1. TransportationDefine logistics and explain the differences between logistics and supply management. Compare the logistics in service operation and manufacturing. What is the role of transportation in logistics? Now referring to Crone (2006), list and explain the risks and challenges a global supply chain faces regarding transportation. Explain the security risk associated with global supply chain. Provide a real example that has recently happened, confirms the insecurity in global transportation.
2. Sourcing Strategy, we have referred to outsourcing and offshoring. Differentiate outsourcing and offshoring. Outline the main reasons why companies decide to offshore. Outline the main reasons why companies decide to Outsource. You have been appointed to the position of international transport manager for a European based MNC. The company sells personal computers to customers in countries all over the world that it produces at a factory in Asia. What issues will you need to consider in the management of international freight movement? In Crone (2006), a new factor has been added to sourcing: risk. Given this new dimension, what other factors you have to consider to evaluate in the management of your company, MNC.
3. CostExplain Exhibit 2 in Crone (2006), page 33. Evaluate both figures separately and explain how the curves have been derived. Address the impact of risk and explain how the curves would look like in the absence of risk.