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Supply – integrators, post offices and forwarders
Published in Peter S. Morrell, Thomas Klein, Moving Boxes by Air, 2018
Peter S. Morrell, Thomas Klein
A freight forwarder is an intermediary who acts on behalf of importers, exporters or other companies or persons involved in shipping goods, organising the safe, efficient and cost-effective transportation of goods. Freight forwarders arrange the best means of transport, using the services of shipping lines, airlines, and road and rail freight operators. In some cases, the freight forwarding company itself provides the service, considering the type of goods and the customer’s delivery requirements. Forwarders vary in size and type, from those operating on a national and international basis to smaller, more specialised firms who deal with particular types of goods or operate within particular geographical areas. The international market, however, is dominated by large global companies such as Deutsche Post DHL, Kuehne + Nagel and DB Schenker.
Freight logistics and shipment routing
Published in Dong-Ping Song, Container Logistics and Maritime Transport, 2021
Freight forwarder and NVOCC are two players that are closely related to cargo owners. A freight forwarder refers to a company that arranges the transportation of goods on behalf of individuals or other organisations. Freight forwarders are often non-asset based and specialise in supply chain management to facilitate the logistics of transportation for shippers. Their knowledge and expertise in handling international shipments and close relationships with various carriers are their advantages to add value to global supply chains. Top ocean freight forwarders include Kuehne+Nagel, DHL, Sinotrans, DB Schenker Logistics, and Pantos Logistics (https://moverdb.com/freight-forwarder/).
Air cargo and logistics
Published in Lucy Budd, Stephen Ison, Air Transport Management, 2020
Air freight forwarders are central to air cargo operations as they connect suppliers and customers. Freight forwarders typically reserve space on cargo flights and consolidate deliveries from multiple shippers, arranging for the consolidated loads to arrive at the airport of departure ready for shipping. They then arrange for the delivery of shipments to end destinations from the arrival airports. Freight forwarders will also provide value-added services to shippers, such as documentation, customs processing, insurance, goods storage, packing, handling, and distribution.
Developing a model to optimise the cost of consolidated air freight considering the varying scenarios
Published in International Journal of Logistics Research and Applications, 2023
Rosalin Sahoo, Bhaskar Bhowmick, Manoj Kumar Tiwari
The simulated example is from a cargo division of an international airport in India. In past years India has emerged as one of the topmost contributors of the air transport industry, which is about US$ 30 billion annually to India’s GDP as per the July 2016 study carried out by Air Transport Action Group. According to the report of the Airport Authority of India (AAI, 2018), the cargo division of the airport has a dedicated cargo terminal (10,000 m² with exceptional facilities, two parking bays, and 1000t capacity). The cargo types shipped through NSCBI Airport are mostly perishable items such as poultry, flowers, and high-tech as well as retail products. The carrier considered to collect the data are combi aircraft used in commercial aviation and the commodities transported are mostly perishable goods and high valued time-sensitive items. The potential shippers and buyers are largely the manufacturing industries, retail industries, food and poultry industry, and the flower industry. The freight forwarder act as an agent between shippers, buyers, and airlines.
Freight route planning in intermodal transportation network to deal with combinational disruptions
Published in Cogent Engineering, 2020
Erly E Rosyida, Budi Santosa, I Nyoman Pujawan
The intermodal transportation network consists of several nodes (n) and an edge (e). The connection between a node and edge is illustrated in Figure 1. In Figure 1, the node describes the location of the supply/depot (origin node), port, and customer (destination node). On the other side, the edge illustrates the means of transportation that consists of a roadway and a sea way. In Figure 1, the origin node is a shipper that sends its goods to several customers with several containers. The provider/freight forwarder is a transportation service that sends goods from the location of the shipper to the location of the destination or customer (consignee). The terminal is a node used for the transfer from a land mode to a sea mode, or otherwise.
Coopetition in the supply chain between container liners and freight forwarders: a game theory approach
Published in Transportation Planning and Technology, 2020
Cooperation between container liners and freight forwarders is reflected in three aspects. First, as customers of container liners, freight forwarders provide stable cargo and improve the container liners’ vessel utilization in different seasons, especially in the slack season. Second, freight forwarders collect market information (for example, competitors’ pricing offers, capacity update, utilization, and surcharge announcement) and pass this on to container liners, which improves the efficiency and accuracy of the latter's market strategy. This function of freight forwarders is particularly beneficial to container liners as anti-trust laws forbid the distribution of such information among container liners since the abolition of the liner conference (in 2018, the conference system was banned in Europe; European Commission 2006). Third, freight forwarders fill the gap in the extended logistics service at both ends (for example, trucking, customs clearance, warehousing, distribution) to ensure the efficient operation of the supply chain. However, the competition between container liners and freight forwarders is also fierce, which is reflected in three aspects. First, container liners and freight forwarders compete fiercely for cargo business. This can be verified through the competition evident in global bidding, in which cargo owners, container liners, and forwarders all participate. Second, there is a significant divergence in pricing offers, which leads to wide fluctuations. Historically, container liners have been the sole controlling party of ocean freight offers; however, freight forwarders have significantly established their dominance in pricing owing to overcapacity in the industry. Third, container liners are increasingly extending their services to both ends of the supply chain by providing cargo owners with duplicate or similar logistics services as freight forwarders, which puts pressure on the latter and intensifies the competition between the two sides. For example, Maersk focuses on meeting the end-to-end needs of the supply chain (maersk.com) and accelerating the related layout through acquisition (for example, Maersk announced the acquisition of Vandegrift, a premier US-based Customs House Broker, representing the first acquisition of the year in the fast-growing logistics sector (www.canadianshipper.com2019)). Similarly, CMA CGM recently completed its public tender offer to acquire CEVA (CMA CGM 2019). Thus, the pace of end-to-end extension by container liners is accelerating. In this context, it is necessary to examine the coopetition relationship between container liners and freight forwarders; however, there is a lack of current research on this issue. To fill this gap, this study focuses on the coopetition between container liners and freight forwarders from the perspective of game theory. A mathematical model is used to reveal the basis for cooperation, the primary causes of conflict, and the means to achieve harmony and coexistence in the supply chain.