Distribution and Transportation Network Design

Dmitry Ivanov, Alexander Tsipoulanidis and Jörn Schönberger
Additional contact information
Dmitry Ivanov: Berlin School of Economics and Law
Alexander Tsipoulanidis: Berlin School of Economics and Law
Jörn Schönberger: Technical University of Dresden

Chapter 8 in Global Supply Chain and Operations Management, 2019, pp 203-245 from Springer

Abstract: Abstract This chapter addresses basic strategies for the configuration of physical distribution and transportation networks so that given supplying locations are physically connected with demanding locations. In the beginning, a case study concerning the challenges related to the installation of transportation links is discussed. The next section suggests generic types of transportation network setups as a starting point for the setup of more sophisticated network layouts. Subsequently, the concept of shipment consolidation as the key approach to the realization of economies of scale in transportation is considered. Additionally, different transport network configuration objectives and their balancing are analyzed, so that efficient and profitable network layouts can be set up. The incorporation of transport service providers (freight carriers) is discussed. Finally different case studies regarding distribution network design are presented and the concepts, models, and principles are discussed with numerous examples such as distribution and transportation strategies at global retailers. The chapter is accompanied by an E-Supplement providing additional case studies, Excel templates, tasks and video streams. In Chap. 7 , we discussed the identification of appropriate facility locations. The SCOM theory states that the interactions of several facilities and their common activities have a crucial impact on the success of a supply network. Therefore, the linkage of these facilities also plays an important role in the SC configuration phase. In this phase, key decisions related to the availability of facilities have already been made, but their physical connections through the installation of appropriate transportation links has not been addressed yet. In this chapter, we will discuss basic strategies to configure distribution and transportation networks so that given supply locations are physically connected with demand locations. In Sect. 8.1, we introduce a case study to discuss the challenges related to the installation of transportation links. Section 8.2 introduces generic types of transportation network setups as a starting point for more sophisticated network layouts. Section 8.3 introduces the concept of shipment consolidation as the key approach to the realization of economies of scale in transportation. Section 8.4 is dedicated to the presentation of different transport network configuration objectives and their balancing so that efficient and profitable network layouts can be set up. Section 8.5 surveys the optimization of the incorporation of transport service providers (freight carriers). Section 8.6 is devoted to different case studies of distribution network design.

Keywords: Shipment Consolidation; Transportation Links; Distribution Network Design; Transport Service Providers; Bavarian Woods (search for similar items in EconPapers)
Date: 2019
References: Add references at CitEc
Citations:

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:spr:sptchp:978-3-319-94313-8_8

Ordering information: This item can be ordered from
http://www.springer.com/9783319943138

DOI: 10.1007/978-3-319-94313-8_8

Access Statistics for this chapter

More chapters in Springer Texts in Business and Economics from Springer
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().