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Pedagogical project 2013
Course development
!

Per Olof Arnäs
Technology Management and Economics
per-olof.arnas@chalmers.se
slides on slideshare.net/poar

New Science Lecture Theatre at UCT by Ian Barbour on Flickr (CC-BY,SA)
class dismissed by Robert S. Donovan on Flickr (CC-BY)

Existing course
me
iti cs
ar ti
M is
log

30
stu -50
de
nts

SJO680

Physical
distribution
planning
Lectures
Calc-exercises
Group project
Exam
In Swedish

3-ye
(”ka ar pro
ndid
gra
m
at”,
BSc
)

d1
rio rpe be
udy tem )
St ep
er
(S ctob
o
Existing course - 2012
miner
ing exa
Exist
ailable
unav

k-fix
Quic

ded
nee

Cop
cou y-pas
rse,
te o
ld
add
lect
gue
ure
st
s
don't panic! by Jon Moe on Flickr (CC-BY)
Existing course - 2012
le”
rrib

”Too man

y teache

”Te

How much did the lectures
help your learning process?
34%: Very little
34%: Little
30%: Much
0%: Very much

s”
u

”

o
N

”Felt
like th
organ
e cou
rse w
ized t
the fir he day be as
fore
st lec
ture”

rs”

”Th
e ex
rea am w
lly b
as
ad!”

oc
f

What is your overall
impression of the course
44%: Very bad
28%: Bad
28%: Good
0%: Very good
don't panic! by Jon Moe on Flickr (CC-BY)
New course? Of course!
2012:
ember
Dec
take on
ide to
Dec
ourse
the c

September 2013
:
New course star
ts

February 2013:
Decide to change course
design (and name)

SJO681 Transport- and distribution economy
Crazy Kitten? // Nikkor 50mm 1.4 by Merlijn Hoek on Flickr (CC-BY,NC,SA)
My beliefs

Understan
ding is mu
ch
more impo
rtant than
knowledge
of facts

Ac
cou halle
rse
ngi
can ng
be
fun

Written exams (”
tentor”) is a bad
way to ensure kn
owledge and
understanding

es not
iety do ers
Soc
est-tak
want t
my
ke nd
ma sta d
to er
is nd
an
job ts u etter s a
My den ct b id a
stu subje an I d self
he ter th nt my
t
fas tude
s
The new course - my project
Keep the b
o

ok

Fewer lect
ure

s

No written exam
s in
the classical sen
se
Two
mid
(”d
ugg
term
cou
or”
) du tests
rse
to r
eta (and a ring th
ke t
no
e
exa hem ption
mw
dur
ing
eek
)

New

Understand
Do
Deliver

project
case
ce
du h
tro arc
In e
the l
res into ria
ers mate
ap se
p r
ou
c

Meaw Meaw by Sergiu Bacioiu on Flickr (CC-BY,NC)
The new course - my project
Book (midterm tests)
Papers (midterm tests and seminars)
Case part 1
Case part 2

This article was downloaded by: [Chalmers University of Technology]
On: 20 August 2013, At: 00:49
Postponement, speculation and the structure of distribution channels
Publisher: Taylor & Francis
Louis P Bucklin
JMR, Journal of Marketing Research (pre-1986); Feb 1965; 2, 000001; ABI/INFORM Global
Informa Ltd Registered in England and Wales Registered Number: 1072954 Registered
pg. 26
office: Mortimer House, 37-41 Mortimer Street, London W1T 3JH, UK

International Journal of Logistics
Research and Applications: A Leading
Journal of Supply Chain Management

European Journal of Purchasing & Supply Management 8 (2002) 3–14

Procurement of logistics servicesFa minutes work or a multi-year
project?

Publication details, including instructions for authors and
subscription information:
http://www.tandfonline.com/loi/cjol20

Dan Anderssona,*, Andreas Norrmanb is available at
The Emerald Research Register for this journal

Centralised distribution systems and
the environment: how increased
transport work can decrease the
environmental impact of logistics
a

Christofer Kohn & Maria Huge Brodin

a

The current issue and full text archive of this journal is available at

http://www.emeraldinsight.com/researchregister .
Department of Management and Economics, Logistics Management, Linkopings Universitet, SE-581 83 Linkoping, Sweden http://www.emeraldinsight.com/0960-0035.htm
.
b
Department of Industrial Management and Logistics, Lund University, P.O. Box 118, SE-221 00 Lund, Sweden

Abstract

IJPDLM
33,2

Increasing customer value and
decreasing distribution costs
with merge-in-transit

The purpose of the article is to describe and compare the purchasing process for advanced versus basic logistics services. Further
some specific observations are presented from the procurement of advanced third-party logistics services, with respect to service
definitions, providers evaluations and contracts. The purchasing process of logistics services will in the future need to be more
differentiated due to current business trends. Hence companies must analyse how these new procurement situations will impact on
their purchasing processes in order to understand what new resources, routines and competence they need to have in order to
purchase logistics services in an effective way. r 2002 Published by Elsevier Science Ltd.

a

a

Division of Logistics Management, Department of Management
and Engineering (IEI), Linköping University, SE 581 83, Linköping,
Sweden
Published online: 07 Apr 2008.

132

¨
¨
¨
Mikko Karkkainen, Timo Ala-Risku and Jan Holmstrom

Keywords: Purchasing process; Services; Third-party logistics

Department of Industrial Engineering and Management, Helsinki
University of Technology, Helsinki, Finland
Keywords Logistics, Supply-chain management, Customers, Value, Distribution, Strategy

Transport Logistics, Vol. 1, No. 3, pp. 181– 194 (1998)

 VSP 1998.
To cite this article: Christofer Kohn & Maria Huge Brodin (2008) Centralised distribution systems
and the environment: how increased transport work can decrease the environmental impact of
logistics, International Journal of Logistics Research and Applications: A Leading Journal of Supply
Chain Management, 11:3, 229-245

1. Introduction
A changing context and new demands on logistics are
driving an ongoing transformation and differentiation
of the buying process for logistics services. Logistics
services purchased some years ago were usually quite
easy to define and the purchase decision was mainly
based on the price of the service. Those basic logistics
services constitute still the big volume offered and
bought, but they are increasingly bought in bundles (van
Laarhoven et al., 2000; Andersson, 1997; Sink and
Langley, 1997; Berglund, 2000). At the same time,
different value adding services and IT services are
increasingly included in the bundles of services, which
are handled in so-called third-party logistics relationships (Andersson, 1997; van Laarhoven et al., 2000).
This development increases the complexity of the
purchasing process of logistics. The increasingly more
advanced tasks companies are trying to outsource today
(e.g. logistics management) are much harder to specify
and the companies are also not used to doing this. Van
Hoek (2000) argues that there is a need for further

To link to this article: http://dx.doi.org/10.1080/13675560701628919

A model of tiering in third-party logistics with a service
parts distribution case study

PLEASE SCROLL DOWN FOR ARTICLE

Taylor & Francis makes every effort to ensure the accuracy of all the information (the
“Content”) contained in the publications on our platform. However, Taylor & Francis,
MATS ABRAHAMSSON and STEN WANDEL∗
our agents, and our licensors make no representations or warranties whatsoever as to
An executive summary for
the accuracy, completeness, or suitability for any Economics, Institute of Technology,Any ¨opinions
Department of Management and purpose of the Content. Linkoping University,
managers and executive
S-581 83 Linkoping, Sweden
¨
and views expressed in this publication are the opinions and views of the authors,can be found at the
readers
and are not the views of or endorsed by Taylor & Francis. The accuracy of the Content
end of this article
should not be relied upon and should be independently verified with primary sources
of information. Taylor and Francis shall not be liable for any losses, actions, claims,
Abstract—In this article we have and other liabilities whatsoever or
proceedings, demands, costs, expenses, damages,expanded Professor James Cooper’s discussions of ‘mega carriers’ for
howsoever caused arising one-stop shopping of logisticsin connection with, in relation to or arising in third-party
directly or indirectly services to a multi-tiering model to describe different alliances
logistics. To be able to support the increasing demands of shippers, a third-party logistics provider must
out of the use of the Content.

Relationships among TPL
providers and members of
supply chains ± a strategic
perspective
Anu H. Bask

*Tel.: +46-13-28-1521; fax: +46-13-28-2513.

E-mail addresses: danan@eki.liu.se (D. Andersson),
Research Associate, Department of Marketing and Logistics, Helsinki andreas.norrman@tlog.lth.se (A. Norrman).
School of Economics and Business Administration, Helsinki, Finland

have a portfolio with many different services, either in-house or available from a supplier network. As a

research and understanding of purchasing initiatives
Abstract A broad product assortment is usually valued highly by customers. However, holding a
supporting the establishment of supplementary logistics
great number of product variants in inventory increases the costs of a supplier. It is possible to
services. We will in this article discuss the kind of
reduce need for warehousing with direct deliveries from manufacturing units, but customer value
procurement included in the procurement of advanced
is reduced when orders are received on several shipments. Merge-in-transit is a distribution
logistics services. But we will in the discussion also
method in which goods shipped from several supply locations are consolidated into one final
include routine purchases of basic services e.g. by the use
customer delivery while they are in transit. This article examines the effects of merge-in-transit
of an Internet freight exchange. While the firstanalysis is performed with a maintenance, repair, and
distribution on delivery costs. The type of
process may take several yearsdistributor as the case may
operations products to finalise the latter company. The evidence in this article supports the claim
be only a minutes work. The being a cost the article is to
of merge-in-transit purpose of efficient distribution alternative in business networks. Based on the
describe and compare the purchasing in multi-company networks should study the possibility of using
results advocates that companies process for
logistics services for companies following either the
the merge-in-transit delivery model.
trend towards outsourcing of more advanced logistics
services, which will be emphasised here, or the trend
Introduction
towards leveraging the internet as a tool in their buying
Presenting more valuable especially
of basic services. Further lessons learned from solutions to customers while decreasing the
the procurement of advanced third-party logistics will be
associated costs is the biggest challenge and main goal in supply chain
shared. The article is conceptual in itset al., 2001, p. 7). The traditional way to create customer
management (Hoover nature, but based
on empirical material that has been collected over
value is to offer a broad assortment of products at as low a price as possible
several years of contacts with shippers, both in research
(Bowersox et al., research. The article
projects and variants of action 2000). However, broadening the product assortment also
increases the costs of the supplier (Putsis and Bayus, 2001; Boatwright and
takes its starting point in the characteristics of service
procurement and the business trends influencing logisNunes, 2001). Successful companies create customer value in such a way that
tics. Thereafter two emerging markettrade-off is reached and the profit contribution for the
an optimal cost/benefit areas are illustrated and, based on this, a comparison of different
company is maximised (Christopher, 1992, pp. 24-52). Nevertheless, the most
types of purchasing processes is made. This results in the
valuable important phases in the purchasidentification of threesolutions are those that increase customer value while simultaneously
reducing discussed in greater detail.
ing process, which arecosts.

consequence, third-party logistics cannot be reduced to purposes. Any
This article may be used for research, teaching, and private studyan alliance between a single shipper and a single
0969-7012/02/$ - see front matter r 2002 Published by Elsevier Science Ltd.
provider. Both the shipper and the provider are also loan, in other alliances and
PII: S 0 9 6 9 - 7 0 2 ( 0 1 ) 0 0 0 1 Logistics
Keywords Buyer-seller relationships, Supply-chain 1management, 8 - 1
substantial or systematic reproduction, redistribution, reselling, involved sub-licensing, these often strongly
interact with the shipper– provider relationship. Furthermore, this relationship varies across the different
Abstract Outsourcing of logistics services has increased rapidly during the last few
systematic supply, or distribution in any form to anyone is expressly forbidden. Terms &

Providing all the products that the customer needs, and delivering them in
one drop-off is a valuable service for the customer (Bowersox et al., 2000). A
wide product offering is important as customers can then use fewer suppliers,

reducing their co-ordination and transaction costs (Daniels and Klimis, 1999).
phases of third-party logistics projects: design, development, implementation, and operation. Therefore,
years. Accordingly, third-party logistics and supply chain management as a research
phenomenon has gained increased attention from academia. However, a strategic view
Getting everything delivered in one lot is important for the customer, because
in order to broaden the picture and to extend the modelling of Cooper and others, we suggest a five-layer
focusing on the relationship between supply chain management and third-party logistics
International Journal of Physical
model with users and four tiers of logistic service providers for the description and analysis of logistics
service strategies has gained little attention. This paper focuses on alternative supply Distribution & Logistics Management
The authors would like to acknowledge Hannu Heikkonen from Kauppatalo Hansel Oy for his
and transport industry issues in general and third-party logistics in particular. This conceptual model chain strategies and their relationship to different types of third-party logistics services. AVol. 33 No. 2, 2003
is
Journal of Transport Geography
normative framework for organizing these relationships is developed. The strategic viewpp. 132-148
co-operation, and his fruitful ideas during the case study. 12 (2004) 171–184 also indebted to
The authors are
then illustrated and validated by a case study describing the implementation of an alliance which involved
www.elsevier.com/locate/jtrangeo
q MCB UP Limited
adopted in this paper fills a gap in the understanding of how third-party logistics
¨
¨¨ ¨
¨¨ ¨
TEKES, Tekniikan edistamissaatio and Kuorma-autoliikenteen Volvo-saatio for the funding of
the redesign of a European distribution operation for service parts.
0960-0035
providers should offer their services more effectively and efficiently to different types ofDOI 10.1108/09600030310469144
this research.
supply chains.

Keywords: Third-party logistics; tiering; logistics alliances; logistic service providers; European distribuIntroduction
tion; freight transport industry.
Marketing reasons for
There are very good marketing reasons for why we should focus on research
research
into third-party logistics services and their relation without chain
Reproduced with permission of the copyright owner. Further reproduction prohibited to supply permission.
management. First, the outsourcing of logistics services is expected to
increase (Ohmae, 1989; Coyle et al., 1992). It will continue to evolve at least
INTRODUCTION
in Europe (Peters et al., 1998) and USA. The majority of CEOs of large
logistics service providers in Europe believed (Peters et al., 1998) that the
Modern logistics demands a high level of expertise in key areas, such as distribution
annual industry growth rate over the period 1998-2000 would be around 20
strategy, materials handling and inventory control, purchasing, transport planning,
percent. With regard to the USA, the estimated sales growth was from $15
billion (1996) to $50 billion by the year 2000, a yearly growth of as high as
information system, and the ability to manage change, especially within multinational
40
organizations with several different subsidiaries. If one or more of these key areas are percent of the market within a period of three years. Second, the thirdparty logistics (TPL) industry is a young and emerging industry (Kuglin,
Transport Logistics, Vol. 1, No. 3, pp. 181– 194 (1998)
not operating correctly, it has a negative impact on the effectiveness and efficiency p. 227; Sink et al., 1996; Sink and Langley, 1997) which promises a
1998,
 VSP 1998.
of the total logistics system. Externalizing logistics to third-party operators is often
positive future for the logistics industry. Third, the scope of services that
third-party logistics providers are offering is expanding, and TPL providers
with this problem. The shipper’s core competence is
are aggressively Transportation Research Part A 41 (2007) 280–285 interest in
improving their operations. Finally, customer
then supplemented by outside expertise in other key areas.
outsourcing a wider amount of logistics services has increased (Peters et al.,
1998). All these factors have led to an increasing need for the holistic
management of logistics services (Juga and Willberg, 1998) and their
∗ To whom correspondence should be addressed. E-mail: stewa@eki.liu.se
efficient organization from both the supply chain and third-party logistics
providers' point of view in order to improve effectiveness and efficiency in
supply chains.

The current issue and full text archive of this journal is available at
advocated
www.emeraldinsight.com/1741-0401.htm as a way of dealing

10

s max
0 point

IJPPM
58,1

54

The transport geography of logistics and freight distribution
Markus Hesse
a

Performance issues of Smart
Goods transport in large European cities: Difficult
Transportation Management
A
spite of to organize, difficult to modernize
the
holistic
systems model of tiering in third-party logistics with aInservice above mentioned reasons, thelogistics strategic view, which
aims to answer the question how third-party
providers should offer
parts distribution case study

Gunnar Stefansson

their services toward differentLaetitia Dablanc has gained little
types of supply chains, *

a,*

, Jean-Paul Rodrigue

attention. A great deal of successful and versatile academic research was
Department of Industrial and Mechanical Engineering and Computer Science,
produced during the 1990s in third-party logistics phenomena. However, the
INRETS, French National Institute for Research on Transport and its Safety, 19, rue Alfred Nobel,
University of Iceland, Reykjavik, Iceland and
MATS ABRAHAMSSON and STEN WANDEL∗
Cite Descartes, Champs sur Marne, 77455 Marne la Vallee Cedex 2, France
Division of Logistics and Transportation, Chalmers University of Technology,
The
for this journal is available at
Department of Management and Economics, Institute of Technology, Linkoping University, research register Received 15 February 2006; accepted 24 May 2006
¨
¨
http://www.mcbup.com/research_registers
Goteborg, Sweden,S-581 83 Linkoping, Sweden
and
¨

Keywords: Logistics; Geography; Freight Transport; Physical distribution; Globalization

1. Logistics and freight transport: from derived to
integrated demand
1.1. Introduction

The growing flows of freight have been a fundamental
component of contemporary changes in economic systems at the global, regional and local scales. The consideration of these changes must be made within a
perspective where they are not merely quantitative, but
Abstract
470
JOURNAL OF BUSINESS & INDUSTRIAL MARKETING, VOL. 16 NO. 6 2001, pp. 470-486, # MCB UNIVERSITY PRESS, 0885-8624
structural and operational. Structural changes mainly
Abstract—In this article we have expanded Professor James Cooper’s discussions of ‘mega carriers’ for
involve manufacturing systems with their geography of
Abstract
one-stop shopping of logistics services to a multi-tiering model to describe this article, I wish in third-party
In different alliances to present three characteristics of urban goods movements in major European cities: (1) Goods
production, while operational changes mainly concern
Purpose – The purpose of this paper is to use the conceptual model of be able to Transportation
logistics. To the Smart support the increasing demands of shippers,movements arelogistics indifferentmust internal structure of cities. (2) Urban policies targeted on freight mobility appear transportation with its geography of distribution.
a third-party largely provider to the
freight
Management (STM) system and analyze how the included factors change the performance of
to be from a supplier network. As a
have a portfolio with many different services, either in-house or availablequite inefficient. (3) The provision of appropriate urban logistic services is slow in emerging despite growing needs.
As such, the fundamental question does not necessarily
distribution activities and what management issues are at stake.
These features have been and a single
consequence, third-party logistics cannot be reduced to an alliance between a single shipper observed over the last five or six years through working with large metropolitan transport author- in the nature, origins and destinations of freight
reside
Design/methodology/approach – To prepare the paper, a literature study was made and case
ities, as well and these French national
provider. Both the shipper and the provider are also involved in other alliances as with the often strongly research program on ‘‘Goods in Cities’’ and the ‘‘Best Urban Freight Solutions’’
movements, but how this freight is moving. New modes
studies carried out in companies and organizations that are included in advanced transportation setups,
European varies across the different
of production are concomitant with new modes of disinteract with the shipper– provider relationship. Furthermore, this relationship network. These observations draw a picture of the urban freight industry, which can appear quite critical.
including infrastructure providers, carriers, truck manufacturers, software providers, shippers, and more.
Indeed, many initiatives have emerged to make this industry less routine and more efficient, especially regarding its envitribution, which brings forward the realm of logistics;
phases three major components projects:
Findings – The main finding of the study is a model that includes of third-party logistics of smart design, development, implementation, and operation. Therefore,
ronmental impacts as well as its level of quality of service. However, changes are slow, and on the whole, it appears as
transportation management, namely, smart goods, smart vehicles andbroaden the picture and to extend the modelling of Cooper and others, we suggest a five-layer
in order to smart infrastructure. These
of
components embrace some factors that have effects on model with users and fourhowever, logistic service providers for thethough none andthe stakeholders are willing to make fast progress: on the one side, city governments expect business to
supply chain performance; tiers of to
description
analysis of logistics
set up new logistic services fit to the emerging needs of the customers and retailers as well as beneficial to the environment;
different extents.
*
and transport industry issues in general and third-party logistics in on the other side, logisticians are waiting for municipalities to initiate (and subsidize) new services before starting busiparticular. This conceptual model is
Corresponding author. Tel.: +49-30-838-70209; fax: +49-30-838Research limitations/implications – The paper uses a framework for the smart transportation
70749.
then illustrated and validated by a case study describing the implementation of an could prove poorly profitable and highly risky. Despite this tendency for status quo in the urban freight
nesses which alliance which involved
management system that is useful when studying advanced transportation management systems, the
E-mail address: mhesse@zedat.fu-berlin.de (M. Hesse).
functions that need to be supported and what factors have the redesign of achain performance.
effects on supply European distribution operation for service parts. industry, some solutions can be identified, which I present in the concluding chapter of this paper.
The current issue and full text archive of this journal is available at
http://www.emerald-library.com/ft

Kenth Lumsden

Division of Logistics and Transportation, Chalmers University of Technology,
¨
Goteborg, Sweden

Ó 2006 Elsevier Ltd. All rights reserved.
Practical implications – Practical implications are mainly based on the structure of the smart
transportation system that is used and the identified factorsKeywords: the performance of the supply logistics alliances; logistic service providers; European distributhat affect Third-party logistics; tiering;
Keywords: Urban freight; Policies and planning; City logistics; Regulations; Trucks; Deliveries
chain, as these factors can be influenced by logistics management.
tion; freight transport industry.
Originality/value – The framework used in this research is a new development that collects
advanced functions of goods identification, vehicle information systems and infrastructure systems
into one conceptual model for smart transportation management that include some factors that are
affecting supply chain performance.

INTRODUCTION
Keywords Transportation, Supply chain management, Performance management
Paper type Research paper

International Journal of Productivity
and Performance Management
Vol. 58 No. 1, 2009
pp. 54-70
q Emerald Group Publishing Limited
1741-0401
DOI 10.1108/17410400910921083

0966-6923/$ - see front matter Ó 2003 Elsevier Ltd. All rights reserved.
doi:10.1016/j.jtrangeo.2003.12.004

0. Introduction

Modern logistics demands a high level of expertise in key areas, such as distribution

A large number of different types of freight flows constantly cross an urban environment, including constrategy, materials handling and inventory control, purchasing, transport materials, waste products, postal mail and others. These flows occupy about one fourth
sumer goods, building planning,
Introduction
information system, and the ability to manage change, especially within multinational
In the pursuit of higher efficiencies in companies’ supply chains, new business models
are engaging an increasing number of participants, making the management of the
organizations with several different subsidiaries. If one or more of these key areas are
chains, including transportation operations, more difficult and the risk for exceptions a negative impact on the effectiveness and efficiency
not operating correctly, it has
higher. By employing more complex business models, the need for more customized
of the total logistics system. Externalizing logistics to * Tel.: +33 1 64operators is often 15 21 40.
third-party 15 21 03; fax: +33 1 64
logistics solutions increases and the need for more efficient execution escalates.
advocated better information and
E-mail address: laetitia.dablanc@inrets.fr
Efficient execution relies on better planning that in turn calls for as a way of dealing with this problem. The shipper’s core competence is
then supplemented by services
better monitoring and controlling of transportation operation. The complexoutside expertise in other key areas.
0965-8564/$ - see front matter Ó 2006 Elsevier Ltd. All rights reserved.
doi:10.1016/j.tra.2006.05.005

∗ To

whom correspondence should be addressed. E-mail: stewa@eki.liu.se

b

Department of Earth Sciences, Urban Studies, Free University of Berlin, Malteserstr. 74-100 D-12249 Berlin, Germany
b
Department of Economics and Geography, Hofstra University, Hempstead, NY 11549, USA

Abstract
Goods movement and freight distribution are widely underrepresented in regional science and geographical research. This is
surprising since a large body of traditional spatial theory has been developed with respect to transportation costs or to trade areas:
those aspects that were originally closely connected with the exchange of goods. Growing attention is being paid in geography to
related subjects, such as the emergence of global production networks, to structural changes in retail or to the commodification of
modern consumption. To a certain extent, these processes depend upon the efficient transfer of information, finance and physical
goods. Yet, with a few exceptions, the freight sector appears to be neglected in contemporary research. This paper provides an
overview of the emerging transport geography of logistics and freight distribution. It challenges the traditional perspective where
transportation is considered as a derived demand with the idea that logistical requirements underline transportation as a component
of an integrated demand. The paper provides an analysis of the evolution of logistics as it pertains to the core dimensions of
www.elsevier.com/locate/tra
transport geography (flows, nodes/locations and networks). The concept of logistical friction is also introduced to illustrate the
inclusion of the multidimensional notion of impedance in integrated freight transport demand.
Ó 2003 Elsevier Ltd. All rights reserved.

the science of physical distribution. Although it represents an entire system of space/time interdependencies,
we believe that physical distribution has been neglected
in current geographical, urban or regional studies.
Up to recently, geography did not pay much attention to logistics and freight transportation, as the focus
was mainly on passengers and individual mobility issues.
Textbooks on urban or general transport geography,
like those edited by Hanson (1995), Taaffe et al. (1996)
or Hoyle and Knowles (1998), now raise more freight
related questions than they did in earlier editions, particularly with regard to trade and ports. The latter is
probably the only logistics subject that received major
reference from academic geography. Other core spatial
implications of distribution and logistics have been directly addressed in geography by few authors who
developed an insight into wholesale activities and their
geographical distribution (Glasmeier, 1992; McKinnon,
1983, 1988, 1998; Riemers, 1998; Vance, 1970). Following the nature of retailing as an originally distributive activity, geographic research on retail and
consumption is of interest in the logistics context too.
However, retail geography does not pay much attention
to distribution changes (Marsden and Wrigley, 1996),
The midterm tests
How can I
ensure
understan
ding?

loop?
Double

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ty?
ili

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The midterm tests
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alt
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I have searched
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0,6
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0,6
0,5
0,4
0,3
0,2
0,1
0
0

0,1 0,2 0,3 0,4 0,5 0,6 0,7 0,8 0,9

Error

1
Mean Squared Error
1
0,9

Error^2

0,8

Risky behaviour
does not pay

0,7
0,6
0,5
0,4
0,3
0,2
0,1
0
0

0,1 0,2 0,3 0,4 0,5 0,6 0,7 0,8 0,9

Error

1
MSE
Mean value is calculated
Question

Right
answer

Your
answer

Error

Error2

1

1

0,5

0,5

0,25

2

0

0

0

0

3

1

1

0

0
MSE

4

0

0,15

0,15
Sum
Average

Exams :( [Day 12] by Alex France on Flickr (CC-BY,SA)

0,0225
0,2725
0,13625
MSE=Mean Squared Error
MSE-method

Max

Points
MSE

0,05
0,10
0,15
0,20

Exams :( [Day 12] by Alex France on Flickr (CC-BY,SA)

Points

25
20
15
10

Grade

5

Guess 0,5 on 20% of
the questions

5

Guess 0,5 on 40% of
the questions

4

Guess 0,5 on 60% of
the questions

3

Guess 0,5 on 80% of
the questions

MSE=Mean Squared Error
Usage of results
Question 1 Question 2 Question 3

MSE

0,6

0,12

Student 2

1

1

1

1

Student 3

0

0,8

0,4

0,27

MSE

0,33

0,55

0,51

Rank

3

1

2

ts

ul

0

s
re

0

ir

e
Th

Student 1

s

ult
s

M

re
y
Feedback films

Second loop

Statistics

Answers
Research papers
2 seminars
OUTSOURCING LOGISTICS IN PARTNERSHIPS
– DRIVING FORCES AND EFFECTS
Dan Andersson
Logistics and Transport S
ystems
Departm of Managem and Economics
ent
ent
Linköping University
S-581 83 LINKÖPING, S
weden
Phone: +46 13 28 15 21
Fax: +46 13 28 25 13
E-mail: DanAn@eki.liu.s
e

ABSTRACT
An increase in the outsourcing of logistics in partnerships between shippers and
service providers has been observed. Expected positive cost and service effects
are important driving forces for the outsourcing of logistics. Linked to the cost
aspects is also a desire to reduce investments. It could be a question of
transforming fixed costs to variable, or to facilitate fast and radical restructuring
of supply chains. Finally, one of the single most important driving forces is the
shipper's ambition to concentrate on core business.

Each group
has 1 paper
Logistics partnerships have been observed to have a positive effect on the

following four areas at the shippers: cost, service, restructuring of supply chains,

Present

and control. The shippers believe that efficient operations, economies of scale
and scope, and provider knowledge, have positive effects on costs and service.

This Book by Bob AuBuchon on Flickr (CC-BY,NC,ND)

Explain
Discuss
The case
50% of the
course

Two parts
(20 + 30 points)

Groups of 5
students

A lot of work!
The case
Fake company:
Apelsin AB

Makes computers

Rich backstory

End result:
A solutions pitch
+ a short report

Needs help in planning
future distribution
system
The case
Real data

Missing data

Meetings with
CEO

Obscure data
Software

Proxio Optimizer

Open-ended
(very frustrating)
The case - methods used
Closed meetings

(not final presentation)

Recording of CEO
meetings
Random
presenters

Filmed
presentations
Structured
grading
The midterm tests - reflections
Easy to
grade

Better than
exams

I get to know what
they don’t know
…and what they
think they know but
don’t

Two or even
three loops

Scalable

Seems to
work…
Research papers - reflections
A good way to
engage students

Keeps course
content current

OUTSOURCING LOGISTICS IN PARTNERSHIPS
– DRIVING FORCES AND EFFECTS
Dan Andersson

Logistics and Transport S
ystems

Departm of Managem and Economics
ent
ent
Linköping University

S-581 83 LINKÖPING, S
weden
Phone: +46 13 28 15 21
Fax: +46 13 28 25 13
E-mail: DanAn@eki.liu.s
e

ABSTRACT

Random
presentations: Good!

An increase in the outsourcing of logistics in partnerships between shippers and
service providers has been observed. Expected positive cost and service effects
are important driving forces for the outsourcing of logistics. Linked to the cost
aspects is also a desire to reduce investments. It could be a question of
transforming fixed costs to variable, or to facilitate fast and radical restructuring
of supply chains. Finally, one of the single most important driving forces is the
shipper's ambition to concentrate on core business.
Logistics partnerships have been observed to have a positive effect on the
following four areas at the shippers: cost, service, restructuring of supply chains,
and control. The shippers believe that efficient operations, economies of scale
and scope, and provider knowledge, have positive effects on costs and service.

A good way to
include research in
the course
This Book by Bob AuBuchon on Flickr (CC-BY,NC,ND)
The case - reflections
Frustrating with
open-ended tasks
Very fun! And
difficult…
A lot of work for
the students

Random
presenters: Good!
Build FAQ
Resembles
reality
Next year
New papers

Develop case
further

More videos!
Keep the MSE
scoring

Electronic
tests?
Pedagogical project 2013
Course development
!

Per Olof Arnäs
Technology Management and Economics
per-olof.arnas@chalmers.se
slides on slideshare.net/poar

New Science Lecture Theatre at UCT by Ian Barbour on Flickr (CC-BY,SA)

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Course development - An attempt to break the monotony of traditional university teaching practice

  • 1. Pedagogical project 2013 Course development ! Per Olof Arnäs Technology Management and Economics per-olof.arnas@chalmers.se slides on slideshare.net/poar New Science Lecture Theatre at UCT by Ian Barbour on Flickr (CC-BY,SA)
  • 2. class dismissed by Robert S. Donovan on Flickr (CC-BY) Existing course me iti cs ar ti M is log 30 stu -50 de nts SJO680 Physical distribution planning Lectures Calc-exercises Group project Exam In Swedish 3-ye (”ka ar pro ndid gra m at”, BSc ) d1 rio rpe be udy tem ) St ep er (S ctob o
  • 3. Existing course - 2012 miner ing exa Exist ailable unav k-fix Quic ded nee Cop cou y-pas rse, te o ld add lect gue ure st s don't panic! by Jon Moe on Flickr (CC-BY)
  • 4. Existing course - 2012 le” rrib ”Too man y teache ”Te How much did the lectures help your learning process? 34%: Very little 34%: Little 30%: Much 0%: Very much s” u ” o N ”Felt like th organ e cou rse w ized t the fir he day be as fore st lec ture” rs” ”Th e ex rea am w lly b as ad!” oc f What is your overall impression of the course 44%: Very bad 28%: Bad 28%: Good 0%: Very good don't panic! by Jon Moe on Flickr (CC-BY)
  • 5. New course? Of course! 2012: ember Dec take on ide to Dec ourse the c September 2013 : New course star ts February 2013: Decide to change course design (and name) SJO681 Transport- and distribution economy Crazy Kitten? // Nikkor 50mm 1.4 by Merlijn Hoek on Flickr (CC-BY,NC,SA)
  • 6. My beliefs Understan ding is mu ch more impo rtant than knowledge of facts Ac cou halle rse ngi can ng be fun Written exams (” tentor”) is a bad way to ensure kn owledge and understanding es not iety do ers Soc est-tak want t my ke nd ma sta d to er is nd an job ts u etter s a My den ct b id a stu subje an I d self he ter th nt my t fas tude s
  • 7. The new course - my project Keep the b o ok Fewer lect ure s No written exam s in the classical sen se Two mid (”d ugg term cou or” ) du tests rse to r eta (and a ring th ke t no e exa hem ption mw dur ing eek ) New Understand Do Deliver project case ce du h tro arc In e the l res into ria ers mate ap se p r ou c Meaw Meaw by Sergiu Bacioiu on Flickr (CC-BY,NC)
  • 8. The new course - my project Book (midterm tests) Papers (midterm tests and seminars) Case part 1 Case part 2 This article was downloaded by: [Chalmers University of Technology] On: 20 August 2013, At: 00:49 Postponement, speculation and the structure of distribution channels Publisher: Taylor & Francis Louis P Bucklin JMR, Journal of Marketing Research (pre-1986); Feb 1965; 2, 000001; ABI/INFORM Global Informa Ltd Registered in England and Wales Registered Number: 1072954 Registered pg. 26 office: Mortimer House, 37-41 Mortimer Street, London W1T 3JH, UK International Journal of Logistics Research and Applications: A Leading Journal of Supply Chain Management European Journal of Purchasing & Supply Management 8 (2002) 3–14 Procurement of logistics servicesFa minutes work or a multi-year project? Publication details, including instructions for authors and subscription information: http://www.tandfonline.com/loi/cjol20 Dan Anderssona,*, Andreas Norrmanb is available at The Emerald Research Register for this journal Centralised distribution systems and the environment: how increased transport work can decrease the environmental impact of logistics a Christofer Kohn & Maria Huge Brodin a The current issue and full text archive of this journal is available at http://www.emeraldinsight.com/researchregister . Department of Management and Economics, Logistics Management, Linkopings Universitet, SE-581 83 Linkoping, Sweden http://www.emeraldinsight.com/0960-0035.htm . b Department of Industrial Management and Logistics, Lund University, P.O. Box 118, SE-221 00 Lund, Sweden Abstract IJPDLM 33,2 Increasing customer value and decreasing distribution costs with merge-in-transit The purpose of the article is to describe and compare the purchasing process for advanced versus basic logistics services. Further some specific observations are presented from the procurement of advanced third-party logistics services, with respect to service definitions, providers evaluations and contracts. The purchasing process of logistics services will in the future need to be more differentiated due to current business trends. Hence companies must analyse how these new procurement situations will impact on their purchasing processes in order to understand what new resources, routines and competence they need to have in order to purchase logistics services in an effective way. r 2002 Published by Elsevier Science Ltd. a a Division of Logistics Management, Department of Management and Engineering (IEI), Linköping University, SE 581 83, Linköping, Sweden Published online: 07 Apr 2008. 132 ¨ ¨ ¨ Mikko Karkkainen, Timo Ala-Risku and Jan Holmstrom Keywords: Purchasing process; Services; Third-party logistics Department of Industrial Engineering and Management, Helsinki University of Technology, Helsinki, Finland Keywords Logistics, Supply-chain management, Customers, Value, Distribution, Strategy Transport Logistics, Vol. 1, No. 3, pp. 181– 194 (1998)  VSP 1998. To cite this article: Christofer Kohn & Maria Huge Brodin (2008) Centralised distribution systems and the environment: how increased transport work can decrease the environmental impact of logistics, International Journal of Logistics Research and Applications: A Leading Journal of Supply Chain Management, 11:3, 229-245 1. Introduction A changing context and new demands on logistics are driving an ongoing transformation and differentiation of the buying process for logistics services. Logistics services purchased some years ago were usually quite easy to define and the purchase decision was mainly based on the price of the service. Those basic logistics services constitute still the big volume offered and bought, but they are increasingly bought in bundles (van Laarhoven et al., 2000; Andersson, 1997; Sink and Langley, 1997; Berglund, 2000). At the same time, different value adding services and IT services are increasingly included in the bundles of services, which are handled in so-called third-party logistics relationships (Andersson, 1997; van Laarhoven et al., 2000). This development increases the complexity of the purchasing process of logistics. The increasingly more advanced tasks companies are trying to outsource today (e.g. logistics management) are much harder to specify and the companies are also not used to doing this. Van Hoek (2000) argues that there is a need for further To link to this article: http://dx.doi.org/10.1080/13675560701628919 A model of tiering in third-party logistics with a service parts distribution case study PLEASE SCROLL DOWN FOR ARTICLE Taylor & Francis makes every effort to ensure the accuracy of all the information (the “Content”) contained in the publications on our platform. However, Taylor & Francis, MATS ABRAHAMSSON and STEN WANDEL∗ our agents, and our licensors make no representations or warranties whatsoever as to An executive summary for the accuracy, completeness, or suitability for any Economics, Institute of Technology,Any ¨opinions Department of Management and purpose of the Content. Linkoping University, managers and executive S-581 83 Linkoping, Sweden ¨ and views expressed in this publication are the opinions and views of the authors,can be found at the readers and are not the views of or endorsed by Taylor & Francis. The accuracy of the Content end of this article should not be relied upon and should be independently verified with primary sources of information. Taylor and Francis shall not be liable for any losses, actions, claims, Abstract—In this article we have and other liabilities whatsoever or proceedings, demands, costs, expenses, damages,expanded Professor James Cooper’s discussions of ‘mega carriers’ for howsoever caused arising one-stop shopping of logisticsin connection with, in relation to or arising in third-party directly or indirectly services to a multi-tiering model to describe different alliances logistics. To be able to support the increasing demands of shippers, a third-party logistics provider must out of the use of the Content. Relationships among TPL providers and members of supply chains ± a strategic perspective Anu H. Bask *Tel.: +46-13-28-1521; fax: +46-13-28-2513. E-mail addresses: danan@eki.liu.se (D. Andersson), Research Associate, Department of Marketing and Logistics, Helsinki andreas.norrman@tlog.lth.se (A. Norrman). School of Economics and Business Administration, Helsinki, Finland have a portfolio with many different services, either in-house or available from a supplier network. As a research and understanding of purchasing initiatives Abstract A broad product assortment is usually valued highly by customers. However, holding a supporting the establishment of supplementary logistics great number of product variants in inventory increases the costs of a supplier. It is possible to services. We will in this article discuss the kind of reduce need for warehousing with direct deliveries from manufacturing units, but customer value procurement included in the procurement of advanced is reduced when orders are received on several shipments. Merge-in-transit is a distribution logistics services. But we will in the discussion also method in which goods shipped from several supply locations are consolidated into one final include routine purchases of basic services e.g. by the use customer delivery while they are in transit. This article examines the effects of merge-in-transit of an Internet freight exchange. While the firstanalysis is performed with a maintenance, repair, and distribution on delivery costs. The type of process may take several yearsdistributor as the case may operations products to finalise the latter company. The evidence in this article supports the claim be only a minutes work. The being a cost the article is to of merge-in-transit purpose of efficient distribution alternative in business networks. Based on the describe and compare the purchasing in multi-company networks should study the possibility of using results advocates that companies process for logistics services for companies following either the the merge-in-transit delivery model. trend towards outsourcing of more advanced logistics services, which will be emphasised here, or the trend Introduction towards leveraging the internet as a tool in their buying Presenting more valuable especially of basic services. Further lessons learned from solutions to customers while decreasing the the procurement of advanced third-party logistics will be associated costs is the biggest challenge and main goal in supply chain shared. The article is conceptual in itset al., 2001, p. 7). The traditional way to create customer management (Hoover nature, but based on empirical material that has been collected over value is to offer a broad assortment of products at as low a price as possible several years of contacts with shippers, both in research (Bowersox et al., research. The article projects and variants of action 2000). However, broadening the product assortment also increases the costs of the supplier (Putsis and Bayus, 2001; Boatwright and takes its starting point in the characteristics of service procurement and the business trends influencing logisNunes, 2001). Successful companies create customer value in such a way that tics. Thereafter two emerging markettrade-off is reached and the profit contribution for the an optimal cost/benefit areas are illustrated and, based on this, a comparison of different company is maximised (Christopher, 1992, pp. 24-52). Nevertheless, the most types of purchasing processes is made. This results in the valuable important phases in the purchasidentification of threesolutions are those that increase customer value while simultaneously reducing discussed in greater detail. ing process, which arecosts. consequence, third-party logistics cannot be reduced to purposes. Any This article may be used for research, teaching, and private studyan alliance between a single shipper and a single 0969-7012/02/$ - see front matter r 2002 Published by Elsevier Science Ltd. provider. Both the shipper and the provider are also loan, in other alliances and PII: S 0 9 6 9 - 7 0 2 ( 0 1 ) 0 0 0 1 Logistics Keywords Buyer-seller relationships, Supply-chain 1management, 8 - 1 substantial or systematic reproduction, redistribution, reselling, involved sub-licensing, these often strongly interact with the shipper– provider relationship. Furthermore, this relationship varies across the different Abstract Outsourcing of logistics services has increased rapidly during the last few systematic supply, or distribution in any form to anyone is expressly forbidden. Terms & Providing all the products that the customer needs, and delivering them in one drop-off is a valuable service for the customer (Bowersox et al., 2000). A wide product offering is important as customers can then use fewer suppliers, reducing their co-ordination and transaction costs (Daniels and Klimis, 1999). phases of third-party logistics projects: design, development, implementation, and operation. Therefore, years. Accordingly, third-party logistics and supply chain management as a research phenomenon has gained increased attention from academia. However, a strategic view Getting everything delivered in one lot is important for the customer, because in order to broaden the picture and to extend the modelling of Cooper and others, we suggest a five-layer focusing on the relationship between supply chain management and third-party logistics International Journal of Physical model with users and four tiers of logistic service providers for the description and analysis of logistics service strategies has gained little attention. This paper focuses on alternative supply Distribution & Logistics Management The authors would like to acknowledge Hannu Heikkonen from Kauppatalo Hansel Oy for his and transport industry issues in general and third-party logistics in particular. This conceptual model chain strategies and their relationship to different types of third-party logistics services. AVol. 33 No. 2, 2003 is Journal of Transport Geography normative framework for organizing these relationships is developed. The strategic viewpp. 132-148 co-operation, and his fruitful ideas during the case study. 12 (2004) 171–184 also indebted to The authors are then illustrated and validated by a case study describing the implementation of an alliance which involved www.elsevier.com/locate/jtrangeo q MCB UP Limited adopted in this paper fills a gap in the understanding of how third-party logistics ¨ ¨¨ ¨ ¨¨ ¨ TEKES, Tekniikan edistamissaatio and Kuorma-autoliikenteen Volvo-saatio for the funding of the redesign of a European distribution operation for service parts. 0960-0035 providers should offer their services more effectively and efficiently to different types ofDOI 10.1108/09600030310469144 this research. supply chains. Keywords: Third-party logistics; tiering; logistics alliances; logistic service providers; European distribuIntroduction tion; freight transport industry. Marketing reasons for There are very good marketing reasons for why we should focus on research research into third-party logistics services and their relation without chain Reproduced with permission of the copyright owner. Further reproduction prohibited to supply permission. management. First, the outsourcing of logistics services is expected to increase (Ohmae, 1989; Coyle et al., 1992). It will continue to evolve at least INTRODUCTION in Europe (Peters et al., 1998) and USA. The majority of CEOs of large logistics service providers in Europe believed (Peters et al., 1998) that the Modern logistics demands a high level of expertise in key areas, such as distribution annual industry growth rate over the period 1998-2000 would be around 20 strategy, materials handling and inventory control, purchasing, transport planning, percent. With regard to the USA, the estimated sales growth was from $15 billion (1996) to $50 billion by the year 2000, a yearly growth of as high as information system, and the ability to manage change, especially within multinational 40 organizations with several different subsidiaries. If one or more of these key areas are percent of the market within a period of three years. Second, the thirdparty logistics (TPL) industry is a young and emerging industry (Kuglin, Transport Logistics, Vol. 1, No. 3, pp. 181– 194 (1998) not operating correctly, it has a negative impact on the effectiveness and efficiency p. 227; Sink et al., 1996; Sink and Langley, 1997) which promises a 1998,  VSP 1998. of the total logistics system. Externalizing logistics to third-party operators is often positive future for the logistics industry. Third, the scope of services that third-party logistics providers are offering is expanding, and TPL providers with this problem. The shipper’s core competence is are aggressively Transportation Research Part A 41 (2007) 280–285 interest in improving their operations. Finally, customer then supplemented by outside expertise in other key areas. outsourcing a wider amount of logistics services has increased (Peters et al., 1998). All these factors have led to an increasing need for the holistic management of logistics services (Juga and Willberg, 1998) and their ∗ To whom correspondence should be addressed. E-mail: stewa@eki.liu.se efficient organization from both the supply chain and third-party logistics providers' point of view in order to improve effectiveness and efficiency in supply chains. The current issue and full text archive of this journal is available at advocated www.emeraldinsight.com/1741-0401.htm as a way of dealing 10 s max 0 point IJPPM 58,1 54 The transport geography of logistics and freight distribution Markus Hesse a Performance issues of Smart Goods transport in large European cities: Difficult Transportation Management A spite of to organize, difficult to modernize the holistic systems model of tiering in third-party logistics with aInservice above mentioned reasons, thelogistics strategic view, which aims to answer the question how third-party providers should offer parts distribution case study Gunnar Stefansson their services toward differentLaetitia Dablanc has gained little types of supply chains, * a,* , Jean-Paul Rodrigue attention. A great deal of successful and versatile academic research was Department of Industrial and Mechanical Engineering and Computer Science, produced during the 1990s in third-party logistics phenomena. However, the INRETS, French National Institute for Research on Transport and its Safety, 19, rue Alfred Nobel, University of Iceland, Reykjavik, Iceland and MATS ABRAHAMSSON and STEN WANDEL∗ Cite Descartes, Champs sur Marne, 77455 Marne la Vallee Cedex 2, France Division of Logistics and Transportation, Chalmers University of Technology, The for this journal is available at Department of Management and Economics, Institute of Technology, Linkoping University, research register Received 15 February 2006; accepted 24 May 2006 ¨ ¨ http://www.mcbup.com/research_registers Goteborg, Sweden,S-581 83 Linkoping, Sweden and ¨ Keywords: Logistics; Geography; Freight Transport; Physical distribution; Globalization 1. Logistics and freight transport: from derived to integrated demand 1.1. Introduction The growing flows of freight have been a fundamental component of contemporary changes in economic systems at the global, regional and local scales. The consideration of these changes must be made within a perspective where they are not merely quantitative, but Abstract 470 JOURNAL OF BUSINESS & INDUSTRIAL MARKETING, VOL. 16 NO. 6 2001, pp. 470-486, # MCB UNIVERSITY PRESS, 0885-8624 structural and operational. Structural changes mainly Abstract—In this article we have expanded Professor James Cooper’s discussions of ‘mega carriers’ for involve manufacturing systems with their geography of Abstract one-stop shopping of logistics services to a multi-tiering model to describe this article, I wish in third-party In different alliances to present three characteristics of urban goods movements in major European cities: (1) Goods production, while operational changes mainly concern Purpose – The purpose of this paper is to use the conceptual model of be able to Transportation logistics. To the Smart support the increasing demands of shippers,movements arelogistics indifferentmust internal structure of cities. (2) Urban policies targeted on freight mobility appear transportation with its geography of distribution. a third-party largely provider to the freight Management (STM) system and analyze how the included factors change the performance of to be from a supplier network. As a have a portfolio with many different services, either in-house or availablequite inefficient. (3) The provision of appropriate urban logistic services is slow in emerging despite growing needs. As such, the fundamental question does not necessarily distribution activities and what management issues are at stake. These features have been and a single consequence, third-party logistics cannot be reduced to an alliance between a single shipper observed over the last five or six years through working with large metropolitan transport author- in the nature, origins and destinations of freight reside Design/methodology/approach – To prepare the paper, a literature study was made and case ities, as well and these French national provider. Both the shipper and the provider are also involved in other alliances as with the often strongly research program on ‘‘Goods in Cities’’ and the ‘‘Best Urban Freight Solutions’’ movements, but how this freight is moving. New modes studies carried out in companies and organizations that are included in advanced transportation setups, European varies across the different of production are concomitant with new modes of disinteract with the shipper– provider relationship. Furthermore, this relationship network. These observations draw a picture of the urban freight industry, which can appear quite critical. including infrastructure providers, carriers, truck manufacturers, software providers, shippers, and more. Indeed, many initiatives have emerged to make this industry less routine and more efficient, especially regarding its envitribution, which brings forward the realm of logistics; phases three major components projects: Findings – The main finding of the study is a model that includes of third-party logistics of smart design, development, implementation, and operation. Therefore, ronmental impacts as well as its level of quality of service. However, changes are slow, and on the whole, it appears as transportation management, namely, smart goods, smart vehicles andbroaden the picture and to extend the modelling of Cooper and others, we suggest a five-layer in order to smart infrastructure. These of components embrace some factors that have effects on model with users and fourhowever, logistic service providers for thethough none andthe stakeholders are willing to make fast progress: on the one side, city governments expect business to supply chain performance; tiers of to description analysis of logistics set up new logistic services fit to the emerging needs of the customers and retailers as well as beneficial to the environment; different extents. * and transport industry issues in general and third-party logistics in on the other side, logisticians are waiting for municipalities to initiate (and subsidize) new services before starting busiparticular. This conceptual model is Corresponding author. Tel.: +49-30-838-70209; fax: +49-30-838Research limitations/implications – The paper uses a framework for the smart transportation 70749. then illustrated and validated by a case study describing the implementation of an could prove poorly profitable and highly risky. Despite this tendency for status quo in the urban freight nesses which alliance which involved management system that is useful when studying advanced transportation management systems, the E-mail address: mhesse@zedat.fu-berlin.de (M. Hesse). functions that need to be supported and what factors have the redesign of achain performance. effects on supply European distribution operation for service parts. industry, some solutions can be identified, which I present in the concluding chapter of this paper. The current issue and full text archive of this journal is available at http://www.emerald-library.com/ft Kenth Lumsden Division of Logistics and Transportation, Chalmers University of Technology, ¨ Goteborg, Sweden Ó 2006 Elsevier Ltd. All rights reserved. Practical implications – Practical implications are mainly based on the structure of the smart transportation system that is used and the identified factorsKeywords: the performance of the supply logistics alliances; logistic service providers; European distributhat affect Third-party logistics; tiering; Keywords: Urban freight; Policies and planning; City logistics; Regulations; Trucks; Deliveries chain, as these factors can be influenced by logistics management. tion; freight transport industry. Originality/value – The framework used in this research is a new development that collects advanced functions of goods identification, vehicle information systems and infrastructure systems into one conceptual model for smart transportation management that include some factors that are affecting supply chain performance. INTRODUCTION Keywords Transportation, Supply chain management, Performance management Paper type Research paper International Journal of Productivity and Performance Management Vol. 58 No. 1, 2009 pp. 54-70 q Emerald Group Publishing Limited 1741-0401 DOI 10.1108/17410400910921083 0966-6923/$ - see front matter Ó 2003 Elsevier Ltd. All rights reserved. doi:10.1016/j.jtrangeo.2003.12.004 0. Introduction Modern logistics demands a high level of expertise in key areas, such as distribution A large number of different types of freight flows constantly cross an urban environment, including constrategy, materials handling and inventory control, purchasing, transport materials, waste products, postal mail and others. These flows occupy about one fourth sumer goods, building planning, Introduction information system, and the ability to manage change, especially within multinational In the pursuit of higher efficiencies in companies’ supply chains, new business models are engaging an increasing number of participants, making the management of the organizations with several different subsidiaries. If one or more of these key areas are chains, including transportation operations, more difficult and the risk for exceptions a negative impact on the effectiveness and efficiency not operating correctly, it has higher. By employing more complex business models, the need for more customized of the total logistics system. Externalizing logistics to * Tel.: +33 1 64operators is often 15 21 40. third-party 15 21 03; fax: +33 1 64 logistics solutions increases and the need for more efficient execution escalates. advocated better information and E-mail address: laetitia.dablanc@inrets.fr Efficient execution relies on better planning that in turn calls for as a way of dealing with this problem. The shipper’s core competence is then supplemented by services better monitoring and controlling of transportation operation. The complexoutside expertise in other key areas. 0965-8564/$ - see front matter Ó 2006 Elsevier Ltd. All rights reserved. doi:10.1016/j.tra.2006.05.005 ∗ To whom correspondence should be addressed. E-mail: stewa@eki.liu.se b Department of Earth Sciences, Urban Studies, Free University of Berlin, Malteserstr. 74-100 D-12249 Berlin, Germany b Department of Economics and Geography, Hofstra University, Hempstead, NY 11549, USA Abstract Goods movement and freight distribution are widely underrepresented in regional science and geographical research. This is surprising since a large body of traditional spatial theory has been developed with respect to transportation costs or to trade areas: those aspects that were originally closely connected with the exchange of goods. Growing attention is being paid in geography to related subjects, such as the emergence of global production networks, to structural changes in retail or to the commodification of modern consumption. To a certain extent, these processes depend upon the efficient transfer of information, finance and physical goods. Yet, with a few exceptions, the freight sector appears to be neglected in contemporary research. This paper provides an overview of the emerging transport geography of logistics and freight distribution. It challenges the traditional perspective where transportation is considered as a derived demand with the idea that logistical requirements underline transportation as a component of an integrated demand. The paper provides an analysis of the evolution of logistics as it pertains to the core dimensions of www.elsevier.com/locate/tra transport geography (flows, nodes/locations and networks). The concept of logistical friction is also introduced to illustrate the inclusion of the multidimensional notion of impedance in integrated freight transport demand. Ó 2003 Elsevier Ltd. All rights reserved. the science of physical distribution. Although it represents an entire system of space/time interdependencies, we believe that physical distribution has been neglected in current geographical, urban or regional studies. Up to recently, geography did not pay much attention to logistics and freight transportation, as the focus was mainly on passengers and individual mobility issues. Textbooks on urban or general transport geography, like those edited by Hanson (1995), Taaffe et al. (1996) or Hoyle and Knowles (1998), now raise more freight related questions than they did in earlier editions, particularly with regard to trade and ports. The latter is probably the only logistics subject that received major reference from academic geography. Other core spatial implications of distribution and logistics have been directly addressed in geography by few authors who developed an insight into wholesale activities and their geographical distribution (Glasmeier, 1992; McKinnon, 1983, 1988, 1998; Riemers, 1998; Vance, 1970). Following the nature of retailing as an originally distributive activity, geographic research on retail and consumption is of interest in the logistics context too. However, retail geography does not pay much attention to distribution changes (Marsden and Wrigley, 1996),
  • 9. The midterm tests How can I ensure understan ding? loop? Double Reflection? ty? ili lab ca S Wo rklo a d fo rm e?
  • 10. The midterm tests Week 4 an d in the Again week exam 6 (of 7) 24 questions alt Two s: 0 tive erna d1 an Mean Squ ared Error (MSE )
  • 11. The midterm tests - goals onesty H Reflection ess u ink Th n’t g - do Quick feed back
  • 12. Mean Squared Error 1 I have searched and found no literature… 0,9 Error^2 0,8 0,7 0,6 0,5 …but a colleague from another university has done this before 0,4 0,3 0,2 0,1 0 0 0,1 0,2 0,3 0,4 0,5 0,6 0,7 0,8 0,9 Error 1
  • 14. Mean Squared Error 1 0,9 Error^2 0,8 Risky behaviour does not pay 0,7 0,6 0,5 0,4 0,3 0,2 0,1 0 0 0,1 0,2 0,3 0,4 0,5 0,6 0,7 0,8 0,9 Error 1
  • 15. MSE Mean value is calculated Question Right answer Your answer Error Error2 1 1 0,5 0,5 0,25 2 0 0 0 0 3 1 1 0 0 MSE 4 0 0,15 0,15 Sum Average Exams :( [Day 12] by Alex France on Flickr (CC-BY,SA) 0,0225 0,2725 0,13625 MSE=Mean Squared Error
  • 16. MSE-method Max Points MSE 0,05 0,10 0,15 0,20 Exams :( [Day 12] by Alex France on Flickr (CC-BY,SA) Points 25 20 15 10 Grade 5 Guess 0,5 on 20% of the questions 5 Guess 0,5 on 40% of the questions 4 Guess 0,5 on 60% of the questions 3 Guess 0,5 on 80% of the questions MSE=Mean Squared Error
  • 17. Usage of results Question 1 Question 2 Question 3 MSE 0,6 0,12 Student 2 1 1 1 1 Student 3 0 0,8 0,4 0,27 MSE 0,33 0,55 0,51 Rank 3 1 2 ts ul 0 s re 0 ir e Th Student 1 s ult s M re y
  • 19. Research papers 2 seminars OUTSOURCING LOGISTICS IN PARTNERSHIPS – DRIVING FORCES AND EFFECTS Dan Andersson Logistics and Transport S ystems Departm of Managem and Economics ent ent Linköping University S-581 83 LINKÖPING, S weden Phone: +46 13 28 15 21 Fax: +46 13 28 25 13 E-mail: DanAn@eki.liu.s e ABSTRACT An increase in the outsourcing of logistics in partnerships between shippers and service providers has been observed. Expected positive cost and service effects are important driving forces for the outsourcing of logistics. Linked to the cost aspects is also a desire to reduce investments. It could be a question of transforming fixed costs to variable, or to facilitate fast and radical restructuring of supply chains. Finally, one of the single most important driving forces is the shipper's ambition to concentrate on core business. Each group has 1 paper Logistics partnerships have been observed to have a positive effect on the following four areas at the shippers: cost, service, restructuring of supply chains, Present and control. The shippers believe that efficient operations, economies of scale and scope, and provider knowledge, have positive effects on costs and service. This Book by Bob AuBuchon on Flickr (CC-BY,NC,ND) Explain Discuss
  • 20. The case 50% of the course Two parts (20 + 30 points) Groups of 5 students A lot of work!
  • 21. The case Fake company: Apelsin AB Makes computers Rich backstory End result: A solutions pitch + a short report Needs help in planning future distribution system
  • 22. The case Real data Missing data Meetings with CEO Obscure data Software Proxio Optimizer Open-ended (very frustrating)
  • 23. The case - methods used Closed meetings (not final presentation) Recording of CEO meetings Random presenters Filmed presentations Structured grading
  • 24. The midterm tests - reflections Easy to grade Better than exams I get to know what they don’t know …and what they think they know but don’t Two or even three loops Scalable Seems to work…
  • 25. Research papers - reflections A good way to engage students Keeps course content current OUTSOURCING LOGISTICS IN PARTNERSHIPS – DRIVING FORCES AND EFFECTS Dan Andersson Logistics and Transport S ystems Departm of Managem and Economics ent ent Linköping University S-581 83 LINKÖPING, S weden Phone: +46 13 28 15 21 Fax: +46 13 28 25 13 E-mail: DanAn@eki.liu.s e ABSTRACT Random presentations: Good! An increase in the outsourcing of logistics in partnerships between shippers and service providers has been observed. Expected positive cost and service effects are important driving forces for the outsourcing of logistics. Linked to the cost aspects is also a desire to reduce investments. It could be a question of transforming fixed costs to variable, or to facilitate fast and radical restructuring of supply chains. Finally, one of the single most important driving forces is the shipper's ambition to concentrate on core business. Logistics partnerships have been observed to have a positive effect on the following four areas at the shippers: cost, service, restructuring of supply chains, and control. The shippers believe that efficient operations, economies of scale and scope, and provider knowledge, have positive effects on costs and service. A good way to include research in the course This Book by Bob AuBuchon on Flickr (CC-BY,NC,ND)
  • 26. The case - reflections Frustrating with open-ended tasks Very fun! And difficult… A lot of work for the students Random presenters: Good! Build FAQ Resembles reality
  • 27. Next year New papers Develop case further More videos! Keep the MSE scoring Electronic tests?
  • 28. Pedagogical project 2013 Course development ! Per Olof Arnäs Technology Management and Economics per-olof.arnas@chalmers.se slides on slideshare.net/poar New Science Lecture Theatre at UCT by Ian Barbour on Flickr (CC-BY,SA)