A Comparative Analysis in Modal Choice for Electronics Products from Thailand to Singapore

Abstract

Complicated production network and global markets have led to the difficulty of freight transport planning. Moreover, a competitive edge of logistics operations is becoming increasingly crucial due to ever-shorter product lifecycles. Adequate transport modes for effective and efficient physical distribution is essential for companies producing time-sensitive products. This study utilises a comparative analysis to evaluate the competing transport modes from the shippers’ perspectives. The corridor between Thailand and Singapore of a consumer electronics products manufacturer is employed as the empirical case to compare its transport costs for different modal choices, in which the distribution time and potentially risk exposure are considered. Analytical results reveal that the trucking service combining full truckload and less than truckload is the more cost-efficient mode than existing intermodal transportation in low to medium risk scenarios. This helps planners understand cross border operations in different modes and adopt appropriate modal choices based on their needs.