Arrangement of container transport by railway
Table of contents: The Kazakh-American Free University Academic Journal №7 - 2015
Authors: Kaigorodova Anna, Kazakh-American Free University, Kazakhstan
Iskenderova Fatima, Kazakh-American Free University, Kazakhstan
Transport
development in accordance with the international standards and the advanced
technologies enhanced interest of experts in the field of development of
transport supply of the materials. Currently, intensification of competition
resulted in more careful attention to the level of the service provided. This
is growing to be crucial since companies have to satisfy the customers’ needs
and provide services of a higher quality level to keep existing customers and
bring in the new ones under the complex conditions of the today’s market.
Logistics
approach to railway transport arrangement provides for a new methodology residing
in fact that designing an optimum (rational) transportation process must become
the basic component of transport. This implies search for the best
administrative and technically feasible solutions providing for maximum
efficiency of cargo transport from the source of production to the destination
point. It bears mentioning that the term “designing”, that literally means
selection of an intended outline, appears to be rightfully used in the process
of inventing not only technical means but transport products as well [1, p.
26].
There is a
direct correlation between the railway transportation and production spheres
that is determined by effectiveness of speedy cargo delivery at long distances
that, in turn, influences labor efficiency, profit margin, and level of work
profitability. Concepts of transportation process effectiveness and rolling
stock use effectiveness are equated.
The above
mentioned gives rise to necessary analysis of the existing methods and
technologies of transport network arrangement as well as search for
corresponding optimum solutions and development of the technologies applicable
to the domestic enterprises with due consideration of context of Kazakhstan,
their development level and limited resources..
Designing
definite routes with cars correspondingly loaded with electro insulating
materials to decrease the time needed for delivery to the destination may
become one of the most feasible ways of arranging the unified distribution
network of two companies. A factor preventing from accelerated development of
this area in Kazakhstan is insufficient development of research and
methodological procedures in this field.
One of the
prerequisites for selecting this topic for research was need for searching for
the most efficient ways of arranging the unified distribution network for the
companies involved in production and sale of electro insulating materials to
delivery goods to the end user within the shortest time possible as well as
need for development of methodological procedures of establishing and managing
this structure.
Arrangement
of logistics and sales stirs immense practical interest. As any other area of
expertise and any other technical process, it has a procedure of step-by-step
implementation of the process [2, p. 208].
Procedure of
any cargo transportation process has three characteristics: breakdown of
transport process, coordination and staging, un ambiguity of actions. The
reason for breakdown of transport process into stages is to define the limits
of immanent requirements to staff to follow such procedure in their work. Any
operation should ensure approach of a control object to the set goal and ensure
transition from one operation to another. The final operation of a stage should
serve as a kind of introduction to the first operation of the next stage. The
more precisely cargo transport process description complies with its subjective
logics; the higher is the possibility of obtaining the top efficiency in work
of staff involved. The procedures to be developed should incorporate
requirements of the basic economic laws and, first of all, the law of increase
in public labor performance.
Coordination
and staging of actions, aimed at reach of a definite set goal, should be based
on internal logics of functioning and development of a definite transport
process. Procedures are not developed “from scratch”, they are linked with past
and future procedures. The procedures in effect today must be grounded on
principles allowing its transfer into procedures of future [3, p. 497].
It is noted
that a significant number of logistics operations en route of material flow
from the original raw material source to the final consumption point involves
use of different transportation means. The expenses for these operations
comprise up to 50% of total logistics expenses.
Based on
their designation, there are two transport groups as follows:
- public
transport is a national economy area satisfying needs of all national economy
areas and population for cargo and passenger transport. Public transport serves
distribution area and population. It is often referred to as arterial (main)
system, i.e. principal, basic line in a system, here – in communication lines.
Concept of public transport covers railway transport, water transport (both sea
and river ones), automobile, air and pipeline transport;
-
specialized transport is intra-industrial transport as well as transportation
means of all kinds owned by non-transport organizations [4, p. 208].
Let us
review railway type of transport more thoroughly. Transportation plays an
important role in public production system. Transportation system is a complex
aggregate of different, branched communication lines conditionally subdivided
into two types: arterial and intra-industrial. It stands to reason that railway
transportation is the leading element of transportation system and takes the
top position among other types of freight / passenger transportations.
Railway is
the main business component of industrial structure of railway transportation.
Its functions include development of target indicators for transport activities
as well as financing and development of material and technical base for
industrial production unions to ensure proper satisfaction of needs for freight
and passenger transportations, increase transportation efficiency due to
technical renovation and decrease of material, labor and financial resources.
In
transport sphere, the most important factors are observation of railway
timetable and schedule and implementation of freight transport plans. Train schedule
is a basis in train traffic arrangement; it consolidates activities of all
subdivisions and expresses plan of railway operations. The train schedule is a
fundamental law for the railway transport workers, and its fulfillment is one
of the crucible parameters of the railway operation. The train schedule should
ensure satisfaction of needs for freight and passenger transportations, safe
train traffic, the most efficient use of traffic and carrying capacity of areas
and estimated capacity of railway stations, and rational use of the rolling
stock.
Quantity
and quality parameters of railway operations are important for understanding of
their role and preparation of an optimal development strategy. Besides, they
are important for gaining a correct, unbiased understanding of the railway
transport position in the general transport system, and, in particular,
interrelation of railway and automobile transport.
The
following quantity and quality parameters are also taken into consideration in
development of transport plans:
- loaded
car miles;
- empty car
miles (empty car miles depend on distribution of production capacities over the
country; in particular, loading and unloading areas, unequal traffic
distribution in different directions, cargo type and profile of a car
fleet). Decrease of empty run percentage results in reduction of mileage
and work in gross ton-kilometer per transport unit. Therefore, we reach economy
in locomotive crew allowances, fuel, electric power supply, maintenance and
repair of railway cars and locomotives; we decrease capital expenses needed for
the rolling stock and railway network development [5, p. 6].
The quality
characteristics are as follows:
- empty run
ratio (to reduce empty run ratio, it is necessary to load empty cars following
the same direction to the possible maximum);
-
empty-loaded run ratio;
- dynamic
load of loaded or empty car (dynamic load depends on cargo mix structure, car
fleet as well as millage with small and high loading). Decrease of average
dynamic load negatively affects the railway operations; this leads to greater
involvement of cars from the operational fleet, and, therefore, greater
expenses for their repair and maintenance. To increase average dynamic load
and, consequently, decrease the expenses, cars of maximum allowable loading
capacity should be used, which would allow to perform transport with minimum
operational car fleet;
- average
daily car mileage, average daily car performance (decrease of daily performance
of operating freight car negatively affects railway operations. To improve car
performance, it is necessary to decrease waits and increase car speed, on the
one hand, and improve use of their loading capacities, on the other hand; at
this, car performance improvement measures should be in compliance with
economic efficiency of transport staff work);
-
interrelation of supplementary run to head run and linear run of a locomotive;
average train weight – both gross and net; average daily locomotive mileage;
and locomotive performance.
Quality parameters
characterize efficiency of the rolling stock based on its loading and working
capacities, time and volume of performed work per time unit.
Values of
quality parameters depend on technical status of the railways and their
companies, use of up-to-day technologies, organization level of traffic,
shunting and handling operations, and other factors [6, p. 208].
The
peculiar features of such freight and cargo delivery method as container
transport include item loading into standard containers to be transported by
automobile, railway and water transport.
Containers
are metal cases of definite dimensions used to package cargo. They are
furnished with all necessary fixtures and accessories for cargo reloading into
different transportation means.
Container
transport as a shipping method is quite convenient for conveyance and renders
it possible for companies to ship different cargoes as small lots of 1.5–30
tons and area of 5–40 square meters.
The
advantages of such shipping method as container transport include as follows:
-
simplified cargo transfer approval by railway station management, that
results in faster shipment of cargos (the goods might be shipped out the same
day when the request is submitted);
- minimum
number of cargo handling operations in change of transportation modes.
Even when a container is reloaded, the goods are in the closed-type metal
shipping package, i.e. the container itself. This results in goods safety in
freight operations and makes it difficult for the ill-minded-persons to tamper
the container and steel the cargo;
-
observation of policy of economy in use of container transport as a shipping
method, which remains the most economic freight transportation mode;
- area of
coverage of the shipping method (the whole country is covered with road and
railway networks which may be used to deliver container cargoes;
- container
transport under unified shipping documents but with different transportation
modes to deliver the needed goods to the destination (combined cargo
transport); and
- global
standardization of dimensions and linear sizes of a definite cargo type.
The
disadvantages of container transport as a shipping method should be added with
some longer terms of cargo loading and shipping. This depends on particular
characteristics of gathering and placing the containers in special cars –
container cars. There is a special layout of containers arrangement in the car
to have center of gravity in about mid-length. Such cargoes are also
transported by special trucks – container trucks.
Let us
review another type of transport allowable in high loading capacity of the
materials to be transported; it is post baggage transport, i.e. railway cargo
transport: a post baggage company delivers small and middle lots of cargoes
sent with passenger and post baggage trains in accordance with a definite
railway timetable with stops at railway stations [7, p. 25].
Post office
car is a special railway car designated for transport and processing of postal
items. Post office car is usually a part of passenger trains and can go both at
a regular speed, with stops at all railway stations en route, and at an
accelerated speed (high-speed trains).
Industrial
enterprises not only manufacture products of the needed volumes, range and
quality in compliance with the customers’ requests but also provide for
commercial activity in sale of the finished products; and the role of the
latter is being increased, the whole process is growing to become more complex.
Sales
activities of an industrial enterprise imply process of market promotion of the
finished products and arrangement of commodity exchange aimed at profit taking.
Profit resulting from sales is business profit itself. It can be improved provided
that the following tasks are completed:
1)
production capacities are used optimally due to the customers’ orders;
2) products
promotion channels are selected rationally;
3) total
expenses in products economic cycle are brought to minimum.
The task of
selecting distribution channels is the main in development of sales policy and
has an increased importance since correctly selected channel helps to eliminate
time of the finished products delivery to the customer thus satisfying its
needs.
Mostly,
production and consumption correlate neither in time nor in space. Thus, no
matter how diverse the products qualities are, an industrial enterprise can
reckon on a real commercial success only when sales of its finished products
are rationally arranged.
Sales activity
receives practical approval in the course of time. Eventually, the process is
clamped up at effective sales arrangement. Market research involves analysis of
several components.
When
marketing policy is implemented, and the estimated result is achieved, the
company reached its aim and, therefore, it is considered to be effective. When
the aims are not reached, the marketing policy needs to be either revised or
improved, or refused. Besides, it is important to understand that one of the
key factors in sales arrangement and research is planning and forecasting
market trends. Arrangement of sales activities involves a continuous consumer
analysis, search for the new customers and satisfaction of their demands,
market selection, and increase of sales profitability [7, p. 33].
For a
company to gain maximum potential, its managers should act together to
thoroughly develop marketing strategy and successfully implement the process in
real life conditions with numerous internal and external difficulties. The more
sophisticated the strategy is and the more aptly it is arranged, the more
chances the company has for gaining a strong market position. Auspicious
arrangement of the strategy implementation is not only a passport to business
success but also the best examination for the company. It is an ideal that is
worth striving for.
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