BACKHUALING BENEFITS FOR A PINEAPPLE CANNING MANUFACTURER

Abstract

Transportation is an important issue, as firms try to minimize cost so as to stay competitive.  When transportation cost is reduced, profit is increased.  Through backhauling, using otherwise empty returning vehicles, the total cost can be reduced.  Backhauling, maximizing vehicle use in both directions, also provides visibility of delivery to the company through its internal control can management of the fleet.  Efficiency of transportation management can be greatly improved.

This research project enhances the knowledge and awareness of applying backhaul transportation and the techniques of how to utilize this strategy.  A canned pineapple manufacturer in Thailand is the firm studied.  The research also mainly examines the possibility of applying backhauling to paper packaging material, and the conclusion is that the company should do this, as a strategic tool to improve its supply management and transport system.  This will minimize the total transportation cost and increase the visibility of the company’s control of supplies.