Socioeconomic conditions have changed and, as a result, there has been a
transition in the physical distribution.
The trends in domestic transport demand are now reviewed. A protracted recession
since FY1974 has reduced freight traffic for the past two years. Previously
traffic demand had increased at an annual rate of about 10%. Later, demand increased
but the growth rate was stagnant. (See
Figure 8.)
This is partly because the industrial structure is shifting its weight from
the mining an manufacturing industry to tertiary industries whose demand for
transport per added Wall is comparatively small and partly because even secondary
industries are beginning to change to products of a higher degree of processing.
On the other hand, the consignors are pressing the forwarders to prune distribution
costs and streamline the distribution structure as they are experiencing hardships
under business conditions which are far from good.
While the consignors are taking advantage of free choice, the freight forwarders
and truckers are struggling for shares of a small demand. The physical distribution
industries who so far have been rather quantity-minded, feel constrained to
push streamlining and modernization to survive the situation.
Progress of physical distribution activities has brought about social problems,
such as noise, gas emissions, and vibration along the roads. Considering that
the resources and energy situation has been growing tighter, the physical distribution
industry, in common with other industries, should promote energy-saving measures.
Distribution circles are also required to improve working conditions to attract
youths in order to employ skilled labor.
As mentioned above physical distribution sector is under pressure and is
facing the following pressing problems which must be solved as soon as possible:
a. Restructuring into energy-saving pollution-free physical distribution system
Motorization has progressed at a rapid pace and trucks presently in service
total some 11 million carrying 37.0% (ton-kilometer basis) of domestic freight.
It is expected that improved roads will further the growth of motorization.
Motorization, while aggravating traffic congestion, is on a collision course
with the limiting constraints of a finite environment and a fast dwindling stock
of energy sources. In view of these factors, trucking must be reviewed and a
proper alternate energy-saving pollutionfree system should be established to
maximize traffic space efficiency and minimize traffic accidents.
Firstly, such alternate transport means, high in energy and space efficiency
with little adverse effects on the environment, should be used as much as possible.
Secondly, the automobile itself must be improved so that it will operate
at a high fuel economy rate with NOx concentration reduced to a tolerably small
level. At present, it is of paramount importance to develop a pollution-free
engine for large-sized trucks, though it is reported that it is very difficult
to reduce NOx and noise levels simultaneously.
Thirdly, the new system must be unified, coordinated, or regulated. For example,
it will be necessary to promote consolidation of separate channeling activities
into a streamlined one, joint operation of local collection and dispatch centers,
switchover from private to commercial trucking services) etc. All these will
go a long way toward increasing the overall energy efficiency and reduce environment
deterriation.
b. Preparation of inter-city sundry goods transit system
At present, the transportation of sundry goods between cities is heavily
dependent on trucks.
Although the overall demand growth rate for freight transportation will go
down in the future, the demand for transportation of highly processed goods
is expected to grow above the average level.
On the other hand, the operation of long-range trucks is fraught with problems
- environmental pollution, driver health, energy problems, etc.
To cope with the expected increase in demand for transportation of sundry
goods, it will be necessary to encourage the use of coastal shipping, including
long-range ferry operation with its high energy efficiency.
From this point of view, the government is going to study a comprehensive
coastal shipping system for sundry goods.
c. Enhancement of efficiency in intracity physical distribution
To upgrade and streamline the physical distribution in cities, efforts have
been made to provide truck terminals around the cities since the early 1960s
in an attempt to separate arterial express services and intracity collection
and delivery terminal services from each other.
It is also desirable to carry out loading and unloading off the street to
alleviate traffic congestion and prevent air pollution and traffic accidents.
It will be necessary to study the feasibility of common facilities for efficiency
of this type of work.
Along with these hardware measures, software approaches have been tried in
an effort to solve physical distribution problems in major cities. For example,
experiments have been made with a joint routing system project, a joint home
delivery model project, etc., in the hope that overall loading efficiency of
the trucking system will be increased and that truck traffic will be greatly
reduced without affecting the efficiency of collection and dispatch services.
Much is expected of these projects. d. Strengthening foundation of physical
distribution industry
So far, the physical distribution industry has been preoccupied with expanding
volume alone. Now that a depressed tone has pervaded the whole economy, there
is not much hope of the industry benefitting from increased trade volume. The
consignors on the other hand are bent on whittling down excess weight in management
to improve competitiveness. In the face of these stark realities, the industry
must hasten to adjust its operating setup to the present slow economic growth
through modernization and streamlining of its business resources.
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