Why is it important to address both inbound and outbound logistics when attempting to optimize the transportation component of supply chains Essay

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First read the following articles:

Edwards, John (2006 Dec), Lots of Shipments, Loads of Savings: Big Lots nets bigger savings and biggest efficiencies by optimizing less-than-truckload shipments, Inboundlogistics.com, assessed October 4, 2009

Penske, Ford Motor Company: Six Sigma Initiatives Streamline Operations,” Penskelogistics.com, accessed october 4, 2009

Chatur, A, A. (nd). Driving costs out of the supply chain: Inbound Logistics, Best practices: Inbound Logistics programs. Infosys Technologies Limited, accessed July 27, 2009

After reading the above articles, in a 4-5 page paper answer the following:

1. Why is it important to address both inbound and outbound logistics when attempting to optimize the transportation component of supply chains?
2. Explain the major challenges Big Lots and Ford faced in optimizing their inbound logistics.
3. Describe how 3PLs and an advanced TMS could play a key role in optimizing both inbound and outbound logistics.

Assignment Expectations

Expectations for the case study paper focus on the work demonstrating an understanding of the role transportation plays in achieving supply chain efficiency. It is expected that the work will display sensitivity, critical thinking skills, and depth in understanding the importance of addressing both inbound and outbound logistics when attempting to optimize the transportation component of a supply chain. It is also hoped that the paper will encourage the student to apply creativity in assessing the transportation benefits that could be gained from implementing an advanced TMS (transportation management system) and outsourcing to 3PLs and 4PLs.

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