Logistics refers to the transportation of merchandise – raw
materials or finished products – from the point of production to the
point of final consumption. Different modes of transportation –
road, rail, water and air – can be used for the effective management
of merchandise. Every mode of transportation requires a different
set of infrastructure, type of vehicles, technological solutions and
regulations. All modes of transportation have different costs, service
and transit times.
There are the following types of cargo (freight): a) general
cargo (goods packed in boxes); b) bulk cargo (large quantities of
cargo, e.g. sand); c) bulky cargo (large individual items, e.g. cars).
A consigner (someone who ships goods) chooses how to send the
consignment (these goods) to the consignee (someone who receives
these goods) by water, road, railway, air.