Operative transportation planning in consumer goods supply chains

Transportation management in today’s consumer goods industry can be characterized by a high proportion of outsourced transportation services. Due to rising freight costs consumer goods manufacturers are looking for opportunities to increase the efficiency of their transportation network. This study presents an operational transportation planning problem typical of the consumer goods industry focusing on a network of suppliers, production facilities and warehousing locations. It comprises an analysis of freight costs in a consumer goods transportation network based on the freight rate structures. In this analysis a number of opportunities for efficiency gains are identified and consolidated in an operative transportation planning problem which is then numerically investigated. Furthermore, an overview of processes and organizational structures in transportation management is given with special focus on the integration of existing commercial Transportation Management Systems (TMS).

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