Please respond in a single “stand alone” paragraph to the following with a minimum of 250*** words –
*DO NOT INCLUDE IN ASSIGNMENT, MUST BE SEPARATE FROM ASSIGNMENT*
What are some new trends that impact international air transportation has when it comes to the environment and sustainability?
Find a recent article pertaining to security requirements for ocean transportation. Cite and summarize the article in 3-5 pages.
The requirements below must be met for your paper to be accepted and graded:
• Write between 750 – 1,250 words (approximately 3 – 5 pages) using Microsoft Word in APA style.
• Use font size 12 and 1” margins.
• Include cover page and reference page.
• At least 80% of your paper must be original content/writing.
• No more than 20% of your content/information may come from references.
Use an appropriate number of references to support your position, and defend your arguments. The following are examples of primary and secondary sources that may be used, and non-credible and opinion based sources that may not be used.
a) Primary sources such as government websites (United States Department of Labor Bureau of Labor Statistics, United States Census Bureau, The World Bank, etc.), peer reviewed and scholarly journals in EBSCOhost (Grantham University Online Library) and Google Scholar.
b) Secondary and credible sources such as, CNN Money, The Wall Street Journal, trade journals, and publications in EBSCOhost (Grantham University Online Library).
c) Non-credible and opinion based sources such as, Wikis, Yahoo Answers, eHow, blogs, etc. should not be used.
Cite all reference material (data, dates, graphs, quotes, paraphrased statements, information, etc.) in the paper and list each source on a reference page using APA style.
WEEK 6 – Global Logistics
To access online textbook: “International Logistics: The Management of International Trade Operations”
Required Reading and Lectures:
International transportation can be a complex mode of serious shipping or it can be a simple way of moving the cargo from point A to point B. In the end, transportation is to bring your product from one end to the other in the most cost efficient way and in a timely manner. Most companies prefer to deal with logistic companies who can offer combinations of shipping methods. As an importer, depending on your industry needs, you may require different methods of cargo transportation.
Choices for international transport and distribution include road, rail, air and sea. Various factors will influence your decision on which type of transport to use – including your business’ requirements, the destination country, and the type of goods you are importing or exporting.
Ask yourself the following questions:
Road transport can be the most flexible option for your international business, especially within the European Union. The motorway network is good and crossing national borders is usually quick and efficient.
But you should be aware of the following issues:
Rail transport is a cost-effective and efficient way to move your goods. It offers you the following advantages:
However, you should consider the following issues:
International Ocean Transportation
Ocean shipping is fundamental to the global economy. Ocean shipping is used for raw materials, food and manufactured goods. Alternatives in the ocean sector can be differentiated by type of service, size of vessels, and type of vessel. Each vessel must fly the country’s flag in which it is registered. There are two ways of shipping by sea.
FULL CONTAINER LOAD OCEAN FREIGHT:
It is the most efficient way to ship your cargo. Commonly used container sizes are 20STD, 40STD and 40HC. There are also numerous types of ocean containers used for international ocean freight transportation, including 45HC, open top, flat racks etc.
LESS THAN CONTAINER LOAD OCEAN FREIGHT:
It is commonly used if you don’t have enough cargo to fill a container load. You pay only for the space used in the container. Typically LCL rate is calculated by volume but not by weight. Always discuss with your logistics partner if you need LCL or FCL service. There is always a breaking point where LCL or FCL shipment might be more cost savings for you. Once you ship LCL you share the containers with other importers and there are more add on costs since the container needs to go CFS (Container Freight Station) to be split. Shipping the container with a little bit empty space but as FCL might be cheaper then sharing with others as LCL.
Liner ships – pre-established schedule.
Tramp ships – operate where and when market dictates.
Ship sizes are represented by tonnage. The deadweight tonnage is the total capacity of the ship. This includes fuel, travel necessities and supplies.
The gross tonnage is only the capacity below the deck. A large number of vessels carry cargo on their deck so gross tonnage is not good for measuring the cargo capacity of a ship.
The displacement tonnage measures the weight of the ship after it is full loaded. The light tonnage measures the weight of the ship when it is empty.
Types of vessels:
* Roll-on/Roll-off ships
* Break-Bulk or General Merchandise Ships
* Combination Ships
* LASH ships
* Product, chemical or crude carriers
* Dry-bulk carriers
* Gas carriers
International Air Transportation
International air cargo transportation has grown significantly over the past thirty years. The types of air cargo services are defined by the nature of the product being shipped. This mode of transportation is costly but it is the fastest. Unless it is a product that needs to be somewhere like yesterday then this will be used and price is not an option. An example would be time sensitive cargo such as a machine part that is needed to replace a part of manufacturing machine.
Air cargo services include:
* Express airfreight
* Scheduled airfreight
* Charter airfreight
* Leased cargo aircraft
* Airfreight forwarder
Types of aircraft:
* Combination (passenger/freight)
* Air freighters
The International Air Transportation Association (IATA) and the International Cicil Aviation Organization (ICAO) regulate the international airfreight business. In the United States the Transportation Security Administration (TSA) has the responsibility of the security of air cargo. If you are planning import or export operations, and would prefer not to manage the logistics by yourself, you can engage a freight forwarder.
Freight forwarders offer a wide range of expertise and services including:
Selecting and managing a freight forwarder
You need to make sure you choose a freight forwarder who suits your needs. Questions to consider include:
David, P., & Stewart, R. (2010). International logistics. 3rd Edition. Mason, OH: Thomson
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