Logistics Fleet Operations

TC17.1 Combinatorial Auctions for Transportation Procurement

• Chris Caplice; The SABRE Group, 3200 Patterson Ave., Richmond, VA 23221; chris_caplice@ptcg.com

We address how SABRE uses combinatorial auctions to assist shippers in procuring transportation services for their operational needs. Combinatorial auctions allow carriers to submit more complex conditional bids that capture their inherent economies of scope. We discuss underlying theory and lessons learned in applying the concept to practice.

TC17.2 Experience & Productivity: The Case of Less-Than-Truckload Motor Carriers

• Peter Swan; University of Michigan, Ann Arbor, MI 48109-1234; peter_swan@ccmail.bus.umich.edu
• Stephen V. Burks; ;

We use moderated regression to show that productivity is affected by experience when LTL motor carriers change their operations. We measure productivity as the ratio of cost predicted by a translog cost function of total operating cost. Experience is measured by firm factors related to the use of intermediate terminals.

TC17.3 Optimizing Intermodal Rail Operations

• Alexandra Newman; University of California, Dept. of IEOR, Berkeley, CA 94720; newman@ieor.berkeley.edu
• Candace A. Yano; University of California, IEOR Dept., 4135 Etcheverry Hall, Berkeley, CA 94530; yano@ieor.berkeley.edu

We propose a model to increase the operational efficiency of intermodal trains. Using specialized procedures, we obtain near-optimal solutions. We contrast these solutions with those obtained from heuristics designed to mimic current operational procedures and conclude that substantial savings and an increase in the quality of service can be realized.