TRANSPORTATION

    Terberg Company employs three modes of transportation: land, sea, and air. Terberg Company, on the other hand, rarely uses air and land to transport items to customers. They employ two kinds of vehicles: flat rack and Roro ships (roll-on/roll-off). They said that when they operate Roro ships, they just push the cargo into the Roro ships' space. The scenario in Roro ships is similar to that of a shopping complex, where there are several parking lots. The only difference is that the space within the Roro ships is relatively narrow and compact. The flat rack comes next. Flat rack containers are one of the most adaptable containers available, allowing shippers to convey unusual cargo. These ISO-certified intermodal containers function in the same way as ordinary containers. The only difference is that they can hold a lot more. Typically, one flat rack can contain two commodities, and it requires a lease, coking arrangement, and crane to lift the flat rack so it can be delivered to the port. Flat rack is more difficult than Roro ships, but the services supplied and available are greater. Although Roro ships are more convenient, their service is limited since not all ports allow them.

FLAT RACK                                                                                      RORO SHIP

    Terberg Company will design an effective timetable in order to supply goods in a timely manner. Sales teams will first advise senior management about the tender that is in. For example, if there are ten tenders, they can select the one they believe has the most prospects. So, out of those ten, they believe three tenders will be awarded, with a total of 50 unit items that can be created. So their organization will buy basic items first to retain stocks, and then if there are other accessories that are exceptional to be used, such as cameras and GPS, they will order those items later. The heavier products will be shipped first using a container to save money, and any more orders requested by the customer will be shipped through courier using an air mode to shorten the lead time.

    Depending on the customer's order, there is no restriction to how many goods can be transported in one shipment, although the maximum that they have delivered is 25 flat rack containers in one shipment. That example, they send 50 tractors since one flat rack can hold two tractors. So, if the space is available, there are no restrictions.

    Terberg Company can't save shipping costs right now because of Covid-19 since the price is extremely high with global conditions because the Arab Saudi government while cutting oil output in order to control the oil price for world oil. The current scenario is that oil prices are declining, which means that Arab Saudi operations are losing money, and they are cutting for an increase due to the demand versus supply situation. As a result, when demand is great, the price rises. So, while the current position that Covid-19 has created is challenging, Terberg Company is not losing money; rather, their profit is being decreased, or they will push more agents and invite more and more agents in order to reduce costs.

    Terberg Company uses sea freight since there are no other options for shipping goods for their final product. However, if the customer is in a hurry, they must utilize a flat rack rather than Roro ship because a flat rack has more services accessible.