In: Operations Management
Use of containers affect the transportation system - especially inter-modal transportation?
The process of using Containers in the transport system is called Containerization, it can be defined as a system of intermodal freight transport using intermodal containers these are also called shipping containers, These containers have standardized dimensions. They can be loaded and unloaded, stacked, transported efficiently over long distances, and transferred from one mode of transport to another, container ships, rail transport flatcars, and semi-trailer trucks without being opened. The handling system is completely mechanized so that all handling is done with cranes and special forklift trucks. All containers are numbered and tracked using computerized systems.
This process of Use of containers originated several centuries ago but gained importance after World War II, when it dramatically reduced the costs of transport, supported the post-war boom in international trade, and was a major element in globalization. Use of containers did away with the manual sorting of most shipments and the need for warehousing. It displaced many thousands of dock workers who formerly handled break bulk cargo. Use of containers also reduced congestion in ports, significantly shortened shipping time and reduced losses from damage and theft.
These Containers can be made of weathering steel to minimize maintenance needs and for long run usage. Use of containers greatly reduced the expense of international trade and increased its speed, especially of consumer goods and commodities. It also dramatically changed the character of port cities worldwide. Prior to highly mechanized container transfers, crews of 20–22 longshoremen would pack individual cargoes into the hold of a ship. After use of containers, large crews of longshoremen were no longer necessary at port facilities, and the profession changed drastically.
The effects of use of containers rapidly spread beyond the shipping industry. Containers were quickly adopted by trucking and rail transport industries for cargo transport not involving sea transport. Manufacturing also evolved to adapt to take advantage of containers. Companies that once sent small consignments began grouping them into containers. Many cargoes are now designed to fit precisely into containers. The reliability of containers also made just in time manufacturing possible as component suppliers could deliver specific components on regular fixed schedules.