MO0256 Transport and Inventory Management
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Transport and Inventory Management (MO0256)
Added on 2020-05-11
MO0256 Transport and Inventory Management
Transport and Inventory Management (MO0256)
Added on 2020-05-11
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Running head: TRANSPORT AND INVENTORY MANAGEMENT Transport and Inventory ManagementName of the Student:Name of the University:Author’s Note:
1TRANSPORT AND INVENTORY MANAGEMENT Executive SummaryIn this report, in task 1 the intermodal/multimodal transportation choice for Amazon is identified.The methods to increase the intermodal /multimodality in supply chain of Amazon are analyzed.Amazon has considered delivery by drones which can make the intermodal/multimodal deliverysystem of Amazon more efficient. The advantages and disadvantages of the intermodal andmultimodal transportation choice are discussed. Delivery by drones can be speedy and can helpAmazon gain a competitive advantage in the marketplace. However, this transportation choicecan be risky, can lead to accidents and requires strong monitoring .In task 2, the warehousemanagement system of Amazon is analyzed in terms of types of warehouse, warehouse size, useof technology, types of inventory to be stored. The strategic and operational factors of Amazonwhich include location, cost, space, and culture, stock movement and technology are analyzed.A better order picking principle to suit the company’s strategic and operational factors isdiscussed. The order picking principle should be more systematic in Amazon to increase theefficiency of order picking and make it more effective. The proposed order picking principles arelinked with 1) Inventory Types, 2) Utilization of Space, 3) Stock Movement 4) Technology 5)The location of picking areas.
2TRANSPORT AND INVENTORY MANAGEMENT ContentsIntroduction......................................................................................................................................3Topic 1.............................................................................................................................................3Transport and Logistics Management of Amazon...........................................................................3B. Intermodal /Multimodal Transportation choice of Amazon.......................................................3C. Ways to Increase Intermodal / Multimodality in Supply Chain of Amazon..............................4D. Advantages and Disadvantages of the intermodal/multimodal Transportation Choice.............5Topic 2.............................................................................................................................................7B. Warehouse Management of Amazon..........................................................................................7Type of Warehouse and Size.......................................................................................................7Use of Technology.......................................................................................................................7Types of Inventory to be Stored...................................................................................................8Strategic and Operational Factors................................................................................................8Location, Cost, Space and Capacity.............................................................................................8Service Level, Communication, Culture, Stock Movement and Technology.............................9C. Picking......................................................................................................................................101. Inventory Types.....................................................................................................................102. Space Utilization....................................................................................................................103. Stock Movement....................................................................................................................10
3TRANSPORT AND INVENTORY MANAGEMENT 4) Technology............................................................................................................................105) Location of picking areas.......................................................................................................11Conclusion.....................................................................................................................................12
4TRANSPORT AND INVENTORY MANAGEMENT IntroductionThe intermodal/ multimodal transportation choice of Amazon increases the productivity of theSupply chain. Amazon is focusing on new technology like delivery by drones to solve currentissues in transportation system which is a lengthy procedure. The delivery by drone will ensurespeedy delivery to customers (da Silva et al., 2013).The warehouse management system ofAmazon makes use of modern technology and chaotic management for storage of inventory.However, a systematic picking procedure can increase the picking productivity of Amazon.
5TRANSPORT AND INVENTORY MANAGEMENT Topic 1Transport and Logistics Management of AmazonA. Figure :( Product movement and Supply chain Network of Amazon)Source:( Richards, 2014). B. Intermodal /Multimodal Transportation choice of AmazonAmazon has adopted modern tools and technology in its transportation system andlogistics management and makes use of updated technology for an efficient supply chainmanagement. In Amazon the transportation system is skillfully managed by the AmazonFulfillment service. The trucking division is known as the Amazon Transportation service.Amazon does not own a 100 percentage of fleet which is private though the organization has its
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