Long-range transport

Speeding up the cash-to-cash cycle

Andreas R. Holter, David B. Grant, James M. Ritchie, W. Nigel Shaw, Neil S. Towers

Research output: Contribution to journalArticle

Abstract

This paper introduces a model to reduce combined transport and cash flow costs for long-range transport. Containerised transport has become increasingly important in global supply chains. However, products in transit tie up substantial capital, as transit times can extend to 6 weeks. Shippers are under pressure to improve their cash flow; however, the cash flow implications of international shipments may depend more on payment terms than time-in-transit. The model presented improves route selections by incorporating both transport cost and cash flow considerations, thus generating considerable savings. This paper provides a new and original contribution as this type of model has not previously been developed. The model was developed through action research in a single case study and has not been tested in other contexts; however, it can easily be used in standard spreadsheet applications and thus provides a useful tool for shippers. © 2010 Taylor & Francis.

Original languageEnglish
Pages (from-to)339-347
Number of pages9
JournalInternational Journal of Logistics Research and Applications
Volume13
Issue number5
DOIs
Publication statusPublished - 2010

Fingerprint

long range transport
action research
spreadsheet
savings
cost

Keywords

  • Cash-to-cash cycle
  • Payment terms
  • Supply chain
  • Transport

Cite this

Holter, Andreas R. ; Grant, David B. ; Ritchie, James M. ; Shaw, W. Nigel ; Towers, Neil S. / Long-range transport : Speeding up the cash-to-cash cycle. In: International Journal of Logistics Research and Applications. 2010 ; Vol. 13, No. 5. pp. 339-347.
@article{84ecdd2755014c3ab8444ca83eebd2cc,
title = "Long-range transport: Speeding up the cash-to-cash cycle",
abstract = "This paper introduces a model to reduce combined transport and cash flow costs for long-range transport. Containerised transport has become increasingly important in global supply chains. However, products in transit tie up substantial capital, as transit times can extend to 6 weeks. Shippers are under pressure to improve their cash flow; however, the cash flow implications of international shipments may depend more on payment terms than time-in-transit. The model presented improves route selections by incorporating both transport cost and cash flow considerations, thus generating considerable savings. This paper provides a new and original contribution as this type of model has not previously been developed. The model was developed through action research in a single case study and has not been tested in other contexts; however, it can easily be used in standard spreadsheet applications and thus provides a useful tool for shippers. {\circledC} 2010 Taylor & Francis.",
keywords = "Cash-to-cash cycle, Payment terms, Supply chain, Transport",
author = "Holter, {Andreas R.} and Grant, {David B.} and Ritchie, {James M.} and Shaw, {W. Nigel} and Towers, {Neil S.}",
year = "2010",
doi = "10.1080/13675567.2010.518563",
language = "English",
volume = "13",
pages = "339--347",
journal = "International Journal of Logistics Research and Applications",
issn = "1367-5567",
publisher = "Taylor & Francis",
number = "5",

}

Long-range transport : Speeding up the cash-to-cash cycle. / Holter, Andreas R.; Grant, David B.; Ritchie, James M.; Shaw, W. Nigel; Towers, Neil S.

In: International Journal of Logistics Research and Applications, Vol. 13, No. 5, 2010, p. 339-347.

Research output: Contribution to journalArticle

TY - JOUR

T1 - Long-range transport

T2 - Speeding up the cash-to-cash cycle

AU - Holter, Andreas R.

AU - Grant, David B.

AU - Ritchie, James M.

AU - Shaw, W. Nigel

AU - Towers, Neil S.

PY - 2010

Y1 - 2010

N2 - This paper introduces a model to reduce combined transport and cash flow costs for long-range transport. Containerised transport has become increasingly important in global supply chains. However, products in transit tie up substantial capital, as transit times can extend to 6 weeks. Shippers are under pressure to improve their cash flow; however, the cash flow implications of international shipments may depend more on payment terms than time-in-transit. The model presented improves route selections by incorporating both transport cost and cash flow considerations, thus generating considerable savings. This paper provides a new and original contribution as this type of model has not previously been developed. The model was developed through action research in a single case study and has not been tested in other contexts; however, it can easily be used in standard spreadsheet applications and thus provides a useful tool for shippers. © 2010 Taylor & Francis.

AB - This paper introduces a model to reduce combined transport and cash flow costs for long-range transport. Containerised transport has become increasingly important in global supply chains. However, products in transit tie up substantial capital, as transit times can extend to 6 weeks. Shippers are under pressure to improve their cash flow; however, the cash flow implications of international shipments may depend more on payment terms than time-in-transit. The model presented improves route selections by incorporating both transport cost and cash flow considerations, thus generating considerable savings. This paper provides a new and original contribution as this type of model has not previously been developed. The model was developed through action research in a single case study and has not been tested in other contexts; however, it can easily be used in standard spreadsheet applications and thus provides a useful tool for shippers. © 2010 Taylor & Francis.

KW - Cash-to-cash cycle

KW - Payment terms

KW - Supply chain

KW - Transport

UR - http://www.scopus.com/inward/record.url?scp=77957695458&partnerID=8YFLogxK

U2 - 10.1080/13675567.2010.518563

DO - 10.1080/13675567.2010.518563

M3 - Article

VL - 13

SP - 339

EP - 347

JO - International Journal of Logistics Research and Applications

JF - International Journal of Logistics Research and Applications

SN - 1367-5567

IS - 5

ER -