thoughts on freight logistics in the southeast bruce lambert 1
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Thoughts on Freight Logistics in the SoutheastBruce Lambert
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What Drink Can’t You Live Without?• When do you expect to get this?• Where do you expect to get this?• How much are you willing to pay in time or money
to get it?• What are your expectations?
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Freight mattersDaily – • 48.3 million tons of
goods worth $46 billion
Annually – • 57 tons per person
Annually –• 9% of economy is
spent on logistics 3
Buyer Expectations Are Changing Retail Logistics
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Wow!! What a bargain, and I will
get it tomorrow!
Wow!! The Little Orphan
Annie Decoder Ring Finally
Arrived!!
Retailers Changing Their Domestic Supply Chains• Locate Closer to
Customer• More Integrated
Supply Chains• Manage
Variability• Transloading• Reduce
unreliability5
Automated Vehicles• Preparing Trip
• Driver Assisted Vehicles• Route Planning
• During Trip• Electronic Notifications of
parking, spacing, etc.• Electronic Logs• Platooning• Routing Assistance
• Last Mile• Scheduling at Ports• Geofencing• Truck Parking Management
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Bottlenecks and Through Movements
0%
25%
50%
Through Ton-Miles as Share of Re-gional Truck Traf-fic
How Do Businesses Respond to Congestion? • Move away from distribution facilities away from
urban centers• Locate in areas that have access to multiple
modes• Align operations to minimize congestion and
manage fuel costs• Site Selection magazine – 2nd tier cities doing well
for attracting new businesses
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Operations - Modern Push Supply Chain Framework
Supplier Supplier Supplier
Distributor
Customer
Manufacturer
Supplier Supplier Supplier Supplier
3PL
MarketerDesigner
Point-of-sale dataRecycled products Inventory
InformationSystem
Transport System
“PULL”METHODS OFCONTROL(relative importance)
“What is the Message”
Its about me… Really?
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KY – top 200 firms - Intermodal facilities
Yellow – Top 200 FirmGreen – Intermodal Facility
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• What type of facility?• Trackage and Terminals• Develop densities
• Drayage and equipment issues• Domestic and international• Shippers bear costs?
• Don’t cannibalize other facilities
Logistics Parks and Economic Development
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Terminal Operations
Transportation Utilities Workforce Development
Business Climate Incentives
Cargo Density Business Clusters
Transportation services Intermediaries
Priv
ate
Sect
orPu
blic
Sec
tor
Who is Responsible for What?V
isio
nEdu
cati
on
Part
ners
hip
s
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http://www.wired.com/magazine/2011/05/ff_jobsi85/
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Urban Freight Issues
See any trucks, railcars, barges or planes?People need goods!
Does Understanding The Big Picture Matter?• Will imports/exports go up or down in 10 years?• Where will people live in twenty years?• Where will the state see more truck traffic?• What if we go to heavier/longer trucks?• What if the State attracts more manufacturing,
energy jobs?• Truck parking issues? • What is my neighbor doing?
• What will this change and where?
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What are you drinking next?
• It came from somewhere
• It was packaged ready for your needs
• It was available when you wanted it
• It should met your expectations concerning price and quality
• Did It generate any jobs in your area? 18
Bruce LambertExecutive DirectorInstitute for Trade and Transportation Studies540-455-9882bruce@ittsresearch.org
Visit ittsresearch.org for:Newsletter
State StatisticsReports and Presentations
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