Mode and Carrier Selection

This chapter explains the various modes of transporting goods, including the five generally accepted modes and consideration of a sixth. The important role that outside parties, such as 3PLs, play in transportation management is then addressed, as well as some key factors in their selection. This chapter explains the various modes of the transporting goods, including the five generally accepted modes and consideration of a sixth. It then addresses the important role that outside parties, such as 3PLs, play in transportation management. Many companies offer both public and contracted transportation services to their clients. In the most transportation industries, this creates a sound, competitive environment, with the selection of the "right" carrier ultimately falling to the procurement professional. This type of challenge is one of the reasons that transportation system selection is viewed as a specialized form of procurement. Even though many government purchases require the supplier to handle carrier selection, in many instances it can be beneficial to contract separately for the transportation. Many entities handle the outbound shipping of goods and equipment from their own facilities and contract directly with carriers to transport them.