SCM 413 MAIER FINAL QUESTIONS
AND CORRECT ANSWERS
5 + 1 Modes of Transportation ANSW✅✅Rail
Road
Pipeline
Water
Air
6th Mode: Intermodal
Transportation Mode Attributes ANSW✅✅Cost
Speed
Reliability
Capability
Capacity
Flexibility
Transportation Pricing Factors ANSW✅✅-Distance
-Weight, Dim Weight
-Cube Space
-Volume (Frequency and load count)
-Special Handling
-Commodity (HazMat, Break-Bulk, Glass, Antiques)
-Time (speed of delivery)
Tons by Mode ANSW✅✅-O/D Pathways: Shipments Driven by
-Nature of Commodity: Destination NYC
-Transportation
Transportation Influences and Logistics Activities ANSW✅✅-Costs affected by node location
-Inventory influenced by mode
,-Packaging dictated by mode
-Materials handling equipment and docks dictated by mode
-Maximum consolidation of loads achieved with order-management technology
-Customer service goals influence carrier choice
Domestic vs. International Transportation ANSW✅✅-Domestic: 90% of all U.S. cargo movement
-International: 10% of all freight movement
Rail Transportation ANSW✅✅-Cost-effective
-Energy-efficient
-Moves large loads & huge quantities
-Constrained by accessibility, on-time delivery, frequency of service, noise, and congestion
Rail Border Challenges ANSW✅✅Different regulations
Different safety requirements
Physically different equipment
Monopolistic on their routes
Class 1 Railroads ANSW✅✅Operating revenues: $900M annually
Minimum 6k miles of track
Operate in 44 states + DC
140k miles of track
19.3B freight tons ('20)
1 Ton of Freight = 500 MPG
Class 1 Railroad Companies ANSW✅✅BNSF (Burlington Northern-Santa Fe)
UP (Union Pacific)
KCS (Kansas City Southern, smallest)
NS (Norfolk-Southern)
CSX
CN (Canadian National)
, CP (Canadian Pacific - acquired KCS '21)
Road Transportation ANSW✅✅Most visible form of transport
Most flexible
Road reach nearly everywhere
Exceptions: remote locations like Alaska, Siberia
Roads Characteristics ANSW✅✅Created and maintained by governments
Typically used for higher-value, lower volume, and time-sensitive cargo
Road Transport Challenges ANSW✅✅Cross-border transport increased with USMCA
Laws and safety regulations impact cross-border transport
Social and environmental impacts are a concern in developed countries
Legal Classification of Carriers ANSW✅✅For-hire
Common
Contract
Exempt
Private
Different levels of economic regulation apply to different carriers
Types of Carriers ANSW✅✅-Common carriers: serve the general public
-Contract carriers: offer specialized service to customers on a contractual basis
-Exempt carriers: exempted from economic regulation due to legislation
-Private carriers: primary business is not transportation, provide own transportation service, exempt
from economic regulation
Pipelines ANSW✅✅Most efficient mode of transport for suitable commodities
Constrained by network
Custom built for application (Product, Customer/Customer Set)
Generally offer only one-way service
AND CORRECT ANSWERS
5 + 1 Modes of Transportation ANSW✅✅Rail
Road
Pipeline
Water
Air
6th Mode: Intermodal
Transportation Mode Attributes ANSW✅✅Cost
Speed
Reliability
Capability
Capacity
Flexibility
Transportation Pricing Factors ANSW✅✅-Distance
-Weight, Dim Weight
-Cube Space
-Volume (Frequency and load count)
-Special Handling
-Commodity (HazMat, Break-Bulk, Glass, Antiques)
-Time (speed of delivery)
Tons by Mode ANSW✅✅-O/D Pathways: Shipments Driven by
-Nature of Commodity: Destination NYC
-Transportation
Transportation Influences and Logistics Activities ANSW✅✅-Costs affected by node location
-Inventory influenced by mode
,-Packaging dictated by mode
-Materials handling equipment and docks dictated by mode
-Maximum consolidation of loads achieved with order-management technology
-Customer service goals influence carrier choice
Domestic vs. International Transportation ANSW✅✅-Domestic: 90% of all U.S. cargo movement
-International: 10% of all freight movement
Rail Transportation ANSW✅✅-Cost-effective
-Energy-efficient
-Moves large loads & huge quantities
-Constrained by accessibility, on-time delivery, frequency of service, noise, and congestion
Rail Border Challenges ANSW✅✅Different regulations
Different safety requirements
Physically different equipment
Monopolistic on their routes
Class 1 Railroads ANSW✅✅Operating revenues: $900M annually
Minimum 6k miles of track
Operate in 44 states + DC
140k miles of track
19.3B freight tons ('20)
1 Ton of Freight = 500 MPG
Class 1 Railroad Companies ANSW✅✅BNSF (Burlington Northern-Santa Fe)
UP (Union Pacific)
KCS (Kansas City Southern, smallest)
NS (Norfolk-Southern)
CSX
CN (Canadian National)
, CP (Canadian Pacific - acquired KCS '21)
Road Transportation ANSW✅✅Most visible form of transport
Most flexible
Road reach nearly everywhere
Exceptions: remote locations like Alaska, Siberia
Roads Characteristics ANSW✅✅Created and maintained by governments
Typically used for higher-value, lower volume, and time-sensitive cargo
Road Transport Challenges ANSW✅✅Cross-border transport increased with USMCA
Laws and safety regulations impact cross-border transport
Social and environmental impacts are a concern in developed countries
Legal Classification of Carriers ANSW✅✅For-hire
Common
Contract
Exempt
Private
Different levels of economic regulation apply to different carriers
Types of Carriers ANSW✅✅-Common carriers: serve the general public
-Contract carriers: offer specialized service to customers on a contractual basis
-Exempt carriers: exempted from economic regulation due to legislation
-Private carriers: primary business is not transportation, provide own transportation service, exempt
from economic regulation
Pipelines ANSW✅✅Most efficient mode of transport for suitable commodities
Constrained by network
Custom built for application (Product, Customer/Customer Set)
Generally offer only one-way service
