45 eBook PSP | Principles & Practices of Transportation LET'S ILLUSTRATE THE INTERRELATIONSHIP BETWEEN VARIOUS TRANSPORTATION PLAYERS IN MALAYSIA WITH A SCENARIO SCENARIO: ENHANCING EXPORT LOGISTICS Imagine a scenario where a Malaysian furniture manufacturer, Furniture Mall, intends to export a large shipment of wooden furniture to international markets, including Europe and North America. In this complex export logistics scenario, we can see how the different transportation players collaborate and interact: 1. Shipper (Furniture Mall) Furniture Mall is the shipper in this scenario. They have prepared a substantial shipment of wooden furniture, and their responsibility goes beyond production. They need to ensure proper packaging, labelling, and documentation to meet international shipping regulations and standards. 2. Freight Forwarder (DHL Global Forwarding) Furniture Mall chooses to work with a freight forwarder, DHL Global Forwarding, to manage the intricacies of international shipping. DHL Global Forwarding assists in coordinating the logistics, including booking cargo space on vessels, preparing the necessary customs documentation, and arranging transportation services from the factory to the port. 3. Common Carrier (CJ Century Logistics) To transport the furniture from Furniture Mall's factory in Penang to Port Klang, Furniture Mall engages a common carrier, CJ Century Logistics. CJ Century Logistics provides a fleet of trucks and experienced drivers to move the furniture safely and efficiently. They work closely with DHL Global Forwarding to ensure timely pickup and delivery. 4. Government Authorities (Malaysian Customs and Port Authorities) To facilitate the export process, Furniture Mall and DHL Global Forwarding must adhere to customs regulations. They work with Malaysian Customs to ensure all export documentation is accurate and complete. Port Klang's authorities oversee the smooth
46 eBook PSP | Principles & Practices of Transportation loading of the shipment onto the vessel, ensuring compliance with safety and security protocols. 5. Port Operator (Port Klang Authority) Port Klang, as one of Malaysia's busiest ports, plays a pivotal role in the logistics chain. The Port Klang Authority coordinates vessel berthing, container handling, and customs inspections. They collaborate with DHL Global Forwarding to schedule the furniture shipment's loading onto a container ship bound for international markets. 6. Shipping Line (Global Container Shipping) Furniture Mall contracts with a global container shipping company to transport their goods overseas. This shipping line operates the container ship and ensures the cargo's safe passage to international ports. 7. Consignee (Overseas Furniture Retailers) The overseas furniture retailers are the consignees in this scenario. They await the arrival of the wooden furniture for distribution to their stores. They need to be wellprepared to receive the goods, clear customs on their end, and arrange for last-mile transportation to their retail locations. CONCLUSION: In this intricate supply chain, each transportation player collaborates to ensure the efficient export of Malaysian furniture to international markets. The shipper (Furniture Mall) relies on the expertise of the freight forwarder (DHL Global Forwarding), common carrier (CJ Century Logistics), government authorities, port operators (Port Klang Authority), shipping lines (Global Container Shipping), and overseas consignees to navigate the complexities of international logistics successfully. This interplay among transportation players is essential for Furniture Mall to expand its global reach and contribute to Malaysia's exportdriven economy.
47 eBook PSP | Principles & Practices of Transportation EXAMPLES OF WELL-ESTABLISHED LOGISTICS AND TRUCKING COMPANIES IN MALAYSIA Below pictures illustrates the well-established logistics and trucking companies in Malaysia. Namely Ninjavan Malaysia, Pos Logistics Malaysia Berhad, GD Express Sdn. Bhd., Tiong Nam Logistics Holdings Berhad, Century Logistics Holdings Berhad, Konsortium Logistik Berhad, and Transsystem Continental (M) Sdn. Bhd. Example: Well-Established Logistics and Trucking Companies in Malaysia
48 eBook PSP | Principles & Practices of Transportation EXAMPLES OF WELL-KNOWN FREIGHT FORWARDING COMPANIES IN MALAYSIA Below pictures illustrates the well-known freight forwarding companies in Malaysia. Namely Hellmann Worldwide Logistics Malaysia, Bollore Logistics Malaysia, DHL Global Forwarding Malaysia, Kuehne+Nagel Malaysia, Panalpina World Transport (M) Sdn. Bhd., Expeditors Malaysia Sdn. Bhd., and CEVA Logistics Malaysia. Example: Well-Known Freight Forwarding Companies In Malaysia
49 eBook PSP | Principles & Practices of Transportation Chapter 1 provides a comprehensive introduction to the world of transportation, emphasizing its fundamental importance in logistics activities. It outlines the core components of transportation, delves into the roles of transportation in logistics systems, and discusses key concepts, principles, and regulations governing transportation. Throughout the chapter, the significance of transportation in both the business and economic contexts is highlighted. Chapter 1 lays the foundation for understanding the critical role of transportation in logistics and its far-reaching impact on business, society, and the global economy. It sets the stage for deeper explorations into the intricate world of transportation in subsequent chapters. Key Points: 1. Core Components of Transportation: ➢ Transportation itself is the primary component, involving the physical movement of goods and people. ➢ Transportation systems encompass the infrastructure, modes, and networks that support transportation. ➢ Freight transportation focuses on the movement of goods, while passenger transportation pertains to the movement of people. ➢ Example: Malaysia's diverse transportation system includes highways, railways, ports, airports, and public transit systems, all serving various purposes within the core components of transportation. 2. Transportation Roles in Logistics System: ➢ Transportation bridges the gap between buyers and sellers, facilitating the movement of goods from producers to consumers. ➢ It adds value by ensuring timely and efficient delivery, contributing to customer satisfaction. ➢ On a global scale, transportation has a significant impact on international trade and commerce.
50 eBook PSP | Principles & Practices of Transportation ➢ Example: The efficient transportation of electronics components from Malaysian manufacturers to global markets ensures a steady supply chain, contributing to the growth of the electronics industry. 3. Transportation Concepts and Principles: ➢ Key transportation concepts include modes, carriers, and terminals. ➢ Principles like economy of scale and economy of distance guide transportation planning and decision-making. ➢ Example: Shipping goods by sea (economy of scale) can be cost-effective when transporting large quantities of goods over long distances (economy of distance). 4. Transportation Regulations: ➢ Governments and regulatory bodies establish regulations to ensure safety, compliance, and the orderly functioning of transportation systems. ➢ Regulations cover various aspects, including vehicle standards, driver licensing, and environmental considerations. ➢ Example: Malaysia's Road Transport Department (JPJ) enforces regulations governing vehicle safety and roadworthiness. 5. Transportation Issues: ➢ Various challenges and issues affect transportation, such as congestion, infrastructure maintenance, and environmental concerns. ➢ Addressing these issues requires strategic planning and innovative solutions. ➢ Example: Traffic congestion in major Malaysian cities like Kuala Lumpur underscores the need for efficient public transit systems and infrastructure upgrades.
51 eBook PSP | Principles & Practices of Transportation CURRENT ISSUE: ENHANCING MULTIMODAL TRANSPORTATION IN MALAYSIA Malaysia, a vibrant Southeast Asian nation, is actively working on improving its transportation system to address growing urbanization and economic development. In this scenario, the Malaysian government and various stakeholders are collaborating to enhance multimodal transportation across the country. Malaysia has experienced rapid economic growth, urbanization, and an increase in population over the years. As a result, there is a pressing need for an efficient and sustainable transportation system to address congestion, reduce environmental impact, and promote economic development. Key Initiatives: 1. Integrated Public Transit: The government is investing in integrated public transit systems in major cities like Kuala Lumpur, Penang, and Johor Bahru. This includes the expansion of LRT (Light Rail Transit), MRT (Mass Rapid Transit), and BRT (Bus Rapid Transit) networks. These initiatives aim to provide seamless connectivity, reduce traffic congestion, and encourage the use of public transport. 2. High-Speed Rail (HSR): Malaysia is collaborating with neighbouring Singapore to develop a high-speed rail network that will connect Kuala Lumpur and Singapore. This ambitious project will significantly reduce travel time between the two cities, bolstering business and tourism ties between Malaysia and Singapore.
52 eBook PSP | Principles & Practices of Transportation 3. Port and Logistics Infrastructure: Malaysia boasts busy ports, including Port Klang and Penang Port. Investments are ongoing to upgrade and expand these ports to accommodate larger vessels and increase cargo throughput, further establishing Malaysia as a key logistics hub in the region. 4. Smart Transportation Solutions: The adoption of smart transportation solutions, such as intelligent traffic management systems, real-time passenger information, and mobile apps for public transit, is on the rise. These technologies aim to improve transportation efficiency and the overall commuting experience. 5. Sustainable Transportation: Malaysia is increasingly focused on sustainable transportation practices, including the promotion of electric vehicles (EVs), bicycle-friendly infrastructure, and the use of alternative fuels. These efforts align with the country's commitment to reducing carbon emissions and mitigating environmental impact. Challenges: While Malaysia's transportation system is making significant strides, there are challenges to overcome. These include managing urban sprawl, addressing last-mile connectivity issues, ensuring affordable public transport, and balancing transportation development with environmental conservation. CONCLUSION: Malaysia's transportation system scenario reflects a nation committed to enhancing its infrastructure to support economic growth, reduce congestion, and improve the quality of life for its citizens. The collaborative efforts of the government and stakeholders in promoting multimodal transportation and sustainability are expected to shape the country's transportation landscape for years to come.
53 eBook PSP | Principles & Practices of Transportation Think About It Read the scenario, then answer the question. Can you?
54 eBook PSP | Principles & Practices of Transportation Interactive Learning These interactive learning activities engage students in active participation, critical thinking, and practical application of transportation and logistics concepts in a classroom.
55 eBook PSP | Principles & Practices of Transportation Structured Question TOPIC: TRANSPORTATION MODES AND EFFICIENCY QUESTION: You are a logistics consultant advising a company that manufactures agricultural machinery. The company needs to transport its products from the manufacturing facility to distribution centres across the country. a. Explain the concept of "economies of scale" in transportation and how it can be applied to optimize the company's transportation strategy. Discuss the advantages and challenges of achieving economies of scale. (10 marks) b. Analyse the different transportation modes available (road, rail, air, sea) and recommend the most suitable mode for transporting agricultural machinery. Justify your choice based on factors like cost, speed, and cargo characteristics. (10 marks) c. Discuss the potential environmental impact of the chosen transportation mode and propose sustainable practices that the company can implement to minimize this impact. (5 marks) (TOTAL MARKS = 25 MARKS)
56 eBook PSP | Principles & Practices of Transportation Create Your Mind Map
57 eBook PSP | Principles & Practices of Transportation Main References Jean-Paul, R. (2020). The Geography of Transport Systems. Fifth Edition. New York: Routledge. Rushton, A., Croucher, P., & Baker, P. (2022). The Handbook of Logistics and Distribution Management: Understanding the Supply Chain. London: Kogan Page. Additional References Aida Zuraina, M., & Abdul Aziz, I. (2020). Principles and Practices of Transportation. Malaysia: Azimat Advance Ventures. Sarder, M. (2020). Logistics Transportation Systems. Elsevier.