RECONNAISSANCE STUDY OF DISTRIBUTION COST SAVINGS ARISING FROM COMPLETION OF INTERSTATE FREEWAYS IN METROPOLITAN WASHINGTON

THIS STUDY DEVELOPS AND TESTS A METHODOLOGY TO MEASURE THE EFFECTS OF THE INTERSTATE HIGHWAYS IN THE WASHINGTON AREA UPON GOODS DISTRIBUTION COSTS. COST DIFFERENCES ARE CAUSED BY CHANGES IN THE OVERALL ACCESSIBILITY PATTERN IN THE AREA, AND ONLY PRIMARY /DIRECT/ COSTS ARE CONSIDERED--THE DISTRIBUTION SYSTEMS OF THE FIRMS ARE TAKEN AS GIVEN. THE METHOD IS BASED UPON ANALYSIS OF ROUTE CHARACTERISTICS WITH ROUTES CHOSEN ON A REPRESENTATIVE ROUTE OR SAMPLE BASIS, DEPENDING UPON WHETHER THE ROUTING FOR THE PARTICULAR FIRM IS REPETITIVE OR RANDOM. VEHICLE OPERATING AND FINANCIAL DATA ARE AVAILABLE FROM THE FIRMS AND ROUTE CHARACTERISTICS /INCLUDING TIME, DISTANCE, RUNNING SPEED, AND THE NUMBER AND TYPE OF TRAFFIC IMPEDANCES/ ARE AVAILABLE FROM PUBLIC SOURCES. COST COEFFICIENTS OBTAINED FROM SEVERAL TECHNICAL AND ENGINEERING STUDIES ARE APPLIED TO VEHICLE AND ROUTE CHARACTERISTICS TO OBTAIN OPERATING COSTS. THE METHODOLOGY WAS TESTED ON TWO FIRMS, ONE WITH HIGHLY REPETITIVE ROUTING AND ONE WITH RANDOM ROUTING. THE RESULTS INDICATED INSIGNIFICANT ANNUAL SAVINGS, BUT IT MUST BE NOTED THAT THE DETERMINATION OF SAVINGS WAS INCIDENTAL TO THE PURPOSE OF THE STUDY. /BPR/

  • Supplemental Notes:
    • Hpr-pr-1/2/, 605
  • Corporate Authors:

    Ebs Management Consultants, Inc

    ,    
  • Publication Date: 1966-6

Subject/Index Terms

Filing Info

  • Accession Number: 00201165
  • Record Type: Publication
  • Files: TRIS
  • Created Date: Aug 1 1994 12:00AM