Urban Freight transport and Logistics Urban logistics issues in - - PowerPoint PPT Presentation

By Prof. George A. Giannopoulos

Academy of Athens - former Director of the National transport research Institute of Greece - Centre for Research and Technology Hellas (CERTH/HIT) E-mail: anagi@otenet.gr

RMIT Workshop on: “Urban Freight transport and Logistics” “Urban logistics issues in the European experience”

PART A: The Issues

Major developments and trends

 Market globalization  Transport deregulation

 Logistics/Supply chain management (new concepts and practices)  Technology (e.g. 3D printing, internet of things, etc.)

 Business Practices

 Warehouse/distribution center development  Industrial production (centralization of manufacturing, stockholding points, and retailing)  More product variety & one stop shopping  Business / carrier mergers

 Urban development

 Urban population to grow up to 85% in the more, and up to 65% in the less, developed regions of the world.  Urban functions less self supporting (higher transport demand)

 Increased welfare environmental concerns

Urban Freight Distribution and Logistics – A multi-stakeholders affair…

Stakeholder type Main role Interest in

Shipper Owner of goods Delivery and pick up of their goods at the lowest cost while meeting the needs of their customers Transport company Transport operation (low cost high quality) Satisfaction of the interests of the shippers and receivers Receiver / shop owner Delivery of goods in time Minimization of “ lead-time” Inhabitants Consumer of goods Minimum hindrance caused by UGT Visitor / shopper Consumer of goods Minimum hindrance caused by UGT and high variety of goods in shops Local Government Monitoring and control Attractive city / minimum environmental hindrance / efficient traffic operation National Government Legislation setting / overall transport policy Economic growth / minimum external effects / development

… and a multitude of interactions and correlations to take care off !

… All these complex interrelations and “operational” hurdles, superimposed with all

• ther existing challenges and problems facing

Urban Transport:

PART B: Current Measures, Solutions and Approaches used in European cities

There is a multitude of measures and actions applied

Regulatory Fiscal Land-use Infrastructure Technology

• Vehicle weight & size restrictions
• Low Emissions Zones (LEZs)
• Congestion charging
• Mobility credit schemes
• Subsidies to “virtuous”

Urban Freight Transport

• perators
• Designation of off-street

loading/ unloading facilities for new developments

• Designation of logistics zones
• n the city outskirts
• On-street loading/unloading bays
• Urban distribution centres
• Unattended delivery points
• Clean vehicles
• Rail, tram, underground systems
• Electric & hybrid technology

for vehicles

• ICT * for cargo sharing
• ICT * for booking loading /

unloading bays

• Big data utilisation (social

media, and e-monitoring)

(*) Information Communication Technologies

• Crowdsourcing for the last mile
• Urban delivery time windows
• De-coupling of provider / user

delivery

List of most frequent measures and actions (1/4)

• A. Regulatory, environmental and planning

measures

 Regulations for the movement of freight in urban areas (Trend towards their harmonization and standardization across Europe)  Vehicle labelling for CO2 emissions - fuel efficiency and Carbon footprint calculators  Eco-driving and speed limits  Low emission zones (LEZ)  Access regulations for off-hours deliveries  Land use and space planning measures Key role of UFT within the Sustainable Urban Mobility Plans - Move for harmonised evaluation methods and data collected: http//:urbanaccessregulations.eu

 Developing freight terminal complexes – transportation parks (or freight villages): land use plans should provide for these.

Land Use and Space planning measures

 Providing off-street loading docks/space for buildings: zoning

• rdinance should

specify requirements

List of most frequent measures and actions (2/4)

• B. Traffic Engineering and space management

measures

 Maximizing the utilization of existing infrastructure capacity (more homogeneous use

• n a 24-hour basis)

 Congestion charging  Location and operation of Urban distribution centers (the debate still going on)  Establishment of freight pick-up points and loading zones  Establishment of truck & delivery lanes  Establishment of truck & delivery times

Examples of specific Traffic Engineering measures (1/3)  Curbside loading zones  Improvements along routes commonly used by large trucks  Intersection improvements at locations with heavy truck use  Cut-outs/turn-outs of wide sidewalks for loading zones

Curbside Loading Zones Issues:

 Location  Length and marking  Hours of operation  Time limit for turnover  Different zones for different types of vehicles  Enforcement

Examples of specific Traffic Engineering measures (2/3)

Curb Space Management:

Competing users of curbside Buses Taxi cabs Service vehicles Trucks of different types Who gets priority?

Through Movement of trucks

 High volume of heavy trucks on arterial highways – noise, traffic congestion, safety concern, etc.  Lane use restrictions for trucks  Rail-highway grade crossings – safety issues  Delegated Routes for trucks

Examples of specific Traffic Engineering measures (3/3)

List of most frequent measures and actions (3/4)

• C. Vehicles and rolling stock measures
• D. Logistics and organizational measures

 Consolidation centers & urban logistics terminals  On-line route planning and delivery scheduling according to traffic conditions  Use of reverse logistics practices (moving goods from

their typical final destination for the purpose of re-capturing value, or for proper disposal. Also re-use of products and materials, re-manufacturing and re-furbishing activities)

 Organizing urban deliveries with cargo cycles  Cleaner, low-noise and more energy-efficient vehicles (electric, LNG, H2)  Weight and dimensions restrictions for UFT vehicles

List of most frequent measures and actions (4/4)

• E. Public awareness measures
• F. Other

 Active measures to increase awareness of the importance of urban goods transport and to diffuse knowledge  Freight forums – training programs  Use of social media  Promote-implement technological and conceptual innovation at all levels  Reduce safety risks for urban goods transport  Promote international co-operation on these issues  Consider plans for non-road transport for UFT

European examples in using key Urban Logistics solutions

• I. Urban Consolidation Centers

& Electric Mobility

• II. ICT based tools
• III. Environmental / Operative tools
• IV. Marketing oriented solutions

Electric mobility and urban freight consolidation (1/2)

• Urban

freight distribution increasingly with electric vehicles Products delivered to a suburban consolidation center and then, dispatched to the final customers using a fleet of electric vehicles.

• Electric

delivery vehicles for rent: a trend that ensures sustainable services for the pickup and delivery of goods in the urban center by the

• wners
• f

the goods

Electric mobility and urban freight consolidation (2/2)

• A mobile depot used to reduce traffic and

pollutant emissions. The mobile depot is used for the inner-city deliveries and pick-ups.

• Urban Consolidation

Centres: Usually associated with another existing facility or with another specific need.

The search for optimum consolidation center arrangements continues - will be further fueled by the advent of e-logistics, 3D printing, and the IoT

Main uses:

• 1. More

efficient distribution planning and routing (especially in view of future“ internet

• f things” and big data applications)
• 2. Monitoring
• f

the distribution vehicles and (individual) cargo items

• 3. Online communication for routing & scheduling

changes between delivery units and transport control center

ICT / ITS tools for efficient urban Logistics

Issue of concern: data security and privacy

Operational / Environmental measures (1/3)

• Multi-use lanes

Lanes for multiple uses: general traffic, bus traffic, loading/ unloading deliveries and residential car park

• Night deliveries

Allow more silent trucks to operate in city centre area in late hours in

• rder to avoid congestion

Source: http://www.silence-ip.org/

Operative / Environmental measures (2/3)

Operative / Environmental measures(3/3)

• Regulations and measures
• Time windows
• Technical specifications of vehicles for

access (type, load, age etc.)

• Reduction of Environmental Impacts by better

Management

• Use of Environmental management systems

following standardised procedures

• Routing and scheduling for special categories of

freight (e.g. for solid and other waste management)

As regards waste management ….

An example of an “E-waste management” platform used in Thessaloniki

• Management and monitoring of waste

collection fleets.

• Focus on optimizing urban logistic process
• f waste collection.
• E-Solutions exist utilizing GPS, GPRS and

RFID technologies.

• Basic functionality:
• Optimizing waste collection routes
• Tracking of waste collection vehicles
• Recording waste weight at each bin
• Monitoring fuel consumption
• Monitoring driver behavior
• Real time management by control

center

• Vehicle registry, maintenance

management, and logistic processes at central level

• Post travel data analytics

Components

• Cloud architecture
• On board telematic features
• GPS/GPRS unit
• Possible connection to CAN BUS
• Fuel sensors
• Waste weight sensor
• RFID reader
• Waste bin hardware: low cost RFID tags
• Telecommunication: GPRS/3G
• Central software features
• Fleet management application &

Routing

• Vehicle registry/Fleet maintenance and

planning application

• Reporting (vehicle, routes, driver, fleet,

waste collection)

• Interfaces to 3rd systems (eg SAP)

The “e-waste management” platform was developed in Greece by TREDIT SA

• Optimization of routes and schedules 

minimization of costs of waste collection

• Better service to citizens
• Monitor bin waste weight  minimize

costs of waste collection & potentially impose Pay as you Throw policy

• Monitor fuel consumption and driver

behavior  minimize transport costs, identify fraud & enhance road safety

• Real time Fleet tracking  tackle

problems in real time & urban logistics

• ptimization
• Optimization of fleet management,

maintenance and planning  minimize

• perational fleet costs & assure long

term vehicle operations

• Big data  Input for studies and re-

design of the waste collection

Benefits of the “e-waste management” platform

Some recent innovative city logistics solutions

1.

Crowdsourcing for the last mile

 DHL's Bring.BUDDY (MyWays)  Wal-Mart to Go 2.

Decoupling the logistics service provider/user time windows

 Amazon & 7-Eleven  Consignity  BentoBox  Relais-colis  DHL’s parcel station

Crowdsourcing for the last mile

• Basic idea: people who already move across the city could

carry parcels for a part of the parcels’ trip (city logistics social network).

• Rolled out as DHL's MyWays service, facilitated by a smart

phone application available for download

• Value proposition: efficient & environmentally friendly last mile

delivery

Decoupling the logistics service provider/user time windows

• Problem: For a delivery to be made, the Logistics Service Providers and

the recipient have to be synchronized (especially demanding in city deliveries).

• Basic idea: while people move across the city, they dispatch and pick up

their parcels themselves from specially built parcel pickup station, thus decoupling their time windows

• Amazon delivers the package in a locker system housed in a 24-hour

convenience, grocery or drug store (third entity). You are sent an email with a pickup code for opening the door of the locker containing your package.

Marketing tools

Green labelling

• Voluntary commitments program to reduce CO2

emissions of the road freight transport operators Companies commit to an action plan to reduce their CO2 emissions following a coherent, reliable and nationally recognized methodological framework

• Recognition, orientation and advice to fleet operators

Promotes more efficient and cleaner freight and passenger transport vehicle movements

• Accreditation scheme to transport operators

Develops safe working practices and implement policies as well as environmental and efficient practices based in lawful standards.

Important observations for the selection of measures

 No single measure, no matter how efficient it is, can be considered as a “panacea” to solve the problems of urban freight distribution.  Measures that have proven to be successful at one area may not be applicable or may not result in improved efficiencies in another area.  The collective impact of various measures is not typically the sum of the impacts of each individual measure taken separately.  Measures taken independently may not achieve their full potential.  There is a need to understand the interactions among various

• measures. Some measures are supporting each other; some are

conditional to each other; some may deter or impede each other’s effectiveness; some measures taken together may have a multiplier effect of their impacts, others taken together may produce less than the sum of their potential individual impact.  The role of the local and regional government is important in providing the proper institutional and regulatory framework to successfully implement a measure and ultimately improve and sustain its success.

PART C: Current EU funded research

The EU funded research on innovate future UFT

• n technology and policy issues:

FP7 or H2020 research

Examples of EU funded research projects (1/6)

SMILE Project

• The SMILE project focuses on innovative solutions that rationalize and improve

the efficiency of transport reducing energy consumption and associated GHG emissions.

• Pilot test: last mile delivery of parcels using electric tricycles in the city centre

utilizing a micro-distribution platform that manages the interchange of goods.

New cooperative business models and guidance for sustainable city logistics

• Understand freight distribution and service trips in cities

by providing guidance for implementing effective and sustainable policies and measures

• Formulate detailed business plans of UFT measures in a

multi stakeholder partnership, adaptable by any city and adapted for the participating cities.

Tools

• Understanding cities
• Toolkit
• Evaluation
• Guidance

www.novelog.eu

Examples of EU funded research projects (2/6)

ACTIS Project

• A novel and technologically advanced agent

platform developed for freight transport services.

• Enhanced with innovative capabilities and

services:

• Energy consumption estimation
• Emissions estimation
• Travel cost estimation

Examples of EU funded research projects (3/6)

Project “e-Freight” European e-Freight capabilities for Co-modal transport

Next Generation National Single Windows for Co-modality Interoperability supports for Administrations co-operating in security risk management European Single Transport Document Information Highways for Co-modality Co-modal shipment planning Strategic and tactical optimisation of co-modal transport networks e-Freight A2A/A2B Solutions e-Freight B2A/B2B Solutions

Project U-TURN:

 Α collaboration platform for supporting information sharing and

the creation of appropriate logistics sharing partnerships

 Α matching tool based on the stable allocation theory enabling the

identification of logistics sharing matches

 Α simulation tool to quantify the impact of alternative logistics

sharing choices (efficiency-cost, effectiveness-service level, environmental)

 An economic assessment model for operational and economic

impact of consolidated supply chains

The U-TURN Pilots

Urban logistics – Two recent recommended Publications

https://youtu.be/BIg1ZhaPT58?list=PLxdsc7eCmCO7 M8MXrV0b_VDHomYdDlt_d

PART D: The future

An urban-freight environment in which each individual package of freight has intelligence built in it (through micro chip technology), and a fully paperless freight transport process is effected where electronic information flows, services and payments are linked to physical freight flows across all transport modes.

The ultimate goal in urban Logistics

ALICE (The EU’s Logistics ETP): The anticipated ROADMAP for urban logistics

• f the future

Social media and urban logistics (1/2)

 The logistics industry is – so far - slower than

• thers

in making use

• f

social media. According to a survey in NL (*) less than 40%

• f the companies surveyed use social media

and only 10 percent plan to invest in social media in the near future (*)  Main use of SM so far for marketing purposes and staying connected with customers  The most common platform for social media marketing in Logistics is Linkedin, which is being used in 75 percent of cases. Facebook (69 percent) and Twitter (49 percent) follow closely, however are less

• ften

used in comparison to other industries.  Most of the social media activities are limited to private communication. Only 25 percent of the logistics managers focus SM communication on lead management or customer support (B2B). (*) Study conducted by the the Netherlands Chamber of Commerce (Kamer van Koophandel) together with a number of

• rganisations from

the Kennis Distributiecentra Logistiek.

MAIN MOTIVATIONS for future use

• f social media in logistics:
• 1. Increasing the visibility of the

company;

• 2. Improving brand image;
• 3. Establishing the company as a

thought leader;

• 4. Attracting

new leads and customers.

(*) In line of importance based

• n a McKinsey

Global Institute survey and analysis

• f four industry

sectors that represent almost 20 per cent of global industry sales.

Social media and urban logistics (2/2)

The advent of drones and robotics !

Drones have been described as the next disruptive “last-mile” technology in urban freight distribution and logistics.

Drones (cont’d)

 The regulatory, environmental and planning measures that will be set in place for their

• peration.

 The speedy construction and safe operation

• f the necessary infrastructures especially

those that are under the responsibility of the state for monitoring and controlling the safe movement of the drones.  The harmonization, standardization, and ease of enforcement of the operational rules  Their overall cost effectiveness

The future potential of drones is at present difficult to estimate. It will depend on:

Thank you very much !

(Thessaloniki, Greece) CERTH / Hellenic Institute of Transport A European Center of Excellence in Transport Research www.certh.hit.gr