Physical distribution from a warehouse: Vehicle coverage and inventory levels

This paper studies the costs involved in distributing items from a warehouse or depot to randomly scattered customers on a day-to-day basis. Two trade-offs are explored simultaneously. The first one arises because by accumulating large inventories at the depot it is possible to build more efficient distribution tours. This trade-off has already been explored for both distribution of goods (Burns et al., 1983) and passengers (Daganzo et al., 1977; Hendrickson, 1978). Another tradeoff, which involves the length of individual vehicle tours (Clarens and Hurdle, 1975), balances the inventory inside the vehicles against the transportation cost. Banks et al. (1982) have considered both of these tradeoffs simultaneously in the context of passenger transportation, but used a somewhat unrealistic model for vehicle routing. This paper is similar to the latter reference but uses a different routing strategy. It also illustrates how the nature of the objects carried (cheap goods, expensive goods, people, etc.) affects the optimal configuration of the distribution system and the overall distribution costs. Usually there is an optimum partitioning of the service area into districts and an optimum dispatching frequency in each district. The results can vary tremendously, depending on factors such as: the inventory carrying cost per item per unit time, the transportation costs, the demand per unit area and unit time, the average distance from the depot, the average vehicle speed and the time per stop.As an illustration of the ideas, a hypothetical limousine service from an airport is analyzed. The example is used to demonstrate how dramatically the optimal system configuration depends on the nature of the items carried.     

Transit performance evaluation in the U.S.A.

Performance of transit agencies in the United States improved during the 1980s. At the beginning of the decade, Americans had become disenchanted with transit; legislation was passed that required agencies to report performance and accept regular audits. Theory underlying these policies is examined in four components: dimensions for policy objectives, indicators, information systems and incentives. Three programs are examined: federal triennial reviews that monitor compliance with planning and grant requirements, California performance audits that analyze goals and track performance on five indicators and the Los Angeles program that encourages improvement by offering incentive payments for better-than-average performance. The California audits have been the most successful.     

The Impact of Container Type Diversification on Regional British Port Development Strategies

Abstract

Despite a concentration of container traffic in the southeast of the UK over the last few decades, regional ports are attempting new development strategies to capture or retain specific traffic segments. These include intra-European short-sea traffic and a potentially increasing feeder market. These trends are reflected in the movement of different container types, which result in a number of planning challenges related to changing infrastructural and operational requirements. This paper uses highly disaggregated data on container type movements to address three issues that can inform these planning challenges. First, the imbalance of trade resulting in empty container repositioning; second, the requirement for gauge-cleared rail routes to cater for the increasing proportion of high-cube containers; and third, the specialisation of European short-sea traffic at secondary UK ports. The results reveal the disproportionate repositioning of empty containers at Scottish ports and the importance of 45?ft, high-cube and pallet-wide containers at regional ports, highlighting their focus on intra-European short-sea traffic and raising difficulties relating to their lower quality of landside infrastructure (particularly rail) in comparison to the large south-eastern ports. The potential repercussions on hinterland infrastructure development raise questions about both public and private sector responses to regional port development.     

How optimal was the Sydney Metro contract?: Comparison with international best practice

The New South Wales (NSW) government created the Sydney Metro Authority to design, build and operate a completely separate underground Metro rail system to supplement the existing public transport network in Sydney. By the time the NSW government abruptly cancelled the entire Metro project in early 2010, the Authority had conceived and designed a contract that was proceeding to procurement. This paper compares the elements of the proposed Sydney Metro contract to findings of the literature on optimal contracting and optimal incentives and on PPP best practice. The paper concludes that the Metro seems to have at least implicitly drawn fairly heavily on best practices and principles, but that its ultimate failure to be implemented is an instructive lesson about how operating environment can impede integration of useful knowledge and experience.