{"title":"How Much Did That Cost? A Call for Improved Transportation Cost Transparency","authors":"David Swanson, Y. Jin, Bryan Ashenbaum","doi":"10.5325/transportationj.61.4.0315","DOIUrl":"https://doi.org/10.5325/transportationj.61.4.0315","url":null,"abstract":"Abstract:In 2021 business logistics costs in the United States were 8 percent of the nation’s GDP. However, significant discrepancies exist between aggregated transportation costs and those recorded at the firm level. Under generally accepted accounting principles (GAAP)—a standard for publicly traded companies in the United States must abide—transportation costs are generally recognized as direct expenditure on transportation services, such as when firms pay a carrier for transporting freight. On the other hand, expense items such as fuel, driver wages, leases on transportation equipment are instead broadly grouped under operating expenses despite their specific transportation purposes. In doing so, these expenses that are typically recorded internally as transportation costs are obfuscated to investors, scholars, or other users of financial statements filed along with company quarterly and annual reports. As recent supply chain disruptions due to both natural (e.g., pandemic) and manmade (e.g., foreign conflicts) causes have highlighted, there is an urgent need for various stakeholders to be able to evaluate firm logistics and transportation strategy with better salience. To that end, improved transportation cost visibility is urgently needed. Therefore, our objective is to provide a research agenda for academics to broach the subject of transportation cost transparency.","PeriodicalId":46529,"journal":{"name":"Transportation Journal","volume":null,"pages":null},"PeriodicalIF":2.3,"publicationDate":"2022-11-21","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"42679720","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"工程技术","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Order Batching and the Bullwhip Effect Reduction in a Cross-Docking Strategy","authors":"Yassine Benrqya","doi":"10.5325/transportationj.61.4.0369","DOIUrl":"https://doi.org/10.5325/transportationj.61.4.0369","url":null,"abstract":"Abstract:The purpose of this article is to analyze the effect of order batching on the bullwhip effect in a cross-docking strategy. The model proposed uses simulation to analyze empirically the impact of order batching on the bullwhip effect in cross-docking strategy compared to traditional warehousing. The study is based on a case study of a fast-moving consumer goods company and a French retailer. In the model, a three-stage supply chain composed of one supplier DC, one retailer DC, and 10 retailer stores is considered. The order-up-to (OUT) level policy is used to control inventory at each stage. The demand is forecasted using a simple moving average scheme. The empirical investigation shows that the use of cross-docking leads to a bull-whip effect gain upstream in the supply chain in all cases and situations. Moreover, we show that there exists a high positive correlation between the physical volume of a product (measured by the number of items per pallet) and the bullwhip effect gain. Finally, the increase in lead time to the stores has little impact on the bullwhip effect gain upstream in the supply chain.","PeriodicalId":46529,"journal":{"name":"Transportation Journal","volume":null,"pages":null},"PeriodicalIF":2.3,"publicationDate":"2022-11-21","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"48566281","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"工程技术","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Impact Assessment of Internet Users on Chinese Railway Transportation","authors":"Ying Li, Hongyi Cen, Pei-Ying Wu, Yi‐Nuo Lin, Yung‐ho Chiu","doi":"10.5325/transportationj.61.4.0392","DOIUrl":"https://doi.org/10.5325/transportationj.61.4.0392","url":null,"abstract":"Abstract:With a total length of 35,000 kilometers, China has the world’s largest high-speed rail network. Due to the deepening of China’s “Internet +” strategy, new opportunities and challenges have emerged for China’s railway system. While railway transportation industry efficiency has been widely discussed, most previous studies have focused on railway transportation industry operations and have generally ignored the important influence of internet technology on the industry. Therefore, to go some way to filling this gap, this study took the number of Chinese internet users as an investment indicator and integrated big data and the Internet of Things (IoT) concepts into a dynamic directional distance function-data envelopment analysis (DDF-DEA) model to comprehensively measure the impact of internet technology on railway transportation industry efficiency in 31 Chinese provinces from 2011 to 2016. It was found that (1) when the internet influence was considered, the overall railway transportation industry efficiency in most regions significantly improved, with Heilongjiang Province having the largest increase; (2) the labor input, passenger traffic, freight volume, railway turnover, and freight turnover input efficiencies in most provinces were significantly higher when the internet influence was considered; and (3) the internet has had a positive impact on railway transportation.","PeriodicalId":46529,"journal":{"name":"Transportation Journal","volume":null,"pages":null},"PeriodicalIF":2.3,"publicationDate":"2022-11-21","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"41641468","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"工程技术","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Expectations vs Experience: Managing the Adverse Effects of Service Failures on Customer Satisfaction in the Airline Industry","authors":"N. Masorgo, Saif U. Mir, Adriana Rossiter Hofer","doi":"10.5325/transportationj.61.3.0231","DOIUrl":"https://doi.org/10.5325/transportationj.61.3.0231","url":null,"abstract":"Abstract:Airlines constantly seek to attenuate the negative impacts of operational service failures, namely arrival delays, mishandled baggage, and involuntary denied boarding, on customer satisfaction. Our study examines the roles of two management decisions—advertising expenses and flight personnel salaries—in shaping customer satisfaction via ex-ante expectations and the actual service experience, respectively. Drawing from expectancy disconfirmation theory (EDT) and the airline service quality literature, we investigate the effectiveness of these two expenses in moderating the impact of service failures on customer satisfaction. We test our hypotheses with a panel dataset created by merging data on 15,979 online airline ratings, operational service failures, and financial and traffic performance from three data sources for the 2010–19 period. We find that both arrival delays and involuntary denied boarding negatively affect customer satisfaction. In addition we find that while advertising positively impacts customer satisfaction, it strengthens the negative effect of involuntary denied boarding on customer satisfaction. However, increasing flight personnel salaries helps mitigate this negative effect through a positive and empathic service experience. These findings underscore the importance of managing passenger expectations about the service and enhancing the inflight experience as to ameliorate the negative effects of operational failures on customer satisfaction.","PeriodicalId":46529,"journal":{"name":"Transportation Journal","volume":null,"pages":null},"PeriodicalIF":2.3,"publicationDate":"2022-07-07","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"45359330","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"工程技术","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Seasonality in European and North American Air Transport Markets: Network Structures and Implications for Airline Performance and Recovery","authors":"A. Reynolds-Feighan, Li Zou, Chunyan Yu","doi":"10.5325/transportationj.61.3.0284","DOIUrl":"https://doi.org/10.5325/transportationj.61.3.0284","url":null,"abstract":"Abstract:This industry note focuses on the seasonal variability in air traffic services and highlights the differences between air service capacity provision in Europe and North America. We explore the manifestations and measurement of seasonality, looking at the trends across airport communities and among airlines in the two continental regions. The relationship between airline network structure and seasonality is also explored in the study. We argue that there are a complex set of drivers of the observed differences in air traffic seasonality and set out a research agenda for further investigation.","PeriodicalId":46529,"journal":{"name":"Transportation Journal","volume":null,"pages":null},"PeriodicalIF":2.3,"publicationDate":"2022-07-07","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"45372333","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"工程技术","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Opportunities for Research in Air Transportation","authors":"K. Button","doi":"10.5325/transportationj.61.3.0263","DOIUrl":"https://doi.org/10.5325/transportationj.61.3.0263","url":null,"abstract":"Abstract:This article is concerned with the likely future direction of social science, and especially economic, research in air transportation. To avoid excessive speculation, the assessment is based on as much factual information as possible. It assumes, for example, that much of the technology likely to be used in the near future is known today, although it may not yet be fully developed. To provide a structure, other than just a long list of research possibilities, the study considers three basic trends—continuing trends, trend breaks, and new trends—in air transportation. The approach adopted is also mainly demand driven in that it looks at the probable research needed to explore these various trends, and it says little about how this research may be resourced, or how research priorities are likely to be determined. It is positive in its approach, trying to be as objective as possible, and focusing more on the use of developments in economic and related analysis than on normative debates about what policies should be pursued.","PeriodicalId":46529,"journal":{"name":"Transportation Journal","volume":null,"pages":null},"PeriodicalIF":2.3,"publicationDate":"2022-07-07","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"46797702","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"工程技术","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"An Introduction to the Special Issue on Air Transportation","authors":"M. Dresner, Christian Hofer","doi":"10.5325/transportationj.61.3.iii","DOIUrl":"https://doi.org/10.5325/transportationj.61.3.iii","url":null,"abstract":"","PeriodicalId":46529,"journal":{"name":"Transportation Journal","volume":null,"pages":null},"PeriodicalIF":2.3,"publicationDate":"2022-07-07","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"46807643","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"工程技术","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"The Air Transportation Industry: Economic Conflict and Competition ed. by Rosário Macário and Eddy Van de Voorde (review)","authors":"M. Scott","doi":"10.5325/transportationj.61.3.0305","DOIUrl":"https://doi.org/10.5325/transportationj.61.3.0305","url":null,"abstract":"","PeriodicalId":46529,"journal":{"name":"Transportation Journal","volume":null,"pages":null},"PeriodicalIF":2.3,"publicationDate":"2022-07-07","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"47064372","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"工程技术","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"A New Approach for Pricing Based on Passengers’ Satisfaction","authors":"N. M. Farimani, Jamile Ghanbarzade, Azam Modares","doi":"10.5325/transportationj.61.2.0123","DOIUrl":"https://doi.org/10.5325/transportationj.61.2.0123","url":null,"abstract":"Abstract:The growth of the rail transportation industry depends on providing adequate quality of service with reasonable pricing. Toward providing effective pricing strategies, one must find a measure to assess the effectiveness of ticket pricing. Despite the importance that pricing can have on the performance of businesses, it is mostly addressed based on managers’ own experiences. Moreover, data envelopment units employed for pricing are limited to showing the relationship between increasing service quality and increasing efficiency. Therefore, the main purpose of this study is to quantitatively evaluate ticket pricing from the perspective of passengers on one of the busiest rail routes, based on data envelopment analysis. First, train evaluation criteria are extracted by studying the literature. Then, the most influential criteria are identified based on the opinions of experts in rail transportation. The desirability and satisfaction level of each criterion are acquired for fifteen types of passenger trains. Finally, the ticket pricing efficiency is calculated based on the ratio between the train ticket prices and the quality of their services. The results show that out of fifteen examined trains, ten trains are inefficient in terms of pricing. To revise pricing, three decreasing, increasing and medial policies are introduced and illustrated in detail. All three policies are applied and the results are compared. Finally, it is investigated to verify in what environmental conditions each pricing policy can be more effective.","PeriodicalId":46529,"journal":{"name":"Transportation Journal","volume":null,"pages":null},"PeriodicalIF":2.3,"publicationDate":"2022-06-10","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"48551044","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"工程技术","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"The Moderating Effect of COVID-19 on the Relationship between Spot Market Prices and Capital Investment in the Motor-Carrier Sector","authors":"Jason W. Miller, Jessica L. Darby, A. Scott","doi":"10.5325/transportationj.61.2.0151","DOIUrl":"https://doi.org/10.5325/transportationj.61.2.0151","url":null,"abstract":"Abstract:Capital investment by motor carriers in new trucks and trailers is essential for the effective and efficient operation of supply chains. Strong evidence exists that motor carriers’ capital investment is positively correlated with truckload spot prices. This article explores whether the onset of the COVID-19 pandemic moderated the relationship between spot prices and capital investment by motor carriers. We theorize that the onset of the COVID-19 pandemic muted the relationship between spot prices and investment in trucks to a greater degree than it muted the relationship between spot prices and investment in trailers. We attribute this to the COVID-19 pandemic creating tremendous uncertainty about the availability of truck drivers, which made investing in trucks less attractive than investing in trailers that do not require additional labor. To test our theory, we assemble a time series dataset that combines proprietary and public data from several sources. Econometric estimates corroborate our predictions and are robust to instrumental variable estimation to assuage concerns about endogeneity of spot prices. We explain the implications of our findings for theory and practice.","PeriodicalId":46529,"journal":{"name":"Transportation Journal","volume":null,"pages":null},"PeriodicalIF":2.3,"publicationDate":"2022-06-10","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"49270995","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"工程技术","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}