Logistics network in sparsely populated area - A case of logistics network between Southern and Northern parts of Norway with Narvik as conjunction point

Abstract

A logistics network is `connective tissue' in a comprehensive supply chain and often the decisive factor for the chain's ultimate success. Logistics networks in sparsely populated areas are facing different challenges than those that operating in relatively densely inhabited ones. This paper discusses, firstly, various critical success factors of logistics network. The challenges of operating a logistics network in sparsely populated areas are identified and discussed. A case study is being conducted in the context of a region in Northern Norway where the average population rate is 4.3 persons each square kilometer. The paper suggests that, by combining reverse with forward logistics networks in Northern Norway, economic and environmental sustainable logistics networks can be achieved. The challenges of integrating forward and reverse logistics networks in the area of Northern Norway are discussed.