2.7 Chapter 2 Assessment
Piyush Shah; Elias (Lee) Kirche; and Iana Shaheen
Situational Questions
Situation: A company with several customers in the same region is considering using a break-bulk warehouse to optimize transportation costs. Currently, it ships individual LTL shipments to each customer. How would using a break-bulk warehouse in a central location reduce costs, and what are the potential benefits?
Situation: A retailer is deciding whether to use a 3PL or a 4PL provider to manage its logistics operations. The retailer values control over logistics providers but is also looking for convenience and streamlined operations. What would you recommend, and why?
Situation: You are a logistics manager for a company that manufactures high-end electronics. The products are sensitive to temperature fluctuations and have high inventory holding costs. Which mode of transportation would you choose, and why?
Situation: Your company is considering whether to outsource its logistics operations or invest in its own fleet of trucks. You know that your company frequently experiences empty backhauls when transporting goods. What would be your recommendation, and what factors would you consider?
