Hub-and-spoke system after deregulation

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In this module's chapters, we see how transportation carriers have continually adjusted their daily routines to increase productivity and profits. The institution of the hub-and-spoke system after deregulation is one sweeping change.

Discussion

In this discussion activity, address the following:

Find one new marketing and coordination strategy instituted by a modal carrier within the past 12 months. In your original response posting, report the company's name, URL (Web address) link for the company's Web site, and in 5-7 sentences, explain the main idea and relate the information to content from the textbook. Appropriately cite specific textbook pp. numbers, where applicable.

Here is an example including the textbook that needs to be referenced:

On September 12th 2016, Burlington North Santa Fe (BNSF) will begin offering a new and faster intermodal transportation system between Oregon and Seattle in the Pacific Northwest to the Dallas/Ft. Worth Texas area. By working with their customers, BNSF was able to identify a new and better transportation solution to make their supply chain more effective. They did this by leveraging underutilized capacity in the central section of the network, which will reduce transit times by two days in comparison to the current model. (BNSF, 2016)

This strategy is inline with the "Factors in Transportation Management" from the textbook starting on page 128. (Coyle, Novack, Gibson, & Bardi, 2010) Additionally, backhaul operations will also be expedited and a refueling option has been added for refrigerated equipment carrying temperature sensitive goods or equipment. (Coyle, Novack, Gibson, & Bardi, 2010) The expedited backhaul strategy is part of the

"Value-of-Service Pricing" found in the textbook on page 111. (Coyle, Novack, Gibson, & Bardi, 2010) All in all the new BNSF strategy will offer rail service from the Pacific Northwest to the Dallas/Ft Worth Alliance at a pace comparable to a single-driver over-the-road option at a reduced cost for shippers and it is being introduced right at the beginning of harvest season.

Reference no: EM131221616

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