What are the functions of transport?

Answer 1

Transportation Functionality provides 2 major functions which are described below:

· Product movement:

To move various types of product whether it is raw materials component, semi- finished goods, finished goods, packaging material, scrap and so on. Transportation has become a very essential. Infact if human beings are considered as a product. One can be amount of people transport from one place to another by private and public carriers.

Transportation of a product involves the use of temporal resources. This is because a particular product is inaccessible while it is in-transit. i.e while it is being transport from one place to another place. These products are called in-transit inventories. These products are significantly important because they influence a variety of supply chain decision. For e.g, if supply chain is a considering a just in time strategy, or say. quick response strategy with regard to supply of goods to the customer then this influences the time for which the goods should be in transit because the goods have to reach quickly, or just in time to meet the requirement of the customer. Further, if goods are dispatched only when a customers requires them. Then such decision also affects the amount of inventories that have to be stored at the distribution centers.

Transportation of product involves the use of financial resources. Expenses on transport result from cost of driver, cleaner, casual laborer, taxes, administrative costs, and repairs/ maintenance. In addition, if during transportation there is product loss or product damage, may be this expenses have also to be taken into consideration.

Transportations of product also use environmental resources. Either directly or indirectly. In direct terms, transportation uses a very large amount of energy in term of fuel and oil. Though attempts are being made to make transport vehicles more fuel efficient. But consumption of fuel and oil is not expected to decrease because of the ever-increasing global operation in indirect term, transportation create environmental expenses in terms of congestion, air pollution, and noise pollution.

Product storage

Though it is not very common, but one of the functions of transportation is also temporary storage of goods. Of course, storing goods in vehicles is quite an expensive affair. However, in case of goods have to be moved once again within just a few days. It is advisable to keep them stored in transport vehicles themselves. this will avoid the cost of unloading and loading as well as the possible damage to goods during such a operation.

It may happen that a company has limited storage facility at a particular warehouse. Hence, when the company loads the goods in to the transport vehicle to be sent to the warehouse. It may request the transport company to take a longer route to reach the destination. This will act as temporary storage for the goods.

Rahul Joshi

Answer 2

The functions of transport is to get good and people from one location to another. This a vital component for economic and industrial growth.