1 14.6 Chapter 14 Assessment
Conceptual Questions
- 14.1 Introduction: What strategic shift has occurred in how logistics is viewed within major corporations like Amazon and Walmart?
- 14.2 Logistics Strategy: What are the two key components of strategic decision-making in logistics discussed in this chapter?
- 14.2.1 Ownership vs. Outsourcing: What are the main challenges associated with managing a private fleet of trucks?
- 14.2.2 Mode of Transport Selection: How does the choice of transportation mode affect inventory management?
- 14.3 Transportation Modes: What are the key differences between the hub-and-spoke network and the point-to-point network in trucking?
- 14.4 International Logistics: What are Incoterms, and why are they important in international trade?
Situational Questions
Situation: You are a logistics manager for a company that manufactures high-end electronics. The products are sensitive to temperature fluctuations and have high inventory holding costs. Which mode of transportation would you choose, and why?
Situation: Your company is considering whether to outsource its logistics operations or invest in its own fleet of trucks. You know that your company frequently experiences empty backhauls when transporting goods. What would be your recommendation, and what factors would you consider?
