Transportation is an important link in the supply chain and also plays a significant role in the Logistics industry. So anyone who does Logistics must learn and master. Not only naming but also understanding the advantages and disadvantages of each method to apply flexibly to optimize costs and minimize risks as much as possible. There are 4 basic modes of transport in Logistics:
Trucking
Advantages:
- Flexible in transportation, regardless of time
- You can choose vehicles, routes, quantity of goods
- Low cost
- High storage capacity
- No transportation intermediaries, minimizing loading and unloading costs
Downsides:
- Long-distance transportation often has to pay additional fees: toll stations, fuel fees, tolls,…
- Many risks: accidents, traffic jams, … affecting goods
- The volume and size of goods are limited
Sea transport
Advantages:
- Can transport goods of large size and volume
- Low shipping cost
- Limit collisions during transportation because the sea traffic is very wide
- Creating favorable conditions for economic exchanges with countries and regions around the world
Downsides:
- Must combine with road to be able to deliver goods to the place
- Shipping time is slow and depends on the ship
Rail transport
Advantages:
- Low cost, stable in the long run
- Transporting heavy goods on long routes
- There are separate cars: regular, super-heavy, cold cars
- Less affected by weather conditions, climate, high safety
Downsides:
- Inflexible, because it only works on the available rail system, fixed route
Air freight
Advantages:
- High speed, 40 times more than road transport
- Easy long-distance transportation
- Low accident rate, ensuring the safety of goods
Downsides:
- High cost, on special occasions, the cost is 3.4 times higher than usual
- Complicated customs procedures
- Limit the volume and size of goods
