• Title/Summary/Keyword: value-added logistics

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Analytic Hierarchy Process Modelling of Location Competitiveness for a Regional Logistics Distribution Center Serving Northeast Asia

  • Kim, Si-Hyun;Lee, Kwang-Ho;Kang, Dal-Won
    • Journal of Korea Trade
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    • v.24 no.3
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    • pp.20-36
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    • 2020
  • Purpose - As the global product network expands through both internationalization and diversification of the multimodal transportation system, corporate strategies have shifted to emphasize the importance of a high value-added international logistics system. To guide policies and strategies to attract relevant industries, this study aims to analyze the location competitiveness of regional logistics distribution center to serve Northeast Asia. Design/methodology - Multi-criteria techniques are considered to offer a promising framework for evaluating decision-making factors. This paper employed an analytic hierarchy process to analyze the hierarchal structure of determinants for selecting the location of a regional logistics distribution center. Adopting both qualitative and quantitative evaluations, this study suggest political implications for a regional logistics distribution center development, such as the direction of political support, service differentiation and infrastructure development. Findings - This study developed a location competitiveness evaluation model, based on the case study of the major port-cities in Northeast Asia. Evaluation model incorporates five factors underpinning 17 components extracted using factor analysis. The results revealed that the logistics factor is the most significant factor for evaluating the competitiveness of a regional logistics distribution center. The remaining factors were market, costs, and services environment. Comparing qualitative and quantitative evaluations, results provide useful insights for a regional logistics distribution center development in Northeast Asia. Originality/value - This study revealed differences between qualitative and quantitative evaluations. The finding implies that prior works on evaluation models of competitiveness has not successfully measured the gap between quantitative data and expert' evaluations. To overcome this limitation, this paper considered both actual data such as actual distance, cost, the number of companies located, and expert opinions.

Advances in Cyber Trade and E-Commerce: Thier Impacts on Ex-Im Logistics Services (전자무역과 전자상거래에 따른 수출입물류서비스 발전방안 연구)

  • 안승범
    • Journal of Korea Port Economic Association
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    • v.18 no.1
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    • pp.107-134
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    • 2002
  • Globalization of the industry induces the internationalization of any given manufacturing company's supply chain. Development of e-Commerce and Information Technology (IT) changes the logistics structure, making logistics information systems essential. Web-based connectivity and supply chains based on new technologies are becoming essential in the logistics industry. Customers are driving the implementation of systems to ensure timely, thorough, and accurate information, often with immediate access; in response, the Internet has propagated tracking and tracing systems. Value-added services are the key to successful intermediary activities. The nationwide Integrated Logistics Information System (ILIS) aimed to utilize existing and future information infrastructure and knowledge bases to build an integrated logistics information network that would provide comprehensive logistics information services for shippers and carriers in order to improve the efficiency of both inventory and information flows in their supply chains. The ILIS, as one of the seven national information networks, has provided various services, particularly services related to import/export and clearance. Though a survey concerning logistics information services shows rather positive results, shippers and carriers still require better services and reductions in EDI prices. Therefore, the role of the ILIS needs to be re-defined. Short-term plans for the ILIS contain ICD services and XML/EDI services, which are described in detail.

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A Contemplation on Measures to Advance Logistics Centers (물류센터 선진화를 위한 발전 방안에 대한 소고)

  • Sun, Il-Suck;Lee, Won-Dong
    • Journal of Distribution Science
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    • v.9 no.1
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    • pp.17-27
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    • 2011
  • As the world becomes more globalized, business competition becomes fiercer, while consumers' needs for less expensive quality products are on the increase. Business operations make an effort to secure a competitive edge in costs and services, and the logistics industry, that is, the industry operating the storing and transporting of goods, once thought to be an expense, begins to be considered as the third cash cow, a source of new income. Logistics centers are central to storage, loading and unloading of deliveries, packaging operations, and dispensing goods' information. As hubs for various deliveries, they also serve as a core infrastructure to smoothly coordinate manufacturing and selling, using varied information and operation systems. Logistics centers are increasingly on the rise as centers of business supply activities, growing beyond their previous role of primarily storing goods. They are no longer just facilities; they have become logistics strongholds that encompass various features from demand forecast to the regulation of supply, manufacturing, and sales by realizing SCM, taking into account marketability and the operation of service and products. However, despite these changes in logistics operations, some centers have been unable to shed their past roles as warehouses. For the continuous development of logistics centers, various measures would be needed, including a revision of current supporting policies, formulating effective management plans, and establishing systematic standards for founding, managing, and controlling logistics centers. To this end, the research explored previous studies on the use and effectiveness of logistics centers. From a theoretical perspective, an evaluation of the overall introduction, purposes, and transitions in the use of logistics centers found issues to ponder and suggested measures to promote and further advance logistics centers. First, a fact-finding survey to establish demand forecast and standardization is needed. As logistics newspapers predicted that after 2012 supply would exceed demand, causing rents to fall, the business environment for logistics centers has faltered. However, since there is a shortage of fact-finding surveys regarding actual demand for domestic logistic centers, it is hard to predict what the future holds for this industry. Accordingly, the first priority should be to get to the essence of the current market situation by conducting accurate domestic and international fact-finding surveys. Based on those, management and evaluation indicators should be developed to build the foundation for the consistent advancement of logistics centers. Second, many policies for logistics centers should be revised or developed. Above all, a guideline for fair trade between a shipper and a commercial logistics center should be enacted. Since there are no standards for fair trade between them, rampant unfair trades according to market practices have brought chaos to market orders, and now the logistics industry is confronting its own difficulties. Therefore, unfair trade cases that currently plague logistics centers should be gathered by the industry and fair trade guidelines should be established and implemented. In addition, restrictive employment regulations for foreign workers should be eased, and logistics centers should be charged industry rates for the use of electricity. Third, various measures should be taken to improve the management environment. First, we need to find out how to activate value-added logistics. Because the traditional purpose of logistics centers was storage and loading/unloading of goods, their profitability had a limit, and the need arose to find a new angle to create a value added service. Logistic centers have been perceived as support for a company's storage, manufacturing, and sales needs, not as creators of profits. The center's role in the company's economics has been lowering costs. However, as the logistics' management environment spiraled, along with its storage purpose, developing a new feature of profit creation should be a desirable goal, and to achieve that, value added logistics should be promoted. Logistics centers can also be improved through cost estimation. In the meantime, they have achieved some strides in facility development but have still fallen behind in others, particularly in management functioning. Lax management has been rampant because the industry has not developed a concept of cost estimation. The centers have since made an effort toward unification, standardization, and informatization while realizing cost reductions by establishing systems for effective management, but it has been hard to produce profits. Thus, there is an urgent need to estimate costs by determining a basic cost range for each division of work at logistics centers. This undertaking can be the first step to improving the ineffective aspects of how they operate. Ongoing research and constant efforts have been made to improve the level of effectiveness in the manufacturing industry, but studies on resource management in logistics centers are hardly enough. Thus, a plan to calculate the optimal level of resources necessary to operate a logistics center should be developed and implemented in management behavior, for example, by standardizing the hours of operation. If logistics centers, shippers, related trade groups, academic figures, and other experts could launch a committee to work with the government and maintain an ongoing relationship, the constraint and cooperation among members would help lead to coherent development plans for logistics centers. If the government continues its efforts to provide financial support, nurture professional workers, and maintain safety management, we can anticipate the continuous advancement of logistics centers.

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Deciding types of Logistics Business in the Hinterland of Busan's New Port using DHP (DHP를 이용한 부산신항 배후부지 물류업종 선정)

  • HA, Chang-Seung;BAE, Suk-Tae;LEE, Ki-Wook;AHN, Jae-Deok
    • Journal of Fisheries and Marine Sciences Education
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    • v.21 no.1
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    • pp.96-105
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    • 2009
  • Recently, the logistics companies are constructing distribution market for logistics service in hinterland which is convenient for management and activity of logistics. Since the expansion of hinterland has physical constraints and related to the adjacent cities, it is vital to select value added types of logistics in the business. This study determines the priority of logistics business types in the hinterland of Busan's new port using DHP, and also it suggests future types of logistics business by comparing result of study with the enterprises located in the hinterland. As a result, the inter-modal transport business has higher weight than the storage business. The distribution manufacturing business also has relatively high weight. Therefore, the inter-modal business and storage business need to keep a present status in hinterland, and the distribution manufacturing business should consolidate the role.

A Study on the Interface Model of Information sharing between nations for an efficient global SCM (효율적인 글로벌 SCM에 적합한 국가 간 정보 연계를 위한 인터페이스 모델 연구)

  • Park, Soo Min;Kim, Min Sik;Ahn, Kyeong Rim
    • Journal of Korea Society of Digital Industry and Information Management
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    • v.8 no.4
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    • pp.217-230
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    • 2012
  • To look at Korea trade environment, as increasing the quantity of goods transported in North-East Asia and deepening national competitive, information-oriented logistics environment is needed. That means it is automated work process and can provide value-added service. To do this, logistics business can be efficiently handled through "Electronic Means for the Clearance of Ships" and electronically data processing. Also, by increasing the risk of international terrorism, regulation regarding to logistics security has strengthened around the advanced country, such as USA and EU, etc. or international organization, such as IMO, ISO, etc.. Furthermore, because trade and logistics environment is changing and security becomes more important in logistics area, movement or status information of goods within the port or in entry in/out becomes more and more be needed in real time. In case cross-border logistics activities, international cooperation or agreement between countries is very important. However, different opinions much happened on defining the interface. If to follow one format or type using at a specific country or organization, it was occurred to difficulty in respect of interoperability as well as additional costs or time. Therefore, this paper proposes common interface model to exchange information for the efficient global SCM for using by the output of Korea R&D project, "National Logistics Standardization System Development".

Logistics Development Strategy in Korea: Focusing on 3PL (국내 물류산업 현황과 발전전략: 제3자 물류를 중심으로)

  • Yoo, Yang-Ho;Kim, Sang-Cheol
    • The Journal of Industrial Distribution & Business
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    • v.2 no.1
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    • pp.17-22
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    • 2011
  • This study outlines the current state of logistics in the country will be examined. In particular, the country's main development strategy, logistics 3PL as a development strategy is to look about. For the development of 3rd party logistics companies, shippers, and government efforts are needed. Looking at aspects of corporate strategy, First, the logistics company provides a benefit to the shippers should be able to. Second, the logistics company providing logistics services to create added value should be. Third, the integration of customized logistics services and logistics systems must be able to provide. Finally, a positive investment in human resources is needed. Fifth, the logistics must be enabled strategic alliances between companies. Sixth, the introduction and application of advanced Logistics should be actively. Corporate strategy perspective, shippers and 3rd party logistics companies that need to cooperate closely. Finally, The government should strive for the growth of 3rd party logistics companies.

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A Study on Establishing a Hub Port in Northeast Asia through the Reconsideration of the Maritime Network Management of Jang BoGo (장보고의 해양네트워크 경영의 재조명을 통한 동북아 허브항만 구축에 관한 연구)

  • Pak, Myong-Sop
    • THE INTERNATIONAL COMMERCE & LAW REVIEW
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    • v.27
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    • pp.69-95
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    • 2005
  • East Asia has played an important role in the economic and social development in the Asian pacific region and in the global arena. In the region the impact of companies centralizing their logistics activities around a few distribution centers has already led some leading ports such as Singapore, Hong Kong to transform and expand their functions and business activities to provide port users with value added logistics services. Other ports in the region also have an important part to play in the total logistics Chain. In these environments, the maritime activities of Jang BoGo, who was the maritime king of the commercial maritime empire in East Asia in the 9th century, give many implications to the international logistics network strategy that Korea has to take in order to become a power of International Logistics. Though the trading and economic environments at that time may be quite different from today, the super-national maritime management pattern that Jang Bo-go, founder of the Northeast Asian maritime trading kingdom devised, gives us many implications in the global trading and economic environments, in the respects of overseas direct investment and international logistics. Accordingly, the paper aims to examine the establishment of hub port in Northeast Asia, modelled after the maritime network management strategy of Jang BoGo.

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An Economic Analysis And Strategies of Korean Railway Industry Through The East Siberia Energy Development (동부 시베리아 에너지 개발에 대한 국내 철도 산업의 경제성 분석과 진출 방안 연구 - 동부 시베리아 철도 주변 지역을 중심)

  • Jang Dong-Myoung;Song Choon-Kun;Kim Bong-Taek
    • Proceedings of the KSR Conference
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    • 2005.05a
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    • pp.1132-1137
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    • 2005
  • Trans-Siberian Railway (TSR) has been recently rising to the surface as the world important issue with Trans-Korea Railway (TKR). This can change transportation means from sea to railway and enhance Korean international position through the North-east Asian economic cooperaton with Russia. In particular, when 'Iron Silkroad' linking TKR is created, it can revitalize the underdeveloped East Russia and Far East's economies and Korean railway can play a key role as the North-east Asian logistics center and exerts a powerful influence on them. In addition, Korean railway expects to obtain economic benefits accruing to various value-added businesses such as IT, tourism, especially, transportation business from the East Siberia, the world largest reserves of energy to Korea. This study tries to find economic value analysis and guidelines on strategies of Korean railway with international logistics base built in Khassan (Vladivostok contiguity region) through the development of energy deposited around east of TSR.

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Improvement of Telematics Technology Utilizing Logistics Information (물류정보를 활용한 텔레매틱스 기술 개선방안)

  • Byeon, Eui-Seok
    • Journal of Korean Society of Industrial and Systems Engineering
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    • v.32 no.2
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    • pp.38-44
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    • 2009
  • Recently, automobile industry expands from mechatronics area through intelligent information area, and the telematics technology is one of the greatest developing points. The telematics is utilizing the on-board-unit of vehicle's communication system, and it provides necessary information and value-added service to vehicles as well as drivers. Most of the telematics offers the solution of searching a route or generates an optimal path. This paper investigates telematics with the logistics point of view, such as freight location tracking, vehicle emergency information, etc. The telematics is a core technology of automobile industry, and it becomes new business paradigm of IP(information provider). Especially, ETA(estimated arrival time) of freight and distribution tracing information are critical issues in the logistics industry. The successful integration with telematics is introduced in the paper.

A Study of Air Cargo Logistic System Process (항공물류 시스템 프로세스의 개선에 관한 연구)

  • Lee, Hwi-Young;Lee, Jae-Jin
    • Journal of the Korea Society of Computer and Information
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    • v.14 no.9
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    • pp.179-187
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    • 2009
  • The national boundary's meanings turn to weak according to advent of Global enterprises. The place for design a product and marketing are separated to actual market. R&D is to the area where the knowledge activity is well, and low skilful product assembling is to the place the low wage is acceptable. It shows that the importance of net work structure. From early 90's, production system is diversified to markets where with the consumer as the central as multifarious items and creation new demands through consumer's participation into manufacturing process. This phenomenon show that logistics structures adapt to demand of technical variation, and the development of e-business with VAN(:value added network) and EDI(:Electronic data interchange) prove it. This study tried to analyze utilitarian assay about systems those land, sea, air logistics through documents research, and this study also present the direction of logistics system of airline company and goal of development on the based to the model of domestic airline company accordingly.