{"id":450,"date":"2016-07-13T13:01:54","date_gmt":"2016-07-13T18:01:54","guid":{"rendered":"http:\/\/blogs.uww.edu\/prasad\/?page_id=450"},"modified":"2016-07-13T13:02:45","modified_gmt":"2016-07-13T18:02:45","slug":"a-framework-for-transportation-decision-making-in-an-integrated-supply-chain","status":"publish","type":"page","link":"https:\/\/blogs.uww.edu\/prasad\/teaching\/independent-study\/a-framework-for-transportation-decision-making-in-an-integrated-supply-chain\/","title":{"rendered":"A framework for transportation decision making in an integrated supply chain"},"content":{"rendered":"<p>Theodore P Stank and Thomas J Goldsby<\/p>\n<h2>Supply Chain Management<\/h2>\n<p>2000, Vol. 5, No. 2, p. 71-77<\/p>\n<p>&nbsp;<\/p>\n<p>1)\u00a0\u00a0\u00a0\u00a0\u00a0 Introduction<\/p>\n<ol>\n<li>a) Transportation decision faced with<\/li>\n<li>i) Economic deregulation<\/li>\n<li>ii) Safety and social regulation<\/li>\n<\/ol>\n<p>iii)\u00a0\u00a0\u00a0\u00a0 Escalating customer expectations<\/p>\n<ol>\n<li>iv) Increased globalization<\/li>\n<li>v) Improved technologies<\/li>\n<li>vi) Labor and equipment shortages<\/li>\n<li>b) Transportation managers<\/li>\n<li>i) Must be grounded in traditional logistics functions<\/li>\n<li>ii) Provide a strategic edge by meeting elevated service requirements and increasingly lower costs<\/li>\n<\/ol>\n<p>2)\u00a0\u00a0\u00a0\u00a0\u00a0 Decision-Making framework<\/p>\n<ol>\n<li>a) Leading firms<\/li>\n<li>i) Coordinate purchasing, operations and logistics<\/li>\n<li>ii) Manage the physical and information flows internally and externally<\/li>\n<\/ol>\n<p>iii)\u00a0\u00a0\u00a0\u00a0 Collaborate closely with external materials and service providers<\/p>\n<p>(1)\u00a0\u00a0 To cut channel cycle times<\/p>\n<p>(2)\u00a0\u00a0 To reduce inventory levels<\/p>\n<p>(3)\u00a0\u00a0 Tom improve goods flow<\/p>\n<ol>\n<li>b) Planning information<\/li>\n<li>i) Managers provide information including<\/li>\n<\/ol>\n<p>(1)\u00a0\u00a0 Resource availability<\/p>\n<p>(2)\u00a0\u00a0 Delivery requirements<\/p>\n<ol>\n<li>ii) Transportation department should provide information including<\/li>\n<\/ol>\n<p>(1)\u00a0\u00a0 Capabilities<\/p>\n<p>(2)\u00a0\u00a0 constraints<\/p>\n<p>iii)\u00a0\u00a0\u00a0\u00a0 Planning allows managers to<\/p>\n<p>(1)\u00a0\u00a0 Arrange shipments and consolidate loads or routing efficiencies<\/p>\n<p>(2)\u00a0\u00a0 Take advantage of associated cost savings<\/p>\n<p>(3)\u00a0\u00a0 Ensure minimal customer service failures<\/p>\n<p>(4)\u00a0\u00a0 Avoid unnecessary costs<\/p>\n<p>3)\u00a0\u00a0\u00a0\u00a0\u00a0 Total network and lane design decisions<\/p>\n<ol>\n<li>a) Consideration of Network link \/ node structures<\/li>\n<li>i) Supplier<\/li>\n<li>ii) Plant<\/li>\n<\/ol>\n<p>iii)\u00a0\u00a0\u00a0\u00a0 Distribution center<\/p>\n<ol>\n<li>iv) Customer locations<\/li>\n<li>v) Physical flow<\/li>\n<li>b) Decisions at this level<\/li>\n<li>i) Long term decisions of appropriateness and availability of transportation modes<\/li>\n<li>ii) Level of outsourcing<\/li>\n<\/ol>\n<p>4)\u00a0\u00a0\u00a0\u00a0\u00a0 Lane operations decision<\/p>\n<ol>\n<li>a) Focus on daily operational freight transactions<\/li>\n<li>i) Coordinate product movements to meet service requirements<\/li>\n<li>ii) Facilitate JIT and value added activities<\/li>\n<li>b) Decisions at this level<\/li>\n<li>i) Inbound\/outbound consolidation<\/li>\n<li>ii) Temporal consolidation<\/li>\n<\/ol>\n<p>iii)\u00a0\u00a0\u00a0\u00a0 Vehicle consolidation<\/p>\n<ol>\n<li>iv) Carrier consolidation<\/li>\n<\/ol>\n<p>5)\u00a0\u00a0\u00a0\u00a0\u00a0 Mode\/Carrier assignment decisions<\/p>\n<ol>\n<li>a) Focus on evaluation and selection<\/li>\n<li>i) Pool of potential carriers, decreasing based on criteria identified<\/li>\n<li>ii) Shipments evaluated based on the service criteria to be met and cost constraints<\/li>\n<li>b) Decisions at this level<\/li>\n<li>i) Selecting carrier from multi-modal set based on availability and existing rates<\/li>\n<\/ol>\n<p>6)\u00a0\u00a0\u00a0\u00a0\u00a0 Service negotiations<\/p>\n<ol>\n<li>a) Focus on<\/li>\n<li>i) Managing relationships with Transportation service providers<\/li>\n<li>ii) Price is central concern<\/li>\n<\/ol>\n<p>iii)\u00a0\u00a0\u00a0\u00a0 Understanding of service expectations is also necessary<\/p>\n<ol>\n<li>b) Decisions at this level<\/li>\n<li>i) Every facet of the relationship must be negotiated<\/li>\n<li>ii) Contract must be developed<\/li>\n<\/ol>\n<p>7)\u00a0\u00a0\u00a0\u00a0\u00a0 Dock level decisions<\/p>\n<ol>\n<li>a) Focus on<\/li>\n<li>i) Timeliness of information<\/li>\n<li>ii) Effective planning<\/li>\n<\/ol>\n<p>iii)\u00a0\u00a0\u00a0\u00a0 Blocking and bracing of loads to protect goods<\/p>\n<ol>\n<li>b) Decisions at this level<\/li>\n<li>i) Load planning<\/li>\n<li>ii) Routing<\/li>\n<\/ol>\n<p>iii)\u00a0\u00a0\u00a0\u00a0 Scheduling<\/p>\n<p>8)\u00a0\u00a0\u00a0\u00a0\u00a0 Conclusions and key points<\/p>\n<ol>\n<li>a) Processes will continue to evolve affected by<\/li>\n<li>i) Deregulation<\/li>\n<li>ii) IT advances<\/li>\n<\/ol>\n<p>iii)\u00a0\u00a0\u00a0\u00a0 Time-based competition<\/p>\n<ol>\n<li>iv) Globalization<\/li>\n<li>b) Managers must ensure that shipper goals are aligned with those of the transportation provider<\/li>\n<li>c) Managers must ensure that risks and rewards are shared<\/li>\n<\/ol>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Theodore P Stank and Thomas J Goldsby Supply Chain Management 2000, Vol. 5, No. 2, p. 71-77 &nbsp; 1)\u00a0\u00a0\u00a0\u00a0\u00a0 Introduction a) Transportation decision faced with i) Economic deregulation ii) Safety and social regulation iii)\u00a0\u00a0\u00a0\u00a0 Escalating customer expectations iv) Increased globalization v) Improved technologies vi) Labor and equipment shortages b) Transportation managers i) Must be grounded [&hellip;]<\/p>\n","protected":false},"author":3916,"featured_media":0,"parent":118,"menu_order":0,"comment_status":"open","ping_status":"open","template":"","meta":{"_et_pb_use_builder":"","_et_pb_old_content":"","_et_gb_content_width":"","footnotes":""},"class_list":["post-450","page","type-page","status-publish","hentry"],"_links":{"self":[{"href":"https:\/\/blogs.uww.edu\/prasad\/wp-json\/wp\/v2\/pages\/450","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/blogs.uww.edu\/prasad\/wp-json\/wp\/v2\/pages"}],"about":[{"href":"https:\/\/blogs.uww.edu\/prasad\/wp-json\/wp\/v2\/types\/page"}],"author":[{"embeddable":true,"href":"https:\/\/blogs.uww.edu\/prasad\/wp-json\/wp\/v2\/users\/3916"}],"replies":[{"embeddable":true,"href":"https:\/\/blogs.uww.edu\/prasad\/wp-json\/wp\/v2\/comments?post=450"}],"version-history":[{"count":1,"href":"https:\/\/blogs.uww.edu\/prasad\/wp-json\/wp\/v2\/pages\/450\/revisions"}],"predecessor-version":[{"id":452,"href":"https:\/\/blogs.uww.edu\/prasad\/wp-json\/wp\/v2\/pages\/450\/revisions\/452"}],"up":[{"embeddable":true,"href":"https:\/\/blogs.uww.edu\/prasad\/wp-json\/wp\/v2\/pages\/118"}],"wp:attachment":[{"href":"https:\/\/blogs.uww.edu\/prasad\/wp-json\/wp\/v2\/media?parent=450"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}