CSCP Exam Dumps | Which of the following statements is true when selecting the mode of transportation to use in a global

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Question 27/227

Which of the following statements is true when selecting the mode of transportation to use in a global supply chain?

A. The difference in cost of warehousing in different countries makes air transportation viable only for very lightweight items.

B. When moving heavy items long distances, water transportation offers the lowest cost and highest availability in most countries.

C. Pipeline usage is limited because of the high variable cost of operation and difficulty moving between pipelines

D. The availability, specifications, and geographic reach of rail transportation varies greatly from country to country.

Correct Answer: D

Selecting the appropriate mode of transportation in a global supply chain requires understanding the characteristics and limitations of each option:
* Rail Transportation Variability: Rail transportation's availability, specifications, and geographic reach can vary significantly by country. Factors influencing this include:
* Infrastructure Development: Some countries have well-developed rail networks, while others may lack extensive rail infrastructure.
* Technical Specifications: Differences in track gauge, loading standards, and train types can affect compatibility and efficiency.
* Geographic Reach: Rail networks may cover large parts of some countries while being limited in others, affecting connectivity and accessibility.
* Cost Considerations: While rail can be cost-effective for certain types of cargo and distances, its variability in availability and specifications means that it may not always be the optimal choice.
* Comparison to Other Modes:
* Air Transportation: Typically used for lightweight, high-value items due to higher costs.
* Water Transportation: Ideal for moving heavy items over long distances, offering low costs but slower speeds.
* Pipeline: Generally used for specific commodities like oil and gas, with high fixed costs but low variable costs.
References
* "Global Logistics and Supply Chain Management" by John Mangan, Chandra Lalwani, Agustina Samanta
* "Logistics & Supply Chain Management" by Martin Christopher
* "The Handbook of Logistics and Distribution Management" by Alan Rushton, Phil Croucher, Peter
* Baker

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