Title: The Transport Geography of Logistics and Freight Distribution: North American and Western European Perspectives
1The Transport Geography of Logistics and Freight
Distribution North American and Western European
Perspectives
- Markus Hesse
- Department of Earth Sciences, Urban Studies
- Free University of Berlin
- D-12249 Berlin, Germany
Jean-Paul Rodrigue Dept. of Economics
Geography Hofstra University Hempstead, NY USA
11549
Papers available at http//people.hofstra.edu/fac
ulty/Jean-paul_Rodrigue http//www.geog.fu-berlin.
de/teas
2Outline
- A Geographical Issues of Logistics
- Challenging the derived transport demand.
- Address the geography of distribution (production
/ transportation nexus). - B BostWash and the Ruhr Area
- Role of logistics in the economic change of
regions. - Empirical evidence / illustration of a new
regional geography of distribution. - C Regional Logistics and Sustainability Issues
- Statement of the challenges.
3A Geographical Issues of Logistics
- A Geography of distribution
- Globalization dominant paradigm of economic and
transport geography. - Economic geography
- Locations, dynamics and relations.
- Transport geography
- Flows (modes and terminals) and accessibility.
- Logistics have changed the relationships between
economic and transport geography. - Geography of distribution
- Integrating economic and transport geography.
- Challenging the derived transport demand.
4A Logistics and Integrated Transport Demand
- Integrated transport demand
- Two components of logistics
- Materials management (derived demand).
- Physical distribution (induced demand).
- Difficult to tell MM and PD apart.
- Manufacturing and mobility are now much more
embedded. - Elements
- Flows nature of circulation.
- Nodes locations servicing distribution (DC).
- Networks spatial structure of distribution.
5A Conventional and Contemporary Arrangement of
Goods Flow
Conventional
Raw Materials Parts
Manufacturing
Distribution
Customers
Local Distribution
Raw Materials
National Distribution
Regional Storage
Retailers
Storage
Contemporary
Supply Chain Management
Customers
Raw Materials
Distribution Center
Manufacturing
Retailers
Material flow (delivery)
Core component
Information flow (order)
6B Regional Setting BostWash and Ruhr Area
7B Logistics in the regional economic change I
- Changing demand for freight
- Regions are becoming integrated in large-scale
network economies. - New markets conditions (reliance on global supply
chains). - Tertiarization of the economy (shift from
manufacturing to services). - Relocation of production Declining heavy
industries. - Economic gains (corporate acquisitions,
employment).
8B Logistics in the regional economic change II
- Changing supply of freight
- Old infrastructure (large lots, shunting yards,
private and public railway systems in transition) - Development of intermodal transportation systems.
- Integration of freight transport services (third
party logistics). - Higher level of supply chain management.
- Cluster-development and re-cycling of old
industrial sites. - Competitive advantage of large greenfield
locations at highway intersections, mostly at the
urban edges - Increasing competition of all mainports
- Rotterdam, Schiphol, Antwerp, Duisburg.
- New York, Hampton Roads, Baltimore, Montreal,
Halifax.
9B National Trade Areas, Articulation Points and
Major Land Freight Gateways of the United States
Articulation Point
Land Freight Gateway
Trade Area
Corridor
10B Major Intermodal Terminals, BostWash Corridor
11B Regional Sub-Harborization of Container
Terminals by the Port of New York
12B The Ruhr Area The role of logistics in the
transition from industry to services
13B Freight transport volume in the Ruhr Area
Modal split in freight transport 1990 and 2010
(estimations),in 1000 tonnes. Source Kessel und
Partner Consultants.
Recent data on freight volumes not available.
Older statistics suggest highest share in road
modes (local, long distance) and growth of
tonnage in all sectors
14B Spatial shift in distribution employment
Number of employees in Transport, Warehousing,
Freight Forwardingand Logistics, in 1000.
Source Mathejczyk, 2001.
Distribution related employment is rising in
areas at the edge of the Ruhr (e.g. Duisburg,
Unna) and declining in the center (Dortmund)
15B WEST intermodal development Logport
Duisburg
Logport turning a former steel mill into an
intermodal inland-port thatcorresponds to the
Duisburg mainport, Europes largest domestic port
16B CENTER urban freight site, Dortmund
GVZ Ellinghausen the re-use of a former coal
mine site for logistics purposes, developed by
MGG (a real estate subsidiary of the Ruhrkohle AG)
17B EAST DC _at_ periphery Sub-urbanization of
distribution beyond the urban edge
Industrial development Am Mersch, Boenen (Kreis
Unna) 100 hectares net(20 hectares vacant)
access to motorway, intermodal rail terminal
(port 8 km)38 businesses established
(warehousing/distrib., wholesale, retail, light
manufact.)
18B Selling the region as a hub
Consultants recommend to develop the eastern edge
of the Ruhr Area asa hub for 1) regional
distribution purposes, 2) continental distribution
19C Assessing the regional dimension of logistics
- The role of logistics and freight transport
- Vital component of regional economic change.
- Driver and subject in the magic triangle of
technology, organisation and territory. - Distribution does not equal job losses in the
industry. - Regional reorganization of distribution
- Convergence of logistics and intermodal
transportation - Spatial shift of employment from center towards
periphery. - Concentrations in east and west (Ruhr) along the
New York Baltimore corridor. - Logistics nodes _at_ periphery
- Ruhr Dissolution of the region?
- BostWash part of a corridor of distribution.
20C Regional Logistics and Sustainability Issues
- Regional external costs of the freight based
economy - Traffic generation, space consumption, flexible
labor. - Contradiction between the efficiency of logistics
and environmental impacts - The role of the consumer
- Potentially more power in the supply chain.
- The responsibility of public policy
- Emerging regional knowledge on logistics
(universities, research institutes, service
providers). - Investment, zoning, security and safety
regulation. - Shift from a modal to multi-modal surface
transportation policy. - Increased environmental accountability.