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ID number:365328
Evaluation:
Published: 01.12.1996.
Language: English
Level: Secondary school
Literature: n/a
References: Not used
Extract

Furthermore, through reconfiguration, the demand for transport will rise at a
different rate. Our results showed an exponential growth in the amount of trucks
downstream in the chain when reconfiguration is applied, versus a linear growth in a
non-reconfiguration scenario. On a similar note, the elimination of warehouses led to a
reduction in ton/km. In addition it was found that other factors also influence freight
transport. This is the case of marketing strategies or pattern of trade links, which
contributes to a worldwide "redistribution" of the ton/km.
Despite this, there is no clear-cut cause-effect relationship between supply chain
reconfiguration, and demand for transport. The demand for transport is influenced not
only by company specific logistic and marketing strategies, but also by characteristics
of the products and supply chains involved, e.g. fresh food vs. highly manufactured
goods.
Transport demands also depend on how transport is organized, and how capable
the global carriers are of consolidating and utilizing the capacities of their transport
equipment. Other factors can also contribute to modulating transport demands.

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