Supply Chain Logistics and Fuel Price Dependency: An Investigation

This report investigates the relationship between supply chain logistics and fuel price dependency. It highlights the significant impact of fuel prices on transportation costs and overall supply chain efficiency. The study explores factors driving fuel prices, such as transportation constraints, refinery maintenance, and geopolitical events. It also discusses strategies like nearshoring that companies adopt to mitigate the impact of rising fuel costs. The research methodology primarily relies on secondary data collection due to time and cost constraints, further exacerbated by challenges posed by the COVID-19 pandemic. Potential problems encountered during the research, such as limited financial resources, time constraints, and communication barriers, are addressed with solutions like Gantt charts, prioritized task management, and enhanced communication strategies. The report concludes by emphasizing the critical need for businesses to adapt to fuel price fluctuations to maintain profitability and competitiveness. Desklib provides access to this and other solved assignments for students.

Management

TABLE OF CONTENT
TOPIC: TO INVESTIGATE THE RELATIONSHIP BETWEEN SUPPLY CHAIN LOGISTICS
AND FUEL PRICE DEPENDENCY..............................................................................................3
INTRODUCTION...........................................................................................................................3
DESCRIPTION...............................................................................................................................3
Relationship between fuel price and supply chain logistics........................................................3
Characteristics of good research topic.........................................................................................4
DATA COLLECTION....................................................................................................................4
Proposed data collection for research study................................................................................4
Problems that may occur while conducting research and solutions for problems.......................5
REFERENCES................................................................................................................................6

TOPIC: TO INVESTIGATE THE RELATIONSHIP BETWEEN SUPPLY
CHAIN LOGISTICS AND FUEL PRICE DEPENDENCY
INTRODUCTION
There is relationship between supply chain logistic and fuel price. In this regard, it can be
said that when price of fuel goes up, carriers are required to increase their price or take some
losses (Wang and et.al., 2018). Fuel price is the one that affects supply chain and all other
industry because it increases travelling cost. In addition, it can also be said that price increases
can decrease the purchasing power of money and it has an adverse impact on consumer’ buying
power.
Aim
The main aim behind conducting this study is “To identify relationship between fuel price
and supply chain logistics”.
DESCRIPTION
Relationship between fuel price and supply chain logistics
In regard to this Sarkar, Ullah and Kim, (2017) stated that there is strong relationship
between supply chain logistics and fuel price dependency. Fuel price is the one of the main
factor that affect everything and most of the sector. For supplying or delivering products to
companies, suppliers need to travel her and there. Increased fuel price can decrease their profit
margin or can increase overall cost. So, for protecting themselves against loss and decreased
profit margin, they increase prices of supplies.
Scheibe and Blackhurst, (2018) stated in this context that fuel price driven by some factors
such as: transportation constraints, refinery maintenance costs, geopolitical disruption and others.
On the basis of combination of these factors, it can be said that oil and fuel prices are expected to
face upward pressure for other remainders. Fuel price increases transportation cost and supply
cannot be done without transportation or without vehicle uses. So, it is obvious that there is
relationship between fuel price increases with supply chain logistic. Overall, it can be said that
fuel price increment affect customers, employers, employees and all involved stakeholders
because they have to pay high for their products. In addition, they have discussed some strategies
that companies are using or adopting for solving this problem and protecting them against lower

profit margin. One of the best strategy is nearshoring. It is the strategy that decrease length of
transportation for products in the supply chain. There are number of industries that have adopted
nearshoring and it has helped them out in decreasing transportation cost. Overall, it can be said
that there is strong relation between fuel price and supply chain logistic as it can increase
bargaining power of suppliers.
Characteristics of good research topic
Success of research study depends on topic accuracy and efficiency. One of the main tasks
that need to be performed by researcher before conducting study is: selection of research topic.
There are number of factors that can increase efficiency of research study. Some characteristics
ort factors that can make research topic effective include:
 A good research topic is the one that is ethical in nature and does not consist ethical
dilemmas.
 A good research topic is the one that can be managed in an effective manner.
 When researcher finds easier in collecting data relevant to research topic then it can be
considered as an effective and accurate research topic.
 Research topic should be researchable, practical and has theoretical significance
(Niemiec, 2017).
In regard to research topic of this study, it can be said that it is researchable and can help out
researchers in collecting accurate as well as reliable data because supply chain and fuel price
dependency is wider scope of hot topic.
DATA COLLECTION
Proposed data collection for research study
There are 2 types of data collection such as primary and secondary. Primary data collection
refers those data that researchers collect for the very first time by conducting questionnaire,
interview survey and observation as per the nature of topic. Secondary data collection is the one
in which data are being collected for the second time as such data are published by researchers.
Such data can also be known as previous literature review (Moser and Korstjens, 2018). For this
study, researcher will collect secondary data for knowing the relationship between supply chain

logistics and fuel price dependency. The reason of selecting this data collection method is: time
and cost. Collecting secondary data is easier and time saving.
Problems that may occur while conducting research and solutions for problems
Conducting research study is not an easy task as number of problems may occur because of
changes in internal and external factors. Some common problems that might occur while
conducting research study include: lack of financial resources for completing research study,
lack of time, environmental changes such as: climate change and others. One of the main
problem that create some barriers in conducting this study in an effective manner is: covid-19
pandemic (Bakir and McStay, 2018). Because of Covid-19, it was not possible for researcher to
collect primary data and conduct questionnaire. It is believed that primary data gives accurate
and reliable information. But due to risk of getting affected and compliance issues, researcher
will not collect primary data. One of the best ways or strategies of solving this problem is to
collect secondary data by enlisting reliable sources and sites. Along with this, researcher may
conduct online questionnaire in which researcher does not require meeting with their target
people or sample face to face. So, on the basis of this, it can be said that researcher can solve
data collection problem and by collecting accurate as well as reliable information, research aim
can be accomplished.
In addition, it is found that lack of time and finance can also create barriers in successful
completion of research study (Fuson, 2020). This problem can also be sort out by preparing
Gantt chart and prioritising important tasks before. This strategy can help out researcher in
solving this problem and completing research study in a timely and cost effective manner. Lack
of communication with supervisor was other problem and it may also create problems in
successful completion of project. But by sharing small information via E-mail and by conducting
team meeting within 7-10, this problem can also be solved out.

REFERENCES
Books and Journals
Bakir, V. and McStay, A., 2018. Fake news and the economy of emotions: Problems, causes,
solutions. Digital journalism. 6(2). pp.154-175.
Fuson, K.C., 2020. An analysis of the counting-on solution procedure in addition. In Addition
and subtraction (pp. 67-81). Routledge.
Moser, A. and Korstjens, I., 2018. Series: Practical guidance to qualitative research. Part 3:
Sampling, data collection and analysis. European journal of general practice. 24(1).
pp.9-18.
Niemiec, R.M., 2017. Character strenghts interventions: A field guide for practitioners. Hogrefe
Publishing.
Sarkar, B., Ullah, M. and Kim, N., 2017. Environmental and economic assessment of closed-
loop supply chain with remanufacturing and returnable transport items. Computers &
Industrial Engineering. 111. pp.148-163.
Scheibe, K.P. and Blackhurst, J., 2018. Supply chain disruption propagation: a systemic risk and
normal accident theory perspective. International Journal of Production Research. 56(1-
2). pp.43-59.
Wang, J. and et.al., 2018. Management of a holistic supply chain network for proactive
resilience: Theory and case study. Computers & Industrial Engineering. 125. pp.668-
677.