Why should organizations consider intermodal transport for their international and domestic freight flows?
Fleet planning issues in intermodal transport present the most significant logistical problems. Kuziev et al. (2020) define intermodal transportation as a collection of two transport modes in one transport chain without necessarily changing the goods container in which most routes are covered by inland waterways, rail, and ocean-growing vessels, and by road to cover the shortest possible course. Cargo owners experience numerous issues based on what should be included in a contract for the sale or acquisition of the goods, the choice of the means of transport, and the means of paying minimum transportation. The commercial effectiveness of a transport product or service relies on the advertisement quality, price ratio, well-selected delivery schemes, storage, and transportation. The benefits of having a systemic, integrated, or even a logistical strategy in managing the transport movement, information, freight, and other flows serve as one of the most significant reasons for a global organization’s market to acquire foreign goods. Today, the operation management within the transport process is divided into parts such as railway, waterway, automobile, and between ports. Besides integrating numerous sub-problems interrelated at various planning levels, such as operational, tactical, and strategic, the integration of multiple actors, resources, and modes in an intermodal transport system allows fleet planning to be more complex than unimodal systems. Intermodal transport offers a secure and safe approach that eradicates the excesses in addressing freight during transportation. According to a study by Chuchka et al. (2019) on a company case, reducing the degree of handling required with cargo reduces losses and damages. It increases security at terminals, ramps, and rail tracks. Intermodal logistics should pursue a dual approach to optimize supply chains and the links between partner organizations and developing highway congestion.
An increasing number of shippers prefer moving goods through an intermodal transportation system because of the economic benefits associated with the mechanism. Intermodal transportation has social, economic, and environmental benefits, making it preferable to companies. The goal of any organization is to increase its profitability while delivering more effective services to its consumers. By implementing intermodal transportation, firms can save on fuel and reduce pollution because the method is fuel-efficient (Kuzmicz & Pesch, 2019). Additionally, intermodal transport enhances the profitability and sustainability of a business since it is a cost-effective way to move goods in more extended haul types of transportation (Ertem et al., 2022). Organizations can save on time and fuel economics compared to truckload moves (Crainic et al., 2018). The benefits associated with the transportation network make it conducive and profitable for companies (Kuzmicz & Pesch, 2019). The fuel efficiency and environmentally friendly nature of intermodal transportation are related to the use of rails. Railway transport is considered the most cost-effective means of land transport – hence, implementing this mode of transportation allows organizations to enjoy the benefits associated with railway transport.
Ports play a critical role in the global economy since it is responsible for 70% of the world’s international merchandise trade by value. As a result, ports are often high-concentrations of the worldwide population by providing the labor for processing and handling the goods and related services for the ports (Gharehgozli et al., 2019). Statistics indicate the United States coastal port sector created about 2.2 million jobs in 2018 and generated about $5.4 trillion of total economic activity (Crainic et al., 2018). According to the American Association of Port Authorities (AAPA) statistics, local, state, and federal tax revenues have risen by 18% over the past five years. Some of the famous ports in the world are Los Angeles, the Port of New York, and the Port of Long Beach (Kuzmicz & Pesch, 2019). However, the United States ports are not among the busiest in the world. Shanghai Port in China is the most significant and dynamic worldwide because it handles a whopping 37.1 million cargo volume (Gharehgozli et al., 2019). The other busiest ports include Singapore port and Shenzhen port, and they contribute heavily to the economic growth of Asian nations (Cannas et al., 2020). Asia has some of the biggest and busiest ports in the world because of their capability to handle large volumes of imports and exports daily (Crainic et al., 2018). Based on the country’s East Coast, the Port of New York and New Jersey move about 7 million TEUs of cargo to a large and inland consumer base (Gharehgozli et al., 2019). Ports in the United States can be competitive compared to those in Asian countries depending on their effectiveness and swiftness in delivering the required goods in time.
Distribution, transport, and supply chain are critical in ensuring foods reach all the required consumers and stores. However, trade across the globe works insanely and can lead to the wastage of resources and worsening climate change (Cannas et al., 2020). Such practices undermine the livelihoods of millions of small-scale producers’ worldwide (Crainic et al., 2018). “Insane Trade” aims to raise awareness about the unavoidable consequences of de-regulatory free trade agreements, which can adversely impact the global economy (Kuzmicz & Pesch, 2019). According to the film, more than half of the seafood caught in Alaska is processed in China and sent back to American supermarkets – such insane business practices should be eliminated since it undermines economic growth (Ertem et al., 2022). Distribution channels should be fair to all parties and promote mutual economic growth among the participants (Galierikova and Sosedova, 2018). Additionally, short food supply chains form a viable alternative to conventional globalized chains; thus, they will play a critical role in the global logistics sector. Short food supply chains are essential since they benefit both producers and consumers because they offer protection from socio-economic, environmental, and health improvements (Cannas et al., 2020). Short food supply chains can play a critical role in improving food security and enhancing the growth of the agricultural sector (Gharehgozli et al., 2019). Moreover, break bulk cargo refers to shipping goods that must be loaded. The process does not entail intermodal containers or bulk as with oil or grain. Break bulk transportation entails moving large cargo into smaller units (Ertem et al., 2022). Before the rise of large container ships, break bulk transportation was the most common method of ocean freight transportation (Kuzmicz & Pesch, 2019). The world is transforming, and procedures are facing changes in different sectors. Break bulk is one of the few methods of transportation that have been revolutionized.
The merits associated with intermodal transport make it conducive for global organizations. Pollution is a significant challenge facing industries and leading to harsh environmental reactions. Through the use of intermodal transport mechanisms, companies can reduce the rate of noise pollution (Kuzmicz & Pesch, 2019). Noise pollution contributes to adverse health challenges. Statistics indicate a direct linkage between noise and health. Noise pollution contributes to stress-related illnesses, hearing loss, sleep disruption, lifestyle condition as high blood pressure, and a decrease in productivity (Gharehgozli et al., 2019). Consequently, the reduced noise pollution facilitated by intermodal transport reduces the health and mental health risks associated with noise pollution.
Domestic freight should meet customers’ timelines. As a result, organizations should settle on a mode of transportation that promotes a safe and secure method that eliminates the excess handling of freight during transportation and ensures that goods get to the owner in time (Galierikova & Sosedova, 2018). Reducing the amount of handling needed with the cargo reduces time wastage because of reduced bureaucracy. Elimination of time wastage ensures that goods get to the owners in time and avoid damages, especially perishable products (Crainic et al., 2018). Furthermore, limiting the number of handlers enhances the security and safety of products. The goal of any transportation mechanism should be to improve the security of goods (Kuzmicz & Pesch, 2019). Intermodal transportation increases security at terminals, rail tracks, and ramps to ensure goods get to a company or owner in good condition.
Intermodal transport depends on a leaner planning process and a fixed departure schedule that eliminates traffic a customs procedures on the highway. The transportation system should be predictable to increase its efficiency in the organization (Galierikova & Sosedova, 2018). Additionally, a predictable transportation system contributes to the effective movement of goods from one location to another (Crainic et al., 2018). Predictability enhances efficiency in the distribution of goods (Kuzmicz & Pesch, 2019). The goal is to ensure that companies capitalize on predictable to improve their production and distribution to meet the needs of their customers. Intermodal transport is preferable for consumers since the system is predictable and helps them meet their customers in time.
Overall, intermodal transport is the safest and most secure transportation system since it reduces noise pollution, is based on timelines, and is predictable since it eliminates barriers and bureaucracy. Distribution, transport, and supply chain are critical in ensuring foods reach all the required consumers and stores. However, trade across the globe works insanely and can lead to the wastage of resources and worsening climate change. Such practices undermine the livelihoods of millions of small-scale producers worldwide. “Insane Trade” aims to raise awareness about the unavoidable consequences of de-regulatory free trade agreements, which can adversely impact the global economy. According to the film, more than half of the seafood caught in Alaska is processed in China and sent back to American supermarkets – such insane business practices should be eliminated since it undermines economic growth. Distribution channels should be fair to all parties and promote mutual economic growth among the participants. Additionally, short food supply chains form a viable alternative to conventional globalized chains; thus, they will play a critical role in the global logistics sector. Short food supply chains are essential since they benefit both producers and consumers because they offer protection from socio-economic, environmental, and health improvements. Short food supply chains can play a critical role in improving food security and enhancing the growth of the agricultural sector. Moreover, break bulk cargo refers to shipping goods that must be loaded. The process does not entail intermodal containers or in bulk as with oil or grain. Break bulk transportation entails moving large cargo into smaller units. Before the rise of large container ships, break bulk transportation was the most common method of ocean freight transportation. The world is transforming, and practices are facing changes in different sectors. Break bulk is one of the few methods of transportation that have been revolutionized. The goal of any organization is to increase its profits and offer customer-centric services. Organizations will prefer intermodal transportation systems because of their efficiency in meeting customers’ needs. Additionally, intermodal transportation techniques allow businesses to meet their requirements – companies owe people a duty of care – hence the elimination of noise pollution and its adverse effects benefit the people. An increasing number of businesses should continue adopting intermodal logistics because it is safe, secure, and predictable.
References
Chuchka, I., Gajdoš, M., & Gavrilets, O. (2019). The Role of Intermodal logistic Enters in Enhancing Transport Corridor. Маркетинг і цифрові технології, 3(2), 8-17. https://www.mdt-opu.com.ua/index.php/mdt/article/download/65/62\
Cannas, V. G., Ciccullo, F., Pero, M., & Cigolini, R. (2020). Sustainable innovation in the dairy supply chain: enabling factors for intermodal transportation. International journal of production research, 58(24), 7314-7333. https://doi.org/10.1080/00207543.2020.1809731
Crainic, T. G., Perboli, G., & Rosano, M. (2018). Simulation of intermodal freight transportation systems: a taxonomy. European Journal of Operational Research, 270(2), 401-418. https://www.cirrelt.ca/documentstravail/cirrelt-2017-51.pdf
Gharehgozli, A., de Vries, H., & Decrauw, S. (2019). The role of standardisation in European intermodal transportation. Maritime Business Review, 4(2), 151-168. https://shippingdigest.tw/wp-content/uploads/2022/08/202034-Vol.-4-No.-2-2019.pdf
Galierikova, A., & Sosedova, J. (2018). Intermodal transportation of dangerous goods. NAŠE MORE: znanstveni časopis za more i pomorstvo, 65(3 Supplement), 8-11. https://hrcak.srce.hr/file/302740
Ertem, M. A., Akdogan, M. A., & Kahya, M. (2022). Intermodal transportation in humanitarian logistics with an application to a Turkish network using retrospective analysis. International Journal of Disaster Risk Reduction, 72, 102828. https://doi.org/10.1016/j.ijdrr.2022.102828
Kuziev, A. U., Muratov, A. K., & Kurbonov, S. S. (2020). Development And Effective Use of Regional Multimodal Transport Networks of Transportation. Theoretical & Applied Science, (5), 550-555. https://openaccessjournals.eu/index.php/ijiaet/article/download/798/764
Kuzmicz, K. A., & Pesch, E. (2019). Approaches to empty container repositioning problems in the context of Eurasian intermodal transportation. Omega, 85, 194-213. https://doi.org/10.1016/j.omega.2018.06.004
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