This is the same question, question 1 include (1a to 1d), answer all please, thanks.

Question 1 (32 marks) Walmart (US) is considering the possibility of carrying out a new supply chain and logistic quality reengineering program to rectify the problems regarding the transportation damages of its purchase from China. By contracting with a smaller number of certified shippers, each shipper will enjoy a larger amount of business with Walmart, and Walmart should be able to secure a more competitive offer as well as a better service performance from them. As such, the supply chain director of Walmart is evaluating one of three shippers from its shipper list. MAERSK Group has 620 dry bulk vessels and a claim rate of 1.5 percent payment to revenue. The shipper's pickup/delivery time meets the industry average of 30 odd days to transport from Shanghai to New York. On the other hand, COSCO Group implements a quality program for its 365 dry hulk vessels to meet on time delivery. It has a 1.2 percent claim rate while the MSC Group has 575 dry bulk vessels and an excellent safety record, but it has not met the average pickup/delivery time. Its claim rate is also 1.2 percent (* Claim rate is the amount paid out for damages incurred by the shipper. It is the percentage of the dollar amount paid on claims to total revenue.) The information is summarized as table below: MAERSK GROUP COSCO GROUP MSC GROUP Price US$300/FCL US$320/FCL US $280/FCL Fleet Size 620 365 575 Claim Rate 1.5% 1.2% 1.2% No Yes No Quality Prog. P-U/D Time Avg. Above Avg. Below Avg Safety Record Excellent (a) Identify the factors that a logistic manager should consider in selecting (8 marks) the shipper. (b) What are the supporting reasons for hiring a reliable shipper? (4 marks) (C) (4 marks) Should price be the most important factor in the shipper evaluation process? Explain. Page 2 of 4 (d) (16 marks) If you were selecting the shipper, what are the alternatives? Which shipper would you select? Why