International Journal of Physical Distribution & Logistics Management

James K. Higginson

1995 International Journal of Physical Distribution & Logistics Management

doi: 10.1108/09600039510089686

Discusses “recurrent approaches” to determining when to despatch a consolidated load. Unlike a “non‐recurrent approach” (which sets a target time or weight prior to accumulating orders and despatches when the target is reached), recurrent approaches re‐evaluate the shipment‐release decision several times within an order accumulation cycle. Presents two probabilistic recurrent models, one assuming private transportation and the other common carriage. Compares the performance of these models with the nonrecurrent rules of despatching the “economic shipment weight” or, in the case of common carriage, the minimum volume weight. Concludes that with both forms of transportation, the decision heuristic outperforms despatching the economic shipment weight when that weight is close to vehicle capacity. Shows that, with common carriage, the use of the more sophisticated model does not yield better cost results than the minimum volume weight despatch rule. Discusses the reasons for, and implications of, these results.

Stanley E. Fawcett; Stanley A. Fawcett

1995 International Journal of Physical Distribution & Logistics Management

doi: 10.1108/09600039510089695

Suggests that much of the competitive dilemma experienced by US and European firms in recent years is a result of a persistent failure to manage the firm as a cohesive value‐added system. The complexity of the interactions among the firm′s value‐added abilities underlies this challenge of integrating the firm′s value‐added activities. Presents a paradigm of the firm that provides both a rationale and a starting point for the integration of the firm′s value‐added materials management activities. Suggests a framework, the essence of which is that customer value is added by the functional areas only when consistency exists among decisions made in each of four major decision areas. Addresses information and measurement issues as facilitators which link the decisions areas and bridge the gaps among the functional areas.

Marcel Mourits; Joseph J.M. Evers

1995 International Journal of Physical Distribution & Logistics Management

doi: 10.1108/09600039510089703

Discusses the design of large‐scale distribution networks which entails taking decisions on a large number of issues that are all closely interrelated, making it difficult to develop a competitive distribution strategy. Many support systems for distribution planning have been developed, but, they do not facilitate a coherent approach to the design process. Presents a logistic planning system that provides dedicated support for all issues involved in distribution planning. The foundation of which is an integrated planning support framework. Proposes that small models dedicated to only part of the total design process provide the best support for logistic planning and that such models encapsulated in a framework lead to optimal system design. Suggests that when the support system is applied to strategic/tactical distribution planning, the design process requires less time and less expert capacity, while resulting in a more competitive logistic supply chain.