Logistics Management Assignment Solved (Doc)

LOGISTICS
MANAGEMENT

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
MAIN BODY ..................................................................................................................................1
Three major challenges for Melbourne as a port logistic city.....................................................1
Advantages and disadvantages of implementing trans-loading and cross-docking strategy in
Melbourne....................................................................................................................................2
Cargo Rotation Technique illustration.........................................................................................4
Validity of implementation of Trans-loading strategy in other port logistics city......................6
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9

INTRODUCTION
Logistics management can be considered as a component of supply chain management
that is being used for the purpose of meeting demands of the customers through an effective
planning, controlling and implementation of the significant movement and storage of related
information, services and goods from its origin to their destination(Logistic management, 2019).
Present study is based on Melbourne as a port logistics city which is capital of Victoria that is
based in Australia. This report includes the major challenges which are being faced by
Melbourne as a port logistics city. Further, this report consist of ways through which a cargo
rotation technique helps in reducing the empty container in a multimodal port logistic city with
the help of a diagram(Bentolila and et.al.,2016). Lastly this study comprises an evaluation of
''will a trans-loading strategy work in other port logistics cities''.
MAIN BODY
Three major challenges for Melbourne as a port logistic city
 Empty Container movement:- Reconfiguration of Melbourne metropolitan freight
system have caused inefficient movement of freight in and out of port that have resulted
in empty container movement on road. This movement have escalated the cost of inland
transportation as once a container is unloaded and is moved back to its position, it bear
the same cost as moving a full container(Bridgelall, Lee and Talegani, 2016). This also
require same transport capacity that increases the cost and having longer delays may
result in higher cost. Melbourne port logistic city may face challenges related to trade
imbalances as repositioning of large amounts of containers will be required and that will
result in high transportation costs. They usually include both inland and international
transport costs and if imbalances are acute as carriers then it may result in lower
repositioning cost. Repositioning begins as soon the container has been unloaded and cost
is implemented. Every port is having some different situation and Empty Container Parks
is having its own capacity to handle truck traffic at different hours of work, but it become
costly to handle the empty containers and park them.
 Heavy Reliance on trucks:- As there is a heavy reliance on trucks in order to transport
the goods, proper schedule is required and that further increases the lead time and causes
transportation bottlenecks in Melbourne. It also lowers the utilisation of other vehicles as
shipping cars or other heavy material with Air freight can become more easy and less
1

timing consuming as compared with the use of trucks. As maximum transporters only use
of trucks in transportation, it mainly results in time consumption as many a times goods
are not transported on time and that results in huge loss. Using trucks as transportation
medium may required huge space and that may result in congestion and traffic issues.
 Direct transfer of shipment is difficult:- Direct transfer of shipments to their respective
destination with the use of only one mode of transportation in Melbourne is also an
challenge as it become very difficult and expensive(Chircu, Resnick and Saraswat, 2015).
Direct shipment means when goods are directly transported from point of origin to the
users as user orders the products from the suppliers, however this should not be confused
with cross docking supply as here the shipments are transferred through a cross docking
that may or may not have stores. If direct transfer of shipment is there then it become
challenge to track the delivery as synchronizing the data from manufacturing line to
warehouse storage become difficult. A proper coordination is required in order to transfer
the goods by tracking it by having all the data in hand. Melbourne is facing challenge
related to direct transfer of shipment as it become difficult to handle the process and
make a proper coordination that can make the shipment process successful and less risky.
So, inefficient movement of freight into and out of the port and greater concentration of
population in east and south east of Melbourne with respect to movement of freight from port to
logistic cluster in west and back to market through there corridors have resulted in different
challenges for Melbourne with respect to port logistics.
Advantages and disadvantages of implementing trans-loading and cross-docking strategy in
Melbourne
In order to implement a new strategy by Melbourne port logistics, it must considered
advantages and disadvantages that might influence the implementation of these strategies. The
strategies which can be implemented by the port logistics includes trans-loading and cross-
docking strategy.
Trans-loading Strategy
It can be determined as a process of transferring shipments from one mode of
transportation to the another mode before it reaches its final schedules destination(Christopher,
2016). There are several modes of transportation which are being used for the purpose of trans-
2