Nothing Special   »   [go: up one dir, main page]

Academia.eduAcademia.edu

Operations and Logistics Management-Case Study Multimodal Transport and Business Operation Strategy

2020, Case Study of MMTS

I wish for all MBA program candidates are easy to study for case study of MMTS(Multimodal Transport Systems)

Based on the case, answer the following question in essay form. Define the term “Multimodal Transport” and explain the application of the concept towards the logistics industry known to you in the four cities mention in the case. With reference to an example in the logistics business, illustrate the planning processes in performing proper aggregate planning that can integrate with an efficient multimodal transport. (c) Briefly describe several options of layout strategies that can be adopted by the operation manager in the logistic business to reduce the operation cost. (A) - Answer Transportation is an important part of the urban system, because in the last decade of the 20th century, traditional distribution channel arrangements are moving towards more integration and collaboration. The integration of domestic and global supply chains and logistics chains can form an effective multimodal transport system. Under the current circumstances, more than one million cities are generating more travel needs, and neither motorized nor non-motorized models can fully satisfy them. Therefore, the Mass Rapid Transit system is needed as an effective means to provide better, advanced, efficient and quality transportation services. However, the efficiency and effectiveness of MRTS depends on the availability of various modes at the city and regional levels, the location and design of nodes, and the flow of people at interchange stations. Similarly, network structure, line density, station density, service frequency, bus routes enhance connectivity and accessibility, etc. Finally, it evolves Multi Modal Transport System (MMTS) which involves coordinate the use of different models and properly integrate them to alleviate road congestion, reduce travel time, enhance environmental communication and increase operating speed and transportation methods, as well as cost-effectiveness. (Engineering, 2016) Multimodal transport is a combination of two or more modes of transport services used to transport goods and goods from one place to another. Multimodal transportation is also called combined transportation because it uses multiple transportation methods, such as rail, land, water and air transportation, to transport products from the source to the destination. Multimodal transport also uses a bill of lading for services and operations, and optimizes delivery time, reduces inventory costs and adjusts freight level costs. (Transparency Market Research, 2019) The various characteristics of MMTS are as follows: -Trips involves multiple modes. -Use different shipping methods at different opportunities. -Policy principles do not adhere to a single model. -Develop seamless transportation networks, integrate transportation chains, and connect highways, railways and waterways. -Competition among transporters, not between modes of transportation. -Transfer nodes and smooth exchange process. -Seamless travel is an important feature of the system. (Engineering, 2016) IMMTS in INDIA Multimodal transport means that a single transport operator uses different transport methods to transport goods from point A to point B. In a large country like India, end-to-end delivery is a difficult task, and multimodal transport is an effective solution. For various companies, multimodal transport may mean different solutions, depending on their combination of transportation and warehousing options. In the 1960s, Indian Railways played a key role in promoting India ’s multimodal transport. In 1966, the Indian Railways produced multimodal transport in India by transporting goods through containers. Then, the Indian Railways began to use special DSO containers to transport goods. Standardized ISO containers were used from the 1970s until 1981, when the first ISO container was transferred by rail to inland to the country ’s first ICD in Bangalore (then Bangalore). In 1988, CONCOR was established as a branch of Indian Railways and took over the existing network of seven ICDs in India. Since then, it now has more than 70 ICD networks, while India has more than 300 ICDs providing intermodal infrastructure. The Indian Parliament passed the Multimodal Transport Act in 1993, establishing a standardized system for multimodal transport operators (MTO). According to this law, the Director General of Shipping is determined as the competent authority. The bill paved the way for the MTO to register with authorized institutions and begin operations. This promotes inland transportation under a single power. IT has become the main driving force for multimodal transport in India and has been widely used to automate supply chains and documentation. For goods entering India, the documents start at the port, CFS, ICD, and then final customs clearance before delivery. For goods shipped from India, the document starts at the storage point until it leaves the port. To automate this process, Customs introduced the Indian Customs EDI System (ICES), which provides a paperless seamless system that can exchange / process information related to customs clearance using Electronic Data Interchange (EDI). Currently, ICES operates in 134 major customs locations in India, handling more than 98% of India ’s international import and export trade. Until the early 2000s, intermodal transportation was a monopoly of CONCOR, when private companies were issued licenses to operate their own freight trains. To encourage MSME to trade, the railway company launched a "road trailer" system, in which the vehicles carried can be driven on highways and rails. At present, there are more than 15 private freight train operators (PFTO) in India, and major companies (such as Hind Terminals, DP World, Adani Logistics, CWC) are moving their own trains. Indian Railways also allows PFTO to operate its own private freight station (PFT), a move that can add about 20-25 million tons of additional loading capacity and attract more than $ 1 billion in investment. Under the plan, operators can lease rakes from Indian Railways to manufacture their own rakes. The completion of the Dedicated Freight Corridor (DFC) will also increase the country ’s share of rail freight from the current 30% in developed countries to about 60-70%. In Varanasi, a cargo village is being built along the river to enhance the potential of DFC in the east and increase transportation capacity along National Channel 1. Kolkata to Varanasi, where a cargo village is being built to connect it to the eastern DFC. Maersk Line, the world's largest container company, has also begun shipping goods on that route. The real example of multimodal transport is in the Northeast, where goods are transported to Guwahati by truck, and fresh agricultural products are transported to the Middle East and other countries by air freight. The cargo is also transported through the DFC in the west at the port of Candela in the west, gathered in Palwal, and then distributed by road to U.P, Punjab and Haryana.Multimodal transport is an evolving solution in India with different modes of transport in their various stages of evolution. Roads are by far the most common, with railways catching up quickly. Air freight is expensive while inland waterways have just started. Port led cargo movement is inclined heavily towards the west coast due to the presence of natural harbours and economic weight of Maharashtra and Gujarat. For this growth to continue, more private investment in logistics infrastructure must be encouraged along with easier regulations which can ease the sentiment of some foreign companies. (Batham, 2019) IMMTS in Singapore Singapore has a long history of both planning and implementing integrated multimodal transport plans, starting with the 1996 Land Transport Plan. Singapore, which already has a high modal share of public transit use, has ambitions to increase it to at least 75%. These increases are happening; for example, in 2008 the modal share of public transport, for motorized transport trips, was 59%, and this proportion has increased to 67% by 20188. This increase reflects the benefits that have been achieved through further integration of the system over time, including: Physical: Policies help integrate both transport and land-use planning. For example, one policy stipulates that all transit stations for the mass rapid transit system (MRT) have to be integrated with new commercial developments and be connected with at least one other transport mode. Furthermore, the stations have to be equipped with walkways and elevators so that they are accessible to the less physically abled population. Network: In addition to the MRT, Singapore also has a light rail train (LRT) system. Both these systems are integrated with the bus network, which provides the overall foundation of the transport system. Already in 2003, 90% of the population lived within 300m of a bus stop, which meant that through this they were also able to access the mass rapid transit system. Operational: A single fare card was first introduced in the 1990s and this allowed passengers to use both bus and rail. In 2002, this was upgraded to a so-called EZ card which can be used on all forms of public transport. Furthermore, in 1989, the government created a company called Transit Link that is tasked with coordinating information on routes, timetables and interchanges across all modes of transport. Institutional: Following Transit Link, the government then created the Land Transport Authority which is both the planning and regulatory agency covering both public and private transport. Even in Singapore institutional integration is incomplete with multiple bus and rail operators, which is managed by geographically separating their sphere of operation. Furthermore, it has its benefits as it keeps competition within the system. (Haas, 2019) IMMTS in Hong Kong When it comes to accessibility needs, transportation system of the Hong Kong city has set an example for the world by achieving 905 of the daily trips performed by public transport. Each day around 12.9 million of users travel in buses, trams, railways, minibuses, ferry services and taxis. The city has showcased a very low car ownership of 50 cars per thousand populations. In spite of having numbers of modes of travel, all of them are well coordinated, schedule and integrated with each other. It is discovered that railways are run by the MTR Corporation Limited (MTRCL), which carried about 4.62 million passenger trips per day in March 2015. The Airport Express Line (AEL), carried about 41,400 passenger trips per day in March 2015 and Light Rail about 479,000 passenger trips every day at the same time. While, City Bus, in 2014. (Nandan Dawda, 2018) IMMTS in London City of London is known for the multimodal integrated system since 2000.Controlled by a board whose individuals are selected by the Mayor of London as per the London Authority Act, Transport for London (TFL) goes about as authority and an immediate administrator, liable for all mode of public transport and in charge of both the vital street system and para transit mode of transport. The Transport for London is the main expert in charge of running London's underground rail system, London Rail, London Busses, London Dial a ride, street benefit, roads congestion charge, open carriage office, Cycling Center of Excellence, Walking, London Road Safety Unit, Metropolitan Police Service, Transport Operational Summon Unit, (TOCU), the British Transport police and Freight Unit. Hence, TFL is considered to be only one integrated institute of transport of London. The city covers a territory of 1572 km² including 8.3 million of tenant, while the metropolitan zone covers 8382 km² with in excess of 15 Million occupants as per Mayor of London (2015) [8]. Public transport system in London is known for its perfect blend of historical and modern transport infrastructure network (the heavy rail network, the London underground, Docklands Light Rail and Croydon Light Rail) with bus and ferry services. The statistics reveals that after implementation of multimodal system there has been increase in demand of public transport system. Figure 1 shows the increase in passenger journeys on local bus service by metropolitan areas of Great Britain by considering demand in 2004-05 as index 100. Figure 1. Bus Passenger demand for Great Britain Not only in reference to the over- ground transport, but the increase in demand of other transit family been witnessed. The figure 2 shows the progressive growth in demand of light rail transit system in terms of passenger kilometers for the city of London in last seventeen years. The one of the potential reason for such a hike in demand is introduction of multimodal system. Figure 2. Passenger – km travelled by LTR for London City In spite of such a complex transport system, the noteworthy thing is that at all the major stations, transport professions have been created to be inside strolling separation of the railroad and underground stations, frequently kept an eye on by transport station staff and renewed with constant data frameworks. Such an integrated infrastructure formation resulted into increase in current ridership of bus usage of 31billion journeys/year which has reduced the traffic in central London by 20%. Also, a modal shift of 5% from cars to non-motorized transport has been witnessed in London. (Nandan Dawda, 2018) (B) - Answer The logistics plan coordinates transportation, warehousing and inventory within the company and between supply chain partners. Historically, both purchase and finished product transportation have tried to reduce their freight costs separately. Procurement works with suppliers and inbound carriers to minimize the cost of raw material transportation. The focus of logistics is to minimize the cost of outbound freight by working with customers and their transportation companies. There is usually a third management focus related to international transportation. From various perspectives of transportation, it usually leads to limited economies of scale, limited information sharing and excessive transportation costs. The logistics plan integrates overall mobility requirements, vehicle availability, and related mobility costs into a common decision support system, which is designed to minimize overall freight costs. The analysis proposes ways in which freight can be transferred or merged between carriers to achieve economies of scale. It also helps to share information with operators and other service providers to achieve better asset utilization. Logistics planning is essential for effective use of resources. In the past, the lack of accurate and comprehensive logistics and supply chain planning tools led to low utilization of production, warehousing and transportation capabilities. More and more attention is paid to improving asset utilization, and combined with improved information management and decision analysis functions and technologies, a comprehensive planning system becomes a reality. Effective planning needs to incorporate information systems to provide data and managers to make decisions.(Donald J.Bowersox, 2013) The most important motivation for logistics is to completely satisfy customers by inserting the right products in the right place. Competition is becoming fiercer worldwide. For most companies, creating consumer fun is critical. There are many elements of satisfaction. These are formulated on the basis of satisfaction: • Cost – the customer’s revenue from payment • Convenience – Efforts to purchase • Confidence in support services including and commitment The logistics plan is the ability to satisfy and retain customers. Consider Amazon.com, which provides a selection of books in the Internet store, these books will be delivered to your domestic users within a specific time frame. Advertising and marketing advice is simple and convenient. This object can be accessed from the bookstore. If the opening hours of the Amazon office no longer match the six-week shipping date or the promised delivery date, consumers will no longer be satisfied. The same is true of the Federal Reserve. Speed ​​has become an essential part of service. McDonald's purchases and promotes its complete supply chain from 28,000 franchises worldwide, which controls its supply chain to some extent. For major businesses operating in the international market, there is too much inventory. Managing the supply chain of the supply chain can enable entrepreneurs to compete with competitors and provide timely products by promoting the right products at the right time, thereby enabling customers to enter the market and compete in the market. Logistics is an important channel for the flow of goods and products in the supply chain. Every organization involved in the supply chain performs logistics. Such logistics pastimes or organizations will no longer be merged into a common supply chain capability. The success of logistics integration is an important focus for companies to obtain positive benefits in a highly competitive organization. (https://www.asean.org, 2014), (Donald J.Bowersox, 2013) Transportation management refers to the physical movement of goods ready for business. It is a logistics platform that uses technical knowledge to assist in controlling, optimizing, and adjusting product exports. Such structures are part of many systems that provide chain management (SCM). Sometimes, transportation management systems (otherwise known as logistics management solutions or transportation management software) are used to provide daily transportation, logistics and logistics services. Trade compliance records and documents and timely transportation of goods and products. The transportation management system simplifies the transportation process, and the organization conducts quantitative statistics in its aviation. Air, which makes handling marine transportation easier. (Donald J.Bowersox, 2013) (https://www.oracle.com, n.d.) The five functions of the transportation management system are operation management, integration, negotiation, control, and audit and claims management. Operation management - property management and yard management, planning; important information technology know-how solutions that can assist with daily routing and transportation notifications (ASN). Integration - Combined with transportation to "LTL" or standard locations, the shift to "response-based logistics" rethought the entire industry. If the two technologies are separated, the response technology will not attempt to affect the composition and time of the transportation movement. However, the response used to be a response. Arrange with the quantity and time of the provider to help complete the transportation of goods. Negotiating - exporters and carriers are looking for a win-win agreement to seek to provide the minimum logistics price that matches the logistics needs (ie delivery time) of both carriers, sharing logistics and productivity. Control - tracking is the process of finding misplaced or delayed exits. That is, the provider informs the service of the service beyond the delay and speed that the service wants to be delivered correctly and correctly. Track HOS time to meet federal and federal requirements. Auditing and claim management - take a look at checking the correct invoice (to determine the high cost before payment, and the audit after payment is equal), and the expected overall performance is not good and the cost is not high. (https://www.coursehero.com, n.d.) The logistics management system first approves the transit goods of the enterprise. The transportation management system consists of various forms of cargo transportation options and intermodal transportation methods. The process of transportation management system, whether domestic or international. Through the use of transport houses owned by organizations or 0.33 party service providers. In the past, transportation management systems used to manage products ranged from applications to bulk products. (https://cerasis.com, n.d.) (Donald J.Bowersox, 2013) The integrated multimodal transport system is the product of a contract, but it operates in at least two modes of transportation. Transport operates on special modes of transport (such as rail, sea and road), but is responsible for the entire transport (legally). Transportation does not require all modes of transportation, in fact this is not normal. Trucks are usually manufactured using aircraft transport vehicles (called "real transport vehicles" in professional language). The individual responsible for all instructions is called the multimodal transport operator MTO. (Donald J.Bowersox, 2013) (Transparency Market Research, 2019) The benefits of the transportation management system are 1. Increase customer service 2. Warehouse efficiency 3. New delivery capabilities 4. Reduce inventory 5. Cash flow improved. When the aggregate plan to buy, what materials and different assets to manage and when to buy the organization’s work price should be set to the lowest price during the period. The larger number of personnel determines the scope of the lease in each period, the amount to be saved in inventory and the amount to be delayed in each period. All these things comply with the company's code of conduct. Policies and society are committed to long-term dedication to the United States and the countries that act. Aggregate planning is the process of determining the initial timetable for the organization's operations. This is an evaluation and maintenance system. Includes general income forecasts, estimates and income forecasts. Production level. The timetable is designed to meet demand at the lowest cost. A well-organized collaborative challenge can be considered from a distance. The consequences of scheduling each day may last at least a week. Need to reduce the joint labor of the fewest employees. These temporary adjustments to long-term resource utilization can be alleviated through cost-effectiveness. (https://www.referenceforbusiness.com, n.d.), (Donald J.Bowersox D. J., 2013) Key considerations for integrated multimodal transport planning This article will start with restrictive urban transportation policies and planning, with an emphasis on road and vehicle infrastructure. Then it will define the important elements of the multimodal transport plan. Increase such projects increase. If applied properly, why this article will show comparable advantages. In addition to considering the choice of mannequins, public transportation is currently being considered and is informal. The focus will be on some factors of how a cross-border transportation format is needed, including integration with the personal transportation sector. The conclusion area of ​​this article will summarize the key achievements required to recognize the advantages of multinational transportation. (https://en.wikipedia.org, , 2019) (Donald J.Bowersox D. J., 2013) The success of Singapore’s integrated multimodal transport plan began with the 1996 “Land Transport Plan”. The planning and implementation of an integrated multimodal transport plan has a long history. Singapore already has a high modal share of public transport usage, so it is ambitious to increase it to at least 75%. These increases are happening; for example, in 2008, the proportion of motorized travel on public transportation was 59%, and by 20188 this proportion had increased to 67%. This increase reflects the benefits of further system integration over time, including: -Physics: Policies help integrate transportation and land use planning. For example, a policy stipulates that all transit stations of the MRT system must be integrated with new business development and connected to at least one other mode of transportation. In addition, the station must be equipped with sidewalks and elevators to facilitate the use of the weaker groups. -Network: In addition to the subway, Singapore also has a light rail (LRT) system. Both systems are integrated with the bus network, thus providing an overall basis for the transportation system. As early as 2003, 90% of the population lived within 300m from the bus station, which meant that they could also use the mass transit system. -Operation: A fare card was first introduced in the 1990s, which allowed passengers to use buses and trains at the same time. In 2002, it was upgraded to the so-called EZ card, which can be used on all forms of public transportation. In addition, in 1989, the government established a company called Transit Link, which is responsible for coordinating information on routes, timetables and transfer stations for all modes of transportation. -Institution: The government established the Land Transport Authority through Transit Link, which is a planning and regulatory agency that covers both public and private transportation. Even in Singapore, institutional integration is not done by multiple bus and rail operators, which is managed by geographically separating their operating ranges. In addition, it has its advantages because it can maintain competition within the system. (Haas, 2019) (C) - Answer Today, increasing global competition is changing the environment most companies face. As trade barriers fall and transaction costs fall, new global competitors are entering the previously more isolated domestic market. Through innovation and adoption of process and product improvements, local companies have increased their competitive pressures to improve performance. This dynamic in the domestic sector leads to increased productivity, which in turn can create a sustainable competitive advantage for companies and is the most important driver for job creation and economic per capita income growth. The company looks for growth where it can find growth. Expanding from a local, familiar market to a global market allows growing companies to have more customers, new talent, and greater possibilities. However, in order to succeed in global expansion, companies must be prepared to meet competitive challenges. Businesses are always looking for a competitive advantage to differentiate them from other businesses that provide similar products or services. Gain a competitive advantage by providing higher value, lower price or higher profit customer service. Enterprises without a competitive advantage will have difficulty maintaining their relevance in the market. In the process of rapid technological innovation and companies eager to catch up with the latest trends, operations managers are playing an increasingly important role in winning competitive advantages. Therefore, whether you plan to carry out organizational reforms to improve your competitiveness in the market, or just want to reduce management costs. In today's global economy, adaptability and flexibility are the keys to stay relevant. Changes in the logistics industry are driven by reasons such as oil prices, labor costs, safety, trade regulations, shutdowns, vessel capacity and technology. Having people, practices and tools to proactively adapt to these changes will bring the company a competitive advantage. . (Donald J.Bowersox, 2019), (https://velocityglobal.com, 2017), (Baily, 2014.) In the logistics business, the main focus of the operation manager is layout design and layout strategy, because reducing operating costs and increasing sales are the goals of each business, and another method of operation is to improve the efficiency of commodity delivery. Efficient layout can reduce unnecessary material handling, help to reduce costs, and maintain the flow of products in the factory. The various type of layouts are (1)Facility Layout, (2)Product layout, (3)Process Layout, (4)Cellular Layout, (5)Fixed-Position Layout and (6)Warehouse Layout. Facility layout and design is an important part of the overall operation of the enterprise, whether it is to maximize the effectiveness of the production process or to meet the needs of employees. The basic goal of the layout is to ensure the smooth flow of materials and information through the work of the system. The basic meaning of a facility is a space for conducting business activities. The layout and design of this space greatly affect how the work is done-the work, materials and information flow in the system. The key to a good facility layout and design is the integration of the needs of personnel (staff and customers), materials (primitive, finishing and in-process) and machinery to enable them to create a well-functioning system. The product layout can be found in the flow shop (repetitive assembly and process or continuous flow industry). The production of mobile workshops requires highly standardized, repetitive processes in large quantities and highly standardized products. In the product layout, the resources are arranged in order according to the process route of the product. In theory, this sequential layout allows the entire process to be arranged in a straight line, and may sometimes be completely dedicated to producing only one product or product version. The flow of the pipeline can then be subdivided so that labor and equipment can be used smoothly throughout the operation. The process layout is mainly found in workshops or companies that produce customized small batch products, which may require different processing requirements and operation sequences. Process layout is a facility configuration in which operations with similar properties or functions are grouped together. Therefore, they are sometimes referred to as functional layouts. Their purpose is to process goods or provide services that involve multiple processing requirements. Cellular manufacturing is a layout in which machines are grouped according to the process requirements of a group of similar items (part families) that require similar processing. These groups are called cells. Therefore, the cellular layout is a device layout configured to support cellular manufacturing. Processes are grouped into units using a technique called group technology (GT). Group technology involves identifying parts with similar design features (size, shape, and function) and similar process features (type of processing required, available machinery to perform that type of process, and processing sequence). The fixed position layout is suitable for products that are too large or too heavy to move. For example, battleships are not produced on the assembly line. For services, other reasons may determine a fixed location (for example, bringing doctors, nurses, and medical equipment to the hospital operating room where the patient is). Warehouse / warehouse layout, order frequency are key factors. Frequently ordered items should be placed side by side near the facility entrance, while less frequently ordered items should be left behind the facility. Pareto analysis is a great way to determine which items to place near the entrance. Since 20% of the merchandise usually represents 80% of the ordered merchandise, it is not difficult to determine where to place the 20% of the merchandise in the most convenient location. In this way, order picking becomes more effective. Formulating the Strategic Logistics Planning In an organization, a plan is needed to deal with it, such as logistics functions. Importantly, it should be part of the "single plan" process shown in the figure. Each stage of the plan is linked to other stages, so information and data can be tracked. The logistics strategic planning process begins to input business models, business plans and external information. The position of the company's strategic business model will affect the business plan. This peak element of our organization's "one-stop" process outlines the company and the reasons for its existence. The business model defines the type of industry the organization is engaged in, the type of business it operates, how the company views its market, geographic scope, structure of sales and profit responsibilities, and investment allocation. The business model and external information are the two main inputs to the business plan, also known as the business strategy. Identify the markets, customers and competitors of our organization. Use business plans as input to functional strategies during the planning process; they determine how each function will contribute to the business plan. The main functions are three functions of marketing, finance and supply chain-procurement, material conversion and logistics. In our organization, we should understand that market service is the field of marketing. However, these three supply chain functions must also have a market view of their work in order to be able to provide the best combination of resources. In order to achieve this, the ability to convert marketing needs into supply chain resources is required. Starting with the product group designated for marketing, use two methods to convert: 1. Determine the competitive advantage of each product group based on the effectiveness of time and place 2. Identify "order limiters and winners" to coordinate end-user market and supply chain resource needs Time and place have five attributes, which define the availability based on the competitiveness of the supply chain. There are • Speed ​​can minimize the time from customer inquiry to receipt of items • By providing "good for purpose" and "error-free" products, the quality of the process will satisfy customers • Flexibility refers to responding to customer needs in a short time by adjusting or changing products / services, product mix, quantity and delivery activities • Reliability consistently provides "on-time, accurate and complete delivery" • Cost minimization refers to providing goods at a cost that enables customers to meet market expectations for prices. The Process of Strategic Logistics Planning There are three main steps to check the current logistics status: 1. Regarding the specific logistics factors affecting the products of each supply chain design: • Volume: weight ratio of items • Value: the weight ratio of the item • Usability – the delivery time required by the customer or end user, so the requirements regarding delivery and inventory • Product safety risk of products: perishable pollution Flammable / Explosive High value / theft potential 2. Consider each product group to identify: • The product should be close to the market or material distance • Geographical location of product manufacturing or purchasing • How the product will be moved and stored • Transportation method used 3. Four reviews: supply chain process; project (SKU); supply chain link and cost It includes strategies for logistics service providers (LSP), including third-party logistics (3PL) providers. Although outsourcing can be viewed as a business transaction, strategically, it involves decisions about the degree of vertical integration within an enterprise. In the outsourcing policy, offshore, close-range and internal outsourcing (returning outsourcing activities to the inside) will be considered. The eight elements of the logistics strategic plan are: 1. The customer service policy is an appropriate level of service provided to customers by product group or market segment; consider: order fulfillment requirements, query and investigation capabilities, and available information. Customer service strategy informs the nodes and links of the supply network 2. Inventory location strategy (supply network node) is centralized or decentralized inventory; whether to distinguish facilities by the speed of inventory; website location; use of specific technology and layout; facilities owned by the company or contracted 3. The inventory policy is the inventory form and function classified by location; the appropriate quantity of inventory for various inventory; the planning structure connecting the outbound materials and inbound materials 4. Cost planning is a trade-off analysis between cost and service level requirements; logistics operating costs 5. The transportation and distribution (supply network link) strategy is affected by the import and export of enterprises and the size and structure of the cities served. Depending on the delivery time, this includes shipping mode, delivery method and storage location considerations. 6. IT and communication capabilities are technologies (including software) that will be developed internally; purchase planning and scheduling applications from a single supplier, or obtain "best variety" applications 7. Logistics organization structure is based on function or process; responsibility assignment; trusteeship or self-management team 8. Logistics goals and indicators are measures of performance and achievement goals; operational improvement processes and management Follow a similar process to develop a procurement strategy and material conversion strategy that needs to balance all businesses (Oakden, 2016), (Donald J.Bowersox, 2019), (Inman, 2006). The effective layout strategies can reduce time and operation cost in a logistic business. For example, Singapore is a relatively convenient and worry-free city. Singapore has a complete road network, good road quality and an efficient public transportation system. However, Singapore's travel time and traffic conditions have become unpredictable. Even if the new regulations drive up the cost of car purchases, there is little sign of road congestion. There is also a problem between the growing driving desire of Singaporeans and the limited available space in Singapore. The dramatic increase in office workers has caused bus congestion and delays, and public transport has also been hit. The government will focus on providing solutions and formulating policies to solve private and public transport issues. However, in addition to the government’s efforts, it is important to note that the focus of the change is the commuter’s mindset. In addition, as the world's urban population increases by 2 people per second, the scale of transportation infrastructure rarely meets this growing need. In order to meet the demand for greater transportation capacity and solve liquidity problems, new and attractive concepts are needed to simplify intermodal transportation and make it easier for travelers to optimize the use of various transportation methods to reach their destinations safely and conveniently. In Singapore, the government is most interested in increasing the cost of vehicle ownership. However, restricting vehicles on the road and improving traffic flow is not the end result. Instead, drivers tend to drive more frequently to get the most out of their huge investment—increasing the total mileage and increasing the frequency of vehicles on the road. A better solution is needed to enable Singaporeans to enjoy the convenience of driving a car without the burden of a car. In contrast, Singapore’s advantage is its extensive MRT or rail network on the island. Most locations can be accessed via MRT. This promotes MRT as the main means of transportation for public commuters. At the same time, people who can't afford a car but still want to facilitate personal travel choose to take a taxi. However, taxi peaks are often difficult to book. Individuals tend to stick to the work route they set and the mode of transportation that takes them there. It is difficult to persuade car owners to adopt the transformation of public transportation mode, especially when congestion spreads from highway to public transportation network. Moreover, commuter commuters are accustomed to a direct single mode of transportation, rather than the idea of ​​efficient travel through multiple modes of transportation. Commuters do not make full use of the transportation methods they can use (for example, cycling, bus, train, taxi, car sharing, etc.).In order for Singapore to maintain a sustainable level of road traffic and maintain an efficient transportation network, we need to consider ways to combine the benefits of public and private transportation. Multimodal transport is an easy and convenient way for all commuters to travel. There are applications or applications that provide drivers with the best route suggestions to help them reach their destination. There are also separate applications for public transportation. An integrated platform or application is needed, which should consider all modes of transportation and provide commuters with the most feasible and economical option. Siemens has developed an integrated mobile platform (IMP). Operators can easily combine supplementary travel services with their own products. With this pool, a single platform can facilitate the planning, booking and billing of multimodal transport. Then, through the platform's real-time information and mobile payment system to show passengers the mode of transportation and the most favorable fare. Options can also enable travelers to switch to other travel methods in the event of delays. With IMP, commuters can take a bus to the nearest car rental store, continue to take the rented car, then they can leave at the designated station, and take the MRT home after the driver is full after work. As for taxis during peak hours, there are various options to reduce waiting time, such as picking up from a nearby parking lot. Priority taxi reservations can also be included in a separate intermodal service. Germany has already taken a step towards using multimodal transport. As part of the Brandenburg Electric Car Show in Berlin, it was announced that a central IT platform is being developed to integrate various mobile services across different operators to provide commuters with seamless end-to-end connectivity. Part of the convenience of the multimodal transport solution is that customers only need to pay a fixed fee based on usage. For all mobile services used, IMP has a central billing process. Mobile ticketing applications or card-based solutions, such as the Siemens electronic ticketing solution with check-in / check-out and check-in / check-out functions, can record various transportation services, travel distance and grade changes. Only the most economical fare option on the route actually used is charged, and an invoice will be issued to the passenger. Intermodal travel can be a catalyst to promote travel behavior towards wider acceptance of public transportation. Choosing public transportation as the method of choice will reduce emissions per unit of passenger travel distance. Car-sharing companies under multi-mode systems can choose to provide fuel-efficient and environmentally friendly vehicles to reduce the emissions of each vehicle. Cities also benefit from integrated transportation platforms. Using the platform’s all-inclusive, environmentally friendly traffic management provides an effective tool for cities to reduce congestion, provide people with attractive route planning, improve infrastructure utilization, and obtain information about transportation needs And help control emissions. The concept of commuter groups seeking alternative solutions (such as car sharing and car sharing) has undergone a clear shift. This is a positive signal that people are increasingly accepting the concept of shared car ownership. In this way, new drivers may give priority to the convenience and economic choice of multimodal transport to meet their travel needs and desire for driving, rather than buying a large number of cars. If we are more acceptable to the possibility of multimodal transport, then green and efficient commuting is on the way. Facility layout and various layout strategies are essential for every business, because it can plan organizational overhauls to improve the business’s competitive advantage, and save time, reduce costs, reduce annoying communication, speed up the transition and satisfy customer success (Zachmeier, 2013).(Donald J.Bowersox, 2019), (Zachmeier, 2009), (https://en.wikipedia.org, , 2019).