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Old 06-21-2007, 05:02 AM
mariusb2 mariusb2 is offline
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Join Date: May 2007
Australia
Posts: 3
Default Re: Single Sourcing of Multiple Modes of Transport

Hi Shaun

No I have no examples of multi-mode in SA (or anywhere else) run by a 4PL or LL. The big corporates like SASOL and Ispat runs multi mode, but do the Lead Logistics bit themselves.

Multi-mode is a bit scarce as rail is regulated (or have regulated lagacy) in most countries. What is common though is multi service road - freight, parcel and bulk within one diversified logistics company. I assume Barloworld would be one in SA, as Toll is in Australia and Schenker is in Europe.

My advice would be to build the Logistics strategy (and hence sourcing strategy) around the concept of a Lead logistics provider responsible for planning & coordination.

In terms of sourcing the nature of mixed freight (not just bulk or parcels on fixed routes) is such that sourcing can only put a cost framework in place for every eventuality, whilst the actual commitments will be made on a daily basis as the true requirements for the next period (usually 24hrs) become clear.

I am currently doing this for a major telco and am having heaps of fun trying to force potential suppliers into providing cost ito a cost structure that will allow for on the spot decision making.
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