Cargo Consolidation Research Articles

Cargo Consolidation in a Supply Chain in the Aspect of Sustainable Development of Transport

Cargo Consolidation in a Supply Chain in the Aspect of Sustainable Development of Transport

ПІДХОДИ ДО ФОРМУВАННЯ ЗБІРНИХ ВІДПРАВЛЕНЬ У МУЛЬТИМОДАЛЬНИХ ТРАНСПОРТНИХ СИСТЕМАХ

The article notes that the volumes of transportation of consolidated cargo by different transport modes in the world are constantly increasing. Some distinctions in the interpretation of the concept of "consolidated cargo" by different transport modes were identified. The interest in consolidated cargoes has increased with the spread of e-commerce services, growing competition, higher requirements of the cargo clientele, and the complexity of supply chains. The analysis of scientific researches allowed to identify the problems of multimodal cargo transportation that were previously studied. At the same time, no effective approaches to the formation of consolidated shipments in multimodal transport systems have been identified. The present study attempts to summarize the existing definitions of the concepts of "groupage cargo" and "consolidated cargo" and to provide a definition of these concepts. In particular, groupage cargo is defined as a combined (consolidated) cargo when several smaller cargo shipments from different shippers that are sent to the same or different consignees are combined into one cargo shipment. The definitions of Less than Container Load and Less than Truck Load have also been specified. Based on a generalization of other studies, the advantages of cargo consolidation for the client, consolidator and carrier in the transportation of consolidated cargo by various transport modes were highlighted. The requirements for cargo units in different modes of transport are schematized and it is noted that air transport has the strictest restrictions. The benefits of consolidation for customers, consolidators, and carriers were characterized, and the environmental effect of cargo consolidation was described. The features of cargo consolidation were identified and it was noted that they can be manifested in the form of both disadvantages and conditions of consolidation. The specifics of ensuring effective servicing and delivery of consolidated cargo were presented, and the complexity of preparation of transport and shipping documentation for consolidated cargo was noted.

Optimization of multistage timeliness transit consolidation problem using adaptive-weighted genetic algorithm.

Cargo consolidation is becoming a crucial part of international transportation and changing the customer consumption patterns of the international community. Poor connections between different operations and the delay of international express have motivated sellers and logistics organizers to put timeliness first in international multimodal transport, especially during the COVID-19 epidemic. However, for cargo with small quality and multiple batches, designing an efficient consolidation network presents a set of unique challenges, including the coupling of multiple origins and destinations (ODs), and fully utilizing the capacity of the container. We defined a multistage timeliness transit consolidation problem to decouple the multiple ODs of the logistics resource. By solving this problem, we can increase the connectivity between different phases and make full use of the container. To make this systematic multistage transit consolidation more flexible, we proposed a two-stage adaptive-weighted genetic algorithm that mainly focuses on the edge area of the Pareto front space and the diversity of the population. Computational experiments indicate that the correlation between parameters has certain regular trends, and appropriate parameter settings can lead to more satisfactory results. We also confirm that the pandemic has a giant influence on the market share of different transportation modes. Moreover, the comparison with other approaches demonstrates the feasibility and effectiveness of the proposed method.

Solutions to the Problem of Freight Transport Flows in Urban Logistics

The operation of a city’s logistics system is associated with many problematic issues, for example, intense pollution and negative impacts on the environment, uneven intensity of traffic flows, and other problems. This article focuses on heavy transport because it causes disruptions in the supply system and affects timely customer service. Optimization processes are associated with route selection, deployment of logistics centers, and the need for cargo consolidation–de-consolidation, which leads to the possibility of using the PPP (public–private partnership) method in practice. A unique aspect of this research is related to the problems of the first and last mile and the use of elements of the “sharing economy”. Therefore, this article aims to analyze the problematic challenges of the first and last mile and the role and significance of heavy transport in urban logistics. For that purpose, in addition to an analysis of scientific sources, an expert survey was conducted and responses related to the questions on optimizing heavy traffic flows in city logistics were analyzed. The study data were processed using Kendall’s correlation coefficient, the concordance method, and the consistency coefficient. During analysis, using the average rank transformation to weights (ARTIW) method, the subjective normalized weights of the main factors that have the greatest influence on a city’s logistics system were determined. Groups of interested parties are also named separately, for whom the results of the study and the formulated decision may be relevant. Based on the results of the research, a recommendation was formulated for the development of small cargo collection and distribution services through self-service terminals located on the outskirts of cities. Proposals are presented to reorganize the system, provide details of new infrastructure elements and suburban terminals, and encourage for the use of environmentally friendly vehicles with a lower carrying capacity.

Pro-environmental elements in the business model of medium and large Polish road freight carriers

Purpose: The policy of sustainable development places requirements on businesses to reduce their negative environmental impact. One of the sectors of the economy that is responsible for greenhouse gas emissions is road transportation. Consideration of the European Union’s environmental goals is forcing road carriers to have environmental measures built into their business models. The purpose of the study was to learn how road carriers can reduce their negative environmental impact so that they can fit in with the goals of the environmental policy and to learn about the regulatory tools that the road carriers expect to be able to support these activities. Design/methodology/approach: Data for this study was collected in computer-assisted telephone interviews (CATI). The study was conducted in late 2021 and early 2022 by a Polish company that was responsible for the selection of the sample and the collection of the data. The survey was conducted on a sample of 146 medium and large Polish road freight carriers and was a continuation of a study carried out on the same sample of entities conducted in late 2019 and early 2020 using the same technique. Findings: As part of their fleet policy, in order to fit in with environmental goals, carriers base their business models on the purchase of new means of transportation that meet increasingly stringent emission standards and reinforce environmentally friendly attitudes by buying means of transportation with smaller engine displacement that is tailored to the needs arising from their operations. Pro-environmental operational activities of medium and large Polish road freight carriers involve the use of solutions that change the composition of exhaust gases (AdBlue) and reduce fuel consumption (lowering rolling resistance – energy-efficient tires and lowering air resistance – fairings), and the acquisition of pro-environmental driving skills (eco-driving). Other environmentally friendly measures are to increase the utilisation of the vehicle capacity (cargo consolidation) and to eliminate empty runs by looking for cargo to be carried on the way back and using route planning software. Originality/value: The paper indicates the methods to reduce the negative environmental impact considered in the business models of medium and large road freight carriers, so that they fit in with the environmental policy goals, and indicates their expectations associated with the support for the achievement of zero-emission transportation. The results can be useful in the adoption on both the European and Polish level of policies leading to a zero-carbon economy. Keywords: sustainable business models, road freight transport. Category of the paper: research paper.

Analisis Prosedur Ekspor dengan Pendekatan Metode Less Than Container Load: Studi Kasus PT. Konesia Prologix Line

In this modern era, logistics activities will be more efficient and much easier if the management is handed over to the Freight Forwarder. Freight Forwarders can assist export activities such as preparing export documents, cargo consolidation, and can also act as operators and are fully responsible for carrying out transportation even though they do not have their own ships. One of the Freight Forwarders located in central Jakarta, namely PT Konesia Prologix Line, has taken care of the shipment process using the Less Than Container Load (LCL) method, which in this case there are still deficiencies in terms of delivery, therefore it is rarely used by exporters. Therefore this research will discuss the procedures for sending export goods using less than container load (LCL). This study used a qualitative case study method, namely taking one case to be analyzed in depth so that the data collection carried out was an interview or interview process. With as many as 4 informants. Conducted in July 2022. The results showed that the export procedure with the LCL method approach at PT Konesia Prologix Line that PT Konesia Prologix Line as a local scale transportation service EMKL and acts as the person in charge of all links in the transportation chain from the beginning to the final destination. The process of managing documents and ending with the process of submitting documents to exporters to booking schedules for delivery of goods

ПУТИ РАЗВИТИЯ КОНТЕЙНЕРНЫХ ПЕРЕВОЗОК В РОССИИ

The article presents mathematical dependences linking quantitatively sea line container demand and mediumtonnage container demand when expanding the boundaries of the sea container terminal's hinterland. The solution of presented scientific problem is demonstrated by example of calculation of need for new consolidation facilities to ensure increase in cargo flow of sea line. Based on the results of the calculations, it is stressed that expanding the boundaries of the application of the advantages of container technology inland by introducing new means of cargo consolidation is advisable to begin with the development of the cargo flow of small (prefabricated) consignments of goods.

Performance index of dry ports

Dry Ports (DPs) support seaports by expanding their handling capacity and throughput. The performance of DPs influences the operation of seaports as they serve as cargo consolidation points for containers that move to ports, freeing ports from congestion and delays. Evaluation of the Dry-Port-Seaport (DP-SP) system is essential for enabling the seaports to increase capacity, remain competitive, and allow shippers and logistics service providers to choose the right DP. Performance metrics for evaluating DPs are scanty in the literature. This paper proposes a Performance Index for Dry Ports (PIDP) to quantify their overall performance, identify critical areas requiring managerial attention, and draw the path of PIPD registered by a dry port over time. PIDP is a non-parametric method based on geometric aggregation, avoids scaling and weights, and is helpful for skewed data. It satisfies desired properties of a composite index, including the time-reversal test and formation of chain indices.

RESIDENTS’ PERCEPTION ON AN INLAND PORT DEVELOPMENT IN NORTHERN BORDER OF PENINSULAR MALAYSIA

The Bukit Kayu Hitam Inland Port which situated at the northern border of peninsular Malaysia will be completed in 2022, and it is capable of handling an annual throughput of 200,000 containers, alongside warehouses and cross-dock facilities for cargo consolidation and container stuffing. However, the Bukit Kayu Hitam Inland Port will be complete in 2022, this means that the inland port is still in the process of development, so we cannot directly get the impact of the development of Bukit Kayu Hitam Inland Port. Therefore, we can collect data through the online questionnaires that contain both closed-ended and multiple-choice questions on the Kubang Pasu residents’ perception, which includes the environmental factor, economic factor, and social factor towards the development of Bukit Kayu Hitam Inland Port. Questionnaires are administered to respondents from Kubang Pasu residents by using a simple random sampling technique to ensure that every unit in the population has an equal chance of being selected. A total of 382 samples were distributed, but only 267 samples were received due to the COVID-19 pandemics. The data analysed using Pearson Correlation coefficients, Multiple Linear Regression, and Independent Samples t-tests. Overall, Cronbach's Alpha score was 0.819. As a result, the findings indicated that the environmental factor and social factor (p=0.000<0.05) can show a significant relationship with the perception of residents. Meanwhile, the economic factor (p=0.612>0.05) cannot show a significant result. Besides, there is no significant mean difference in the residents’ perception between gender (p=0.968>0.05) and there is no significant mean difference in the residents’ perception between the educational level of residents (p=0.602>0.05). Lastly, the outcomes of this study are expected to improve the development of the inland port in Bukit Kayu Hitam and let more Kubang Pasu residents know about Bukit Kayu Hitam Inland Port.

Green Transportation in the Šiauliai Regional Companies

Abstract A relevant and practical research object is analysed in the article – the implementation resolution of green transportation and the benefits of using such means. In this article, object is analysed from the interdisciplinary position, i.e. from the perspective of transportation, one of the logistical subsystems, and sustainable environment. The transportation department is undoubtedly an important guarantor of economic and industrial development. Despite the worldwide importance of transportation in everyday activities, the transportation also poses the risk for human health and life quality, for it is one of the biggest consumer of oil products and significantly contributes towards air pollution. Despite many theoretical and empirical researches, Šiauliai region still lacks an approach towards the implementation possibilities and studies revealing the benefits of green transportation. A comparative analysis has been performed by using the survey data, collected from 402 workers, responsible for transportation, working for Šiauliai regional companies. According to the results of the research for implementation situations of green transport in Šiauliai regional companies, the representatives of regional companies understand the importance of green transport, and more and more companies aim to reduce the environmental risk and to become more competitive. Integrated transportation by combining several means of transport, cargo consolidation by combining small orders and big orders, and ecological driving are the green transportation measures implemented most in regional companies. The typical benefits of green transport are increased environmental friendliness and improved relationship with consumers.

Cooperation between Sea Ports and Carriers in the Logistics Chain

In a modern economy, international trade is an important factor in the development of various regions. Shipping is one of the most important elements of the global supply chain. However, after the economic crisis of 2008, global shipping revenues plummeted. One way to restore profitability is the consolidation of shipping routes and the globalization of shipping lines. As container transport lines move to larger ships, the structure of the delivery route becomes a structure with intermediate points. This trend put forward higher demands on the port infrastructure, which aggravated the competition between regional ports, as well as ports that could degrade into a large cargo consolidation port. The economic advantage is enhanced by cooperation between shipping lines and ports. Thus, ports and shipping lines in the same supply chain can be mutually beneficial partners. The study analyses the effectiveness of horizontal and vertical cooperation between ports and carriers. As a source of information, a review of the literature on this issue, expert opinions, and statistical data is taken. Next, a mathematical model is built on the basis of cooperative game theory, and numerical analysis is carried out. The results show that the strategy of cooperation of shipping lines strongly depends on the situation with the supply and demand of vessels. A port that interacts with shipping lines will significantly reduce port charges, which creates the advantage of receiving more port requests. However, cooperation may lead to losses for the port, so a redistribution of profits is necessary to maintain the coalition.

ИСТОРИЧЕСКОЕ РАЗВИТИЕ ПОРТА И ЕГО ВЗАИМООТНОШЕНИЯ С ГОРОДОМ

The article discusses the history of the port's development and its relationship with the city. There has been analyzed the process of the port transformation into a separate structure, which specializes in cargo handling operations, as well as cargo storage, cargo consolidation and the provision of various services related to logistics. The relationship between the port and the city at all stages of their interaction is characterized. Methods of solving problems arising in the process of restructuring the urban and port territories at each historical stage of the development of the port and city are considered. There has been also noted the importance of the effective relationships between the port and the city in the process of their transformation and the need for their mutual influence at the current stage of economic development.

Potential for Transport in Asia Pacific Region

Currently, the movement of goods between islands is mostly carried out using containers. This is because containers are more efficient and effective, and provide a guarantee of safety for the goods being transported. This advantage needs to be fostered with a planned transportation system to facilitate further efficiencies. The positive effects of this would include shippers receiving lower tariffs, and shipping lines getting guaranteed availability of goods. Tarakan Port, currently under the management of PT Pelindo IV, continues to improve as a port for cargo consolidation, especially in dealing with the Asia Pacific region. This study evaluates the improvement already displayed by the port administrators, collecting data through observations, opinions, and documentation which is then analyzed using a quantitative approach using the IPA (Importance Performance Analysis) method. The results are juxtaposed with the development of port operational performance data to see the conditions expected for the port to be able to provide services efficiently and effectively. The results of the analysis and evaluation show that there are still gaps that need to be corrected, especially in the aspects of facilities, infrastructure and human resources. Addressing these issues will increase the regional competitivity of the port and reduce logistics costs.
 Keywords: Cargo Consolidation, Competition, Ports

The environmental impact of fast shipping ecommerce in inbound logistics operations: A case study in Mexico

Consumer demand for short delivery windows has driven companies to compete for faster shipping to clients. Recently, Amazon and Walmart along with other major companies have started offering same-day delivery. That translates into not using full truckload capacities, requiring more frequent dispatch, and in turn, increases transportation cost. However, inefficient routes are not only more expensive for the shipper but they are also more carbon-intensive. In this context, and from an operative level, we analyze the environmental impact of inbound logistics caused by fast shipping. We create a discrete-event simulation model to understand and compare the effect that certain parameters (i.e., delivery windows, inventory management policies, truck type) have on sustainability inbound logistics. We validate this model with the largest retailer in Mexico in order to analyze how sustainable fast shipping actually is and how to reduce its environmental impact. Results from the simulation model show that fast shipping produces significantly higher CO2 emissions since it imposes a challenge for cargo consolidation. We found that fast-shipping increases both total CO2 emissions and costs up to 15% and 68%, respectively.

Consolidation of Cargos in the Road Transport as a Key Method to Success

The problem of consolidation of goods for the provider of logistic services, which is a third part that delivers goods from many suppliers to one business client in time horizon was analysed in this article. Every parcel has a fixed date of reception in the source and delivery schedule in a destination. In the age of highly developed economy, time pressure and costs, outsourcing is a condition necessary to improve the functioning of enterprises. New logistic chains, networks of terminals and intermodal connections are built every year to reduce the transport costs and improve the whole process. In this article, the authors presented the benefits resulting from consolidation of cargos in the road transport. Special emphasis was put on determination of the role of the transport costs reduction using the cargo consolidation services.

Integrating route optimisation with vehicle and unloading dock scheduling in LCL cargo collection

Less container load (LCL) has become an increasingly important element in containerised cargo export, due to the involvement of numerous small and medium size enterprises. Traditional cargo collection and consolidation processes are extremely complex and inefficient, which provides an excellent opportunity for improvement through integration. In this paper, we design a two-stage model comprising vehicle route optimisation for cargo collection and vehicle and unloading dock scheduling. In the first stage, namely, the route optimisation model, the Clarke-Wright saving algorithm is used, with the objective of minimising the total transport cost for a given shipment size, weight, and capacity constraint of cargo collection vehicles. In the second stage, the scheduling of both collection vehicles and unloading dock are modelled, using two sub-models for given constraints on the time window of the unloading docks and cargo collection routes. An application of this integrated model is illustrated based on the cargo collection problems in the hinterland of Shanghai port.

Freight Consolidation Problem with Time Windows, Pickup and Delivery Sequence

The number of online market places for freight matching is on the rise. Online market places help small trucking companies find shipping customers. However, they do not provide cargo consolidation strategies. This lack of effective consolidation has adverse effects on the shipping industry and greenhouse gas emission. To that extent, this article addresses Multiple Vehicle Pickup and Delivery Problem with Time Windows (MVPDPTW). We propose a Mixed Integer Programming (MIP) model and a branch-and-cut algorithm geared towards identifying effective freight consolidation opportunities. For emission studies, we used a cost conversion technique from the literature to convert emission levels into monetary values. On real-world logistics company test instances, our model identified routes with lower cost and lower emission levels than the actual routes.

Analysis on the determinants of shipment size and type-of-truck choices using a discrete-continuous hybrid model

When modelling freight demand, a common assumption is that decision makers decide on the commercial vehicle that best suits their transportation needs. Even though the discrete choice of vehicle type depends on the shipment size, which is a continuous variable, vehicle type choice models usually do not include any shipment size factor. The origin and destination of the cargo, the type of product, attributes related to the level of service (e.g., travel time and cost), trucking operational patterns and shipper's characteristics are also factors that determinate both choices. This paper proposes a joint estimation procedure for the discrete-continuous model based on the integrated choice and latent variable model. Our approach explicitly includes the shipment size as a continuous latent variable within the discrete type-of-truck choice. The application of the model in the Colombian context highlights the importance of considering the interrelationship between freight mode and shipment size decisions. Modelling results also suggest the presence of unobserved common factors influencing both decisions. The model was used to evaluate policies oriented to promote cargo consolidation. The evaluation suggests that increasing the tolls for small vehicles is feasible because of their higher cost sensitivity.

Quantifying the Impacts of Sustainable City Logistics Measures in the Mexico City Metropolitan Area

This paper discusses the assessment of the potential impacts of a number of city logistics measures proposed for the Metropolitan Area of the Mexico City Valley: off-hour delivery programs; policies and agreements to increase cargo consolidation and decrease empty trips; and the implementation of preferential truck routes. The analyses consider the impacts on travel distances, travel times, accidents, emissions and health impacts. In doing so, the authors discuss the proposed measures, the assumptions used to estimate the impacts, and the information required. Different scenarios are evaluated for the various measures.

Effects of cargo types and load efficiency on airline cargo revenues

Numerous factors affect air cargo revenue management. Air cargo companies base their cargo charges on whichever is the greater of gross weight or volumetric weight. We developed a cargo consolidation model based on air cargo characteristics, and investigated the effect of cargo density, the Density Ratio of Heavy cargo to Light cargo (DRHL), and the percentage of small cargo on the chargeable weights and revenues of airlines. The empirical results show that a higher DRHL indicates greater chargeable weight, and that as the DRHL climbs to a certain level, the extent of chargeable cargo weights tends to stabilize gradually. The closer the cargo density approaches the most suitable loading density for a flight, the greater the chargeable weight is. A higher proportion of small cargo loaded on an aircraft means higher airline revenue. Our results can effectively combine types of air cargo to increase loading rates and revenues for airlines.