Andreas R. Holter
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.
David B. Grant D.Grant@hull.ac.uk
James M. Ritchie
W. Nigel Shaw
Neil S. Towers
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.
|Journal Article Type||Article|
|Publication Date||Oct 13, 2010|
|Publisher||Taylor & Francis (Routledge)|
|APA6 Citation||Holter, A. R., Grant, D. B., Ritchie, J. M., Shaw, W. N., & Towers, N. S. (2010). Long-range transport: Speeding up the cash-to-cash cycle. International Journal of Logistics Research and Applications, 13(5), 339-347. https://doi.org/10.1080/13675567.2010.518563|
|Keywords||Transport; Cash-to-cash cycle; Supply chain; Payment terms|
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