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Date Submitted: 02/15/2014 01:05 PM

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Introduction

Since logistics advanced as of 1950s, owing to the trend of globalization and nationalization in recent decades, importance of logistics management have been growing in different areas. on behalf of industries, logistics helps toward optimize the existing distribution and Production processes based on same resources through managing techniques for promoting competitiveness and efficiency of enterprises.

The main element in a supply chain is transportation, which joints the Separated key activities. Transportation occupy a third of the total amount in logistics running costs.

Transporting is necessary in the whole production dealings, from manufacturing company to

delivery then to final consumers and returns. supply chain is Part of Logistics process that implements, controls and plans the efficient, reverse and forward flow and storage of merchandise, services, and information between the origin point and the

consumption point so as to meet customers’ necessities.

Inbound logistics covers movement of services and material received from suppliers.

Inter-relationship between Logistics and Transportation

Without a well-developed transport systems, logistics couldn’t bring its

Merits into full play. Good transport system in logistics could provide

Improved logistics efficiency, promote service quality and lessen operation cost.

The development of transportation systems entail the effort of both private and public sectors.

Around a third to about two thirds of the operating cost of enterprises’ logistics expenses are spent on transportation. Regarding the investigation of NCPDM (National Council of Physical Distribution Management) in 1982 (Chang, 1988),

Transport plays a major role in connectivity, among several steps that result in conversion of the resources to useful goods to the tag of the ultimate consumer. The planning of these sub-functions and functions into a system for the movement of...