Intermodal Transport as the Main Driver for Improving Logistics Costs - A Study of Viet Nam - Based Logistics Service Users

Abstract

Intermodality has become a major component of the systems approach to business, which is an integral part of what is commonly called “logistics management”. Another benefit of intermodality has been the cooperation between government and private enterprise in reducing unnecessary documentation, enabling goods in transit to keep pace with demand, enabling an efficient and cost-effective use of the transport system through unbroken chain and customer oriented door-to-door services. The economic basis for intermodal transport is to display favourable economic and operational characteristics individually, can be integrated in a door-to-door transport chain in order to improve the overall efficiency of the transport system. Intermodal transportation is a response to changes of international trade requirements for moving all types of cargo. Logistics costs are among important factors affecting the competitiveness of both companies and nations in the world. Companies can increase their competitiveness by reducing their logistics costs in which the transport costs share the highest propotion, as a result, the total costs of products and services can be reduced. The aim of this article is to evaluate the importance role of intermodal transport as the main factor which will contribute to improve logistics costs in Viet Nam by integrating modes of transport in unbroken chain with the seamless process. Research results are collected from surveys and interviews logistics service providers in Ho Chi Minh City, Vietnam, processed by SPSS software.