On the Relationships Among Facility Location, Transportation Mode Selection and Material Flow Costs in Global Supply Chains
This chapter, which explores the interplay between three significant factors in global supply chains, holds two research objectives. The first is a model to maximize after tax profit by prescribing facility locations, transportation modes, and material flows in a global supply chain. The second is to demonstrate relationships among these three components through a case study.
KeywordsSupply Chain Facility Location Transfer Price Transportation Mode North American Free Trade Agreement
This chapter is based upon work supported by the National Science Foundation, Grant number DMI-0529026.
- Bookbinder JH, Matuk TA (2009) Logistics and transportation in global supply chains: review, critique and prospects. Chapter 9. In: Oskooruchi M (ed) Tutorials in operations research, pp 182–211Google Scholar
- Editorial (2004) Review and outlook: triumph of NAFTA. Wall Street Journal, January 12, A14Google Scholar
- Erenguc SS, Simpson NC, Vakharia AJ (1999) Integrated production/distribution planning in supply chains: an invited review. Eur J Oper Res 115: 219–236Google Scholar
- Federal Motor Carrier Safety Administration, Interstate Truck Driver’s Guide to Hours of Service, http://www.fmcsa.dot.gov/rules-regulations/truck/driver/hos/fmcsa-guide-to-hos.PDF
- Hachman M (2008) LCD TV sales could fall in 2009 for first time. 18 Dec http://www.pcmag.com/article2/0,2817,2337246,00.asp
- Kehoe O (2003) Economics of truck and rail freight transportation. 12 Aug 2003, http://www.kehoe.org/owen/portfolio/truck_vs_rail.pdf.
- Lee C, Wilhelm WE (2010) On the role of comparative advantage, competitive advantage, and competitiveness in the strategic planning of international enterprises. Int J Prod Econ 124(1), 225–240Google Scholar
- Perron S, Hansen P, Le Digabel S, Mladenovać N (2008) Transfer pricing in a global supply chain, Working paper G-2008-17, Les Cahiers du GERADGoogle Scholar
- Sarmiento AM, Nagi R (1999) A review of integrated analysis of production-distribution systems. IIE Trans 31, 1061–1074Google Scholar
- Shipping, logistics management—container dimensions, container capacity, rating, tare mass and payload of containers. http://www.export911.com/e911/ship/dimen.htm
- State Tax Comparisons FTA (2010) Federation of tax administrators, 1 Jan 2010. http://www.taxadmin.org/fta/rate/.
- Wilhelm W, Liang D, Rao B, Warrier D, Zhu X, Bulusu S (2005) Design of international assembly systems and their supply chains under NAFTA. Transp Res Part E 41(6), 467–493Google Scholar
- World Tax Rates 2010–2011 http://www.taxrates.cc/