Staff Publications

Staff Publications

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    'Staff publications' is the digital repository of Wageningen University & Research

    'Staff publications' contains references to publications authored by Wageningen University staff from 1976 onward.

    Publications authored by the staff of the Research Institutes are available from 1995 onwards.

    Full text documents are added when available. The database is updated daily and currently holds about 240,000 items, of which 72,000 in open access.

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Record number 400591
Title Supplier-initiated outsourcing: A methodology to exploit synergy in transportation
Author(s) Cruijssen, F.C.A.M.; Borm, P.; Fleuren, H.; Hamers, H.
Source European Journal of Operational Research 207 (2010)2. - ISSN 0377-2217 - p. 763 - 774.
DOI http://dx.doi.org/10.1016/j.ejor.2010.06.009
Department(s) Operations Research and Logistics
WASS
Publication type Refereed Article in a scientific journal
Publication year 2010
Keyword(s) managerial - game - opportunities - logistics - systems - market
Abstract Over the last decades, transportation has been evolving from a necessary, though low priority function to an important part of business that can enable companies to attain a competitive edge over their competitors. To cut down transportation costs, shippers often outsource their transportation activities to a logistics service provider of their choice. This paper proposes a new procedure that puts the initiative with the service provider instead: supplier-initiated outsourcing. This procedure is based on both operations research and game theoretical insights. To stress the contrast between the traditional push approach of outsourcing, and the here proposed pull approach where the service provider is the initiator of the shift of logistics activities from the shipper to the logistics service provider, we will refer to this phenomenon as insinking. Insinking has the advantage that the logistics service provider can proactively select a group of shippers with a strong synergy potential. Moreover, these synergies can be allocated to the participating shippers in a fair and sustainable way by means of a so-called Shapley Monotonic Path of customized tariffs. Insinking is illustrated by means of a practical example based on data from the Dutch grocery transportation sector
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