It is helpful to visualize the various unit operations in a logistics system as a chain with the links as the unit operations. The example in Figure 13.1 shows a logistics system to move round bales from Satellite Storage Locations (SSLs) to a bioenergy plant. The dotted lines show various segments of the chain that are assigned to the several entities in the business plan. In this example, the segment identified “Farmgate operation” is performed by the feedstock producer, the segment identified “Load-haul operation” is included in the operations performed by a load-haul contractor, and the segment identified as “Receiving Facility” is performed by the bioenergy plant.

The division shown by the dotted lines in Figure 13.1 is arbitrary; several other options are used in commercial practice. Three examples are given to show the reader the range of these options.