•List the different types of transport systems out there???

1. Select an appropriate delivery system for businesses, giving reasons.

2. Calculate delivery times

3. Calculate cost of delivery

Types of Delivery System:

Type Advantage Disadvantage

Road -Fast over short distances-Door to Door- Flexible, Convenient and Cheap

Bad weather can cause delaysPoor roads, delays-Not suitable for bulky goods

Rail -Faster over longer distances-Fewer delays-Relaiable- Cheap for bulky goods

-Restricted by timetable-Requires support transport- Not all parts of the country have rail links

Sea -Suitable for containers-Modern Ships – large loads- Cheaper than air- Suitable for bulky goods

-Can be slow over long distances-Fixed timetables- Requires support transport

Air -Fastest form or transport-Very safe- Suitable for expensive goods

-Can be expensive-Fixed timetables- Not suitable for bulky goods

Pipeline -Cheap to maintain as it is underground- Safe

- Not suitable for a lot of goods- Expensive to install

IMPORTANCE OF TRANSPORT IN THE CHAIN OF DISTRIBUTION

1.Transports raw materials to the manufacturer

2.Transports finished goods to the wholesaler/retailer/consumer

3.Transports workers to their workplaces

4.Transports goods to the domestic and international markets

5.Transports customers to the retailers or vice versa

MODERN DEVELOPMENTS IN DELIVERY SYSTEMS

1.New motorways/Dual Carriageways/Ring Roads

2.Toll bridges on motorways

3.An Luas – light rail system in Dublin

4.Dublin Port Tunnel

5.Cycle lanes and Bus Corridors in major cities

6.Metric Speed Limit from Mph to Kph

Factors affecting choice of Delivery System

1.Cost – different systems can add to the price of the goods

2.Speed – certain goods require a faster mode of transport i.e. perishable goods3.Reliability – system should be punctual and reliable

4.Convenience – should be available when required

5.Distance – distance between the buyer and the seller can require a number of different modes of transport

6.Types of Goods – will influence the delivery system chosen. Is the product perishable, bulky of fragile?

1. Work out distance involved (use distance table)

2. Calculate average speed of vehicle (km per hour)

3. Allow for stopover, traffic delays and time for loading and unloading

4. Formula for calculating time

Distance

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Average Speed per hour(km)

•Fixed Costs – maintenance, road tax, Insurance, Long term loan

•Variable Costs – petrol, wages

Giver Reasons for using own Delivery Vans?

•Flexibility

•Vans can be used for advertising

•Not affected by public strikes e.g Iarnoid Eireann

•Return load can be collected

•Cheaper in the long run

Cost of Delivery

COST OF DELIVERY (2010 P2)

Exam Question – Higher Level 2008 P2

1.Give 3 reasons why transport is important in the distribution of goods?

2.State and explain 2 factors that should be taken into account when deciding on the type of delivery system to be used in business?