Data-driven risk assessment for truckload service providers

• Main Authors: Chittella, Sriram Kishore, Machado Teixeira, Marcos
• Other Authors: Daniel W. Steeneck.
• Format: Others
• Language: English
• Published: Massachusetts Institute of Technology 2015
• Subjects: Engineering Systems Division.
• Online Access: http://hdl.handle.net/1721.1/99808

Thesis: M. Eng. in Logistics, Massachusetts Institute of Technology, Engineering Systems Division, 2015. === Cataloged from PDF version of thesis. === Includes bibliographical references (pages 78-79). === Non-asset backed third-party logistics companies provide shippers access to a flexible source of capacity through transportation carrier spot market. The increased volatility in the trucking spot market rates is turning the 3PL businesses more risky and complex. To maximize profitability, a better understanding of the risk and the volatility patterns across the different geographies, time periods and other factors are investigated based on three years of real spot market data from a major 3PL company in US. Throughout this research we investigate the nature of trucking spot market volatility to allow truckload service providers to reduce their risk when setting long-term contracts. Using three different measures of volatility we are able to assess the company's risk profile and arise with insights to improve truckload service providers' business. === by Sriram Kishore Chittella and Marcos Machado Teixeira. === M. Eng. in Logistics