This analysis addresses the issue of whether shipping freight to the Military Traffic Management Command's (MTMC) Container Stuffing Activities (CSAs) would be a more cost effective way for the Defense Logistics Agency (DLA) to containerize cargo for surface overseas movement than the current practice of shipping freight to the Consolidation and Containerization Points (CCPs). The study covers these three scenarios: the baseline case (or status quo), routing all DLA general cargo through the CCPs, and routing all cargo through the CSAs. The analysis includes the transportation cost from shipper to stuffing activity and the cost of seavan stuffing at that activity. The results of the study are based on 343,249 measurement tons of general cargo from DLA shippers going overseas during FY 92. The major conclusion of the study is that it is cheaper for DLA shippers to send their cargo to the CCPs. When compared to the baseline scenario, routing all cargo to the CCPs was found to cost $451,000 less annually. When compared to the CSA scenario, routing all cargo to the CCPs was found to cost $2.6 million less annually. Principal reason given for the lower cost of the CCP scenario was cheaper van-stuffing rates at the CCPS. CCP, CSA, Seavan, Seavan-stuffing, Stuffing-activity, TERMS, Measurement ton, Unstuffing, Containerization, Containers.
Analysis of Overseas Shipping Practices
1994
32 pages
Report
No indication
English
Logistics Military Facilities & Supplies , Marine & Waterway Transportation , Management Practice , Cost effectiveness , Overseas , Marine transportation , Containerized shipping , Logistics management , Containers , Costs , Rates , Routing , Cargo ships , Cargo vehicles , Land transportation , Cargo handling , CSA(Container Stuffing Activities) , MTMC(Military Traffic Management Command) , DLA(Defense Logistics Agency) , CCP(Consolidation and Containerization Points) , Seavan stuffing , Container stuffing , TERMS(MTMC Terminal Management System) , Measurement ton , Unstuffing , Containerization
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