Logistics opportunity costs: A mining case study
This study highlighted the importance of determining the impact that an ineffective mode of transport has on a firm’s transportation model and costs. The main focus of this study was to determine the logistics opportunity costs of using road transport within a mining firm. A case study approach was...
| Main Authors: | , , |
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| Format: | Article |
| Language: | English |
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AOSIS
2013-11-01
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| Series: | Journal of Transport and Supply Chain Management |
| Subjects: | |
| Online Access: | https://jtscm.co.za/index.php/jtscm/article/view/120 |
| _version_ | 1828407843195191296 |
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| author | Leani van Jaarsveld Gert J. Heyns Peter J. Kilbourn |
| author_facet | Leani van Jaarsveld Gert J. Heyns Peter J. Kilbourn |
| author_sort | Leani van Jaarsveld |
| collection | DOAJ |
| description | This study highlighted the importance of determining the impact that an ineffective mode of transport has on a firm’s transportation model and costs. The main focus of this study was to determine the logistics opportunity costs of using road transport within a mining firm. A case study approach was followed, as the investigation aimed to analyse a complex problem experienced by one company and present it in an easily understandable format. From the results of this study, it was apparent that the logistics opportunity costs associated with the mode of transport was substantial. This highlighted the need for firms to revise their choice of transport mode on a regular basis, as it has a major impact not only on their transportation costs, but also on their inventory holding and carbon emissions. The results also have implications for South Africa’s only freight railway, Transnet Freight Rail, which should not only focus on expanding its existing capacity, but also on improving its customer service delivery whilst containing tariff increases. |
| first_indexed | 2024-12-10T11:30:28Z |
| format | Article |
| id | doaj.art-0895409a589f43129d3c9d3b954ac7d3 |
| institution | Directory Open Access Journal |
| issn | 2310-8789 1995-5235 |
| language | English |
| last_indexed | 2024-12-10T11:30:28Z |
| publishDate | 2013-11-01 |
| publisher | AOSIS |
| record_format | Article |
| series | Journal of Transport and Supply Chain Management |
| spelling | doaj.art-0895409a589f43129d3c9d3b954ac7d32022-12-22T01:50:36ZengAOSISJournal of Transport and Supply Chain Management2310-87891995-52352013-11-0171e1e1110.4102/jtscm.v7i1.12097Logistics opportunity costs: A mining case studyLeani van Jaarsveld0Gert J. Heyns1Peter J. Kilbourn2Department of Transport and Supply Chain Management, University of JohannesburgInstitute of Transport and Logistics Studies (Africa), University of JohannesburgInstitute of Transport and Logistics Studies (Africa), University of JohannesburgThis study highlighted the importance of determining the impact that an ineffective mode of transport has on a firm’s transportation model and costs. The main focus of this study was to determine the logistics opportunity costs of using road transport within a mining firm. A case study approach was followed, as the investigation aimed to analyse a complex problem experienced by one company and present it in an easily understandable format. From the results of this study, it was apparent that the logistics opportunity costs associated with the mode of transport was substantial. This highlighted the need for firms to revise their choice of transport mode on a regular basis, as it has a major impact not only on their transportation costs, but also on their inventory holding and carbon emissions. The results also have implications for South Africa’s only freight railway, Transnet Freight Rail, which should not only focus on expanding its existing capacity, but also on improving its customer service delivery whilst containing tariff increases.https://jtscm.co.za/index.php/jtscm/article/view/120Total logistics costsOpportunity costsFreight modal choiceCarbon emissionsTransnet Freight RailStrategic Profit ModelMining industry |
| spellingShingle | Leani van Jaarsveld Gert J. Heyns Peter J. Kilbourn Logistics opportunity costs: A mining case study Journal of Transport and Supply Chain Management Total logistics costs Opportunity costs Freight modal choice Carbon emissions Transnet Freight Rail Strategic Profit Model Mining industry |
| title | Logistics opportunity costs: A mining case study |
| title_full | Logistics opportunity costs: A mining case study |
| title_fullStr | Logistics opportunity costs: A mining case study |
| title_full_unstemmed | Logistics opportunity costs: A mining case study |
| title_short | Logistics opportunity costs: A mining case study |
| title_sort | logistics opportunity costs a mining case study |
| topic | Total logistics costs Opportunity costs Freight modal choice Carbon emissions Transnet Freight Rail Strategic Profit Model Mining industry |
| url | https://jtscm.co.za/index.php/jtscm/article/view/120 |
| work_keys_str_mv | AT leanivanjaarsveld logisticsopportunitycostsaminingcasestudy AT gertjheyns logisticsopportunitycostsaminingcasestudy AT peterjkilbourn logisticsopportunitycostsaminingcasestudy |