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GS 120 – iGlobalization: Moving The Things We Buy Professor: Dr. Jean-Paul Rodrigue Hofstra University, Department of Global Studies & Geography Topic.

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Presentation on theme: "GS 120 – iGlobalization: Moving The Things We Buy Professor: Dr. Jean-Paul Rodrigue Hofstra University, Department of Global Studies & Geography Topic."— Presentation transcript:

1 GS 120 – iGlobalization: Moving The Things We Buy Professor: Dr. Jean-Paul Rodrigue Hofstra University, Department of Global Studies & Geography Topic 1 – iGlobalization: Emergence and Convergence A – What is iGlobalization? B – The Age of Interdependency C – Transportation and Logistics

2 What is iGlobalization? How can iGlobalization be defined? What are its driving forces?

3 iGlobalization: Generating added value through globalization Research and Development Finding better products and processes. Input Costs Using the labor and resources advantages of locations. Transportation Effectively transporting and distributing resources, parts and finished goods. Sustainability Improving environmental and energy efficiency.

4 Complexity and the Cheeseburger…

5 Capital on the Move (Containers)

6 Panamax Containership, Le Havre

7 53 Footer Domestic Containers, Corwith Rail Yard, Chicago

8 Dedicated Air Cargo Plane

9 Pallets waiting to be loaded in a container, APL DC - Shenzhen, China

10 FedEx Freight Truck at Distribution Center, Kansas City

11 Qualitative and Quantitative Product Improvements

12 Product Design and Distribution Efficiency

13 Ultra Large Crude Carrier, Persian Gulf

14 Major Forms of Globalization: A Multidimensional and Dynamic Concept FormCultural / SocialPoliticalEconomic Nature How globalization changed human behavior? What forms of regulation or control are linked with globalization? How globalization influences wealth creation and distribution? Outcomes Homogenization Hybridization Rejection Transnational agreements (global or regional) Trade, new markets, new products Issues Is a global culture emerging? Are forms of global governance suitable? Is globalization promoting inequalities?

15 The Drivers of Globalization Integration Regulatory chains. Harmonization of regulatory regimes. Trade agreements. Production Supply chains. Offshoring. Global production networks. Transportation Transport chains. Containerization. Transborder transportation. Transactions Information chains (ICT). Capital for investments. Credit for transactions.

16 Economic Integration Levels, 2011

17 The Age of Interdependency What are the main relations holding the global economy?

18 World GDP, 1AD

19 Powered Transatlantic Passenger Modes Steamship 1830s to 1960s (About 6 days; 4 days by the 1930s) Dirigible (About 80 hours) Sea Plane (About 15 hours) Propeller Plane (11 hours) Jet Plane (7-8 hours); Supersonic jet ( : 3.5 hours)

20 Days Required to Circumnavigate the Globe

21 World Trade Routes, 1912

22 The Flows behind Globalization TradeMigrationTelecommunication Nature Flows of physical goodsFlows of peopleFlows of information Types Raw materials, energy, food, parts and consumption goods Permanent, temporary (migrant workers), tourism Communication, power exchanges, symbolic exchanges Medium Transport modes and terminals (freight) Transport modes and terminals (passengers) Transport modes and terminals (postal), telecommunication systems Gateways PortsAirportsGlobal cities Speed Low to averageSlow to fastInstantaneous Capacity Very largeLargeAlmost unlimited

23 World Merchandise Trade,

24 World Air Travel and World Air Freight Carried,

25 Global Net Migration ( )

26 Visa Restrictions Index, 2011

27 Diffusion of Personal Computing Devices,

28 Technological Convergence,

29 Transportation and Logistics What is the role and purpose of transportation? What are the relations between transportation and logistics?

30 Core Components of Transportation Modes Conveyances (vehicles) used to move passengers or freight. Mobile elements of transportation. Infrastructures Physical support of transport modes, such as routes and terminals. Fixed elements of transportation. Networks System of linked locations (nodes). Functional and spatial organization of transportation. Flows Movements of people, freight and information over their network. Flows have origins, intermediary locations and destinations.

31 Different Representations of Distance Euclidean Distance A B A B A B Transshipment Pickup Delivery Mode 1 Mode 2 Transshipment Pickup Delivery Mode 1 Mode 2 Order Inventory Management Unpacking Order Processing Packing Scheduling Sorting Warehousing Transport Distance Logistical Distance

32 Transportability of Some Key Goods TypeWeightStorageFragilityPerishable PersonVery lightNAHighNA CoalHeavySimpleNone GrainHeavyAverageLow PetroleumHeavySimpleNone FruitsAverageComplexHigh ContainerAverage (15-20 tons) SimpleLowVariable

33 Transportation as a Derived Demand Transportation cannot exists on its own and cannot be stored. WorkingWorking Activity VacationingVacationing Derived Demand ManufacturingManufacturing Commuting Taxi Air travel Touring bus Taxi Air travel Touring bus Trucks Containership Trucks Containership Direct Energy Indirect Warehousing

34 Logistics ■Definition Activities related to the transformation and circulation of goods. All operations required for goods (material or nonmaterial) to be made available on markets or to specific destinations: Material supply of production. Distribution and transport function. Wholesale and retail.

35 Logistics Goals and Operations Fulfillment (Goals) Order Right product Right quantity Delivery Right location Right time Quality Right condition Cost Right price Demand (Operations) Transportation Handling Packaging Stock Management Production scheduling Warehousing Orders Processing Sales Purchase

36 Global Maritime and Air Cargo Traffic, 2008


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