1. Freight Fluidity: Measurements of Freight System Performance TRANSPORTATION RESEARCH BOARD 2016 Research Advisory Committee TRB State Representatives Meeting Providence RI July 27, 2016

2. Freight: The Lifeblood of the North American Economy

3. MAP-21 Recognized Freight’s Importance

4. Freight: The Lifeblood of the North American Economy MAP-21 Recognized Freight’s Importance Freight Recognizes No Jurisdictional Boundaries

5. Freight: The Lifeblood of the North American Economy MAP-21 Recognized Freight’s Importance Freight Recognizes No Jurisdictional Boundaries Importance of End-to-End Supply Chains

6. Developing Freight Fluidity Performance Measures: A Supply Chain Perspective on Freight System Performance May 21-22, 2014

7. Supply Chains

8. Automotive Supply Chain – Chrysler Group, LLC Karl Mortenson Increase in Production 2010-2014 1.6M to 2.8M Vehicles Growth of Production in Mexico and Canada North/South, not Traditional East/West Freight Flows Parts and Vehicles – Two Way Flows Biggest Challenges: Weather Delays and Chicago Rail Congestion

9. Spice Supply Chain – McCormick and Co., Inc. Bob Utz Worldwide Spice Sources Black Pepper from India Cinnamon from Indonesia Imports Bring Customs, FDA, USDA into chain Bottlenecks and Delays Increase Inventory Costs

10. Agricultural Supply Chain – Perdue Agribusiness, LLC Sharon Clark Population Growth Will Drive Food Demand Weather Disruptions Cause Price Volatility Dispersed Nature of Growing Areas Presents Logistical Challenges

11. Grocery Supply Chain – H-E-B Stores Ken Allen Texas Based Family Owned Store Chain Texas Size – 800x850 mi Presents Challenges Time of Delivery Critical to Grocery Stores – Target is 99% OT I-35 in Austin is Major Bottleneck – Built $100 million Distribution Center 55 Miles North

12. Appliance Supply Chain – Whirlpool Corporation Michelle VanderMeer World’s Largest Appliance Manufacturer Product Origins: US 80% Mexico 15% Receive 305,000 Material Shipments Ship 18 Million Appliances in 205,000 Shipments Trucking Issues: Driver Shortage Compliance Issues

13. Freight Fluidity Measurements by Transport Canada Concentration on Import Trade Flows Looking to maximize benefits from port investments Shipments from Hong Kong & Shanghai through Vancouver and Prince Rupert to Calgary, Winnipeg, and Chicago Shipments from Antwerp through Montreal to Toronto and Chicago Measurement example: Container Dwell Time

14. U.S. Freight Fluidity Case Studies By Cambridge Systematics and Parsons Brinckerhoff for the I-95 Corridor Coalition Supply Chains Target® consumer goods from the Port of Seattle and the Ports of Los Angeles and Long Beach to New York by rail via Chicago GM auto parts by truck from suppliers in Canada and by rail from suppliers in Mexico to the GM assembly plant in Spring Hill, TN Perdue processed chicken by truck from the DelMarVa Peninsula through a consolidation center in Delaware to a wholesale distribution center in New York City Panasonic electronics by truck between manufacturing and assembly facilities in San Diego, CA and Tijuana, Mexico Soybeans from Illinois farms to a Louisiana port for export by barge.

15. U.S. Freight Fluidity Case Studies By Cambridge Systematics and Parsons Brinckerhoff for the I-95 Corridor Coalition Metrics Transit Times Reliability Safety Cost Risk

16. Additional Presentations Data Availability for Ports and Inland Waterways Truck GPS Data for Tracking Freight Flows Border Crossing Issues

17. Conference Outcomes Develop a Common Methodology for Freight Fluidity Explore Innovative Data Collection and Analysis Communicate Freight Fluidity Concept to Stakeholders Conduct Freight Fluidity Pilot Studies

18. FHWA Office of Freight Management and Operations Sponsored a Second Conference in December 2015 Built on Work Done at the First Workshop to Address Freight Performance Measures Requirements in the FAST Act

19. White Paper #1 Applications of Freight Fluidity Alan Pisarski, Alan Pisarski Consulting Who would use a Freight Fluidity Performance Measurement System and How? How Could this Measurement System Support the Transportation System and the Economy? Who Might Benefit from this System? What Are the Potential Policy Impacts?

20. White Paper #2 Freight Fluidity Scale of Analysis Bill Eisele and Juan Villa, Texas A&M Transportation Institute What is the Optimal Scale or Geography for Applying Freight Fluidity Performance Measures? What are the Options for Analyzing Corridors and Gateways Versus Analyzing Particular Supply Chains? What Factors Should be Considered in Determining the Appropriate Level of Analysis?

21. White Paper #3 Data Options and Analytic Issues Joe Bryan, Parsons Brinckerhoff Three Data Metrics: Speed/Travel Time, Reliability/Variability, and Cost Factors Freight is a Commercial Enterprise, so Data is from Private Sources – Perhaps a Commercial Opportunity for the Private Sector But not all Private Data Sources are Private Data Vendors – Private Interests may be met by Sharing Data with the Public Sector

22. White Paper #4 Implementation Options Lance Grenzeback, Cambridge Systematics Markets for Freight Fluidity Performance Information Include Agencies and Firms Focused on: International Import and Export Transportation Supply Chain Performance Domestic and North American Transportation Supply Chain Performance Local and Regional Transportation Supply Chain Performance.

23. Stakeholder Views Private Sector Perspective on Supply Chains Paul Newbourne, Armada Supply Chain Solutions Advisory Committee on Supply Chain Competiveness Engagement David Long, International Trade Administration, U.S. Department of Commerce Industry Perspective Bruce Carlton, National Industrial Transportation League Measuring Supply Chains for Freight Fluidity from a Corridor Perspective Marygrace Parker, I-95 Corridor Coalition

24. Stakeholder Views Federal Highway Administration Perspective Caitlin Rayman, Federal Highway Administration Michigan Perspective on Advancing Freight Fluidity Performance Measures Laura Mester, Michigan Department of Transportation Leveraging Data to Optimize Commercial Supply Chain Networks Paul Trombino, Iowa Department of Transportation

25. Stakeholder Views Local Perspective: Using Freight Fluidity Measures in the San Diego Crossborder Region Tina Casgar, San Diego Association of Governments Freight Fluidity – Chicago Region Perspective Tom Murtha, Chicago Metropolitan Agency for Planning Key Commodity Profiles and Freight Flows Anne Strauss-Wieder, North Jersey Transportation Planning Authority

26. Freight Fluidity III Fall 2017 Washington, DC

27. Freight Fluidity III Fall 2017 Washington, DC QUESTIONS?