Corrective Measures for Intermodal Transport Inefficiencies

Corrective Measures for Intermodal Transport Inefficiencies

Intermodal transportation refers to the successive use of two or multiple methods of ferrying goods in transit. The logistics company, therefore, does not necessarily handle the freight during the changeover. Instead, ituses a different means of transport to facilitate the movement of goods to the consignee. In this case, intermodal transportation involves the use of special standardized containers to facilitate effective changeover of freights to another mode of transport. This includes the use of trucks, cargo, ships, and freight trains among others. Such containers are often rectangular to allow the transportation company to secure the load to its trailers. The containers are made of steel hence durable. Intermodal transportation is not a new aspect in the US transport system since its first use in England. Initially, it was introduced in the United Kingdom in the early 18th century, and after that, it spread to the United States (Bontekoning&Priemus, 2004).

Intermodal transportation requires proper planning, management, coordination, and communication. Failure to do so increases its inefficiency. A significant proportion of logistic companies that fail to implement these strategies are likely to experience an inefficient transportation system. It is asserted that goods belonging to such firms do not reach theirdestination safely.Therefore, intermodal transportation is an efficient mode of conveying goods to a designated destination only if there is an elaborate framework to guide the entire network. The primary benefits underlying this mode of transport are the savings and security of goods from the virtue that they are not handled in the delivery system. Some of the critical aspects for improving and maximizing the intermodal transport efficiency are aligning its goals with organizational objectives, standardization of discharge procedures, and proper coordination of the intermodal network. The other elements area regular review of its reliability levels and the underlying cost benefits. For business enterprises that contact intermodal logistics companies, they ought to work with reputable organizations that are focused on the maintenance and analysis of data.

However, several limitations adversely affect the efficiencies of intermodal transportation, not only in the US but across the globe. This mode of ferrying loads from one location to a predetermined destination is costly, and, thus, improper planning can potentially make it an ineffective way of transportation. If not correctly handled, it increases the duration in which goods under transit arrive at its destination. That said, it requires effective communication to minimize the time that the freight equipment is idle in the delivery system. These elements are critical to the efficiencies of intermodal transportation since they directly impact transportation costs. It is arguably from this perspective that ineffective intermodal transportation ultimately leads to increased costs. Also, it enhances frequencies in which transportation equipment move from one changeover destination to another when empty.

Standardization of intermodal transportation is one ofthe approaches that can be used to improve its efficiency. In this case, it suggests that logisticintermodal company should have a framework that offers elaborate guidelines upon which the team handles freights during interchanges. As such, a group of skilled personnel plays critical roles that determine the efficiency of the transport system. In most instances, business enterprises that have efficient intermodal transport have leveraged their operations with technological applications. This approach allows timely communication between the teams in various terminals where freights are discharged from one mode of transport to another (Puettmann&Stadtler, 2010).

Levering intermodal transport investment with technology enables employees to refine the transport network, and thereby, facilitatingschedule adherence (Caris, Macharis&Janssens, 2008). Therefore, standardization of transport network improves dispatch processes andreliability of the system. It is also one ofthe techniques that are employed to manage costs that logistic company incur while ferrying loads in its different modes such as rail, trucks, ships, and so on. The approach also enables employees at various points to coordinate. This, therefore, minimizes wastage of time during a stoppage. The most important thing, in this case, is the fact that proper coordination at different locations enables the organization to reduce costs, and thereby improve intermodal efficiencies.

The most critical consideration to enhance the efficiency of intermodal transportation is an alignment of logistic goals with corporate objectives. The transportation company, in this case, ought to recognize the roleof the transport system as a factor of promoting the attainment of its strategic goals and objectives. As such, it implies that the intermodal transportation ought to be part of the organization’s business goals. Decisionmakers, therefore, should initiate proper corrective measures where the intermodal transportation does not contribute to the success of the entire organization. This strategy is an essential approach to ensure that the company’s multimodal transport system is useful to both the logistic company andclients. Arguably, improved efficiencies of this form of transport make it attractive to potential customers who want to ferry goods and people to a designated destination. Accordingly, it makes intermodal strategy an efficient mode of transportation besides being cost-effective and reliable to potential customers that seek to ferry their goods.

The process of gathering data and making sense out of it is one of the strategies to improve the efficiency of an intermodal transport system. It is a technique that allows the logistics company to maintain records of critical performance data that underpin every mode of transport in the delivery system. In this case, the critical intermodal nodes are essential sources of data that decisionmakers use to improve the transport system. Also, the team that oversees the intermodal network can acquire data from both external and internal stakeholders. This approach is an essential technique that allows logistics decisionmakers to identify loopholes that limit the efficiencies of the intermodal transport network. From this point, decision makers can design effective approaches that are aimed at initiating the necessary corrective measures. Also, data is one way of identifying the opportunities that the logistics company can utilize to improve their operations and the efficiency of the intermodal transport system. Some of the key measures that a logistics company can focus on are the time, different stops, cost, and margin among other aspects. The data from various stakeholders may involve suggestions on how to improve the reliability of theintermodal transport network.

Arguably, potential customers prefer data-focused intermodal logistics companies that are committed to using data to improve the experience of their clients. Such information is the basis upon which the company serves its clients with clear timeline deliveries. As such, the data is essential in determining the factors that limit the efficiency of the transport network. It is also one way of identifyingissues that occurred in the past and how the company can mitigate them. Thisimproves the efficiency of the enterprise. The primary purpose why intermodal companies gather such data is to facilitate decision-making on how to improve the effectiveness of the transport network continually. One of the typical mistakes that intermodal logistics companies make is designing difficult transport networks that limit the coordination, communication, and control of their delivery systems. The ultimate consequence is the fact that the dispatch processes are challenging to the transport providers. Accordingly, the solution that improves the efficiency of the transport system is the formulation of standard dispatch procedures and processes.

Regular review of costs and benefits that underpin the intermodal delivery system is a critical aspect when assessing the efficiency of the logistics network. Arguably, an efficient form of the multimodal transportation system is the one that has low logistics costs and other underlying expenditures. The system, therefore, is considered ineffective when it has high operating costs that make it unaffordable to the potential clients. It is, therefore, arguably from this point that intermodal companies that regularly review their operating costs can potentially improve their efficiencies. One approach to improving the efficiency and control of expenses is theproper coordination of operations in exchange nodes. In this case, the technique allows the team to control both unloading and loading times that potentially increase costs.

The intermodal company may also combine both groupage and full load systems to minimize costs depending on the quantity of the loads that the client wants to be transported. Besides the monitoring of costs, regular review of the reliability levels is another critical element to enhance the effectiveness of the intermodal transport system. This aspect implies that the logistics company ought to review whether it can potentially deliver the contracted freights within a consolidated time framework. Therefore, it is an approach to assess the weaknesses that hinder the efficiency of the company to transport its loads to the designated locations. It is arguably from this situation that the regular reviews play critical roles that allow an intermodal company to determine whether it can effectively respond to a full range of transportation needs for its clients.

Conclusion

Intermodal transport is an essential mode of ferrying both goods and people to their destinations. It is an efficient mode of transportation that provides clients with various ways of logistics to their designated locations. However, intermodal transport network requires logistics companies to implement a framework to meet the transport needs of its clients effectively. It, therefore, implies that intermodal transport can also turn as an ineffective mode of transportation if the right procedures are not implemented. Some of the approaches that an intermodal company can use to improve its efficiencies are regular reviews of the reliability levels, the alignment of the transport goals with the company’s long-term objectives, maintenance of efficiency data for decision-making, and the streamlining of the dispatch processes. Also, regular reviews of costs and the underlying benefits are critical in formulating strategies to improve the level intermodal transport efficiencies. An ineffective intermodal transport network is characterized by high costs, a decline in the reliability, anddamage on the goods in transit. It, therefore, implies that improper management of the intermodal transport network leads to a break in the link between different modes.

 

References

Bontekoning, Y., &Priemus, H. (2004). Breakthrough innovations in intermodal freight

Transport. Transportation Planning and Technology27(5), 335-345.

Caris, A., Macharis, C., &Janssens, G. K. (2008). Planning problems in intermodal freight

Transport: accomplishments and prospects. Transportation Planning and

            Technology31(3), 277-302.

Puettmann, C., &Stadtler, H. (2010). A collaborative planning approach for intermodal freight

Transportation. OR Spectrum32(3), 809-830.

 

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