Transportation

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Transportation

  1. 1. CHAPTER 8 Transportation24/01/13 Strategic Logistic Management - 1 Rudyanto
  2. 2. Chapter Objectives• To examine transportation’s role in logistics and its relationship to the marketing activities of an organization.• To identify various modes, intermodal combinations, and other transportation enities available for distributing products to customers.• To summarize transportation regulation and deregulation, and their effects on shippers and carriers.• To examine global aspects of transportation.24/01/13 Strategic Logistic Management - 2 Rudyanto
  3. 3. Transportation24/01/13 Strategic Logistic Management - 3 Rudyanto
  4. 4. Introduction In United State, transportation expenditures constitute approximately 6.0% of gross domestic product (GDP). In 1999, transportation costs amounted to $554 billion (Delaney, 2000).24/01/13 Strategic Logistic Management - 4 Rudyanto
  5. 5. IntroductionThe rate of growth in the amount spend on freight transportation has beenslower since 1980-81 due to economic deregulation of transportation, introductionof new technologies, and implementation of many leading-edge practices andmanagement philosophies.24/01/13 Strategic Logistic Management - 5 Rudyanto
  6. 6. Transportation infrastructure supports the flow of our nations economyTable 8.1 The Nations’ Freight Bill ($ billions)24/01/13 Strategic Logistic Management - 6 Rudyanto
  7. 7. Transport functionality primarilyconsists of product movement services• Product movement is the movement of inventory to specified destinations – Restrictive element—in-transit inventory is “captive”, usually inaccessible during transportation – Flexible element—inventory can be diverted during shipment to a new destination• Transportation consumes time, financial, and environmental resources – Transportation is more than 60% of the cost of logistics – One of largest consumers of oil and gas in US – Impacts traffic congestion, noise and air pollution24/01/13 Strategic Logistic Management - 7 Rudyanto
  8. 8. Transport participants• Shipper• Consignee (Receiver)• Carrier and Agents• Government• Internet• Public 24/01/13 Strategic Logistic Management - 8 Rudyanto
  9. 9. Role and perspective of participants• Shipper and consignee have a common interest in moving goods from origin to destination within a given time at the lowest cost• Carriers desire to maximize their revenue for movement while minimizing associated costs• Agents (brokers and freight forwarders) facilitate carrier and customer matching• Government desires a stable and efficient transportation environment to support economic growth• Public is concerned with transportation accessibility, expense, and standards for security, safety and the environment24/01/13 Strategic Logistic Management - 9 Rudyanto
  10. 10. Role of the Internet in transportation• The Internet now provides the vital communications links between the transactional participants (shipper-carrier-consignee) – Replacing phone and fax technologies• Web-based enterprises provide information marketplaces – Freight matching – Fuel, equipment, parts and supplies purchases24/01/13 Strategic Logistic Management - 10 Rudyanto
  11. 11. Time dan Place Utility• Logistics mencakup pergerakan produk (materials, parts, supplies & finished goods) mulai dari titik asal ke titik konsumsi.• Transportasilah yang menyebabkan terjadinya pergerakan produk, ada 3 aspek transportasi: availability, adequacy, dan cost (AAC)• Transportasi mencipta:  Place utility  Time utility (Note: warehousing dan storage utamanya mencipta time utility) Transportasi menentukan seberapa cepat dan seberapa konsisten produk bergerak dari satu titik ke titik lainnya. Kedua faktor ini disebut time-in-transit dan consistency of service. Jika produk tidak tepat waktu, bisa berakibat lost sales, customer dissatisfaction dan production downtime. United Parcel Service (UPS), Federal Express (FedEx), DHL, Roadway Package Express (RPS) can increase the time & place utility through fast & consistent delivery.24/01/13 Strategic Logistic Management - 11 Rudyanto
  12. 12. Transportation – Logistics – Marketing Interfaces• Availability, Adequacy dan Cost (AAC) dari transportasi sangat penting dalam mencipta place utility dan memberi kontribusi pada time utility.• Products: produk apa yang dibuat dan kesulitan pengangkutannya, biaya transportasi, ketersediaan alat transportasi dan kapasitas alat angkut sangat memengaruhi pengambilan keputusan produk.• Pricing: inefisiensi dan biaya berlebihan dalam transportasi akan mendorong harga semakin tinggi• Target market: kemampuan melayani berbagai pasar bergantung pada banyak faktor, antara lain availability of adequate transportation, cost of transport, dan ability of transportation option sehingga penyerahan produk tepat waktu.• Purchasing/procurement: availability, adequacy dan cost of transportation memengaruhi what, when dan where dari purchasing dan procurement.• Facility location: availability, adequacy dan cost dari transportasi menentukan lokasi pabrik, gudang, retail, dsb. 24/01/13 Strategic Logistic Management - 12 Rudyanto
  13. 13. Factors Influencing Transportation Costs • Product-related • Market-related factors factors  Degree of competition  Density  Location of markets  Stowability  Government regulation  Ease or difficulty of  Balance or imbalance of handling freight traffic  Liability  Seasonality  Domestic versus international movement 24/01/13 Strategic Logistic Management - 13 RudyantoMcGraw-Hill/Irwin Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved.
  14. 14. Product – Related Factors• Density: menunjuk product’s weight-to-volume ratio low density (low weight-to-volume ratio) cenderung lebih mahal dibanding dengan high-density product.• Stowability (cube utilization): derajad sejauh mana suatu produk dapat mengisi space tersedia pada sebuah sarana angkatan. Stowability sebuah produk tergantung pada size, shape dan fragility.• Ease atau Difficulty in handling: produk yang sulit ditangani biasanya lebih mahal untuk diangkut. Produk yang uniform dalam size atau shape, atau produk yang dapat dimanipulasi lebih murah.• Liability: memiliki high-value-to-weight ratio, mudah rusak, risiko dicuri, biasanya dikenakan biaya transportasi mahal. Begitu juga kategori produk yang tergolong berbahaya, biaya angkutnya mahal.24/01/13 Strategic Logistic Management - 14 Rudyanto
  15. 15. Transportation Cost dan Pricing • Products – Related • Market – Related Factors Factors Menentukan pilihan antara 2 basic pricing strategies of carriers: •Cost–of-service pricing •Value-of-service pricing24/01/13 Strategic Logistic Management - 15 Rudyanto
  16. 16. Market – Related Factors Keenam faktor market-related ini memengaruhi: Cost dan pricing of transportation Transportation carrier menggunakan: Cost of service, atau Value of service, atau Jenis strategi penetapan harga lainnya.24/01/13 Strategic Logistic Management - 16 Rudyanto
  17. 17. Terms of Sale and Corresponding Buyer and Seller Responsibilities24/01/13 Strategic Logistic Management - 17 Rudyanto
  18. 18. Strategi Cost of Service Pricing Strategi pricing ini menentukan transportation rates pada aras yang bisa menutup fixed costs dan variable cost ditambah profit margin. Ada beberapa kesulitan:  Perusahaan harus bisa identifikasi FC dan VC.  FC dialokasi ke setiap pergerakan angkutan (pengiriman barang). FC/unit bisa berubah-ubah tergantung besar/kecil pergerakan angkutan.• Transportation costs dapat berubah-ubah dalam strategi pricing ini karena 2 faktor:  Distance - semakin jauh, transportation rate naik.  Volume - terjadi economies of scale ketika jumlah angkutan semakin besar.24/01/13 Strategic Logistic Management - 18 Rudyanto
  19. 19. Strategy Value-of-Service Pricing Transportation rates pada dasarnya ditetapkan sesuai kesanggupan pasar membayar dan didasarkan pada market demand terhadap jasa transportasi dan situasi kompetitif Upper limit rates; yaitu rate yang akan maximize perbedaan antara revenue diterima dan variable cost untuk mengangkut. Dibedakan :  FOB (Free On Board) Pricing  Delivered Pricing pembeli diberi harga yang mencakup delivery produk tersebut. Dua Macam : - zone pricing - basing point pricing24/01/13 Strategic Logistic Management - Rudyanto 19
  20. 20.  Zone pricing : area geografis dikategori menurut zone. Setiap zone mempunyai delivery cost sendiri–sendiri.  Basing – point pricing : penjual menentukan satu atau lebih lokasi sebagai point-of-origin. Pembeli membayar delivery costs dari point-of-origin terkait. Quantity discount (cumulative atau noncumulative)  Cumulative quantity discounts: pengurangan harga diberi pada pembeli berdasarkan jumlah pembelian selama periode waktu tertentu yang ditetapkan.  Non cumulative quantity discounts: pengurangan harga dikenakan pada setiap pesanan dan tidak berakumulasi selama periode waktu tertentu. Allowances: kerap kali penjual memberi pengurangan harga pada pembeli karena yang bersangkutan melakukan sendiri fungsi delivery.24/01/13 Strategic Logistic Management - Rudyanto 20
  21. 21.  Pricing & negotiation Categories of Rates Line-haul rates (charges for the movement of goods between two points) & accessorial charges (transporting, handling & servicing a shipment). Consists of class rates; exception rate; commodity rate; and miscellaneous rate. Rate Bureaus Transportation Service Characteristics : consistency, time-in-transit, market coverage (door-to-door), flexibility, loss & damage performance, and ability more than just basic service. 24/01/13 Strategic Logistic Management - Rudyanto 21
  22. 22. Value-of-service Pricing : •Market demand •Situasi competitive Transportation Rates Cost of Service Pricing: •FC •VC •Profit margin24/01/13 Strategic Logistic Management - 22 Rudyanto
  23. 23. Variable costs change in a predictable, direct manner in relation to some level of activity• Variable costs in transportation are only incurred if you operate the vehicle• Transport rates must cover these at the very least!• Generally measured per mile or unit weight or both – E.g. per ton-miles 24/01/13 Strategic Logistic Management - 23 Rudyanto
  24. 24. Fixed costs must be paid even when the company is not operating• Fixed costs are not influenced by shipment volume – Includes vehicles, terminals, rights-of- way, information systems, and support equipment• Must be covered by contribution above variable costs on a per shipment basis 24/01/13 Strategic Logistic Management - 24 Rudyanto
  25. 25. Transportation structure• Consists of rights-of-way, vehicles, and carriers operating within five basic modes• A mode identifies basic transportation method or form – Rail – Highway – Water – Pipeline – Air 24/01/13 Strategic Logistic Management - 25 Rudyanto
  26. 26. Rail mode has historically handled the largest number of ton-miles within continental US• Track mileage has declined by over half since 1970• Traffic shifted from broad range of commodities to hauling specific freight in traffic segments – Carload – Intermodal – Container• New technologies include articulated cars, unit trains and double-stack cars 24/01/13 Strategic Logistic Management - 26 Rudyanto
  27. 27. Truck mode has expanded rapidly since the end of World War II• Nearly 1 million miles of highways in U.S.• Key benefits include – Speed of transit – Ability to operate door-to- door• More efficient than rail for small shipments over short distances• Dominate freight moves under 500 miles and from manufacturing to wholesalers to retailers• Many companies run their own truck fleets as well (e.g. WalMart) 24/01/13 Strategic Logistic Management - 27 Rudyanto
  28. 28. Water mode is the oldest form of US transport dating back to the birth of our nation• Percentage of ton- miles has stayed between 19 and 30% since 1960’s• Ranks between rail and truck in fixed cost• Right of way (canals and rivers) maintained by Federal government
  29. 29. Pipeline mode accounts for about 68 percent of all crude and petroleum ton-mile movements in US• Have the highest fixed cost and lowest variable cost of all modes• Unique transportation mode – Can operate 24 hours a day, 7 days a week – No emissions – No empty container or vehicle to return• Not flexible, and limited to liquids and gases
  30. 30. Air mode is the newest and least utilized transport mode for freight• Accounts for only 1% of intercity ton-miles• Fastest of all the modes• Fixed cost is 2nd lowest but variable costs are extremely high• Most products air- shipped have high value, high priority or extreme perishability
  31. 31. Transportation Carrier Characteristics Selain kelima moda transportasi, terjadi juga kombinasi antara moda: rail-motor; motor-water; motor-air; dan rail-water. Kombinasi antar moda menyediakan layanan khusus (dan kerap kali biaya lebih murah) ketimbang menggunakan moda transportasi tunggal. Opsi lain transportasi tersedia pula: indirect, special carrier; nonoperating third parties seperti freight forwarder, shipper cooperatives, parcel post, UPS, FedEX, DHL, dsb. Strategic Logistic Management - 24/01/13 Rudyanto 31
  32. 32. Bentuk Transportasi yang Ditetapkan Secara Legal sarana Transportasi umum (Common Carrier): angkutan umum menyediakan jasanya ke pengirim barang dengan menetapkan rate yang umum ke tempat tujuan. Sarana angkutan kontrak (Contract Carrier): sarana angkutan yang dapat disewa oleh pengirim barang tertentu berdasarkan kesepakatan kontraktual tertentu. Sarana angkutan khusus (Exempt Carrier): sarana angkutan yang dapat disewa untuk mengangkut produk tertentu. Sarana angutan milik sendiri (Private Carrier): sarana angkutan ini tidak untuk disewakan; perusahaan menyediakan sarana angkutannya sendiri untuk transportasi produknya. 01/24/13 Strategic Logistic Management - Rudyanto 32
  33. 33. Economic drivers influence rates Distance Weight Density Stowability Handling Liability Market 24/01/13 Strategic Logistic Management - Rudyanto 33
  34. 34. 24/01/13 Strategic Logistic Management - 34 Rudyanto
  35. 35. Growth of Intermodal Transportation24/01/13 Strategic Logistic Management - 35 Rudyanto
  36. 36. Highway transport is appealing partly due to its relative ranking across characteristicsTable 8.5 Relative Operating Characteristics by Mode Lowest rank is best 24/01/13 Note: LowerStrategic Logistic Management - is better 36 Rudyanto
  37. 37. Intermodal Combinations Intermodal Combinations yang umumnya tersedia bagi pengirim-barang (shipper): ∼ Trailer-on-flatcar (TOFC/piggyback) ∼ Container-on-flatcar(COFC) ∼ Road railersLihat Figure 8-4 [p.331] Strategic Logistic Management -24/01/13 Rudyanto 37
  38. 38. Selected Form of Intermodal Transportation Strategic Logistic Management -24/01/13 Rudyanto 38
  39. 39. Piggyback is an intermodal transport that integrates rail and motor service Most widely used systems are  Trailer on a flatcar (TOFC)  Container on a flatcar (COFC) Trailer or container is hauled by truck at origin and destination  Railcar hauls for portion of intercity travel A variety of coordinated service plans have been developed
  40. 40. Containerships are oldest form of intermodal transport Loads a truck trailer, railcar or container onto barge or ship for the line-haul movement on inland waterways Land bridge concept moves containers in a combination of sea and rail transport  Common for containers moving from Europe to Pacific Rim Transfer of freight between modes often requires handling containers and imposition of duties  Function of ports is to make this seamless and fast Port throughput is big concern for supply chain managers
  41. 41. Coordinated air-truck is commonly used to provide premium package services Many smaller cities lack airfreight services Costs can leveraged with delivery time by linking the modes Strategic Logistic Management - 24/01/13 Rudyanto 41
  42. 42. Non-operating intermediaries do not own their own equipment Freight forwarders — businesses that consolidate small shipments from various customers into bulk shipment for a common carrier for transport Shipper associations and agents —groups of shippers who employ an agent to consolidate purchases and shipments for them  E.g. garment industry in New York Brokers —intermediaries that coordinate transportation arrangements for shipper, consignees and carriers, operating on a commission basis Sampling of Non-operating Intermediaries Strategic Logistic Management - Rudyanto 8-42
  43. 43. Nonoperating Third Parties • Freight forwarders • Shippers’ associations or cooperatives • Transportation brokers • Intermodal marketing companies or shippers’ agents • Third-party logistics service providers (Ryder Logistics, ROLS (Caliber), Schneider Logistics, Customized Transportation, and Menlo Logistics. 24/01/13 Strategic Logistic Management - 43 RudyantoMcGraw-Hill/Irwin Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved.
  44. 44. • Freight Forwarders (FF): menjadi alternatif pengangkutan handal. Freight Forwarders membeli jasa transportasi dari satu atau lebih moda dan melakukan konsolidasi pengiriman-pengiriman kecil dari sejumlah shipper sehingga menjadi pengiriman besar serta biaya angkut lebih rendah. FF bisa domestik atau internasional. Dapat pula melalui laut dan/atau udara.• Shippers’ association atau Cooperatives : yaitu kelompok shipper melakukan konsolidasi atau distribusi muatan atas dasar nirlaba untuk para anggota dari kelompok demi menjamin tercapainya volume angkutan atau kontrak layanan.24/01/13 Strategic Logistic Management - 44 Rudyanto
  45. 45. 8-6b• Transportation Broker : mengatur pengangkutan produk dan mengenakan fee untuk jasa itu. Broker melakukan pengaturan angkutan dan partisipasi dalam negosiasi biaya. Kesepakatan lasimnya dibuat antara broker dengan carrier dimana carrier menunjuk broker tersebut sebagai agennya. Broker berperan mengusahakan muatan agar perjalanan pergi-pulang senantiasa terisi penuh. Broker juga berperan penting jika shipper akan melakukan negosiasi tentang rate, mengawasi pengiriman, dsb.• Intermodal Marketing Companies atau Shippers’ agent : mirip shippers’ association atau cooperatives kecuali perusahaan mengkhususkan diri pada TOFC/COFC.• Third-party Logistics Service Providers : pihak ketiga menyediakan layanan logistik (transportasi) untuk perusahaan tertentu.24/01/13 Strategic Logistic Management - 45 Rudyanto
  46. 46. Small Package Carriers• US Portal Service• UPS (United Parcel Service)• FedEx• Many E-Commerce Companies Use Air Express (Amazom.com, Borders Books, and Barnes & Noble).• Competition: Airborne Express, DHL Airways, Emery Worldwide, FedEX, and UPS.24/01/13 Strategic Logistic Management - 46 Rudyanto
  47. 47. Major U.S. Agencies Regulating Transportation • Surface Transportation Board • Department of Transportation • Federal Maritime Commission • Federal Energy Regulatory Commission 24/01/13 Strategic Logistic Management - 47 RudyantoMcGraw-Hill/Irwin Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved.
  48. 48. International Distribution Shipping Options Source: Adapted from David L. Anderson. “International Logistics Strategies for the Eighties, “Proceedings of the Twenty Secong Annual Conference of the National Council of Physical Distribution Management,1984, p.363. Used by permission of the Council of Logistics Management. 24/01/13 Strategic Logistic Management - 48 RudyantoMcGraw-Hill/Irwin
  49. 49. Landbridge, Minilandbridge, Microbridge• Landbridge : suatu layanan dimana kargo dari luar negeri melintas suatu negara dalam perjalanan ke negara lain.• Minilandbridge (minibridge) : kargo dari luar negeri bermula atau berakhir pada satu titik di dalam negara tertentu (port-to-port transportation).• Microbridge : layanan ini menyediakan transportasi door-to-door di dalam suatu negara• Dengan semakin menguatnya blok perdagangan bebas (misal AFTA, NAFTA) berbagai implikasinya terhadap transportasi antar negara anggota perlu dicermati mencakup availability dari moda transportasi, rates, regulatory, restriction, service level dan aspek-aspek lain dari transportation mix. Strategic Logistic Management -24/01/13 Rudyanto 49
  50. 50. Global Aspects of Transportation• Pengelola transportasi yang terlibat dalam pasar internasional harus menyadari & memperhatikan layanan, biaya, dan ketersediaan moda transportasi di dalam dan antar negara-negara.• Umumnya opsi yang tersedia adalah transportasi udara dan air, kecuali negara-negara tersebut berada dalam satu benua yang terhubung satu dengan lainnya sehingga dimungkinkan angkutan darat.• Perbedaan antara moda-moda transportasi disebabkan oleh pajak, subsidi, regulasi, carrier milik pemerintah, geografi dan faktor lainnya.• Transportasi intermoda lebih sering terjadi dalam pergerakan produk secara internasional.• Biaya transportasi internasional biasanya merupakan presentasi lebih tinggi dari nilai merchandise itu sendiri. Strategic Logistic Management -24/01/13 Rudyanto 50
  51. 51. Thank U 4 Listening 2 Me  Strategic Logistic Management -24/01/13 Rudyanto 51

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