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An Auction Based Collaborative Carrier Network

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  • Song, Jiongjiong
  • Regan, A C

Abstract

In this paper, we examine the for-hire truckload trucking industry in the U.S. and propose a new auction based carrier collaboration mechanism designed to facilitate economically efficient cooperation among functionally equivalent small and medium sized trucking companies based on a post market exchange. An architecture for such a system is proposed and its economic benefits are examined. Analysis shows that the system is a Pareto efficient one in which no participants are harmed and many are better off. The complex decision problems associated with subcontracting, bidding and bid selection in such a system are investigated.

Suggested Citation

  • Song, Jiongjiong & Regan, A C, 2003. "An Auction Based Collaborative Carrier Network," University of California Transportation Center, Working Papers qt2g88d8vc, University of California Transportation Center.
    • Handle: RePEc:cdl:uctcwp:qt2g88d8vc
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    References listed on IDEAS

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    1. Golob, Thomas F. & Reagan, Amelia C., 2002. "Trucking Industry Adoption of Information Technology: A structural Multivariate Discrete Choice Model," University of California Transportation Center, Working Papers qt7kv5f17n, University of California Transportation Center.
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    Cited by:

    1. Ziebuhr, Mario & Kopfer, Herbert, 2016. "Solving an integrated operational transportation planning problem with forwarding limitations," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 87(C), pages 149-166.
    2. Lim, Andrew & Qin, Hu & Xu, Zhou, 2012. "The freight allocation problem with lane cost balancing constraint," European Journal of Operational Research, Elsevier, vol. 217(1), pages 26-35.
    3. Li, Junsong & Rong, Gang & Feng, Yiping, 2015. "Request selection and exchange approach for carrier collaboration based on auction of a single request," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 84(C), pages 23-39.
    4. Richard Li-Yang Chen & Shervin AhmadBeygi & Amy Cohn & Damian R. Beil & Amitabh Sinha, 2009. "Solving Truckload Procurement Auctions Over an Exponential Number of Bundles," Transportation Science, INFORMS, vol. 43(4), pages 493-510, November.
    5. Lyu, Xiaohui & Chen, Haoxun & Wang, Nengmin & Yang, Zhen, 2019. "A multi-round exchange mechanism for carrier collaboration in less than truckload transportation," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 129(C), pages 38-59.
    6. Baozhuang Niu & Jingmai Wang & Carman K. M. Lee & Lei Chen, 2019. "“Product + logistics” bundling sale and co-delivery in cross-border e-commerce," Electronic Commerce Research, Springer, vol. 19(4), pages 915-941, December.
    7. Andrew Lim & Brian Rodrigues & Zhou Xu, 2008. "Transportation Procurement with Seasonally Varying Shipper Demand and Volume Guarantees," Operations Research, INFORMS, vol. 56(3), pages 758-771, June.
    8. Kuo, April & Miller-Hooks, Elise, 2012. "Developing Responsive Rail Services through collaboration," Transportation Research Part B: Methodological, Elsevier, vol. 46(3), pages 424-439.
    9. AgralI, Semra & Tan, BarIs & Karaesmen, Fikri, 2008. "Modeling and analysis of an auction-based logistics market," European Journal of Operational Research, Elsevier, vol. 191(1), pages 272-294, November.
    10. Su Xiu Xu & George Q. Huang & Meng Cheng, 2017. "Truthful, Budget-Balanced Bundle Double Auctions for Carrier Collaboration," Transportation Science, INFORMS, vol. 51(4), pages 1365-1386, November.

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