Professional Documents
Culture Documents
1. Containerization
2. Nodal Points
3. Principles of transportation
4. Transportation policy
5. Freight rate structure
6. Inland Container Depots
7. Transportation infrastructure
8. Transportation modes
9. Material handling
10.Inter modal transport
11.Piggyback, fishy back, birdy back
12.TOFC, COFC
13.Unit train
14.Milkruns
• Unit trains - entire train carrying a single product that can go directly to
the customer without getting shunted off in marshaling yards.
• Articulated cars - flexible units with extended chassis that can hold ten
containers.
Freight rates are transportation rates charged by carriers for shipping the goods
to the consignees premises. These rates are structured round some principles.
• Mode of transportation
Route is the path the product takes and network is locations and routes along
which a product can be shipped. In this case, the transportation decision is
selection of network.
ALL SHIPMENT S
VIA DC
Retail stores
• Tailored Network
Tailor made to the company needs. This may be a new network synthesized
from above models. Or for some logistical mission one model and for some
other mission another model.
Features:
1. Matches the needs of the company
2. Coordination is complex. As the tailored network is synthesized
management may involve several decisions.
Inter-modal transportation:In addition to the five basic modes of transport, a
number of intermodal combinations are available to the shipper. The more
popular combinations are TOFC [Trailer On Flat Car] and COFC [Container
On Flat Car]. Intermodal movements combine the cost and/or service
advantages of two or more modes in a single product movement. Benefits of
long haul, short time & flexibility are optimized for achieving overall cost
reduction
RAIL COMMON
PIGGY BACK
FISHY BACK
WATER COMMON,
CONTRACT,
EXEMPT, PRIVATE TRAIN SHIP
AIR COMMON,
CONTRACT,
EXEMPT, PRIVATE AIR TRUCK
[BIRDYBACK]
Containerization
[kkk pages 350 to 362]
Containers were introduced in US during 1955 and in India during 1960
Features of a container:
1. Robust but still light to ensure several handlings during unbroken transport
of goods by several modes
2. Equipped with fittings to facilitate safe and easy handling
3. Easily be stuffed or unstuffed in a short time
BY ABHIJEET ALTE | Transportation 27
4. Water tight and air tight outer shell
5. Internal lining that doesn’t buckle under temperature and can be easily
cleaned
6. Watertight flooring, air tight door seals and locks
7. Insulation to protect refrigerated cargo. Interior washable to required
hygienic standard
8. Construction to allow circulation of air around cargo. Potential areas for
containerization are food stuff
Universal advantages of container as a packaging unit
1. Reduction in loss, pilferage and damage of goods
2. Reduction in paper work
3. Expedites door to door pick up and delivery
4. Eliminates multiple handling of contents as this is shipped as a single unit
5. Consolidation of movement of small lots
6. Standardization of handling methods and equipment
7. Reduction in packaging cost as container itself acts like a package
8. Optimizes the services of various modes. Container can easily be
transshipped.
Benefits of owning containers by product owners
1. Ensures supply of containers
2. Product specific internal fittings can be provided
3. Reduction in transportation costs if the traffic is two way
4. Control of internal cleanliness as per product need
5. It can be used for delivery after arrival
6. Good storage system
Major benefits of containerization to business
1. Integration of various modes of transport
BY ABHIJEET ALTE | Transportation 28
2. Reduction in handling time and thereby turn around time of vehicles
3. Standardized size of containers reduces reduce capital as well as
operational costs
4. Reduction in packaging cost as container itself is a robust packaging
5. Need for enclosed warehouses redundant
6. Regularity and reliability of transport service
Infrastructure of containerization
1. Deep water ports
2. Mechanized handling equipment
Roll On/Roll Off [RORO]
High cost of lifting a container from the truck and loading on to a ship made
logisticians look for a new idea. Concept of RORO is driving the truck loaded
with the container directly on to the deck of a ship and driving off the deck on
reaching the destination. Truck loaded with container uses the ship as a mobile
bridge! You may have seen passenger buses rolling on to ferries and rolling off
after crossing the river.
LASH [Lighters Aboard A Ship]
All ports are not accessible to deep water vessels. The deep water ships stand a
long way off on sea. Cargo from shallow ports is loaded on the barges, the
barges are towed to the ship. The huge crane of the ship lifts the entire barge
and places it on the deck. After reaching the destination barge is placed on
shallow waters to reach the port.
Inland container depots
Inland Container Depots [ I C Ds ]
ICDs are dry ports. Dry ports at a distance far away from the shoreline handle
all the import export formalities. ICDs act like deep-water ports installed
inland or interior where the natural benefit of shoreline is non-existing. This a
BY ABHIJEET ALTE | Transportation 29
large warehouse where containerized cargo is accepted for export. The
exporter books his cargo at an ICD and completes all export formalities.
Thereon ICD moves the containers by movement consolidation to natural port.
Cargo crosses the dock and goes into the waiting ship.
• connect major ports [able to handle container ships] to hinterland. Hinterland
is deprived of natural deep water ports because of geography. This hinders
exports. Congestion gets created at natural deep water ports when export cargo
arrives from hinterland. Deep water ports being limited in number suffer
congestion as deep water ships carrying export cargo dock only at deep water
ports.
• facilitate customs clearance, export import formalities. ICDs ensure that
businessperson does not have to go to the deep water ports with his cargo for
clearing import/export formalities.
• ICD to be located after ascertaining export import potential and good road
network. One of the objectives of creating ICDs is to facilitate harnessing
export potential of hinterland. Hence this location analysis is essential.
• Serve as consolidation facility and should have handling equipment. Facility
to group small consignments and create container loads needs handling
equipment.
• goods transfer from road to rail and otherwise. Inter modal transfer is a
major operation in an ICD. ICD consolidates consignments arriving by trucks
and transfer the cargo in containers to another mode, say rail for onward
movement to a natural port.
• increase the export potential of industries in the hinterland and also simplifies
import of goods by hinterland.
• Decongest major ports. This is another benefit provided by ICDs which is of
immense importance for a country with weak infrastructure like ours.
BY ABHIJEET ALTE | Transportation 30
Benefits of containerization can be fully exploited only when we have a
good net work of ICDs [Inland Container Depots]
While most of the bulk goods are transported by rail, all other goods are
transported by road.
• Although Rajasthan is a land-locked state, four inland container depots
(ICDs) at Jaipur, Jodhpur, Bhiwadi and Bhilwara, along with an air
cargo complex at Jaipur's Sanganer Airport act as efficient and
convenient gateways for outbound cargo. The customs department,
shipping companies, handling agencies, surveyors for authentication of
stock, banks, customs house agents and clearing and forwarding agents
are all based at the ICDs.
• The infrastructure at the ICDs has been strengthened with the
deployment of better equipment. This has resulted in the quicker
handling of containers, reduction of transit time from ICDs to ports. Of
the total export cycle time, the dwell time is down to 1.9 days, compared
to three days at other ICDs.
• Tariff at the Jaipur and Jodhpur ICDs has been reduced by 20 per cent,
recently.
• The air cargo complex provides facilities for customs inspection and
shipment of non-bulk goods for exports by air. To overcome the
problem of a limited lifting capacity of Indian Airlines, a scheme of
bonded trucks has been started.