Transportation and Freight Flashcards
6 cards from real Supply Chain and Logistics practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 6 Transportation and Freight flashcards as text
What is a TMS in logistics operations?
Answer: Transportation Management System
A Transportation Management System (TMS) is software that plans, executes, and optimizes the movement of goods.
Which shipping term means the seller bears all costs and risks until goods are delivered to the buyer's named place?
Answer: DDP
DDP (Delivered Duty Paid) requires the seller to handle all transportation costs, duties, and taxes until delivery at the destination.
What does 'drayage' refer to in intermodal shipping?
Answer: Short-distance truck transport of containers between port and rail ramp
Drayage is the short-haul truck movement of shipping containers, typically between a port, rail terminal, and nearby warehouse.
What does 'carrier liability' mean in freight transportation?
Answer: The legal responsibility of a carrier for loss or damage to freight in its possession
Carrier liability defines the financial responsibility a transportation company bears for lost or damaged goods while in transit.
What is a load factor in air cargo operations?
Answer: Ratio of cargo weight carried to maximum capacity
Load factor measures the percentage of available cargo capacity actually filled, indicating operational efficiency for airlines.
What is a demurrage charge in shipping?
Answer: Penalty assessed when a shipper holds a container beyond the free period at a port or terminal
Demurrage is charged when cargo or containers remain at a terminal beyond the allotted free time, incentivizing rapid container turnover.