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24 July, 22:29

List four of the main modes of transporting goods; also cite two of the benefits and two of the limitations for each mode.

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  1. 24 July, 23:05
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    Selecting right mode of transportation for the business is an important decision as it affects the logistics and supply chain. This has direct impact on : -

    1. Cost: - The decision of mode of transport would have direct bearing on cost involved and hence the price to the consumer.

    2. Time: - Time taken for raw material to reach the factory and the finished good to reach to market.

    Selecting the right mode of transport depends upon the product, the location, availability of means of transport, product margin, perishable life of product and the need to reduce the time lag.

    Various modes of transport are : -

    1. Road transport : - Example: Trucks, commercial vehicles.

    Advantages: -

    a) Relatively cheaper mode of transport

    b) Does door to door service

    Disadvantages: -

    a) Affected by climatic conditions like flood, rain, landslide etc

    b) Limited quantity transport and not economical for very long distance.

    2. Air transport : Example - Passenger aircraft, Cargo aircraft, helicopters.

    Advantages : -

    a). Faster mode of transport

    b). Reaches places not accessible by road / water.

    Disadvantages : -

    a). High cost involved.

    b). Affected by adverse weather conditions.

    3. Rail Transport : Example : Goods and passenger trains.

    Advantages : -

    a). Faster than Road transport with no traffic congestions

    b). Not much affected by climatic conditions.

    Disadvantages : -

    a). Depedent upon rail network connectivity and not suitable for remote areas.

    b). Does not provide door to door service.

    4. Water Transport : - Example - Ships, boats, steamers

    Advantages:

    a). Economical for heavy load and cargo.

    b). Lesser cost than air transport for international destinations

    Disadvantages

    a). Slower mode so not suitable for perishable goods.

    b). Highly affected by weather conditions.
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