Inventory
Theoretic Models of Freight Demand: Revisiting the Past in Light of the New
Economy
Principal
Investigators:
Amelia Regan Charles
Lave Amihai
Glazer
Civil & Env.
Engr Economics Economics
4151 Engr. Gateway 3103 SSPA 3107 SSPA
Univ of CA Univ
of CA Univ of CA
Irvine, CA 92697 Irvine,
CA 92697 Irvine, CA92697
949 824-2117 949
824-6502 949 824-5974
aregan@uci.edu calave@uci.edu aglazer@uci.edu
Abstract:
The basic
modeling of freight transportation was done thirty years ago. Since then, new
institutional entities have emerged -- the third party logistics provider --
performing new kinds of information and coordination services to meet the new
needs created by just-in-time manufacturing, distribution systems and visible
supply chains. We propose to revisit basic inventory theoretic freight demand
models with the aim of developing new models which explicitly uncouple order
processing time from transportation time, and which incorporate several new
modes choice characteristics -- visibility, control, and trust -- into the mode
selection step. Our objective is to develop new freight demand models that
uncouple order processing time from transportation time, and otherwise update
the models to accommodate new institutional entities that have developed since
the creation of the original models. We will re-examine basic inventory freight
demand models and update them, incorporating several new mode choice
characteristics, as well as explicitly uncouple order processing time from
transportation time. The work will result in the creation of models that better
take into account the new needs and providers that have developed in response
to just-in-time manufacturing, distribution systems, and visible supply chains.
Key Words: freight transportation, freight demand models, visible supply
chains
Work Completed to
Date:
We have completed
and published an extensive review of the freight demand modeling
liturature. We have begun working on a series of papers on
inventory routing models and what are known as buy-back inventory models. These will be finished and sent out for
review in March, 2002.
Papers to
Date:
Regan A.C. and R.
Garrido (2001), Freight demand and shipper behavior modeling: state of the art,
directions for the future, in Hensher, D.A. and King, J. (eds) The Leading
Edge of Travel Behavior Research, Pergamon Press, Oxford, in press.
Lu, X. J.
Song and A. C. Regan (2002), Rebate, Returns, and Price Protection Polices in
Supply Chain Coordination, European Journal of Operations Research,
under review.
Regan A.C.
(2002), The Transformation of the Freight Industry: from Regulation, to
Competition, to Decentralization in the Information Age, Access Magazine, in
press.
Lu, X, J.
Song and A.C. Regan (2002), Finding the Optimal Order Quantity under ARMA
Demands, in preparation for submission to Management Science.
Wang, C. and
A.C. Regan (2002), Risks and Prevention Measures in Logistics Outsourcing,
proceedings of the 82nd meeting of the Transportation Research Board, accepted
for publication.
Song, J. and
A.C. Regan (2002), Combinatorial Auctions for Transportation Service
Procurement: The Carrier Perspective, proceedings of the 82nd meeting of the
Transportation Research Board, accepted for publication.
Conferences
Attended:
TRB, ITSC ’01,
TRISTAN
Other
Accomplishments:
Percent complete:
100%.
Direct Cost:
$15,687