Shippers’ willingness to delegate modal control in freight transportation

dc.contributor.authorKhakdaman, Masoud
dc.contributor.authorRezaei, Jafar
dc.contributor.authorTavasszy, Lóránt A.
dc.date.accessioned2024-10-21T05:51:06Z
dc.date.available2024-10-21T05:51:06Z
dc.date.issued2020-09
dc.descriptionUnderstanding the preferences and requirements of customers is one of the main keys to the success of any transportation service, especially if their demands vary widely and change over time. Mass customization of goods and services in the global business environment has required logistics service providers (LSPs)1 to adapt their business strategies toward a more demand-driven rather than supply-based logistics system (Black and Halatsis, 2001). To this end, Veenstra et al. (2012), and Van Riessen et al. (2016), among others, emphasized the need for an integrated logistics network. However, the reluctance among shippers to delegate control over the transportation mode and route to the LSPs has left limited room for the global logistics system to maximize the efficiency and flexibility of the transportation network operations. Eventually, this has also made effective demand-supply integration a more difficult task for LSPs.
dc.description.abstractThis paper investigates the willingness of shippers to delegate control over the transportation mode in freight transportation, using discrete choice analysis. Data originate from a large survey among global shippers. The results show that, under certain conditions, most shippers are willing to hand over mode selection authority to the service provider. Using latent class analysis, we classify shippers into four market segments, each with a different degree of willingness against different types of performance improvements. Firms can use this characterization of freight transportation demand to design service packages that will meet the demands of global supply chains. Keywords Logistics, Modal control delegation, Service choice, Synchromodal transportation demand, Discrete choice modeling, Latent class analysis.
dc.identifier.citationKhakdaman, M., Rezaei, J., & Tavasszy, L. A. (2020). Shippers’ willingness to delegate modal control in freight transportation. Transportation Research Part E: Logistics and Transportation Review, 141, 102027.
dc.identifier.doihttps://doi.org/10.1016/j.tre.2020.102027
dc.identifier.urihttps://repository.adu.ac.ae/handle/1/6797
dc.language.isoen
dc.publisherElsevier
dc.titleShippers’ willingness to delegate modal control in freight transportation
dc.typeArticle

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