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Introduction to UNESCAP Time/Cost - Distance Methodology

 

 

Click on any of the icons below for more information

 

 

An introductory slide show

What is the model?

The UNESCAP “Time/Cost - Distance Methodology” is a practical and simple way of illustrating the time and costs involved in the transportation process.

 

Click the presentation on the slide show for an illustrative explanation.

 

Once you have read through the explanation on this page you can try plotting a graph using the spreadsheet below in the left column with your own data.

 

 

Click below

 

 

Examples of the model being used in the UNESCAP region

 

The transport line

 

The transport line is the visual representation of the transport process, and is clearly illustrated in all the graphs as the plotted line (see slide show explanation). The diagonal transport line represents progress towards the destination, the flatter (i.e. more horizontal) the line the most time/cost efficient the mode of transport. For every intermodal transfer point and/or border crossing, there is likely to be a time and/or cost increase. The model can show clearly the most time consuming or costly parts of a shipment by simple vertical lines. The steeper the transport line the more inefficient or costly the mode of transport.

 

If the transport line becomes vertical then this shows either a bottleneck in the transport process or excessive costs when compared to the overall transport chain, the longer the vertical line the bigger the problem. Identifying when and where problems occur is the first step in finding a solution.

Contained in the slide show presentation is a real-life example of the model in use on a rail link between China and Mongolia. See the publication opposite for a very detailed explanation of the model in use in the UNESCAP region

 

 

Click below

 

 

An Excel Spreadsheet to automatically create your own model

How to tailor the model for your own use

To begin with keep it simple. Data can be an initial estimate by a freight forwarder or transport operator for an individual consignment or, even an average figure. Once the data is entered into the spreadsheet opposite a graph will be automatically produced. You may even experiment using the hypothetical data in the example given to familiarize yourself with the workings of the model.

 

It is best to look at one route or one particular shipment of goods. The minimum information needed is route, mode and distance plus either time or cost. Follow the 5 basic steps as we have done below.

 

Step 1 Establish the route you are going to examine i.e. A to B via C and D (or as in the above example in Figure 3 we have used Tianjin to Ulaanbaatar via the Erenhot and Zamyn Uud border).

 

Step 2 Ascertain what modes of transport are being used on your route (e.g. Road/Rail).

 

Step 3 Calculate the Distance between all the points (e,g. Tianjin  to Erenhot = 983Km)

 

Step 4 Check how long it takes for the goods to reach each point (e,g. Tianjin  to Erenhot = 29hrs 12min)

 

Step 5 Ascertain how much of the total cost is taken up by each leg of the journey, modal transfer, border crossing or other cost/tolls that are encountered. (e,g. Tianjin  to Erenhot = $500)

 

For the model to work at least the first three steps outlined above, plus either step four and/or five must be followed.  Once you have identified a route and gathered the data, use the spreadsheet above to enter the data and the graphs will be produced automatically.

 

Additional functions of the model