeHall1-16LogisticalRelationships

withintheFirmMarketingPlaceDecisionsPriceDecisionsFOBorigin/FOBdestinationpricingsystemsLandedcostsPhantomfreightFreightabsorption?2008PrenticeHall1-17Figure1-3:

PhantomFreightandFreightAbsorption?2008PrenticeHall1-18LogisticalRelationshipswithintheFirmMarketingProductDecisionsStockoutsPromotionDecisions?2008PrenticeHall1-19MarketingChannels“setsofinterdependentorganizationsinvolvedintheprocessofmakingaproductorserviceavailableforuseorconsumption.”Source:LouisW.SternandAdelI.El-Ansary,MarketingChannels,4thedition,UpperSaddleRiver,NJ:PrenticeHall,1992,p.1

OwnershipchannelManufacturersWholesalersRetailers?2008PrenticeHall1-20MarketingChannelsNegotiationschannelBuyandsellagreementsarereachedFinancingchannelPaymentsforgoodsPromotionschannelPromotinganeworexistingproductLogisticschannelMovingandstoringproductthroughoutthechannel?2008PrenticeHall1-21ChannelIntermediaries/FacilitatorsOwnershipchannelBanks,publicwarehousesNegotiationschannelBrokersFinancingchannelBanks,insurancecompaniesPromotionschannelAdvertisingagencies,publicrelationsagenciesLogisticschannelFreightforwarders?2008PrenticeHall1-22ActivitiesintheLogisticalChannelCustomerserviceFacilitylocationdecisionsInventorymanagementOrdermanagementProductionschedulingReturnedproductsTransportationmanagementDemandforecastingIndustrialpackagingMaterialshandlingPartsandservicesupportProcurementSalvageandscrapdisposalWarehousingmanagement?2008PrenticeHall1-23ActivitiesintheLogisticalChannelCustomerserviceFacilitylocationdecisionsInventorymanagementOrdermanagementProductionschedulingReturnedproductsTransportationmanagementDemandforecastingIndustrialpackagingMaterialshandlingPartsandservicesupportProcurementSalvageandscrapdisposalWarehousingmanagement?2008PrenticeHall1-24ActivitiesintheLogisticalChannelCustomerserviceFacilitylocationdecisionsInventorymanagementOrdermanagementProductionschedulingReturnedproductsTransportationmanagementDemandforecastingIndustrialpackagingMaterialshandlingPartsandservicesupportProcurementSalvageandscrapdisposalWarehousingmanagement?2008PrenticeHall1-25Responsibilitiesof

LogisticsManagersAspecialistFreightratesWarehouselayoutsInventoryanalysisProductionPurchasingTransportationlawAgeneralist

UnderstandsfunctionalrelationshipsRelateslogisticstootherfirmoperations,suppliers,customersControlslargeexpenditures?2008PrenticeHall1-26LogisticsCareersMostbusinessorganizationsarepotentialemployersLogisticsisthesecond-largestemploymentsectorintheUnitedStatesTheCEOofWal-MartbeganhisWal-Martcareerinthelogisticsarea!?2008PrenticeHall1-27LogisticsProfessionalismCouncilofLogisticsManagementCanadianAssociationofLogisticsManagementAmericanProductionandInventoryControlSocietyAmericanSocietyofTransportationandLogisticsAssociationforTransportationLaw,Logistics,andPolicyDeltaNuAlphaInternationalSocietyofLogisticsTransportationResearchForumWarehousingandEducationResearchCouncilProfessionalOrganizationsDedicatedtoAdvancingtheProfessionalKnowledgeoftheirmembers:CHAPTER2TheSupplyChainManagementConceptLearningObjectivesTolearnaboutsupplychainsandtheirmanagementTounderstanddifferencesbetweentransactionalandrelationalexchangesTorealizetheimportanceofleveragingtechnologyToappreciatebarrierstosupplychainmanagementTheSupplyChainConceptKeyTermsBullwhipeffectContractlogisticsCoopetitionCustomerpowerFourth-partylogistics(4PL)KeyTermsJITIILeadlogisticsprovider(LLP)LogisticsoutsourcingPartnershipsRelationalexchangesTheSupplyChainConceptKeyTermsSCORmodelStrategicalliancesSupplychainSupplychaincouncilsSupplychainmanagementKeyTermsThird-partyarrangementsThird-partylogisticsTransactionalexchangesAboutSupplyChains…Asupplychain

“encompassesallactivitiesassociatedwiththeflowandtransformationofgoodsfromtherawmaterialstage(extraction),throughtotheenduser,aswellastheassociatedinformationflows.” Source:RobertB.HandfieldandErnestL.Nichols,Jr.,IntroductiontoSupplyChainManagementFigure2-1:

DifferentSupplyChainConfigurationsSupplyChainManagementSupplychainmanagement

is“thesystemic,strategiccoordinationofthetraditionalbusinessfunctionsandthetacticsacrossthesebusinessfunctionswithinaparticularcompanyandacrossbusinessesinthesupplychain,forthepurposesofimprovingthelong-termperformanceoftheindividualcompaniesandthesupplychainasawhole.”Source:JohnT.Mentzeretal.,“DefiningSupplyChainManagement,”JournalofBusinessLogisticsSuccessfulSupplyChainshave…anenterprise-to-enterprisepointofviewasystemsapproachacrossallorganizationsinthesupplychainCompaniesrecognizeinterdependenciesGoalsandobjectivesarecompatibleFigure2-2:

TheSupplyChainOperationsReference(SCOR)ModelJITIIDevelopedbyBoseCorporationSupplierintegrationprogramAmorerealisticcompetitiveperspective“In-plants”GlobalizationofSupplyChainsIncreasingglobalizationLowerpricedmaterialsandlaborGlobalperspectiveofcompaniesDevelopmentofglobalcompetitionExtremelydifficulttoexecuteduetodifferencesCultural,economic,andtechnologicalPolitical,spatial,andlogisticalKeyAttributesofSupplyChainManagementCustomerpowerLong-termorientationRelationalexchangesTransactionalexchangesLeveragingtechnologyEnhancedcommunicationacrossorganizationsKeyAttributesofSupplyChainManagementInventorycontrolBullwhipeffectJAZInteractivity,interfunctional,andinterorganizationalcoordinationSupplychaincouncilsCoopetitionBarrierstoSupplyChainManagementRegulatoryandpoliticalconsiderationsLackoftopmanagementcommitmentReluctancetoshare,oruse,relevantdataIncompatibleinformationsystemsIncompatiblecorporateculturesSupplyChainManagementandIntegrationLong-term,mutuallybeneficialagreementsPartnershipsStrategicalliancesThird-partyarrangementsContractlogisticsMethodsusedtointegrateVerticalintegrationFormalcontractsInformalagreementsSupplyChainManagementandIntegrationThird-PartyLogistics(3PL)LogisticsoutsourcingContractlogisticsFourth-partylogistics(4PL)primarilyusedinglobalcompaniesLeadlogisticsprovider(LLP)SupplychainsoftwareCHAPTER3LogisticsandInformationTechnologyLearningObjectivesToappreciatetheimportanceofeffectiveandefficientutilizationofinformationforlogisticsmanagementTolearnaboutgeneraltypesofinformationsystemsandtheirlogisticalapplicationsLearningObjectivesTounderstandtheimpactofelectroniccommerceonchanneldesignTounderstandkeydifferencesbetweenthelogisticsofe-fulfillmentandthelogisticsoftraditionalfulfillmentLogisticsandInformationTechnologyKeyTermsApplicationserviceproviders(ASP)Artificialintelligence(AI)DataminingDecisionsupportsystem(DSS)KeyTermsE-fulfillmentElectronicdatainterchange(EDI)Enterpriseresourceplanning(ERP)systemLogisticsexchangesLogisticsandInformationTechnologyKeyTermsLogisticsinformationsystem(LIS)OfficeautomationsystemKeyTermsSimulationTransactionprocessingsystem(TPS)BenefitsofEffectiveandEfficientUseofInformationReplacementofinventorywithinformationReducedvariabilityinthesupplychainBettercoordinationofmanufacturing,marketing,anddistributionStreamlinedorderprocessingandreducedlead-timesFigure:

GeneralTypesofInformationManagementSystemsGeneralTypesofInformationManagementSystemsOfficeautomationsystemProcesspersonalandorganizationalbusinessdataPerformcalculationsCreatedocumentsGeneralTypesofInformationManagementSystemsCommunicationsystemHelpstakeholdersworktogetherbyinteractingandsharinginformationExamplesofuseVirtualmeetingsVideoconferencingusingcellphonesVoice-basedorderpickingGeneralTypesofInformationManagementSystemsTransactionProcessingSystem(TPS)CollectsandstoresinformationabouttransactionsEfficientprocessingoftransactionsReal-timeprocessingBatchprocessingGeneralTypesofInformationManagementSystemsTransactionProcessingSystem(TPS)(continued)ElectronicdatainterchangeBenefitsDrawbacksGlobalusageGeneralTypesofInformationManagementSystemsTransactionProcessingSystem(TPS)(continued)AutomaticidentificationtechnologiesTypes:OpticalcharacterrecognitionMachinevisionVoice-dataentryRadio-frequencyidentificationMagneticstripsBarcodescannersPoint-of-salesystems(POS)enhancedecisionmakingGeneralTypesofInformationManagementSystemsManagementInformationSystem(MIS)andExecutiveInformationSystem(EIS)ConvertdataintoinformationLogisticsinformationsystem:thepeople,equipment,andprocedurestogather,sort,analyze,evaluate,anddistributeneeded,timely,andaccurateinformationtologisticsdecisionmakersFigure3-2:

StructureandFunctionofaLogisticsInformationSystemGeneralTypesofInformationManagementSystemsDecisionSupportSystems(DSS)provideinformation,models,oranalysistoolsSimulationArtificialIntelligence(AI)ApplicationspecificsoftwareDataminingGeneralTypesofInformationManagementSystemsEnterpriseresourceplanning(ERP)Allcompanyfunctionalareasuseacommondatabaseto:StandardizemanufacturingprocessesIntegratefinancialdataStandardizehumanresourcedataShortcomingsCostsofinstallationTime-consuminginstallationprocessElectronicCommerceandLogisticsInternetimpactsinclude:LogisticsfunctionsTransportationOrdermanagementChanneldesignElectronicCommerceandLogisticsInternetimpacts(continued)Intermediaries4categoriesoflogisticsexchangesEnhancingprocurementservicesMatchingshippersandcarriersExecutingrelevanttransactionsTransactingwithpartnersApplicationserviceprovidersprovideaccessovertheInternettoapplicationsandrelatedservicesthatwouldotherwisehavetobelocatedinenterprisecomputersElectronicCommerceandLogisticsE-FulfillmentisthecoordinatedinboundandoutboundlogisticsfunctionsthatfacilitatethemanagementanddeliveryofcustomerordersplacedonlineElectronicCommerceandLogisticsE-fulfillmentManylogisticalfunctionsandactivitiesoccurMore,smallerordersOrdermanagementandinformationmanagementsystemsmusthandlelargevolumesoforders Smallerordersdictateopen-casepickingTraditionalFulfillmentManylogisticalfunctionsandactivitiesoccurFewer,largerordersOrdermanagementsystemissetuptohandleordersfromresellers,notconsumersFull-casepickingWarehousesetuptohandlelargevolumeordersElectronicCommerceandLogisticsE-fulfillmentProductsslottedtofacilitatepickingsmallerordersTotesandpushcartsusedPackagingissmallcartons,envelopes,bagssuitedtoholdingsmallquantitiesTraditionalFulfillmentWarehousesetuptohandlelargevolumeordersVarietyofmaterialshandlingequipmentusedPackaginggenerallycartonsthatholdlargevolumeordersElectronicCommerceandLogisticsE-fulfillmentTransportationcompaniesusedwithextensivedeliverynetworks;experienceinparcelshipmentsOutboundshipmentsusuallypickedupbyvansReturnratesmuchhigherandfromultimateconsumersTraditionalFulfillmentTransportationmethodsandcompaniesvarybyrequestofbuyerOutboundshipmentsmaybepickedupbytractortrailersorrailcarsReturnrateslowerandfromresellersCHAPTER4DemandManagement,OrderManagement,andCustomerServiceLearningObjectivesTounderstandhowafirmprocessesincomingordersTounderstandtheimportanceofcustomerservicetoafirm’smarketingactivitiesTorelatetheroleoflogisticsinthecustomerserviceareaLearningObjectivesToexaminewhycustomerservicestandardsshouldbespecificandmeasurableTodescribehowacustomerserviceprogramisestablishedandmaintainedOrderManagementandCustomerServiceKeyTermsCustomerserviceEfficientConsumerResponse(ECR)LoadplanningOrdercycleKeyTermsOrderdeliveryOrderentryOrderhandlingOrdermanagementOrderManagementandCustomerServiceKeyTermsOrderpickingandassemblyOrderprocessingOrdertransmittalKeyTermsQuickResponse(QR)ReplenishmentcycleOrderManagementOrdermanagementistheactivitiesthattakeplaceintheperiodbetweenthetimeafirmreceivesanorderandthetimeawarehouseisnotifiedtoshipthegoodstofillthatorderOrderplanning-connectedtosalesforecastingOrdertransmittalOrderprocessingOrderpickingandassemblyOrderdeliveryOrderManagementOrdercycledefinedbytheseller:timefromwhenanorderisreceivedtowhenthegoodsarriveatthecustomer’sdockOrdercycledefinedbythebuyer:timefromwhenanorderisplacedtowhenthegoodsarereceived.AlsocalledreplenishmentcycleGettingshorterMoreprecisedeliverytimesCustomercantrackordersQualityisimportantandisbenchmarkedOrderManagementOrderplanningNeedsanefficientorderhandlingsystemtopreventbunchingMethodstoreducebunchingUseoffieldsalespeopleUseofphonesalespeoplePricediscountstocustomersplacingregularordersOrderManagementOrdertransmittal

istheseriesofeventsthatoccurbetweenthetimeacustomerplacesorsendsanorderandthetimethesellerreceivestheorderMethodsofordertransmittalPhoneFAXMailScanningbarcodes-electronicsubmissionPOSregistersInternetFigure4-1:

Mail-InOrderFormUsedbyAWDirectOrderManagementOrderprocessingincludes:CheckingforcompletenessandaccuracyAcustomercreditcheckOrderentryintothecomputersystemMarketingdepartmentcreditssalespersonAccountingdepartmentrecordstransactionInventorydepartmentlocatesnearestwarehousetocustomerandadvisesthemtopicktheorderTransportationdepartmentarrangesforshipmentFigure4-3:

FlowchartofOrderHandling(OrderProcessing)SystemOrderManagementOrderprocessingIfthereisastockoutNotifythecustomerassoonaspossibleofstockoutNotifywhenshipmentwilloccurGivethecustomertheoptionofacceptingin-stock,similarproductsExportordersNeedaletterofcreditInternationalfreightforwarderspreparedocumentsandarrangeshipmentOrderManagementOrderpickingandassemblyincludesNotifyingthewarehousetoassembleagivenorderProvidinganorderpickinglist,indicatingitemsandorderofpicktoawarehouseemployeeCheckingpickedordersforaccuracyStockoutinformationsenttoorderhandlingdepartmentsothatdocumentscanbeadjustedPackinglistenclosedwithorderincludingemployeeinitialsofpersonwhopackedorderOrderManagementOrderdeliveryisthetimefromwhenacarrierpicksuptheshipmentuntilitisdeliveredtothecustomer’sreceivingdockLoadplanningisthearrangementofgoodswithinthetrailerorcontainerCarriersestablishtheirownservicestandardsSomecustomerspickuptheirordersOrderManagementImportanceofthe

ordercycleShortcycletimeusedasamarketingandsalestoolMonitoringtheordercyclecanincreasefirmefficiencyEfficientConsumerResponse(ECR)/QuickResponse(QR)UsedingroceryindustryandbymassmerchandisersPOSdatausedtotriggerorderKeyedtomoreorderly,regularflowofproduct,smallerinventoryCustomerServiceCustomerserviceisacollectionofactivitiesperformedinawaythatkeepscustomershappyandcreatesinthecustomer’smindtheperceptionofanorganizationthatiseasytodobusinesswithCustomerserviceismuchmoredifficultforcompetitorstoimitatethanpricecutsorothercompetitivestrategiesCustomerServiceValue-addedactivitiesprovidedbycustomerserviceinclude:PlacingbarcodelabelsoncartonsArrangingacarton,pallet,ortruckinthesequencethecustomerwouldliketounloaditShrink-wrappingInsertingdocumentsintocartonsBlendingproductsAddingpricetagsAddinggraphicsforexportgoodsAssemblingkitsCustomerServiceEstablishingObjectivesSpecificMeasurableAchievableConsistentwithbroaderfirmgoalsMustconsidercompetitor’sobjectivesProvideguidancetooperatingpersonnelCustomerServiceReturnedProductsNewflowofproductsaresetupNewinfrastructureisrequiredGoodsandmaterialsarereturnedforvariousreasonsGroceryindustryusesreclamationcentersforreturnsRoleofLogisticsinEstablishingCustomerServiceLevelsAdvisortomarketingEstablishingacustomerserviceprogramAskthecustomerwhatisimportanttothemInvestigatetheserviceofferedbycompetitorsConsiderthecostofalternativeserviceprogramsAnalyzetheinformationandwritetheobjectivesUsingtheInternettoimprovecustomerserviceMeasuringandControllingCustomerServicePerformancemodelAuditcreditmemosMeetingCustomerDemandsControltheprocessFirmsdemandinghigherlevelsofcustomerserviceWithreliableservice,thefirmcanmaintainlowerinventorylevelsResellersmonitorvendorqualitylookingforthosewithunacceptablequalitylevelsProcessisoftendehumanized;servicecanmakeitmorepersonalCHAPTER5ProtectivePackagingandMaterialsHandlingLearningObjectivesToknowhowproductfeaturesaffectpackagingandmaterialshandlingToidentifythefunctionsperformedbyprotectivepackagingToanalyzetheutilizationofunitloadsinmaterialshandlingLearningObjectivesToappreciatehowtheenvironmentalprotectionmovementhasaffectedpackagingandpackagechoiceTolearnmaterialshandlingprinciplesProtectivePackagingandMaterialsHandlingKeyTermsBuilding-blocksconceptBulkmaterialsCompliancelabelingKeyTermsErgonomicsMaterialshandlingPackagetestingProtectivePackagingandMaterialsHandlingKeyTermsPalletsRecycledcontentSlipsheetKeyTermsUnitizationUnitloadsProductCharacteristicsPhysicalCharacteristicsDensityofbulkmaterialsAbilitytowithstandexposuretoelementsRespirationChemicalCharacteristicsIncompatibleproductsProductsrequiringchemicalsCharacteristicsmustbemadeknowntoconsumersFigure5-1:

PortionofFabricCareLabelforLevi’sJeansSoldinJapanProductCharacteristicsHazardousCargoExplosivesCompressedgasesFlammableliquidsOxidizersPoisonsRadioactivematerialsCorrosivematerialsProductCharacteristicsEnvironmentalProtectionReducepackingmaterialsusedUsepackagingmaterialsthataremoreenvironmentallyfriendlywithrecycledcontentUsereusablecontainersRetainorsupportservicesthatcollectusedpackagingandrecycleitProductCharacteristicsPackagingScrapDisposalPalletshredderMetricSystemUsageFigure5-3:

APalletShredderDesignedtoReducetheCubicVolumeofWoodenPalletsandCratingSoThatTheyCostLesstoTransportPackagingBuilding-blocksconceptSmallestunitisconsumerpackageEachunitisstockedwithinthenextlargeronetoprotecttheproductPromotionalfunctionsofboxesPackagingProtectivefunctionsofpackagingEnclosematerialsRestrainmaterialsfromundesiredmovementSeparatecontentstopreventundesiredcontactCushioncontentsfromoutsidevibrationsandshocksSupporttheweightofidenticalcontainersstackedabovePositionthecontentstoprovidemaximumprotectionProvideforuniformweightdistributionProvideexteriorsurfaceforlabelingBetamperproofBesafeforconsumersorothersFigure5-7:

ChecklistforBoxUsersFigure5-9:

Boxmaker’sCertificate

(BMC)PackagingPackagetestingVibrationsDroppingHorizontalimpactsCompressionOverexposuretoextremetemperaturesormoistureRoughhandlingFigure5-10:

ResultsofCompressionTestPackagingApackagesystemrequires3typesofinformationtodesignSeverityofthedistributionenvironmentFragilityoftheproductPerformancecharacteristicsofvariouscushionmaterialsPackagingLabelingRetroflectivelabelsBatchnumbersWeightSpecificcontentsInstructionsforuseInformationtoallowpassagethroughcustomsCompliancelabelingOne-ortwo-dimensionalbarcodesSmartlabelsorRFIDlabelsFigure5-14:

ExamplesofShippingLabelsFigure5-16:

AHandheldLaserScannerScanningLabelsonaPalletLoadofProductSittinginaWarehouseRackUnitLoadsinMaterialsHandlingBasicunitisapalletorskidLumberisexpensivesofirmswantpalletsreturnedProvidescushioningeffectintransportQualityofpalletsvarieswidelyChepUSArentspalletsinwoodorplasticShouldbelessthan50pounds—difficultwithplasticMetalalsousedinclosedloopsystemsUnitLoadsinMaterialsHandlingAunitloadisoneormoreboxessecuredtoapalletorskidsothatboxescanbehandledbymechanicalmeansRainbowpalletloadUnitizationdescribesthistypeofhandlingSlipsheetcanbeusedinplaceofpalletSavesverticalroomRequiresmorecarewhenmovingUnitLoadsinMaterialsHandlingAdvantagesAdditionalprotectionPilferageisdiscouragedMorefragileitemscanbestackedinsidetheloadMechanicaldevicescanbesubstitutedforhandlaborDisadvantagesProvideslargequantitythatsometimesisoflimitedvaluetoresellersdealinginsmallerquantitiesMustusemechanicalorautomateddevicetomoveFigure5-19:

ABatteryPoweredLiftTruckUsedforStockPickingUnitLoadsinMaterialsHandlingAnintermodalcontainerholdstheunitloadInterchangeableamongrail,truck,andwatercarriersAircarriersusuallyuseirregularshapedcontainersmadetofitfuselageFigure5-21:

Various

TypesofIntermodalSurfaceContainersUnitLoadsinMaterialsHandlingEquipmentloadingLoad-planningBracingInflatabledunnagebagsLoadissubjectedtofiveforcesVibrationCentrifugalRetardationRollPitchFigure5-25:

TheBuilding-BlocksConceptofPackaging:ASummaryMaterialsHandlingMaterialshandlingreferstohowthematerialsorproductsarehandledphysicallyHowtheproductsarehandleddependsonwhethertheyarepackagedorinbulkHandlingmaychangethecharacteristicsoftheproductMaterialsHandlingPrinciplesOrientationRequirementsIntegratedsystemStandardizationJust-in-timeUnitloadMinimumtravelSpaceutilizationErgonomicsEnergyEcologyMechanizationMaterialsHandlingPrinciplesAutomationFlexibilitySimplificationGravitySafetyComputerizationSystemsflowLayoutCostMaintenanceObsolescenceTeamsolutionMaterialsHandlingintheSupplyChainProductscanmovethroughouttheentiresupplychainBarcodes,two-dimensioncodes,radio-frequencycodessystemsfacilitateintegrationthroughoutthesupplychainCHAPTER6TransportationLearningObjectivesTorelatethemodeoftransporttotheuser’sshippingvolumeTounderstandtheuseofroutingguidesTorealizetheroleoffreightforwardersandotherintermediariesTounderstandthedifferencebetweenLTLandTLmotorcarriersLearningObjectivesToappreciatetheuseofterminalsastransferpointsforbulkmaterialsToappreciatetrade-offswhenusingvehicleswithself-loading/unloadingequipmentTolearnaboutprojectcargoTolearnthebasicsoffreightratedeterminationTheDomesticTranspo

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