Lean Transportation Principles and Basics of Transportation

-Find a product that is manufactured in one country but requires supply from another country.

-Determine the value of shipping 1 container worth of freight (i.e. $100,000)

-What INCO term would you use to ship the product into your country and why (see Lesson 3)

-Create 2 plans for shipping the product to the foreign country

1. Develop strategy based on best cost, best reliability, fastest speed where you can only have two options: cheap and good; good and fast; fast and cheap.
2. Assume $10,000 for ocean freight, $2,000 for pick up by truck, $2,000 for delivery by truck, $1,000 intermodal (rail and truck for both pick up or delivery), $10.00/kg for air freight, $100 for customs clearance, $150 for air origin or destination fees, $250 for ocean origin or destination fees)
3. Assume, transit time by ocean is 45 days on the water; ocean drayage move adds 5 days at both origin and destination; rail moves add 10 days at both origin and destination; air freight is 10 days transit with 1 day at both origin and destination.

-Use least 2 modes of transport in your solutions

-Argue which plan is better and why for your import

-Write a conclusion