A framework to managing disruption risk in rail-truck intermodal transportation networks. (September 2021)

• Record Type: Journal Article
• Authors: Ke, Ginger Y.; Verma, Manish
• Is Part Of: Transportation research. Volume 153(2021)
• Publication Date: 2021-09
• Subjects: Rail-truck intermodal transportation -- Disruption management -- Regression analysis -- Risk mitigation and management -- Optimization; Logistics -- Periodicals; Transportation -- Periodicals; 388.011
• DOI: 10.1016/j.tre.2021.102340
• Languages: English
• ISSNs: 1366-5545

Abstract

Highlights: Random terminal disruptions with capacity loss are analyzed in rail-truck intermodal networks. Optimization models and regression analysis are integrated to build a decision framework. Drivers of criticality are uncovered to identify critical terminals. Multiple mitigation and recovery strategies are embedded to hedge against the disruption risk. A real-world intermodal infrastructure in the US is used to gain managerial insights. Abstract: Rail-truck intermodal transportation plays a vital role in freight transportation in North America, and hence a crucial issue is to ensure continuity and minimize the adverse impacts from disruption. We propose a framework based on optimization and regression analysis for recovery from random disruptions of rail intermodal terminals. Two mixed-integer programming models are developed to simulate the normal and post-disruption operations, and the outputs are used in a predictive analytics model to identify the determinants of terminal criticality. The proposed framework is applied to a case study built using the realistic infrastructure of a rail-truck intermodal network in the United States. The resulting analyses underscore the importance of implementing the mitigation strategy at a marginal increase in pre-disruption cost, which in turn not only improves network resiliency but also results in significant cost savings by not using the more expensive recovery strategies. We further show that intermodal train service design resulting in a more balanced distribution of freight in the network could also help reduce terminal criticality, and that it makes sense to have backup rental capacities for some terminals.