Day-Definite Full Container Load Service for Time-Sensitive Shippers: On the Perspective of Total Distribution Cost

The authors quantify the benefits of a newly introduced logistics product, day-definite Full Container-load (FCL), in terms of its cost reduction relative to other existing products – regular FCL and airfreight, from the perspective of a logistic manager in an intercontinental supply chain facing lead-time uncertainties. Numerical examples and sensitivity analysis are provided to illustrate the comparison across the above-mentioned three logistics products and the impact of other factors on the performance of these logistics products.