Logistics and Supply Chain Operation No2

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*Logistics and Supply Chain Operation

Forms or Modes of transport and their suitability for different goods:  


(a) Air; - this is a rapidly growing form of transport for both passengers and goods. It
facilitates the fast movement of perishable goods, medical supplies and important post.
(b) Rail – Is widely used for bauxite and tourists. Also for transporting heavy bulky
goods such as asphalt, alumina, coal, iron ore and limestone.
(c) Road; - Most widely used for a huge range of products, such as posts and parcels;
perishable goods; individual items such as furniture that need to be delivered to
particular customer and the movement of a large number of products.
(d) Marine (cruise and cargo); - this is most widely used in countries with wide and deep
rivers that flow between large towns and cities. It facilitates timber movement and some
heavy bulky goods.
 (e) Digital delivery – is the delivery or distribution of digital media content such as
audio, video, software and video games

Distinguish between multimodal and intermodal transport


Multimodal transport – means the combined transport. It is transportation under a
single contract, but performed with at least two different means of transport. The carrier
is liable in a legal sense for the entire carriage even though it is performed by several
different modes of transport e.g. rail, sea or air.
Intermodal – is the movement of cargo from origin to destination by several modes of
transport where each of these modes have a different transport provider or entity
responsible, each with its own independent contract. Multiple carriers contracted to
fulfill a single journey.

Transport documents 
When goods are being transported internationally, transport documents often needs to
be completed. These are often needed because of government controls over imports or
because of the extra complications associated with international transport. Some such
transport documents includes import licenses, bill of lading and airway bills.
Import License
This document gives a business permission to import goods into a county. It is used by
governments to restrict the importation or to limit the amount of certain goods
imported. Quotas are sometimes used to protect local industries as they specify the
quantity of certain goods importers are allowed to import.

 
Bill of Lading
The Bill of Lading is a contract of carriage between the seller of the goods (exporter) and
the shipping company transporting the goods. It is also a document of title as a copy
must be presented by the importer before he can claim the goods.
It includes the following information: The number of packages, the weight of each piece,
the contents, the port of departure and destination, the name of the ship, the senders
name and address and receivers name and address

The Airway Bill


This document is used when goods are transported by air. It contains similar
information as the bill of lading.  It is not a document of title and the consignee named
need not have a copy to collect the goods.

Insurance Certificate – (Marine Insurance)


This document provides protection for the goods being shipped against loss or damage
at sea.

Certificate of Origin
This document states the country in which the goods were manufactured. This is
important for Caribbean countries as goods from other Caribbean countries enter duty
free. Goods imported from outside the region are taxed.

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