Competitive solutions for cooperating logistics providers

Abstract

This paper discusses solutions for gain sharing in consortia of logistic providers where joint planning of truckload deliveries enables the reduction of empty kilometres. The highly competitive nature of freight transport markets necessitates solutions that distinguish among the logistics providers based on their characteristics, even in situations with two players only. We introduce desirable properties in these situations and propose a solution that satisfies such properties. By comparing the existing solutions against the introduced properties we demonstrate the advantages of our proposed solution