Eberhard Bluemel,                       Felix A Schmidt,            ...
as being paramount to the efficient operation of ports.      making, distributing or moving to customer or selling.
The fr...
competitiveness and the economic viability of                 selection of the most beneficial option. Unfortunately
been used to transfer data (EDI) in international freight
forwarding since the mid 199ties.              What is          ...
Transportation Solution - Route Selection
                                                         Transportation Solution...
Movement of Goods

                                                                       Buy       Make               M...
the activities of a supply chain is a specialist task at
Lalwani, C.             2004  ITeLS     “Integrating
     Transport and eCommerce into the Logistics
     Supply Chain”, E...
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"Simulation, eLogistics and the Supply Chain."

  1. 1. SIMULATION, eLOGISTICS AND THE SUPPLY CHAIN Eberhard Bluemel, Felix A Schmidt, Laura Rasinskyte, Fraunhofer Institute FhG/IFF, Maritime & Supply Chain Solutions University of Ulster and Kaunas Sandtorstrasse 22, 39106 Magdeburg, (Europe) Ltd., University of Technology, Germany, 4 Redhall Close, BALLYCARRY, Shore Road, NEWTOWNABBEY email: BT38 9HZ, UK BT37 0QB, UK email: email: the “removal of bottlenecks”, were identified as being KEYWORDS of particular importance. It is an easy step to combine Simulation, Supply Chain, Logistics the Motorways of the Seas and the Freight Corridors with ports as nodes between the links of rail, road and / or inland waterways to follow the concept of the TEN ABSTRACT of an integrated intermodal freight transport network The paper discusses modelling and simulation of a over which supply chain related logistics activities do supply chain extending from the Far East to NW take place, i.e. the combination of ‘Deep Sea Europe. It briefly reviews and implies the needs of Shipping’, ‘Short Sea Shipping’, ‘Inland Waterway’ logistics provision within the framework of modular and ‘Rail’ for long-haul with ‘Road’ and possibly balance and sustainable growth as proposed by the EC ‘Rail’ offering pre- and post-carriage. Similarly to the in its paper “Transport 2010: Time to Decide”. It is freight route that has been proposed in the EU based upon RTD work carried out and IT solutions sponsored project eLOGMAR-M. This supply chain proposed and supported by the EC in the projects of along this route extends from the Baltic States via the AMCAI, DAMAC-HP, SPHERE, BALTPORTS-IT, ports of Western Europe – Hamburg - and the ITeLS supported by EPSRC, UK and the now running Mediterranean to China. Figure 1 below illustrates this EC supported project of ‘eLOGMAR-M’. (Schmidt, F.A., 2003) ‘eLOGMAR-M’ is the natural extension of pervious work carried out by the members of this consortium ‘away’ from port related logistics into those more closely allied with supply chains extending globally from seller to buyer with particular emphasis on the link referred to as ‘Move’. The sample supply chain of eLOGMAR-M and that used in ITeLS are similar and comprise of the links of one ‘seller’, one ‘buyer’ and ‘movers’ active in all surface modes of transport. A modular approach to modelling was adopted, in line with Incoterms, using initially flowcharts and subsequently GPSS block charts. Both spreadsheet simulation and GPSS simulation runs were carried out Figure 1: The selected Route of eLOGMAR-M to validate and compare results as well as to visualise the processes, associated KPIs and their distributions of, e.g. time and costs. The simulation results Ports, associated freight transport logistics processes demonstrate the substantial benefits that can be gained and information requirements were considered in by the extensive use of IT in the exploration and substantial details in the EU funded projects of management of supply chains. AMCAI, (Bluemel, E. et. al., 1997), DAMAC-HP, (Bluemel, E., et. al., 2000), SPHERE, (Schmidt, F. A., et. al., 1997) and BALTPORTS-IT, (Bluemel, E, and INTRODUCTION Novitski, L., 2005). Aspects of this work are further The European Commission (EC) in its publication discussed in “Introduction to BALTPORTS-IT: “European Transport to 2010: Time to Decide”, the Applications of Simulation and IT-Solutions in the White Paper, of September 2001, reviewed the results Baltic Port Areas” and will be presented at ESM 2005. of the implementation of the Common Transport The above named research programmes were targeted Policy (CPT) and revealed its plans of how the CTP at the industrial utilisation of ports, cargo transfer could be further and successfully implemented within technologies, simulation models to mirror and mimic the framework of ‘Sustainable Development’ and activities and evaluate the performance of ports and actions to achieve the all important ‘Balance of the related information systems. Information, information Modes of Transport’. In this respect the development systems, information transfer and the timely of “Freight Corridors”, “Motorways of the Seas” and availability of the correct information were identified 1
  2. 2. as being paramount to the efficient operation of ports. making, distributing or moving to customer or selling. The frequent unavailability of information was also In simple terms, a typical supply chain can be identified by both industry and the EC as a bottleneck considered in terms of its four key functions of buying, to improved efficiency and a major challenge in the making, moving and selling as Figure 3 below shows promotion of short sea shipping and intermodal freight under the title of ‘Traditional Functions’. Historically, transport (COM(2003) 155 final 2003/0056 (COD)). these functions were managed independently and due to their potential impact may be in conflict rather than One of the project proposals under the umbrella of the in conjunction. Managing the ‘chain’ of these EU’s IST programme that took up this challenge in functions rather than a ‘link’ or a particular function in 2004 was eLOGMAR-M. It proposed the development isolation, requires means that strengthen the linkages and use of Web-portals for freight transport services between these key functions enable them to pull along the logistics supply chain using the routes (sea together. This proved to result in an organisation able and / or direct rail) from the Baltic States to China in to provide a superior level of service at lower costs. its demonstration. The use of Web portals as part of To highlight this, Figure 3 outlines the functional information systems relating to the activities of the port objectives of the supply chain as well as their potential community has been successfully explored in impact. BALTPORTS-IT and forms one of the assets of the Baltic Sub-Regional Competence Centre (BSRCC) The EU sponsored projects of DAMAC-HP, AMCAI, where it is used in distributed and Web-based BALTPORTS-IT and SPHERE concentrated their simulation of port operation aimed in particular at RTD activities on the link described as ‘Move’. container transport (Bluemel, E., Babot, J., and Considering Figure 3, the natural development from Novitsky, L., 2003). It is a natural progression from addressing one key function of the supply chain to the consideration of ports and their operations to the encompass all four of them, becomes evident. wider picture of supply chains and related activities with emphasis on associated information requirements Move Sell Key Functions: Buy Make and systems supporting and enabling the availability and the transfer of information. Functional Objectives: Best price Lowest unit cost Lowest transport cost = Quantity = Long runs = Slowest mode Potential Impact: High raw High finished Slow response High raw material BACKGROUND material stocks goods stocks to customer and finished goods demands stocks. Increased The above deliberations beg the clarification of High risk of Limited flexibility manufacturing obsolescence = poor service costs ‘transport logistics’ versa ‘supply chain’, or more correctly, ‘logistics management’ versa ‘supply chain management’. In short, logistics management is These Functional Objectives are in Conflict concerned in the main with the management of Figure 3 The Conflict of Functional Objectives inventory, warehousing and distribution. Supply chain management encompasses and addresses all aspects of procurement, manufacture, inventory management, The questions now arising are those of: warehousing, distribution, sales, order processing and • How can the linkages between these four key customer services across all industry sectors and all functions of the supply chain be strengthened? and companies from large multi-nationals to indigenous • What means are needed to achieve this? SMEs. Figure 2 below illustrates a typical supply chain (IBEC-CBINI; Anderson, B.; Schmidt, F.A.; The direct activities of buying, making, moving and Fynes, B,; 2002). selling do not necessarily overlap as the key functions indicate. The information required to implement them, however, most certainly does. This indicates that it may be beneficial if the information flow within the supply chain is strengthened, that information is more freely shared and, that the correct information required at the various steps within the supply chain is more readily available. The combination of information and information technology is the key to answer the above questions. The identification of the correct information required, yet restricting the amount of this information to the bare minimum begs to consider the way international Figure 2: Typical land-based Supply Chain business is generally conducted within the framework of legislation, regulation, available transport Figure 2 traces the flow of products from sourcing or infrastructure and freight transport logistics service buying raw material through manufacturing or provision. In the end all of this affects the 2
  3. 3. competitiveness and the economic viability of selection of the most beneficial option. Unfortunately enterprises, the members of the supply chain, through not every member of the supply chain or user of freight generally the costs of their goods, the price their transport logistics services is able to model supply customers are asked to pay, the lead time to delivery as chains and simulate their performance. This indicates well as customer services offered. It also places a need for specialist- and Web-based services as those obligations on buyer, seller and freight transport offered by the Baltic Sub-Regional Competence Centre logistics service providers. The most convenient way (BSRCC) using Web-portals as proposed in to summarise these as proven by industrial practice are eLOGMAR-M based on supporting work done in the Incoterms, (ICC, 2000), i.e. the terms of trade AMCAI, DAMAC-HP, SPHERE and BALTPORTS- developed and recommended for use by the IT. International Chamber of Commerce in Paris. The reason for this is simple. Incoterms and their Bluemel, E., Vinichenko, S. and Novickis, L. in application are unambiguous, internationally “Model-based Essential Logistics Principles for understood and have been interpreted by the courts. Creating a Web-Portal of Transport Services’ Figure 4 below outlines and represents Incoterms in Consumers”, (ESM 2005), model the business process conjunction with the concept of the supply chain but, involved in international freight transport along the putting emphasis on the freight transport logistics route indicated in Figure 1, with a view towards the services and allied documentation including packaging, development of the above indicated Web-portal(s). It insurance, export and import clearance. is intended that the Web-portal offers the potential user a choice between the services on offer thereby assisting the supply chain manager with the all important task of routing taking account of, e.g. the buyer’s requirements and the conditions of the order, the terms of sale affecting the division of freighting costs, the speed of delivery requirements, the destination and possible routes available as well as merchandise and packaging characteristics, (Downs, D.E., 1992 and Willmott, K. 2001). The RTD work on the business process of international freight transport is ongoing and is further discussed during ESM 2005. MODELLING AND COMPUTER SIMULATION OF AN INTERNATIONAL SUPPLY CHAIN Figure 4: Incoterms and the Supply Chain The Modelling of an International Supply Chain The terms are applicable to all modes of freight using Incoterms transport and take account of the requirements of modern surface transport, i.e. intermodal-, through-, Modelling and formalisation are prerequisites to and combined transport. The legend shown in Figure 4 computer simulation and the Incoterms, their ongoing clearly indicates the obligations of the seller. What the development, interpretation and global application by seller is not obliged to do, the buyer has to take care of. buyers, sellers, importers, exporters and extensive use in international trade, proved to offer an ideal Formalities, duties, licences and taxes including the framework to start this task. The work about to be modes selected for transport imply mode specific discussed does not form part of eLOGMAR-M and information, documents and schedules. Schedules was concluded before eLOGMAR-M started. Industry imply existing combinations of service provision, together with the Physical Science and Engineering routes and as a result, route, mode and service specific Research Council (EPSRC) in the UK sponsored this times and costs. The task of the supply chain manager RTD programme called ITeLS (Integrating Transport now is to identify and select most beneficial and eCommerce in Logistics Services) over three combination of route, mode and service provision, years. ITeLS terminated on August 31st 2004. One of costs and time within the kaleidoscope of continuously the largest internationally operating freight forwarders changing circumstances. As the situation is totally in Northern Ireland was one of the industrial partners. dynamic, the most convenient way to explore this is by The firm is active in sea-, air-, road-, and to a lesser means of computer modelling of possible supply extent, due to a restricted local rail network, in the chains of interest followed by simulation of their transport of rail freight. They assisted substantially performance. The key performance indicators (KPI) with the validation of the modes, the provision of data from the point of view of service provision are as well as with the evaluation of the results of the expressed by time and costs. This is followed by the simulation. One point that became clear very early in the project was that information technology (IT) has 3
  4. 4. been used to transfer data (EDI) in international freight forwarding since the mid 199ties. What is 0: START continuously changing though is the extent of the use of IT, the sophistication of software systems and 1: Purchasing contract (Exporter, Importer) Contract (Exporter, Importer) supporting hardware as well as the application of the 2: Preparation of Cargo for Export (Exporter) work of the UN’s Facilitation Committee, and 3: Transportation Solution (Ex-/Importer, Forwarder) (Exporter, Forwarder) 4: Packaging (Exporter) 5: Cargo Insurance (Ex-/Importer/Forwarder) (Exporter/Forwarder) procedures involved in complying with legislation and Air YES regulation, e.g. the New Export System of the UK and NO 7: Cargo delivered from Exporter to Forwarder delivered from Exporter to Forwarder 6: Customs Clearance YES (Ex-/Importer/Forwarder) (Exporter/Forwarder) the new Transit System of the EU as well as the efforts Road 8: Cargo delivered from Exporter or Forwarder to Main Carrie moved from Exporter/Forwarder to Main Carrier r of the combined might of the World Trade- and World NO YES Customs Organisations to harmonise import- and Rail 9: Cargo loadingat Point of Departure (Main Carrier) loaded at Point of Departure (Main Carrier) Legend: export procedures are cases in point. NO YES 10: Cargo transported to Destination (Main Carrier) delivered to Destination (Main Carrier) Start/End Sea 11: Agent 11: Agent Similarly to the supply chain selected in eLOGMAR- Action Cargo Cargo 12:Cargo Insurance 13: Customs M, the international supply chain to be modelled (Agent) Clearance( (Agent) Clearance Agent) Action extended from North-West Europe to the Far East and Information included just one buyer and one seller. Collection from Point of Delivery 14:Cargo pickup from Point of Delivery - Airport/Port (Agent) Decision 15: 15: Cargo Cargo delivered to Buyer (Agent) delivered to Buyer (Agent) The model of this, generic, supply chain based on 16:16: Buyer completes thethe Transaction (Buyer) Buyer completes Transaction (Buyer) Flow Direction Incoterms was developed in the form of 16 sub- Document modules. They address the following items and 17: END activities taking place within the supply chain: 1. The purchasing contract. 2. The preparation of the cargo for export. Figure 5: Summary of Main Module based on 3. Selection of transport mode and routing. Incoterms 4. Insurance for pre-contractual carriage. Corresponding to the list of sub-modules, Figure 5 5. Export documentation including customs shows the ‘Purchasing Contract’ and the ‘Preparation declaration. of the Cargo for Export’ as components of ‘Ex Works’ 6. Delivery of the cargo from the exporter to a freight in the first two modules. Preparation of the cargo for forwarder (pre-contractual carriage). export is one of the obligations of the exporter under 7. Consolidation, groupage and delivery of the cargo the Incoterm of ‘Ex Works’. It includes packaging from freight forwarder to the main carrier. unless specifically excluded by the contract of sale 8. Loading of the cargo at the point of departure for between buyer and seller. Of particular interest is the main carriage. Module 3 concerned with the selection of the transport 9. Delivery of the cargo delivery to port/airport or mode based on available service options and routing of inland depot close to importer and end of main the consignment from origin to destination. Figure 6 carriage. below shows some details. It is a task generally 10. Activities of the break-bulk agent (de- performed by a freight forwarder either as part of the consolidation). seller’s or buyer’s organisation or as an independent 11. Insurance for post-contractual carriage. agent of either of them. 12. Import documentation including customs declaration. 13. Collecting of the cargo from the port/airport or inland depot. 14. Post-contractual carriage and delivery to the buyer. 15. Cargo inspection by the buyer. 16. Buyer/Importer completes the transaction/contract. Modelling by flowcharting started the task of making the business processes implied in the links of ‘buy’, ‘make’, ‘move’, and ‘sell’ of the supply chain visible. 4
  5. 5. Transportation Solution - Route Selection Transportation Solution Custom procedures s 3.0: START 6.0: START Cargo preparation Sub - Module 2 S P2 TE C rg re a tio a op p ra n NO 3.1 Is Cargo ready? NO 6.1Iscargoready? YES Quotation Request: Commercial Invoice, YES 3.2: Request for Transportation Solution & Quotation (Ex/Import er) Cargo, Weight, Volume, Destination Value, Origin, Destination, Dangerous Goods List, Arrival Date at Buyer 3.3: Request for Transportation Solution & Quotation (Forwarder Quotation Request ) and Availability 6.2WithinEC? Check YES NO 3.4: Air Carrier 3.5:Road Carrier 3.6:Rail Carrier 3.7:Sea Carrier 6.3 Urgent . Delivery? Quotation: 3.8: Solution & Quotation to Client (Forwarder) Collection Date, Carrier, 6.6G sinfree ood NO YES circulation? Name, Mode of Transp. Route and Schedule Y ES NO 6.4: Pre-entry(Exporter)() 6.5: Post-entry(Exporter)() NO YES A pplication A pplication 3.9 Quotation acceptable? form form (Ex/Importer) 6.7:IN A TA TR S TS 6.8: T1(S D A) NO NO 3.12 By Rail? 3.11 By Road? 3.10 By Air? 6.9: Applicationfor clearance (C stom () u s) A pplication NO YES YES approval YES Instruction, Collection Date, 3.13 By Sea? 3.14: Solution Confirmation (Ex/Importer) Carrier’s Name, Mode of 6.10: C stom u sclearance(Exporter) () Custom s Transport, Route, Schedule, certificate Cargo, Weight, Value, Volume, Origin, Destination, Dangerous Goods Note 3.15: Turn to Module 7 if required. Cargo Delivered from Exporter to Forwarder 6.11: Turn to step 9 Cargo loading for departure Figure 6: Selection of Mode of Transport and Figure 7 An Outline of the Export Procedure Routing Module 7 is concerned with pre-contractual carriage Cargo insurance according to the Institute of Cargo and from the supply chain’s point of view with the link Clauses is optional, though strongly recommended of ‘Move’. As such it covers the Incoterms of FCA for according to the risk the cargo will be subjected to en both FCL but, more likely under today’s industrial route. Depending on the mode of transport it covers practice of JIT, LCL using consolidation and groupage the terms of ‘CIF’ using water-borne transport and at the forwarder’s premises to achieve a FCL travelling ‘CIP’ corresponding to integrated-, through-, and under the forwarder’s house bill of lading to a break combined transport. Module 5 concerned with export bulk agent near the destinations of the groupaged documentation is another interesting one due to the consignments. It also covers the traditional maritime numerous and transport mode dependant alternatives. transport related term of ‘FAS’. Figure 7 provides some indication on export and Customs procedures. The most important aspects The Modules 8 and 9 cover the loading of the cargo, in being whether the destination of the goods is within the this case a container, by or on behalf of the main EU or outside of it and whether the goods are in free carrier and the transport of the cargo to the port / circulation. Export documentation and Customs airport / inland port or agreed place of delivery. As clearance can be an obligation of either the buyer if he such it covers the Incoterms of ‘FOB’, ‘CFR’, ‘CIF’, buys ‘Ex Works’ with the seller assisting with ‘DES’, and ‘DEQ’ relating to purely water-borne information or that of the seller under the other terms. transport, as well as the terms of ‘CPT’, ‘CIP’ of modern surface transport. The activities of Modules 10, 11 and 12 are again related to logistics services performed most likely by a freight forwarder. Deconsolidation – Module 10 – is used as part of LCL services. Who arranges for post- carriage insurance and import documentation including import customs clearance however depends upon the agreement between buyer and seller. The Incoterms covering these aspects are ‘DDU’ and ‘DDP’. These two terms further cover the activities of Modules 13 and 14 concerned with the collection of the cargo and post-contractual haulage. 5
  6. 6. Movement of Goods Buy Make Move Sell Integrated Transport North-West Far East Road – Rail - Maritime Europe Modules 15 and 16 complete the activities involved in the supply chain links of ‘Move’ and ‘Sell’ and are Flow of Information and Documents intrically linked to ‘Buy’ by the contract of sale. The Movement of Money only link of the supply chain that was not used is that of ‘Make’ as it is mainly related to manufacture and even though they form part of the supply chain, production logistics were deliberately excluded form this work. The activities and relationships within each one of the 16 modules have been visualised and sequenced using flowcharts similarly as presented in Figures 5 to 7. Simulating the Performance of the Supply Chain Extracts of screen prints taken during the performance The translation of the flowcharts of the modules into of the GPSS simulation are shown in Figure 11. The both MS Excel and GPSS block charts was the next input data for all distributions used in the model is task. The flowcharts of the modules clearly indicated industry based and has been extensively checked and that the processes involved were sequential and in rechecked with the help of internationally active some cases could be running in parallel, e.g. the selection of the route, the preparation of the cargo for export, packaging, and the preparation of the documentation. The processes also are stochastic and Extract from random particularly with respect to the KPIs a Time- and representing time and costs of the supply chain. For Cost-based simplicity and reduction of work, it was decided to GPSS express time taken and costs incurred by activities as Model of an ‘observed’ distributions to be used in conjunction with Intermodal random numbers rather than to translate them into Supply Chain mathematical expressions. For this reason spreadsheet simulation was selected for ease of application and from the comparison of the results of the two simulation Far-East to systems. GPSS WORLD was readily available and NW-Europe could be used to develop simulation block charts to assist with the application of distributions based on industrial observations and experience as well as for visualisation of the processes and identification of freight forwarders. bottlenecks in the selected supply chain extending from the Far East to North-West Europe to as shown in Figure 8 below. Figure 8: The selected Supply Chain from the Far- East to North-West Europe Figure 9 below shows an extract from the spreadsheet whilst Figure 10 offers an appreciation of the GPSS model. Figure 9: Spreadsheet Model of the Supply Chain Simulation Figure 10: GPSS Simulation Model of the Supply Chain 6
  7. 7. the activities of a supply chain is a specialist task at present best left to research organisations and consultants using specialist software systems. Further, supply chains do not operate in isolation similar to the example chain used in this research, but in the form of networks of suppliers, manufacturers and customers as illustrated by Figure 13 below (IBEC-CBI, Anderson, B.; Schmidt, F.A.; and Fynes, B.; 2002). Suppliers Buy Make Move Sell Buy Make Move Sell Buy Make Move Sell Figure 11: Extracts of Screen Shots of the GPSS Simulation Manufacturers Customers As indicated at the start of this section, the purpose of Figure 13: The Interaction between Supply Chains ITeLS was to incorporate eCommerce into freight and Elements of Supply Chains transport as part of the supply chain. As IT has been used in international freight forwarding and freight This prompts the question of: “How could IT be transport logistics for a considerable time with varying applied to make this rather powerful tool to explore the extent and sophistication, the purpose of the simulation effects of different logistics service providers on time of the supply chain was to explore the influence of the and costs involved in a supply chain and, according to use of eCommerce, basically the use of IT in the reality, within a network of interacting supply chains provision of freight transport logistics services. This and links, available to consumers of logistics has been achieved. The effects of the extensive use of services?” IT on time and costs in the selected supply chain from the Far East to NW-Europe are presented in Figure 12 The answer to this is believed to lie in extensive and below. complex Web-based portals as instigated by eLOGMAR-M, offering access to distributed The Influence of e-Commerce on the Supply Chain computing. This will enable a remote member of the port and cargo community to use a combination of Itinerary: FEU from the Far East to NW Europe tools to model, simulate and evaluate supply chains of his or her choice. With e-Commerce Without e-Commerce Time (d) Costs (£) Time (d) Costs (£) Min 21 952 27 955 REFERENCES Max 38 2792 54 3210 European Commission 2001 “Transport 2010: Average 30.5 1958 41.5 2311 Time to Decide”, Brussels, September Reduction 30 – 61% and 13 – 70% Bluemel, E. et. al. 1997 AMCAI Figure 12: The Influence of IT on the Supply Chain Bluemel, E. et. al. 2000 DAMAC-HP Bluemel, E. and Novitski, L, 2005 CONCLUSIONS “BALTPORTS-IT Application of The potential effects of IT on the supply chain have Simulation and IT Solutions in the Baltic Port been amply demonstrated using a simple model of one Areas”, Conf. Proc. ESM 2005, Riga. buyer, one seller and a combination of intermodal ‘moves’ as illustrated in Figure 8. Production logistics Giannopoulos, G. 1997 SPHERE and associated storage have been deliberately excluded “Small to medium sized Ports with Effective Re- from the model even though Module 2 concerned with engineered Processes”, EC, DG TREN, 1997 – the ‘Preparation of the Cargo at the Exporters’ whether 1998. the goods ordered aught to be made or bought by the exporter or seller. It also has been demonstrated that, even at this simplified level, modelling and simulating 7
  8. 8. Lalwani, C. 2004 ITeLS “Integrating Transport and eCommerce into the Logistics Supply Chain”, EPSRC, 2000-2004. European Commission 2003 “Programme for the Promotion of Short Sea Shipping”, COM2003 en final, April 2003. Schmidt, F.A. 2003 “New Logistics Solutions for Freight Forwarders”, Conf. Proc. Logistics and Transport in International Trade, Tallinn, December 3-4th. International Chamber of Commerce 2000 “Incoterms 2000”, Paris. Bluemel, E.; Vinichenko, S. and Novickis, L. 2005 “Model-based Essential Logistics Principles for Creating a Web-portal of Transport Services’ Consumers”, ESM 2005, Riga. Downs, D.E. and Willmott, K. 1992 “Understanding the Freight Business”, London. CBI-IBEC, Anderson, B.; Schmidt, F.A. and Fynes, B.; 2002 “Supply Chain Logistics and Transportation on the Island of Ireland”, InterTrade Ireland. 8