CONCEPTUAL DEVELOPMENT OF THE LOGISTICS CHAIN FLOW OF CONTAINER TRANSPORT WITHIN THE RHINE-ALPINE CORRIDOR

Abstract

The use of containers in the freight transport system has increased dramatically over the years. This is as a result of the interplay between macro-- and microeconomic factors and the liberalization of markets, thereby enhancing the development of international logistics services within transportation systems. The physical distribution of cargo in this system involves an integrated logistics chain process to transport the containerized goods from the production location to the consumption location. Different logistics chain models have been used to examine the flow of the containerized goods from origin to destination, however, these models mostly capture a specific module of the chain. To address this, the paper examines the whole logistics chain by linking the interaction between the logistics cost, time, mode choice, and assignment to the network, while connecting with the different innovations that could make container IWT more competitive. In doing this, a conceptual logistics model is developed which includes the logistics cost, time, and mode choice sub-models. The two first sub-models are developed at a disaggregated level to examine the logistics decisions for the individual cargoes. The logistics decisions are derived from the minimization of transport-related costs and time and form the input of the mode choice and assignment sub-models.

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