Analysis and Classification of Possible Schemes for Consolidated Delivery of LTL Cargo
Phd in technical Sciences, Assistant
National Aviation University, Kyiv
Academician of the Academy of Economic Sciences of Ukraine, Doctor of Economic Sciences, Professor
National Aviation University, Kyiv
Savchenko L. V., Gritsenko S. I. (2020). Analysis and Classification of Possible Schemes for Consolidated Delivery of LTL Cargo. Visnyk ekonomichnoi nauky Ukrainy, 2 (39), рр. 139-144. doi: https://doi.org/10.37405/1729-7206.2020.2(39).139-144
Modern trends in the development of logistics allow us to speak about a significant number of LTL (Less Truck Load) cargo shipments, and the dynamics of demand for such transportation is positive. Thus, the transportation of small cargo (up to 5 tons) should be theoretically and methodically procured, taking into account modern technologies for building efficient supply chains.
One of the methods to increase the efficiency of LTL cargo transportation is the use of consolidation technology. The main advantage of consolidated transportation of small consignments is associated with the “economies of scale”, which allows to reduce the transportation cost of a consolidated consignment by replacing several vehicles of small and medium carrying capacity with a significantly smaller number of heavy vehicles.
Attention is focused on the efficiency of consolidated LTL cargo transportation in terms of impact on the environment and social life of the population. Thus, consolidation helps to reduce the total amount of harmful emissions into the atmosphere, minimizing air pollution, as well as reducing the impact on the logistics infrastructure, including traffic congestion.
The purpose of the article is to analyze possible schemes for the delivery of LTL cargo, with particular attention to the possibility of consolidation and assessment of its advantages and disadvantages, as well as the formulation of classification features and types of LTL delivery schemes.
The article analyzes the methods for forecasting the demand for transportation between regions (territorial zones). An assessment of the demand for LTL cargo transportation between regions of Ukraine was made based on the platforms lardi-trans.com and della.ua.
The advantages, limitations and additional costs associated with the use of consolidation centers for the transportation of LTL cargo are analyzed.
The main attention is paid to the basic types of transport schemes that can be used for interaction between shippers and consignees of LTL cargo. The classification features of possible schemes and types of LTL cargo delivery schemes with and without consolidation have been determined. Accordingly, a comprehensive classification of LTL cargo delivery schemes has been proposed. Possible LTL delivery schemes are analyzed according to the proposed classification criteria. The LTL cargo delivery schemes outlined in the article allow logistician to analyze the existing options and choose the most rational one in certain conditions.
LTL (small) cargo transportation, cargo consolidation, delivery schemes, advantages and disadvantages of consolidated transportation.
- Allen J., Browne M., Woodburn A., Leonardi J. (2012). The Role of Urban Consolidation Centres in Sustainable Freight Transport. Transport Reviews, 32:4, pp. 473-490. doi: https://doi.org/10.1080/01441647.2012.688074
- Environmental Defense Fund. Green Freight Facts & Figures. (2019). Environmental Defense Fund. Retrieved from https://supplychain.edf.org/resources/green-freight-facts-figures/
- Boichenko M. V. (2018). Problemy transportnoi lohistyky vantazhnykh perevezen v Ukraini [Problems of freight transport logistics in Ukraine]. Visnyk ekonomichnoi nauky Ukrainy, №2 (35), pp. 22-26 [in Ukrainian].
- Tryfonova O. V., Trushkina N. V. (2019). Stan, problemy ta tendentsii rozvytku transportnoi lohistyky v Ukraini [Status, problems and trends in the development of transport logistics in Ukraine]. Visnyk ekonomichnoi nauky Ukrainy, 1 (36), pp. 143-149 [in Ukrainian].
- Hrytsenko S. I. (2019). Modeliuvannia systemy tsinnostei ekolantsiuha postachan yak dominanta transportno-lohistychnykh klasteriv. [Modeling of the value system of the eco supply chain as a dominant of transport and logistics clusters]. Visnyk ekonomichnoi nauky Ukrainy, 1 (36), pp. 31-34 [in Ukrainian].
- Ivanov S. V., Liashenko V. I., Shamileva L. L., Trushkina N. V. (2019). Tendentsii rozvytku transportno-lohistychnoi systemy Prydniprovskoho ekonomichnoho raionu. [Trends in the development of the transport and logistics system of the Dnieper economic region]. Visnyk ekonomichnoi nauky Ukrainy, 2 (37), pp. 143-150. doi: https://doi.org/10.37405/1729-7206.2019.2(37).143-150 [in Ukrainian].
- TechTarget Network. Transportation Management System (TMS). TechTarget Network. Retrieved from https://searcherp.techtarget.com/definition/transportation-management-system-TMS
- Savchenko L., Polishchuk V., Grygorak M. (2019). Interaction of participants of urban freight consolidation of different levels. Management and Entrepreneurship: Trends of Development, 3(09), pp. 89-106. doi: https://doi.org/10.26661/2522-1566/2019-3/09-07
- Shramenko N. Iu. (2010). Teoretyko-metodolohichni osnovy efektyvnoho funktsionuvannia terminalnykh system pry dostavtsi dribnopartionnykh vantazhiv [Theoretical and methodological foundations of efficient operation of terminal systems in the delivery of small consignments]. Kharkiv, KhNADU. 156 p. [in Ukrainian].
- Berezhna N. H., Biliaieva O. S., Voitov V. A., Horiainov O. M., Karnaukh M. V., Kravtsov A. H., Kutia O. V., Muzylov D. O., Shramenko N. Iu. (2019). Problemy transportno-lohistychnoho zabezpechennia v ahrarnii haluzi [Problems of transport and logistics support in the agricultural sector]. Kharkiv, Miskdruk. 180 p. [in Ukrainian].
- Hwang T. S. (2014). Freight Demand Modeling and Logistics Planning for Assessment of Freight Systems’ Environmental Impacts. PhD Dissertation. University of Illinois at Urbana-Champaign, Chicago.
- Comi A., Polimeni A. (2020). Assessing the Potential of Short Sea Shipping and the Benefits in Terms of External Costs: Application to the Mediterranean Basin. Sustainability, 12(13): 5383. doi: https://doi.org/10.3390/su12135383
- Liu T., Zhao C. (2019). Impacts of Freight Consolidation and Truck Sharing on Freight Mobility. Retrieved from https://digitalcommons.lsu.edu/transet_pubs/31.
- Sunol H. (2020). Consolidation Warehouse – Its Meaning, Benefits, and Drawbacks. Cyzerg Warehouse Technology. Retrieved from https://articles.cyzerg.com/consolidation-warehouse-meaning-benefits-and-drawback
- Savchenko L. V., Donets A. H. (2020). Otsinka zahalnoekonomichnykh vtrat suspilstva vid zatoriv transportnykh zasobiv u misti Kyievi [Estimation of general economic losses of society from traffic jams in the city of Kyiv]. Naukovo-vyrobnychyi zhurnal “Avtoshliakhovyk Ukrainy“, 2, pp. 8-15. doi: https://doi.org/10.33868/0365-8392-2020-2-262-8-15 [in Ukrainian].
- Savchenko L., Lysenko M., Ihnatova A., Semeriahina M. (2018). Analysis of the features, difficulties and advantages of transportation of less-than-truck loads. Management and Entrepreneurship: Trends of Development, 4(06), pp. 119-125. doi: https://doi.org/10.26661/2522-1566/2018-4/06-13
Full Text .pdf