3.2.4 Promotion Strategies

A project within the Interreg IIIB North Sea Programme

Institut für Seeverkehrswirtschaft und Logistik

Institute of Shipping Economics and Logistics

PROMOTIOM STRATEGIES FOR INTERMODAL TRANSPORT

SOLUTIONS

Annex 3.2.4 to the Final Report

January 2007

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PREFACE This report has been written as part of the SUTRANET project (Work Package 3: Transport and Logistics Centres). SUTRANET (‘Sustainable Transport Research & Development Network in the North Sea Region’) is a project within the framework of the European Commission’s (EC’s) Interreg IIIB North Sea Programme. The aim of the report is to present an overview and analysis of intermodal promotion strategies related to logistics centres. The report has been prepared by Institute of Shipping Economics and Logistics (ISL). Aalborg University’s Department of Development and Planning and other SUTRANET partners have contributed with some comments to draft versions of the report. The final version was presented in January 2007. A few editorial modifications have been added in June 2007. SUTRANET, June 2007 Jorgen Kristiansen, Aalborg University, Denmark

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TABLE OF CONTENTS Page

Index of Abreviations iii

Index of Tables iv

Index of Figures v

1 Methodology 1

2 Development and Redefinition of the Freight Integrator Concept: The EU Concept of the Intermodal Development Centre 2

2.1 EU White Paper 2010 „Time to decide“ 2

2.1.1 „Study on Freight Integrators“ 2

2.1.2 Consultation Procedure and „Freight Integrator Action Plan“ of the European Commission 9

2.1.3 Conclusion and new definition of the concept by the European Commission 10

2.1.4 Integrated Services in the Intermodal Chain (ISIC) 12

3 Transport and Logistic Centre as IDC 22

3.1 First Approach: Logistics Centres as IDC 22

3.2 Examples in Bremen – GVZ (Freight Village) Bremen 24

3.2.1 GVZ (Freight Village) Bremen 24

3.2.2 GVZE (Freight Village development company) Bremen 25

4 Chances of Implementation of the IDC Concept 29

5 Summary and Perspectives 32

Bibliography 35

iii

Index of Abbreviations

CEP Courier, express and parcel services

DGG Deutsche GVZ-Gesellschaft (German Freight Village Organisation)

EEIG European Economic Interest Grouping

FI Freight Integrator

FV Freight Village

GVZ Güterverkehrszentrum (= Freight Village)

GVZE Güterverkehrszentrum Entwicklungsgesellschaft (Freight Village development company)

IDC Intermodal Development Centre

IPC Intermodal Promotion Centre

ISIC Integrated Services in the Intermodal Chain

ISL Institut für Seeverkehrswirtschaft und Logistik (Institute of Shipping Economics and Logistics)

PPP Public Private Partnership

SME Small and medium sized enterprises

SPC Short Sea Shipping Promotion Centre

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Index of Tables

Table 2-1 Demands to the IDC (source: ECORYS (2006))Fejl! Bogmærke er ikke defineret.

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Index of Figures

Fig. 2-1 Core elements of the Freight Integrator Concept 3

Fig. 2-2 Positive general framework for the basic FI concept 5

Fig. 2-3 Problems of the basic FI concept 6

Fig. 2-4 Actions by the implementation of the FI concept 8

Fig. 2-5 The basic FI concept of the potential of intermodal transport 9

Fig. 2-6 New definition of the Freight Integrator Concept 12

Fig. 2-7 Development from Freight Integrator to Intermodal Development Centre 13

Fig. 2-8 Contents of the IDC-idea 14

Fig. 2-9 The stakeholders of the IDC-concept 15

Fig. 2-10 Schematic view of the IDC services 17

Fig. 2-11 Institutional options for the IDCs 18

Fig. 2-12 IDC core elements – Task A and B 19

Fig. 2-13 IDC core elements – Task C and D 20

Fig. 2-14 IDC core elements – Task E 21

Fig. 3-1 Definition Freight Village 22

Fig. 3-2 Freight Village model structure 23

Fig. 3-3 Freight Village (GVZ) Bremen 25

Fig. 3-4 FV-Bremen development company 26

Fig. 3-5 FV-development company structure 27

Fig. 4-1 Idea: implementation of the IDC concept through the FVs 30

Fig. 5-1 From IDC to IPC 34

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1 Methodology The distribution and networking of know-how concerning solutions (best practices) within intermodal transport is one of the most important challenges of a sustainable transport-policy and modern logistics. On this, the EU-Commission has already created an important milestone by initiating the Freight Integrator concept, later on renamed into Intermodal Development Centre - IDC. According to the EU-Commission the “transport and logistics centres” can help to practically implement the IDC-concept with their independent management units.

The IDC’s mission is to stimulate, develop and promote intermodal transport services combining all relevant modes of transport. Since these centres are focused on the promotion and development of intermodal transport the marketing of IDC services is difficult to separate from the activities taken to promote the intermodal transport itself and are thus an ideal starting point to examine and analyse possible promotion strategies for intermodal transport solutions.

This sub-work-package aims at the identification of the content and chances of the IDC-concept considering “transport and logistics centres” as an example. Thus, the training and distribution of know-how concerning intermodal solutions are in the main focus.

First the concept of the IDC with its chronological development shall be described in detail to promote the conceptual base for the further discussion and development of recommendations regarding the promotion of intermodal transport strategies. In a second step the structure of logistics centres in general and as an example of the Freight Village Bremen shall be described. Here are interfaces between the theoretical concept IDC and already existing networks of the Logistics Centres, especially in Germany. These interfaces shall be explored and monitored. The recommendations to the promotion strategies are then to be determined as well as measured, regarding the possibility to implement these recommendations on their specific terms (short-, medium or long-term) and their capability to reach the given target.

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2 Development and Redefinition of the Freight Integrator Concept: The EU Concept of the Intermodal Development Centre

2.1 EU White Paper 2010 „Time to decide“ The term of Freight Integrator was first introduced in the EU White Paper "European transport policy for 2010: time to decide". Given the fact that the European transport of the 21st century will have to cope with circumstances such as increasing loads on the transport mode road, a higher quantity of goods shipped as well as ecological sensibility and finiteness of fossil fuels, the concept is supposed to strengthen the position of intermodal transport and help indirectly to realise the long-term aims of European transport policy. Regarding this, the White Paper says:

„For goods transports, making the right use of the most efficient mode in the transport chain, based on different criteria at any given time, is the job of transport flow `organisers´, and a new profession is emerging: that of freight integrator. Modelled on what has been done at world level for package distribution, a new profession specialising in the integrated transport of full loads (exceeding around 5 tonnes) should emerge. These `freight integrators´ need to be able to combine the specific strengths of each mode at European and world level to offer their clients and, consequently, society at large the best service in terms of efficiency, price and environmental impact in the broadest sense (economic, ecological, energy, etc.).

As the European Parliament has already stated, such a profession must be developed within a `single, transparent scheme which is easy to enforce´, clearly defining, in particular, where responsibility lies all along the logistics chain and laying down the corresponding transport documents. The Commission will make a proposal along these lines in 2003.”1

The term intending a new physical profession, produced the criticism of many freight forwarders. From the freight forwarders’ point of view, the approach of the Commission was nothing but a transcription of their own profession.2 This discrepancy in the definition was to be clarified by a study in the year 2003.

2.1.1 „Study on Freight Integrators“ The aim of the study „Study on Freight Integrators“ was to work out the attributes of the Freight Integrator and to define measurement categories, according to which the

1 Compare. EUROPEAN COMMISSION (2001), page 47. 2 Compare also KLOTZ, H. (2003).

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development status of individual companies could be described within this concept.3 Based on the data about the companies, requirements, and experiences could be extracted as a basis for a conceptual work in form of a letter of recommendation for the European Commission. At this point of the discussion, economical, legal, and political basic conditions were taken into consideration. In the end, the study was supposed to give an answer on the question on how far the integrated and – in an ideal case – intermodal approach and its estimated after effects could have an influence on the European transport market.

The „Study on Freight Integrators“ supplied a new, more clearly outlined definition of the Freight Integrator, building on the results of the internal study research. The definition is:

„Freight Integrators are transport service providers who arrange full load, door-to-door transportation by selecting and combining without prejudice the most sustainable and efficient mode(s) of transportation.”4

Due to this new definition, the consortium regards the concept as adequately concretised and contrasted to the general job description of a freight forwarder. The following elements of this definition are to be considered significant (Figure 2-1):

Freight Integrator Full load

Door-to-door

Without prejudice

Combination of transport modes

Efficiency

Sustainability

Transport Service Provider

Complete arrangement

„Freight Integrators are transport service providers who arrange full load, door-to-door transportation by selecting and combining without prejudice the most sustainable and efficient mode(s) of transportation“

Source: Own figure in accordance to ZLU ET AL (2003)

Fig. 2-1 Core elements of the Freight Integrator Concept

3 The ZLU, Internationale Schelde Faculteit (ISF) and Kravag-Logistics had teamed up for the study, supported by the

European Intermodal Association (EIA) and European Logistics Association (ELA). 4 Compare ZLU ET AL (2003), page, 4.

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According to this definition, the Freight Integrator is the exclusive contact person for the client and bears the entire responsibility (concept of One-Stop-Shopping), arranging all necessary tasks related to the transport of a commodity from “A to B”. This includes, beside the arrangement of the physical transport choosing the right mode of transport and combining the relevant carriers adequately, the responsibility for the necessary transport documents and the complete supervision of the transport, particularly regarding to cases of liability. These tasks are not incumbent on the Freight Integrator personally, he rather can or should delegate them. However, all information has to be available from him („one face to the customer“).

Furthermore, the definition locates the fields of activity of a Freight Integrator to trading applications (B2B area) only due to the limitation on full load and door-to-door transports, operated in containers or on swap trailers. This also excludes CEP service providers from the selected field.

Since the first time the concept was mentioned by the European Commission, a main statement has been the neutral selection and combination of the transport modes. In practice, this neutrality is difficult to protect by service providers who are connected with forwarding companies, because they have, partly historically justified, their own preferences. Furthermore, the combination of the modes of transport has to be the most efficient and sustainable arrangement. Regarding this, the most convenient middle course between ecological interests and the economic purpose has to be found, whereas efficiency consists of the transport’s quality as well as the price and the service.

According to the study, it is a practically relevant aspect of the concept that the Freight Integrator, in contrast to a transport broker, take responsibility for the tasks related to the transport.5 Beside all transport assignments (also including the provision of the necessary documents), the Freight Integrator has to take over the logistic planning (the design of the transitions between the individual carriers both geographic and in terms of deadline) and finally the observation of the whole processes to be able to intervene directly when problems arise and to inform the client if necessary. In order to achieve this, the experts of the consortium emphasize, that the collection of information and its transmission is indispensable. Therefore, the use of modern technologies of information is leading to the destination.

For the customers, especially for small and medium-sized enterprises, one result of the concept of „One-Stop-Shopping“ is to take advantage of the environmentally friendly performances, which could not be realised within the current circumstances the market offers. With the principle „One Stop“, it will be easier to organise and calculate economically both for suppliers and customers. For the individual carrier or logistic service provider it facilitates to attend on the intermodal transport. In reverse, the Freight Integrator concept could help to supply the intermodal transport industry with new demanding parties which, without the

5 In this report the terms „transport service provider“ and „transport broker“ shall be defined as follows:

Transport Service Provider: As described above, the transport service provider is the responsible person for the planning and conduction of the transport in its entirety, like the provision of the applicable documents and the control of the transport. He has to provide information to the customer and is liable at first. Transport broker: The transport broker arranges the mandates or cargo volumes. He may as well be responsible for the planning of the transport but is not involved in the conduction of the transport and is also not liable unless he neglect his duty by operating as a broker (e.g. culpa in eligendo).

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freight integrator, would not have an economically rational chance of participating in intermodal transport.

Furthermore, information of high significance and quality is a crucial requirement as the Freight Integrator is integrated in all tasks. The Freight Integrator is able to refer this high-quality knowledge to the clients not just in line with the individual transport assignment, but also in general as a quality declaration about the specification of the individual carrier. So he can communicate the strengths of the intermodal carrier which may not yet be aware to the market.

At the moment, the trends in logistics provide absolutely positive prevailing conditions for the implementation and acceptance of the concept through all actors involved in the transport process (ref. Figure 2-2).


Chances for the Freight Integrator concept

Increasing ecological awareness

Absence of Customer‘s preferences

Containerized cargo

Collapse in road traffic

Major transport distances

Fig. 2-2 Positive general framework for the basic FI concept

KLAUS regards tendencies like the increasing ecological awareness or the rising „aversion“ against the carrier road as so called “megatrends” in logistics.6 However, interviews with companies made in several surveys showed that the clients do not have a favoured mode of transport in principle. The choice depends on objective criteria like accuracy, punctuality, price and safety of the goods. This is a chance, as well as a „levelling board“ for the attendances of a Freight Integrator in future.

Another megatrend in logistics is the globalisation furthering the implementation of the FI-concept. Widely ramified networks and global product cycles are leading to transports over 6 Vgl. KLAUS, P. (2003)

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larger distances. To overcome this distance, especially standard containers, but also swap trailers within the European transport, are adopted. As the intermodal transport can unfold its advantages at larger distances also in ecological regard this trend and its diverse consequences advance the concept in a sustainable way.

The Freight Integrator concept is yet subject to restraints, which are shown in the following Figure 2-3:


Problems of the Freight Integrator concept

Availability of goods

Availability of containers

Infrastructure

Rail traffic

Sea traffic

Staff training

Liability anddocumentation

Mentality / Attitude

Fig. 2-3 Problems of the basic FI concept

The acquisition of the analysis in line with the „Study on Freight Integrators“, outlines the restraints of the concept. Problems are to be found in the availability of standard containers as well as in structural immanent weaknesses of rail (hardly flexible schedules, partly long transport times, absence of international cooperation) and waterway (higher dependence on weather and seasonal terms / flood etc.) as a mode of transport. These negative impulses are not yet specified by the concept, but a known and focused problem of the intermodal transport in general.

Beside the specific problems with the infrastructure and the individual modes of transport, the study also showed a difficulty for the intermodal transport in Europe through the absence of a standard legal framework. There are different national and international legal systems with different extents of liability and claim settlements for different areas of the intermodal transports. Partly indirect by executive order law, these different legal systems lead to very different prerequisites for taking legal action regarding the documentation of goods and

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transport. The study mentioned a potential of 10 % for the reduction of costs, which could be avoided with a standard limit of liability for all transport modes.7

Another „border“ for the implementation of the concept is yet shown through the deficit in education for the transport sector in Germany, and through mental aversion, and missing incentives for the individual carrier. Within the EU, Germany can be designated as the most advanced country regarding the professional training of forwarding agents. The outcome of this is that Germany is also advanced in the field of action of the Freight Integrator. With the German dual system, the trainees get also theory tuition, so that there would be a possibility to bring the concept closer to the employees even before their entrance into the company career with this system of training. However, in Germany most companies train up their staff according to their own main focus (which means a road haulier does not have the opportunity to train his employees on transports with train or barges). Other European countries do have more problems with their job training. There, the employees only have the possibility to learn a job through practical experiences due to the absence of other training structures. As a summary, the study shows that there is a deficiency of comprehensive and integrated elements in the education and consequently in the personal skills of the employees who are planning und arranging the transport.

The absence of incentives is the crucial factor for the individual carrier, mainly in times of limited economic growth potential. The people who were interviewed in the study expressed that the government (national or EU) has to create the right atmosphere and the legal basic conditions for the shipper to be able to arrange the combination of the different modes of transport as demanded by the transport policy. The individual forwarder will hardly be convinced to be part of the intermodal transport, as long as his own fleet is not working to full capacity. This example shows, that a forwarder is not able to be a Freight Integrator: Due to his own economic interests, he would not be able to arrange the transports without prejudice in an efficient and sustainable way (seen from the economical as well as ecological point of view).

Therefore, the study points out that the concept of a Freight Integrator has not yet been achieved by any existing company in Europe, whereas about 150 companies have come very close to the demands. But there is definitely no room for a whole new job. According to experts, the concept can only stand the practical test by implementing consequently its basic criteria (compare with fig. 2-1), whereas the prevailing conditions mentioned above have to be guaranteed. At the present stage, the study regards it very difficult that logistic service providers are able to offer this service to their clients. Here the study identifies a lack of decisive knowledge, gained from experiences.

As a measure supporting the implementation of the Freight Integrator concept, the experts of the survey suggest the establishment of „Promotion Centres“ apart from the already mentioned „incentives“ on the transport policy level for the elimination of the deficits concerning information, qualification, and image. The set up of an internet platform regarding the topic of intermodal transports or the establishment of honorariums for the “best practice” are possible actions. Besides, there is a need for mid-term action in the problem areas that

7 In this context the new settled UNCTAD/ ICC Model Rules shall be mentioned but the authors of this study do not consider

these rules to be sufficient regarding the intermodal transport.

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are mentioned above (unification of training standards, questions of liability, harmonised standards of documentation etc.). The recommended measures, which are settled in the study, are shown in the following Figure 2-4:


Mentality / Attitude

Deficits concerning information und qualification

Liability and documentation

Absence of incentives

Infrastructure,Modes of transport and

technical problems

Establishment of „Promotion Offices“

Creation of a web page about intermodal transport

Reward of the best performance

Benchmarking analyses and constitutive certification

Harmonisation of training standards

Standardisation of liability and documentation

Improvement of general infrastructure

Harmonisation of tariff systems

Development of an intermodal transport unit

short-termm

edium-

term

long-term

Possible measures

´́

Different frameworkcondition cluster

Fig. 2-4 Actions by the implementation of the FI concept

The study forecasts the success of this call for action on the basis of two steps.

As a first step, the existing potential of the unimodal transport is determined for the intermodal transport by the specific communication of the opportunities (this assessment is based on the consideration that even today more shippers would perform intermodal operations, if they were better informed).

As a second step, the recommended measures (as described above) show success and lead to a new decision of the shipper in favour of the intermodal transport. This is shown in the following Figure 2-5.

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unimodal

„hidden potential“

intermodal

unimodal

intermodal

unimodal

intermodaltr

ansp

ort v

olum

e

„currentstate“

Improvedinformation

Implementation of recommended measures

„1st step“ „2nd step“

Fig. 2-5 The basic FI concept of the potential of intermodal transport

2.1.2 Consultation Procedure and „Freight Integrator Action Plan“ of the European Commission

The “Study on Freight Integrator” was the first important contribution for the definition and presentation of the term “Freight Integrator”. In the same year, the European Commission published a “Consultation Paper” with the title “Freight Integrator Action Plan `Supporting the organisers of intermodal freight transport´”8. Starting from the results of the study, the EU defined four fields of action for the realisation of a Freight Integrator:

• Improve knowledge, awareness and understanding of intermodal transport;

• Simplify intermodal transport through further standardisation;

• Foster the commitment and co-operation of transport service providers;

• Clarify the responsibility and accountability in intermodal transport.9

Hereunto the commission invited all institutions which were interested to give their comments and suggestions in order to promote the further definition of the approach.

Furthermore, the EU adopted the definition of the „Study on Freight Integrators“ (see above) and defined six criteria of the Freight Integrator accordingly:

8 Compare EU KOMMISSION (2003). 9 Compare EU KOMMISSION (2003), page 3.

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1. The ability to devise intermodal transport solutions suitable for sophisticated supply chains;

2. Neutrality in order to advise, build co-operation and mediate in the case of dispute;

3. Knowledge and experience of all transport modes, as well as storage and handling of goods;

4. Long term relationship with shippers and operators;

5. Access to information about transport services, operators and shipments;

6. Access to a broad network of contacts and partners. 10

The criteria are meant enable the Freight Integrator to consider the oftentimes different interests of the shipper and logistic service provider, and to offer economically attractive services, especially for the small and middle-classed companies. As a support, the European Commission created the „Freight Integrator Action Plan“ starting from the recommendation of measures of the “Study on Freight Integrators”.

Beside many other institutions, also the Europlatform11 met the demand for comment. The Deutsche GVZ-Gesellschaft (DGG) as roof organisation of the German Freight Villages provides one of the vice-presidents of the organisation, which are organised in form of an E.E.I.G. (European Economic Interest Grouping), which is the roof organisation of the European transport centres and an important interest group on the European transport policy level. In their script of comment, the Europlatform indicated the holistic acceptance of the statements of the concept and the elementary meaning of the infrastructure. The main point in the script of the Europlatform was yet the excellent qualification of freight villages for the implementation of the concept with all defined criteria:

„Freight Village (FV) with their consequent Public Private Partnership approach have proved to support freight intermodality by offering both infrastructural and organisational conditions for modal shift. Therefore FV boast the key qualifications for the implementation of the FI concept.” (cited after the script of Europlatforms).

2.1.3 Conclusion and new definition of the concept by the European Commission The term “Freight Integrator” has developed, since it was mentioned for the first time in the White Paper 2010 „Time to decide“, from a „new job“ to a concept that can be realized by the implementation of the defined criteria. Regarding this, the commission pointed out:

10 Compare EU KOMMISSION (2003), page 8-9. 11 For more information about the European roof organisation of the freight villages please visit www.freight-village.com.

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„Behind the headword Freight Integrator is rather hiding a working programme that the commission is about to resume into an action plan. This one will imply different measures which demand for combined efforts of the EU commission and member states, industry and organisations [...]“.12

Also the training and the advanced retraining is seen as a crucial point of the concept, whereas the target group are the small and medium-seized companies. Beside the standardisation, harmonisation and simplification of the liability rules, also document instructions can be adapted and simplified to enable the access and the use of the intermodal transport for the forwarding agencies. Anyhow, a cost advantage may be achieved with the further standardisation of containers (e.g. a palletwide stackable box).

All these measures may only lead to the implementation of the concept on long term. At short-term the “Promotion Offices” may be the better choice, also due to the positive experiences made with the Short Sea Shipping Promotion Centres or with the promotion of inland waterways. The concept had been discussed for a long time as being applicable for forwarders only, but this has not been cleared yet:

“The most possible amount of actors shall be able to identify themselves with this initiative and shall like to join in at last […]. [The commission see] for example freight villages with the target to organise transports from and to the city centres. Or shippers, that in most of the cases have a special idea on how their cargo shall be transported“.13

The Promotion Offices may support the establishment of co-operation activities of forwarders or even provide a platform to coordinate the training and retraining of the forwarding agents beside of the general information on the intermodal transport.

The Freight Integrator can therefore be described not as a person, but as an action programme that can be implemented on three different modes. It can first be implemented by the logistic service providers and shipper (One Stop Shopping), on long term with the successful establishment of the necessary framework conditions regarding the legal and transport political aspects as well as for example safety aspects and on short-term with Promotion Offices.

The new definition of the Freight Integrator is shown in the next Figure 2-6.

12 Compare DAHM, C. (2004); cited are the words (translated) of Stefan Tostmann (as partner in the interview of Dahm),

Directorate-General for Energy and Transport, page 98. 13 Words of Stefan Tostmann (translated), cited after DAHM, C. (2004), page 99.

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Source: Own figure

Freight Integrator

Superiorbasic conditions

Promotion office

„Freight IntegratorAction Plan“

„One Stop Shopping“ concept

Focus: Freight Villages (FV)

• legal• transport policy• safety aspects

Shipper

Fig. 2-6 New definition of the Freight Integrator Concept

2.1.4 Integrated Services in the Intermodal Chain (ISIC) In the summer of 2004, the EU advertised a study titled “Implementation of the Freight Integrator Action Plan”14. This study actually quit with the term of “Freight Integrator”. The concept is now described as “Intermodal Development Centre - IDC”. The study was conducted within an international expert consortium, teamed up by leading research and consulting institutions15. The initial title of this study, “Implementation of the Freight Integrator Action Plan”, was changed during the cause of the project into “Integrated Services in the Intermodal Chain – ISIC”. The consortium decided this name to cover better the nature of the action that had been distinguished.

The study focused on the concept of the Promotion Office, not making any references to the “One Stop Shopping”-concept anymore. But the survey restructured this concept into the new conceptual implementation base of the “old” Freight Integrator into the “new” Intermodal Development Centre. This process shall be illustrated by the following Figure 2-7.

14 Tender N° TREN G3/25/2004 of the European Commission, Contract No. TREN/04/MD/S07.38573. 15 The study had been conducted by the consortium teamed up by BMT Transport Solutions (DE), NEA Transport Research

and Training (NL), RAPP Trans (CH), TETRAPLAN (DK), AMRIE (BE), NESTEAR (FR), Gruppo Clas (IT), European Intermodal Association (BE), NTUA (GR), ILIM (PL), CDV Transport Research Centre (CZ).

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IDCIntermodal Development

Centre

Freight Integrator

“Transport Service Provider“

“Promotion Office“

„Shifting from Freight Integrator to IDC“

Source: Own figure

Fig. 2-7 Development from Freight Integrator to Intermodal Development Centre

The following fields of action were defined as work packages:

• Improving intermodal liability and documentation

• Harmonising technical requirements for intermodal transport equipment

• Improving quality of intermodal terminals

• Certification and training for intermodal transport (providers)

• Promotion of intermodal transport

• Socio-economic cost-benefit analysis for all integrated actions of the Freight Integrator Action Plan (renamed: socio-economic cost-benefit analysis for all ISIC actions)

The study gives a new definition of the concept as follows:

“An IDC is a catalyst non-profit organisation which neutrally works on developing intermodal freight solutions along European corridors with a high intermodal potential, overcoming barriers, improving communication and creating synergies among actors, and generally supporting the shift towards more environmentally friendly modes of transport“.16

16 ECORYS (2005), page 90.

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In the Task F of the study (promotion of intermodal transport), this concept and its implementation is shown and explained in detail. In the following, the most important benchmarks of the “new” concept shall be illustrated. The rough contents of the concepts can be illustrated as in the following Figure 2-8.

IDC

Intermodal Development Centre

IDCs shall bridge the knowledge gap between transportsupply and demand

help overcome barriers to intermodal solutions

generally improve communication between stakeholderson the demand side (shippers, forwarders) the supply side(transport operators, infrastructure providers) and thepolicy side (authorities and regulators).

Contents of the IDC-idea

Source: ECORYS (2005), “ISIC“-Project final report Task F, own illustration

Fig. 2-8 Contents of the IDC-idea

In consequence of the already existing research material, three customer groups for the IDC can be identified.

1. Demand side: the user of the IDC

The users can be divided into two categories. First the shippers and those who operate on their behalf, and second independent freight forwarders.

2. Supply side: transport operators and infrastructure suppliers

The supply side is built by intermodal transport operators, infrastructure providers and terminals, shipping lines ancillary services such as traction, rolling stock containers etc.

3. Policy side: policy makers and administration

On the policy side the stakeholder of the IDC concept are the European, national and regional authorities, administrations and public-equivalent bodies who are able to influence the market of intermodal transport.

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The IDCS should provide advice and guidance to business actors and public organisations that assist the establishment of a dynamic overall framework where competition can ensure the application of best practice in term of technology, business and organisational practice. At the same time the IDCs have to avoid at any stage a competitive behaviour themselves.

The implementation of IDCs on the intermodal transport development services market will fill a market gap not met in full by other providers for specific corridors with a good intermodal growth potential. But the IDC must not interfere with the market by offering any services that are already adequately provided by commercially operating logistics companies.

IDC


Demand side(shippers, forwarders)

Supply side(transport operators,

infrastructure providers)Policy side

(authorities and regulators)

„bridge theknowledge gap“

„help overcome barriersto intermodal solutions“

„improve communication“


Fig. 2-9 The stakeholders of the IDC-concept

The IDCs are subject to several requirements of the three groups of stakeholder. Following table 2-1 gives an overview of the singular demands.

Table 2-1 Demands to the IDC (source: ECORYS (2006))

Demands of the stakeholder to the IDC

• Highlight intermodal options

• Show efficiency improvements

• Demonstrate systems integrations Demand side

• Provide value-added information services and advanced heuristics

Supply side • Demonstrate demand

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• Contribute to performance benchmarking

• Support infrastructure development

• Advise the equipment supply industry

• Support environmental goals

• Contribute to infrastructure planning on an international level

• Contribute to a better information infrastructure

• Contribute to increased safety and security

• Provide statistics

Policy side

• Create research synergies

The survey recommended an implementation of an IDC umbrella organisation as the first step towards the implementation of the singular IDCs. This procedure is experienced by the implementation of other enabling organisations, such as Short Sea Shipping Promotion Centres and Logistics Competence Centres.

The implementation of the concept should thus start with a slim – e.g. “virtual” – organisation to carry out at first the core missions of the IDC concept that can be described as:

• Representation

Maintain a web presentation with general information on the IDC mission and services and summary information on all EC-approved IDCs, linking to their singular web pages.

• Contact point

Serve as a common point of reference for general inquiries.

• Liaison function

Implement networks with the European Commission and other relevant bodies and initiatives supporting the common transport policy, identify synergies, and contribute to strategy development.

After the first implementation on the market, further tasks may be added if there is an identified demand. These may be:

• Public relation

• Central knowledge base

• IDC definition support

• Network services

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• Auditing function

• Database function.

The set up and the operation of the IDC umbrella organisation should be fully funded by the European Commission; the scope of funding depends on the tasks the umbrella organisation shall fulfil on the markets demand.

After the implementation or even at the same time, singular organisations shall apply for the IDC status. The survey defined two categories of services the singular IDC shall offer. The organisations applying must demonstrate that they offer the core set of tasks, the institutional service, in a neutral manner, neither preferring nor excluding any market actors. At all, the institutional services are to be offered to all stakeholders on a non-discriminatory basis. By the provision of the institutional services, the IDCs make the stakeholders aware of the intermodal options in the respective area or range. The IDCs should be thus the interface among intermodal potential, relevant actors and general information (“knowledge”) and provide the platform for open discussions and the definition of successful transport solutions.

Beside the institutional services, the IDCs may also offer additional revenue-based services depending on their abilities and staff equipment. The services “with costs” as shown below are more or less examples, the IDCs are free to define further revenue-based services in correspondence with the market’s demands. But they have to ensure that they are not in conflict with the provision of the core institutional service.

IDC institutional service and revenue-generating services

IDC - Intermodal Development Centre

Intermodal consulting Training Research

activities

Provide a platform

Assess the feasibility of services

Promote intermodal transport

Provide a knowledge base

Create information transparancy

„free“Institutional

service

„with costs“Revenue

generating services


Fig. 2-10 Schematic view of the IDC services

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The described institutional service covers the core services, the IDC has to provide to fulfil the mission of the concept. The quality and quantity level of the institutional service may depend on the size of the singular organisations, their resources, location and market structure.

As pointed out so often before, it is crucial for the success of the whole concept that the IDCs behave in a strictly neutral fashion. The IDCs should be able to arbitrate between diverse public and commercial interests. It is therefore a sensitive issue which must be handled with diplomatic care, that the IDCs shall also generate revenues by its own services. The revenues should hence be reinvested to improve the institutional service. IDCs are not meant to compete with already existing promotion and development organisations, but should actively seek to realise synergies through cooperation and networking. In order to avoid market strains, the IDCs are defined as non-profit organisations that do not compete with commercial logistics providers, operators or consultants.

Institutional options for IDCs

Hosted IDC

Sharing resources but creating a separate organisational

identity

Stand Alone IDC

Independent office



Fig. 2-11 Institutional options for the IDCs

The concept of the hosted IDC implies the existence of an institution, either private or public, public-private partnership (PPP) or trade association that are able to provide the core institutional services (compare fig. 2-10). Furthermore, they have to demonstrate their independence from commercial interests that may prevent the transparent and non-discriminatory provision of the IDC service.

The hosted IDC should have its own legal status and issuing its own balance sheet. The operational costs are to be shared with the hosting organisation.

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The stand alone IDC may be realised by a public association or a public-private partnership (PPP). The partly-commercial (additional revenue based services) role of the IDCs makes this institutional model similar to those of logistic competence centres or regional development agencies.

The IDC is more or less only defined by the actions and measures which are implemented either by the IDC umbrella organisation or the singular IDCs. Therefore the singular institutional services as core elements of the “mission” IDC shall be described more detailed in the following as a conclusion of the illustration of the IDC-concept.

IDC-traditional tasks (members oriented) (1)

A. Platform

• Initiate and organise events for cross-sector meetings and discussion to help bridge the gap between the supply side and the demand side and communicate requirements to thepolicy side.

B. (Market) Research for the feasibility of intermodal transport services

• Analyse market opportunities in the corridor and drivers of modal choice, research practical and costefficient intermodal alternatives;

• provide advice to potential users and suppliers of intermodal transport.


Fig. 2-12 IDC core elements – Task A and B

The category of platform services is related to all activities that aim at bringing the different actors of the transport chain (or even supply chain) together. Useful platform tools are:

Round table discussions,

Workshops (technical or organisational workshops),

Knowledge transfer (like e.g. brainstorming),

Networking with existing initiatives (“be a network partner”),

Community tools (discussion forums, mailing lists etc.)

The second service category (TASK B) covers measures of evaluation of the feasibility of intermodal options, leading to the identification of gaps and opportunities.

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C. Traditional Promotion• Promote corridor-specific intermodal demonstrators, supporting the

actors involved.

• Raise awareness regarding intermodal transport, for example through information events, presentations at conferences and trade shows, public relations, or online and print publications.

D. Improvement of a knowledge base

• Capture and communicate stakeholder requirements;

• make available market analyses, training material and background information needed to understand intermodal transport;

• facilitate knowledge transfer and best practice information exchange.


Fig. 2-13 IDC core elements – Task C and D

The Task C is divided into two groups of measures. IDCs can stimulate the communication between different transport users and providers in different modes of transport. This can be based on the feasibility assessment described above. It is also linked to the platform category (Task A) and may results in e.g. meetings.

On a more general level, IDCs should use promotion tools to make potential customers aware of the intermodal transport and its benefits, give information about the status quo.

Tools can be:

Targeted information events like seminars and conferences,

Promotion via print media like brochures, folders, case reports etc.,

Promotion via web pages (singular IDC web pages and homepage of the IDC umbrella organisation) and mailing lists,

(Effective) public relations by articles in established print and online publications,

General presentation of intermodal concepts (talks, posters) and “success cases”,

Participation in conferences and discussions,

Networking with trade associations, policy actors and other stakeholder groups.

Task D provides the knowledge base to support the IDC promotion, training and consulting activity, regarding information of the transport market, the technical infrastructure, and issues of specific market demands (for example in specific transport corridors).

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E. Information transparency

• Collect and facilitate access to information on thesupply services in the relevant corridors;

• seeking co-operation with transport operators, infrastructure providers and ancillary service providers.


Fig. 2-14 IDC core elements – Task E

Information transparency is crucial in all feasibility assessments of intermodal transport. IDCs should collect ancillary information relevant for intermodal transport in the specific corridor (each IDC after the concrete market demands).

In the long term, the IDC umbrella organisation may develop an information database as online application, showing possible and existing transport services that can serve as elements in the intermodal transport chain. For this the co-operation with operators is necessary. Information will be needed on the singular transport operators (possibly including performance schemes), terminals and infrastructure providers as well as other ancillary services contributing to the realisation of the intermodal transport.

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3 Transport and Logistic Centre as IDC

3.1 First approach: Logistics centres as IDC A Logistic Centre17 is characterised by the following features: at first, by the settling of traffic economic enterprises, logistics providers, logistics intensive industry and trade companies in one (or more, then functionally linked) industrial estates. Logistics Centres dispose of an interface function or intersection respectively between local and long-distance traffic.

These Freight Villages have got a connection to at least two carriers, in particular road/ rail, normally by Intermodal Terminals. As opposed to conventional transport industrial estates the exhaustion of synergy potentials is pursued by neutral moderation authorities (i.e. logistics centres development companies) purposefully in logistics centres. Beyond this Freight Villages represent a logistic competence centre and they support the intermodal transport development. Another important feature is the Logistics Centres’ tendency to co-operate nationally and internationally and consequently create efficient transport chains and network solutions for optimal cargo flow and distribution.

The operators can either be owners or tenants of buildings and facilities (warehouses, distribution centres, storage areas, offices, truck services etc.), which have been built there. Logistics Centres allow access to all companies involved in the activities set out above.

Spatial concentration of independent logistics (e.g. transport, distribution, warehousing) and commercial trade companies in an industrial estate

Intersection of two or more different transport modes; particulary road/rail (Intermodal Terminal)

Definition Freight Village

Target:

The cooperation between companiesimproves the commercial and ecologicalefficiency. The cooperation iscoordinated by an independent development company (FV- managingcompany)

Source: Own figure

Fig. 3-1 Definition Freight Village

17 In the following, the terms „Logistics Centre“, Freight Village - FV“ and „GVZ“ as abbreviation of the German

„Güterverkehrszentrum“ have to be understand synonymously.

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In economic regard Logistics Centres pursue several aims. The improvement of the economic structure of the region is one main aspect. The employees’ situation, the competitive situation of the logistics service providers and the location quality for industry and trade are further advancements which are targeted as sub-goals.

Looking at the traffic optimisation the relief of the traffic sector is the most important factor. This can be supported by area and modal traffic shift, traffic reduction and traffic prevention. Logistics areas imply an increase of road goods transport which yields the possibility to reduce the transport effects on the environment.

Concerning ecological sensitiveness the relief of the environment and the surrounding area is the main goal. This actually means to relieve the environment from emissions and to increase the regional scope. During the last decades ecological concerns have increased and national legislation in terms of environmental protection became more important.

Model structureMain rail lines

Container Depot Intermodal Terminal

Operating/trucking Pool Repair

Main internal road links Main internal road links

ServiceCentre

Admini-stration

Truck-Service(Truck-wash)

CafeteriaRestaurant

Sales/Leasing

GroupagePostparceldistributiondepot

Bahntransparceldepot

Dangerousgoods

Disposal SpecialLogisticse.g. City-Logistics

Basic-companies(logistic)Service station

Warehousing, transport,distribution

other transport modes

Ext

erna

l pro

duct

ion

activ

ities

Exp

ansi

on a

reas

supr

areg

iona

llin

ks

Source: Own figure

Fig. 3-2 Freight Village model structure

GVZ advantages: • high-level road/motorway access and proximity to conurbations (short reaction and

delivery times)

• intermodality increases commercial flexibility and investment security (present bonus or future option)

• low conflict potential (round the clock operation possible)

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• co-operative activities (cost savings for telecom, energy etc.)

• wide service spectrum (truck service, customs clearance, etc.)

• sufficient land size for logistics-intensive purposes with excellent transport access

• support for SME’s by FV management.

A Logistics Centre offers a multitude of advantages for companies. First of all, the proximity to other companies and businesses is given. A basic question is the idea of cooperation between enterprises. Moreover the proximity to several logistic interfaces is another important aspect.

In addition high dedication of the business development society, FV-developing company (GVZE) and public institutions may be a determining factor for companies to settle in a Logistics Centre.

Considering the costs admissible land prices are to be found in Logistics Centres or Freight Villages respectively. Beyond it only few reasonable chances exist for companies to acquire property in the above-mentioned areas due to noise-protection and the resulting restrictions of the operating periods. E.g. new businesses are thus given the option of regional expansions.

3.2 Examples in Bremen – GVZ (Freight Village) Bremen The aforesaid is more or less a short recapitulation of the sub-work-package “Analysis of institutional and organisational solutions in the development of transport & logistics centres (WP 3.2)”. Now, the example Bremen is chosen to demonstrate the synergy potential existing for the implementation of the IDC-concept in more detail. Bremen was the first Freight Village established in Germany and is with its long and salutary history an ideal “case” to monitor the conceptual programme.

3.2.1 GVZ (Freight Village) Bremen With more than 1.200 companies and about 40.000 employees the German Freight Villages are important landmarks in the logistical landscape in Germany. The Logistics Centre Bremen was the first completely developed German FV in 1984. One of the driving factors for the establishment was the demand for extension or removal of existing distribution and warehousing facilities in the city area. A few years later, in 1989, the combined traffic terminal “Roland Umschlaggesellschaft mbH” was opened and about 1.000 employees were engaged in an industrial estate of 50 ha. The number of engaged people doubled between 1989 and 1992.

The Logistics Centre Bremen displays a successful concept. It disposes of 362 ha of total area. In this industrial estate 120 enterprises are located which engage more than 5.500 employees including 200 apprentices. To date 450 Mio. Euro have been invested financed by public authorities and private enterprises.

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GVZ Bremen

Source: GVZe Bremen, 2006

Fig. 3-3 Freight Village (GVZ) Bremen

Concerning the original sites of companies several difficulties existed there. One main aspect was the fairly problematical transport connection. Beyond a shortage of space for the companies’ facilities and missing expandability-possibilities subsisted. High lease rental charges (long-term building lease) on the one hand and expiring contracts on the other hand have also been decisive for the change of location.

Furthermore the high conflict capability and charges due to sites in or close to residential areas have been one more crucial problem for enterprises. Bad functioning logistic transport organisation due to unchangeable building structures is another aspect regarding problems at original sites.

3.2.2 GVZE (Freight Village development company) Bremen The Freight Village Bremen is – like almost every German Freight Village – managed by a central unit, the Freight Village Development company GVZE Bremen. This central unit is organised as a limited company in public private partnership (the public sector is one of the shareholders of the company).

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Advisory councilGVZE (FV)development company Bremen

>_

tasks / products (internal and external FV products)

FV-members

privatecompanies(i.e. DB AG)

City of Bremen

an independentexpert

several privateFV- companies

City of Bremen( 25%)= ppp public

privatepartnership

For example: General administration, creationof logistic products, FV- presentation, PR

FV Bremen development company

Source: Own figure

Fig. 3-4 FV-Bremen development company

This management unit makes the difference between a Freight Village and an “ordinary” industrial estate. The GVZE commits itself to the complex performance interlocking of the freight villages. By taking over management tasks, the GVZE initiates and modernises activities of cooperation recognising synergy potentials and achieving cost advantages on behalf of the enterprises located. Apart from this, the GVZE is the service and communication platform for the companies and institutions involved.

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GVZe

AutonomousEnterprises

GVZe = FV development company

The FV- management company structure

Source: Own figure

FV

Fig. 3-5 FV-development company structure

The business fields of the GVZE of Bremen can be summarised by the following keywords:

• Management

o organisation of the infra- and suprastructure (e.g. traffic guidance system, local public transport)

• Services

o platform of information (capacities balancing, notes on traffic, road works, and traffic jams)

o pooling / purchase service contracts (e.g. energy, telecommunications, consumables)

o cooperation partners for special areas (e.g. dangerous goods, job safety, company medical officers, training and retraining)

• Consulting

o freight village specific issues (business conceptions, traffic facilities, central organisational issues)

o conception and advising of commercial areas

• Communication

o events/“centertainment“

o Personnel communication (forum internum and forum externum)

• Public Relations

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o guided tours for visitors

o lectures and site visits

o fair attendance (like transport logistic – transport fair in Munich, German Logistics Congress)

o Media (print media like folders, press releases, Internet)

• Projects

o Implementation of a telematic platform disposed to Freight Villages (virtual FV / LogSolutions)

o Waste disposal/integrated environmental management

• Workshops

o good(s) idea workshop

o traffic and transport (chamber of commerce Bremen)

o customs

o regional /spatial topics like the Freight Villages in Lower Saxony o topics of current interest or special fields of interest

• Intermodal Transport Promotion centre o intermodal transport working groups o expert councils

The Freight Villages have to be positioned as location factors in the competition of the regions (generation of competence). Even more chances can be realised within a national network of logistical knots and by the inclusion of further transport industrial estates, (inner) harbours, airports etc. A core task of the management unit is the supra-regional promotion of the Macrologistics Concept.

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4 Chances of Implementation of the IDC concept As said above, the IDC’s can as described in the survey “Integrated Services in the Intermodal Chain” be implemented as “hosted” IDC or on a “stand-alone” base, both with an own organisational identity. The cited study also proposes an “exit rule” for the stand alone IDC as public-private partnership, if the revenue-generating services the IDC’s shall perform reach an economic level not allowing anymore to fulfil the core services at a neutral base. This proposed “exit rule” shows very well the disadvantage of completely new founded companies, even if they are co-funded by the public sector. After a first start-up financial aid the institution has to gain profit to exist as an organisational entity. This own economic interest will then hinder the neutral moderation function.

On the other hand, public bodies on their own are, due to their limited funds, not able to secure the commitment on long term. The European funding programmes may be an opportunity, but on the long term it might not be reliable for the singular IDC’s that shall be established all over Europe. So after these considerations it might be the best choice to realise the IDC concept via hosted institutions.

This is not exactly the recommendation of the cited survey. The experts here recommended to establish first an IDC umbrella organisation as main operational instrument for the implementation of the concept and later on the application of the singular IDC’s. The IDC’s may, according to the recommendation of the experts, be either existing organisations or new entities. This procedure is common and known for example by the implementation of Short Sea Shipping Promotion Centres. As emphasised before, the IDC’s are not meant to compete with already existing intermodal promotions and development organisations, but to co-operate and to build up networks.

The experts of the survey identified several differences between the existing organisations and the IDC concept, which may by the reason for the recommendation of a new IDC-organisation as umbrella organisation. According to their opinion, the differences are18:

Many of the existing organisations focus mainly on the region and/or on particular transport modes. In contrast, IDC’s promote and develop European trans-national intermodal corridors.

IDC’s will reflect an active market interest as evidenced in the IDC business plans to be submitted in an application for IDC status. In cases where IDC’s are set up as Private Public Partnership, business partners act as shareholders, thereby testifying the market relevance of the respective IDC.

IDC’s extend the focus on promotion to offer also intermodal development support, complementing their institutional services with the revenue-generating services such as intermodal consulting where these services are not (or not effectively) offered by the market.

18 ECORYS (2005), page 89.

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The fact that IDC’s will operate with the support of a common EU-sponsored umbrella organisation facilitates a well co-ordinated and integrated development.

The Freight Villages, as shown above, fulfil these criteria and, apart from this, even provide an existing network of contacts and physical structures. With the German GVZ-Gesellschaft, the roof organisation of the German Freight Villages for example, the Logistics Centres in Germany have a link to the transport policy on national and European level and even in international relations. In other European countries similar structures exists, for example the FDT in Denmark, WZCL in Poland, UnionInterporti in Italy and ACTE in Spain. Most of the national roof organisations are member of the European Freight Village organisation Europlatforms. Therefore, the structure proposed by the experts of the survey already exists by means of the Logistics Centres.

Furthermore the Freight Villages are – even if they have a regional focus due to their commitment in regional or spatial logistics programmes like city logistics activities – via their management unit part of the network and therefore also interested in general policy questions. Most of the development companies are established as public private partnerships and used to the demand of both economic interests of the market and public targets. Logistics Centres are in addition not focused on one singular mode of transport, bimodal and trimodal Logistics Centres already exist and the positive synergies which may be gained by the proximity of a cargo airport are also granted.

Hosted IDC

Sharing resources but creating a separate organisational

identity

Stand Alone IDC

Independent office


Implementation through the FVs

IDC hosted by the Freight Villages

Fig. 4-1 Idea: implementation of the IDC concept through the FVs

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Due to the fact that Freight Villages often have a comparatively long history, several Freight Village development companies are known by their consulting activities on the sector of intermodal transport solutions. They thus can provide a specific know-how, which is appreciated and provides revenues.

Therefore it can be said that Logistics Centres are the “ideal” solution for the implementation of the IDC concept. A Freight Village is more than an industrial estate which “by instance” has the possibility of an intermodal interface, but provides a neutral moderation unit via the management unit (GVZE) and an existing network of contacts, reputations, references or additional opportunities to gain revenues by consulting and development activities due to their experiences! The chances for the IDC concept by the implementation through the Logistics Centres in Europe are first of all a considerable saving of time. The implementation process as proposed by the IDC-survey needs not only time to establish the roof organisation, but also to develop a criteria scheme to identify possible IDC’s and to nominate them. In a first approach by using the Logistics Centre Network, these time can be saved.

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5 Summary and Perspectives Even if after this summarisation of the conceptual base of the IDC concept and the strong possibility to implement the concept via the existing structure of the Logistics centres it may not be a dissipation to emphasize once again why this gives more or less a guideline to the possibilities of promotion strategies for the intermodal transport.

The institutional services of the IDC as described above generate the public awareness, even by the specific promotion as well as by the implementation of the concept itself. A strong position on the market may just as well be a promotion as for example a workshop, a lecture or media presentation. One has to keep in mind that the actors that should be informed and affected to use the intermodal transport are not driven by academic interest but by economical necessities.

Within the recent consultation paper on “Logistics for Promoting Intermodality”, intermodal logistics is considered as the transport part of the whole supply chain. This implies the need for an integrated view on intermodal transport solutions and the need for door-to-door promotion activities over the whole supply chain.

The above said gives a first indication of the diversity of intermodal promotion on regional, national and European level. Aiming to support intermodality there is the need for co-operation and co-ordination of activities leading to the vision to establish a strong network of co-operating national intermodal promotion centres being a focal point for promoting intermodality.

Already in June 2002 this development started with the Short Sea Shipping Promotion Centres - SPC. Then the European Union Transport Ministers discussed in Gijón the possibility of an action plan on the key issues for developing the political priority given to Short Sea Shipping. In the following, the Commission released a Communication in which one key strategy for promotion of Short Sea Shipping are identified with the SPC. Presently 20 SPC are installed and horizontally co-ordinated by the European Short Sea Network (ESN). In this respect the short sea mode clearly is a step further in terms of international organisation and co-operation of short sea promotion in Europe. It is therefore a logical step to take also the SPC network as a starting point for the extension of promotion of intermodality by means of integrating or co-operating on the promotion of intermodal transport options using rail and inland waterway transport.

In countries where no sea access is given and no SPC are established different intermodal promotion models are in place. The EU Commission recently for example approved the extension of the Austrian programme for the promotion of intermodal traffic. The promotion campaign will apply to all EU transport enterprises that operate in Austria. It is targeting at transport, handling and logistics enterprises, intermodal operators, terminal and port operators, as well as shipping and railway enterprises. The programme promotes the acquisition and/or leasing of equipment for IT services, innovative technologies and systems, feasibility studies for concrete measures as well as the costs of external training courses (information and communication systems).

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The EU has become aware that the already existing SPC – the Short Sea Shipping Promotion Centres – may generate impulses for the intermodal transport. These impulses are less concentrated on the “classis” intermodal interfaces road/rail. Therefore the EU aims at a shift or transfer of the SPC-concept into the hinterland. The SPC approach is thus the interesting basic framework. Even a closer relation the EU hopes to gain by the new developed concept, established as IPC – Intermodal Promotion Centre.

The ISL is partner in the recently assigned “Study on the Feasibility of Extending the Activities of Existing Mode-Specific Promotion Centres in Europe to Encompass the Wider Concept of Intermodal Transport”19. A further focus of the study is to attempt action of co-ordination. The general idea behind a “Coordination Action”, is to encourage the co-operation between key actors and stakeholders, research and consulting institutions, governmental authorities and other interested groups at national and European level. The consortium, the ISL is a member of, comprises the project partners, ensuring that continuity is maintained in the activities and work on the project. In this way repetition will be avoided and documents and experiences from the project will be used and further integrated as needed.

The study to be carried out is divided in two phases following the two main objectives:

• Phase I: Giving guidelines on how to proceed in extending the activities of existing mode specific promotion centres in Europe to encompass the wider concept of intermodal transport.

• Phase II: Demonstrate it in a number of targeted countries.

The results of this work-package may be an important share of the analysis of existing promotion strategies in phase I of the newly assigned study. The results may then be reused for the SUTRANET region and induce synergy-potential of high value.

The showed promotion strategies for intermodal transport solutions may then be implemented and measured. Then perhaps a sustainable evaluation of the IDC-concept, implemented through the networks of the Logistics Centres may contribute to the promotion of intermodal transport in the most efficient way: the identification of best practice.

19 EC Tender No. TREN/G3/367-2006.

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IDC


From IDC to IPC

Source: own illustration

Focus: Conceptual base

IPC

Intermodal PromotionCentre

Focus: Realisation of the concept

SPC

FV

IPC

SPC

IPC

FV

IPC

IDC


Demand side(shippers, forwarders)

Supply side(transport operators,

infrastructure providers)Policy side

(authorities and regulators)

„bridge theknowledge gap“

„help overcome barriersto intermodal solutions“

„improve communication“

Fig. 5-1 From IDC to IPC

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Bibliography

DAHM, C. (2004) Freight Integrator als Jongleur des Verkehrs, in : Internationales Verkehrswesen Nr. 56, Seite 98-99, Hamburg.

ECORYS (2005) Integrated Services in the Intermodal Chain (ISIC), final report Task F: Promotion of intermodal transport, dif. authors, co-ordinator ECORYS Transport, Hamburg

EU COMMISSION (2001) WHITE PAPER — European transport policy for 2010: time to decide, Brussels.

EU KOMMISSION (2003) Consultation Paper Freight Integrator Action Plan „Supporting the organisers of intermodal freight transport”, Brussels.

KLAUS, P. (2003) Die Top 100 der Logistik, Marktgrössen, Marktsegmente und Marktführer in der Logistikwirtschaft Deutschland und Europa, 3. Auflage, Bremen / Nürnberg.

KLOTZ, H. (2003) „Freight Integrator soll mit Leben erfüllt werden“, in: DVZ, Nr. 32, Seite 5, Hamburg.

ZLU ET AL (2003) Study on Freight Integrators, ZLU-Zentrum für Logistik und Unternehmensplanung, Internationale Schelde Faculteit (ISF), Kravag-Logistics, European Intermodal Association (EIA), European Logistics Association (ELA), Berlin.

3.2.4 Promotion Strategies

Documents

freight integrator concept

freight integrators

idc concept

eu concept

basic fi concept

freight integrator action

logistics centres

intermodal chain isic