3 Intermodalism and Transmodalism OriginDestinationRoadRailMaritimeTransmodalismOriginDestinationRailRail
4 Organization of Intermodal Transportation Nature and quantitySuitable for intermediate and finished goods in load units of less than 25 tons.Transport modesSequence of modes; an intermodal transport chain. Dominant modes; trucking, rail, barges and maritime.Origins and destinationsDistances above 500 km (longer than one day of trucking) usually require intermodal transportation.
5 Organization of Intermodal Transportation Time and costsUse each mode according to their respective time and cost advantages. Total transport costs are minimized.Cargo valueSuitable for intermediate cargo values. Low and high value shipments are usually less suitable.Frequency of shipmentsCargo flows need to be continuous and in similar quantities.
6 Multimodal and Intermodal Transportation Multimodal Point-to-Point NetworkIntermodal Integrated NetworkCCAABBTransshipmentRailRoadDDTransshipmentFFEE
7 Distance, Modal Choice and Transport Costs RoadC3Transport costs per unitRailMaritimeD1D2Distance
8 Freight Transport Costs per Ton-Mile (in 1995 dollars) Source: Ronald Ballou (1998) “Business Logistics Management”, 4th Edition, Upper Saddle River, NJ: Prentice Hall.
9 Average Length of Haul, Domestic Freight in the United States, 1960-2010 (in miles) Source: RITA/BTS. Table 1-38: Average Length of Haul, Domestic Freight and Passenger Modes.
10 Modal Split in the EU, United States and Japan, 2005 (in % of ton-km) Source: BTS, EU & MLIT.Eurostat, Panorama of TransportMinistry of Land, Infrastructure, Transport and Tourism.
11 Intermodal Transport Chain Composition‘Last mile’InterchangeTransfer‘First mile’DecompositionLocal / Regional DistributionNational / International DistributionTransport Terminal
14 The Benefits of Containerization Lower freight ratesLower insurance ratesMinimal load unitTransport CostsLower storage costsLower packing and packaging costsFaster inventory turnoverInventory CostsTime reliabilityHigher frequencyService Level
15 Carrying Capacity of Containers (in cubic feet) Source: adapted from Robert C. Leachman (2005) Port and Modal Elasticity Study, Dept. of Industrial Engineering and Operations Research, University of California at Berkeley.
17 Intermodal Terminal Equipment Straddle CarrierRubber-tired GantryCirculate over container piles. Can go over stacks up to 3 in height. 500 to 700 TEU per hectare.High storage densities (1,000 TEU per hectare). Difficult to move from one stack to the other. High acquisition but low operating costs.Front-end LoaderRail-mounted GantryUse container top anchor points. Handle most containers. Can reach stacks up to 3 in height.Highest storage density (widespan; +1,000 TEU per hectare); mostly used at port terminals. Lowest operating costs. Fixed to rail tracks.Reach StackerPortainerFlexible side loaders. Can reach stacks up to 3 full or 5 empty containers in height. 500 TEU per hectare.Load and unload containerships.Various sizes (Panamax and Super-Panamax).
18 Number of Units and Weight of Standard Consumption Goods that Can be Carried by a 20 Foot Container Source: adapted from T. Toikka (2006) “The Real Price for Container Transportation between Asia and Europe”, Lappeenranta University of Technology,Department of Industrial Engineering and Management.
19 World Container Traffic and Throughput, 1980-2011 Source: Drewry Shipping Consultants.
20 Containerized Cargo Flows along Major Trade Routes, 1995-2011 (in millions of TEUs) Source: UNCTAD, Review of Maritime Transport, various years.
21 Advantages of Containerization Read section 3FactorAdvantageStandard transport productCan be manipulated anywhere in the world (ISO standard).Specialized ships, trucks and wagons.Flexibility of usageCommodities (coal, wheat), manufactured goods, cars, frozen products.Adapted containers for dry cargo, liquids (oil and chemical products) and refrigerated cargo.Reuse of discarded containers.ManagementUnique identification number and a size type code.Transport management not in terms of loads, but in terms of units.CostsLow transport costs; 20 times less than bulk transport.Economies of scale.SpeedTransshipment operations are minimal and rapid.Port turnaround times reduced from 3 weeks to about 24 hours.Containerships are faster than regular freighter ships.WarehousingIts own warehouse; Simpler and less expensive packaging.Stacking capacity on ships, trains (doublestacking) and on the ground.SecurityContents of the container is unknown to carriers.Can only be opened at the origin, at customs and at the destination.Reduced spoilage and losses (theft).
22 Challenges of Containerization FactorChallengeSite constraintsLarge consumption of terminal space (mostly for storage); move to urban periphery.Draft issues with larger containerships (more than 13 meters).Infrastructure costsContainer handling infrastructures and equipment (giant cranes, warehousing facilities, inland road, rail access), are important investments.StackingComplexity of arrangement of containers, both on the ground and on modes (containerships and double-stack trains).Restacking difficult to avoid.Theft and lossesHigh value goods and a load unit that can opened or carried (on truck).Vulnerability between terminal and final destination.10,000 containers are lost at sea each year (fall overboard).Empty movementsMany containers are moved empty (20% of all flows).Either full or empty, a container takes the same amount of space.Divergence between production and consumption; repositioning.Illicit tradeCommon instrument used in the illicit trade of drug and weapons, as well as for illegal immigration.Worries about the usage of containers for terrorism.
23 Stacked 40-Foot Containers, Port of Yantian, China
24 Loading Coffee into Containers, Cartagena, Colombia Source: Cartagena Port Authority.
25 40-Foot Containers Doublestacked on a Rail Car Source: