Chapter 7. Transportation Systems
As the saying goes, “a chain is only as strong as its weakest link”. In the case of the supply chain, the “link” is your transportation system and its strength can mean the difference between the success and failure of your business.
To be successful, the transportation system used to connect your supply chain must be managed and controlled properly with complete visibility and great communication between partners. Transportation and logistics costs (mainly warehouse operations which will be covered in the next chapter) can account for as much as 7-14% of sales depending on the industry you are in. Transportation costs alone comprise the vast majority of this expense for most companies. Best in class companies ...
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