The impact of freight transport capacity limitations on supply chain dynamics

Spiegler, Virginia L. M. ORCID: https://orcid.org/0000-0002-7130-3151 and Naim, Mohamed Mohamed ORCID: https://orcid.org/0000-0003-3361-9400 2014. The impact of freight transport capacity limitations on supply chain dynamics. International Journal of Logistics Research and Applications 17 (1) , pp. 64-88. 10.1080/13675567.2013.838012

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Abstract

We investigate how capacity limitations in the transportation system affect the dynamic behaviour of supply chains. We are interested in the more recently defined, ‘backlash’ effect. Using a system dynamics simulation approach, we replicate the well-known Beer Game supply chain for different transport capacity management scenarios. The results indicate that transport capacity limitations negatively impact on inventory and backlog costs, although there is a positive impact on the ‘backlash’ effect. We show that it is possible for both backlog and inventory to simultaneous occur, a situation which does not arise with the uncapacitated scenario. A vertical collaborative approach to transport provision is able to overcome such a trade-off.

Item Type:	Article
Date Type:	Publication
Status:	Published
Schools:	Business (Including Economics) Centre for Advanced Manufacturing Systems At Cardiff (CAMSAC)
Subjects:	H Social Sciences > HD Industries. Land use. Labor H Social Sciences > HE Transportation and Communications
Uncontrolled Keywords:	supply chain dynamics, ‘backlash’ effect, transport capacity, vertical collaboration, system dynamics simulation
Publisher:	Taylor & Francis
ISSN:	1367-5567
Date of First Compliant Deposit:	30 March 2016
Date of Acceptance:	14 August 2013
Last Modified:	06 May 2023 19:51
URI:	https://orca.cardiff.ac.uk/id/eprint/51718

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