Logistic Management - Develop and Maintain Operational Procedures for Transport and Logistics Enterprises - Transport within Logistics - Management Assessment Answer

Assessment Task:

Management Assessment Answer

Activity 1

International trade logistics
Operational
1.    Explain what is meant by the Incoterm EXW. To what transport modes does this apply? 

2.    Explain what is meant by the Incoterm FOB. To what mode of transport does this apply? 

Planning
3.    Select three Incoterms as the basis for an agreement with a supplier and a customer. Discuss the impact the choices have on operating costs and the cash cycle of a business. How could this be improved?

4.    Suppose a manufacturing company in Australia has been given an order to ship a container of its products valued at $40,000 to Papua New Guinea (PNG). What are the risks associated with the logistics of exporting the container to PNG? How might these risks be mitigated? Consider the codes of practice and legislative requirements including local and international regulations relevant to transport and logistics operations and the Australian Dangerous Goods (ADG) Code.

Management

5.    
a.    Create a list of key challenges concerning international trade for a senior supply chain executive of a global enterprise.

b.    How would you prioritise this list? Provide justifications for your priorities.

c.    Select the number one challenge on the list and then, identify the steps required to understand, analyse, and then explain the scope for improvement and how to implement the change.

6.        How will the decision about what Incoterms trade term to use affect the structure of the logistics strategy?

Activity 2
Transport within logistics
Operational

1 What are the criteria that affect the decision to choose a particular transport mode?

2. Use the following table to rate the various modes of transport against a range of criteria affecting the mode selection. Use a scale of 1 to 10 where 1 = best and 10 = worst.

Mode    Route flexibility    Cost    Transit Time    Reliability    Product Safety    
Road                        
Rail                        
Air                        
Sea                        
Pipeline                        
Planning

3.    Which Incoterm would ensure maximum control of inbound transport for a manufacturing enterprise? Explain why.

4.    Explain how you would measure the transport performance of a carrier. Management

5.    List the elements in the process of establishing a tender for road transport.

6.    In Australia explain what is meant by the term ‘chain of responsibility’

Activity 3
Storage and distribution operations
1.    Identify key performance indicators that can be used in a warehouse environment. What value will they have to informing customer service?

2.    Reflect on the layout of a warehouse or distribution centre that you are aware of.
a.    Define the layout. This might include making a sketch plan of the warehouse. Consider safety and security requirements as part of this.

b.    Is it optimal for the customer demands and the processes and procedures performed?

c.    What advantages does this layout offer and what challenges does it present? Planning

3.    Explain the difference between a warehouse and a distribution centre.

4.    
a.    Compare and contrast the KPIs used in a warehouse and a distribution centre. Also describe the difference between leading and lagging indicator KPIs.

b.    How do these measurements assist in meeting the objectives of both facilities?

Management 
5.    What decisions need to be made about the location of a warehouse or distribution facility?

6.    What are the factors that need to be considered when designing a warehouse facility?

7.    It is extremely important for organisations to have Environmental Health and Safety (EHS) policies in place. How do Material Safety Data Sheets form an important part of delivering a successful EHS policy in a hazardous materials environment?

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