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Inbound Logistics' glossary of transportation, logistics, supply chain, and international trade terms can help you navigate through confusion and get to the meaning behind industry jargon. Online TDM Encyclopedia - Road Pricing. Road. Pricing. Congestion Pricing, Value Pricing, Toll Roads and HOT Lanes~~~~~~~~~~~~~~TDM Encyclopedia. Victoria Transport Policy Institute~~~~~~~~~~~~~~~~~~~~Updated 2. December 2. 01. 5This chapter describes. Congestion pricing” (also called. Toll roads” and “toll lanes” are roadway facilities financed by tolls. High. Occupant Toll (HOT) lanes” are High Occupant Vehicle (HOV) lanes that also. Description. Road Pricing. Value Pricing is a marketing term which emphasizes that. Managed Lanes is a general term for various roadway. HOV, HOT, and congestion priced lanes. Economists have long advocated Road Pricing. Finance Roads other Transportation. Programs, and encourage more efficient transportation. Road Pricing has two. They differ. in several ways, as compared in the table below. Table 1 Comparing. Road Pricing Objectives (Market Principles)Revenue Generation. Congestion Management·. Generates funds.·. Rates set to maximize. Revenue often. dedicated to roadway projects.·. Shifts to other. routes and modes not desired (because this reduces revenues).·. Reduces peak- period. Is a TDM strategy.·. Revenue not dedicated. Requires variable. Travel shifts to. Different types of Road Pricing are. Road Tolls. Tolls are a common way to fund highway and. Such tolls are a fee- for- service, with revenues dedicated. This is considered more equitable and economically. Metschies 2. 00. 1). Tolling is often proposed in. Tolls are often structured to maximize revenues and. Tolling authorities may. Congestion Pricing. Congestion Pricing (also called Value Pricing) refers to variable road tolls. Tolls can vary based on a fixed schedule, or they can be dynamic. It can be implemented when road tolls are implemented to raise. Some highways have a combination of unpriced lanes and. Value Priced lanes, allowing motorists to choose between driving in congestion. This is a type off Responsive. Pricing, meaning that it is intended to change consumption patterns. Vickrey 1. 99. 4). Cordon (Area) Tolls. Cordon tolls are fees paid by motorists to. Some cordon tolls only apply. This can be done by simply requiring. HOT Lanes. High Occupancy Toll (HOT) lanes are High Occupancy Vehicle (HOV) lanes that also allow use by a. Poole and Orski. 2. It is a type of Managed Lane (Goodin 2. This allows more. HOV lanes while maintaining an incentive for mode shifting, and. HOT lanes are often proposed as a compromise between HOV lanes. Road Pricing. Vehicle Use Fees. Distance- Based Charges. A proposal by the UK. Commission for Integrated Transport (CFIT 2. GPS- based Pricing Methods, to reduce traffic. Pay- As- You- Drive Vehicle Insurance, prorates. Road Space Rationing. A variation of road pricing is to ration. For example, each resident in a region could receive credits for 1. Kalmanje and Kockelman 2. Residents can use the credits themselves, or. The result is a form of congestion pricing. Table 2 summarizes these different. Some provide revenues, some. Table 2 Road. Pricing Categories. Name. Description. Objectives. A fixed fee for. To raise. revenues. Congestion. pricing (time- variable)To raise. Cordon fees. Fees charged for. To reduce. congestion in major urban centers. HOT lanes. A. high- occupant- vehicle lane that accommodates a limited number of. To favor HOVs. compared with a general- purpose lane, and to raise revenues compared with an. HOV lane. Distance- based. Prorates. premiums by mileage so vehicle insurance becomes a variable cost. To reduce. various traffic problems, particularly accidents. Road space. rationing. Revenue- neutral. To reduce. congestion on major roadways or urban centers. This table summarizes the major categories of. Road pricing impacts vary depending on. For. example, a fixed road toll may do little to reduce congestion if alternative. In some situations, pricing will shift traffic and congestion. Table 3 summarizes the benefits of various. Actual impacts will vary depending on circumstances. For. example, in some situations HOT lanes will have greater congestion reduction. The point is that these differences should be considered. Table 3 Road. Pricing Benefits. Strategy. Revenue Generation. Congestion Reduction. Pollution Reductions. Increased Safety. Road toll. (fixed rates)3. Congestion. pricing (time- variable)2. HOT lanes. 12. 10. Cordon fees. 23. 11. Distance- based. fees. Pay- As- You- Drive. Road Space. Rationing. Rating from 3. (very beneficial) to –3 (very harmful). A 0 indicates no impact or mixed. How it is. Implemented. Road Pricing is usually implemented by. Implementation. may require approval of other levels of government (for example, U. S. federal law restricts tolling on the Interstate Highway System). Road Pricing can be implemented at various. Point: Pricing a particular point in the road. Facility: Pricing a roadway section.·. Corridor: Pricing all roadways in a corridor.·. Cordon: Pricing all roads in an area, such as a. Regional: Pricing roadways at regional centers or. Table 4 illustrates the appropriate scale. Table 4 Appropriate. Scale of Pricing Strategies Strategy. Spot. Facility. Corridor. Cordon. Regional. Toll Roads. (fixed rates)XXXCongestion. Pricing (time- variable)XXXXHOT lanes. XXCordon Fees. XXDistance- Based. Fees. XA variety of Pricing. Methods can be used to collect fees, as summarized in Table 5. Newer. electronic pricing systems tend to have lower costs, greater user convenience. Road Pricing more feasible. Table 5 Summary. Fee Collection Options (Pricing Methods)Type. Description. Equipment Costs. Operating Costs. User Inconvenience. Price Adjustability. Pass. Motorists must. Low. Low. Medium. Poor to medium. Toll Booths. Motorists stop. and pay at a booth. High. High. High. Medium to high. Electronic. Tolling. An electronic. High. Medium. Low. High. Optical Vehicle. Recognition. An optical. High. Medium. Low. High. GPSGPS is used to. Data are automatically transmitted to a central. High. Medium. Low. High. This table summarizes various pricing methods. Newer methods tend to have lower costs, greater convenience and price. Road pricing should be implemented in. For example, congestion pricing can be implemented with Transit and Rideshare and Flextime improvements so motorists have more ways to avoid. This reduces user inconvenience, reduces the fee. Wit and Humor“I’ll tell you. Los Angeles’ traffic problems. Just take all the cars off the. Will Rogers. Travel Impacts. Road Pricing travel impacts depend on the. Base Case (TDM Evaluation). Pricing roads that. Congestion Pricing. If Road Pricing is used. Rebound Effect).·. Road Pricing reduces. The better the travel. Road Pricing will. The travel impact of HOT lanes depends on. If the price is too low, the facility will experience. HOV users, resulting in reduced transit and ridesharing. It is therefore. important for the sake of overall transportation system efficiency that HOT. HOV performance. Several studies have investigated the. Transport. Elasticities). These indicate a price elasticity of –0. Spears, Boarnet and Handy 2. Recent experience indicates. Litman 2. 01. 2; NCHRP 2. Parsons. Brinckerhoff 2. Prozzi, et al. 2. Williams- Derry 2. A. state- preference survey of suburban automobile long- distance commuters. A US$3. 0. 0 per round- trip road toll is predicted to. Washbrook 2. 00. 2). One study estimates that. VMT and up to 4. 2% of vehicle trips. Apogee 1. 99. 4). Williams- Derry (2. Table 6 Estimated Fee To Reduce Vehicle Trips 1. May and Milne 2. 00. Type of Road Pricing. Fee Required to Reduce. Trips 1. 0%Cordon. Distance. (pence per kilometer)2. Time. (pence per minute)1. Congestion. (pence per minute delay)2. Road pricing impacts and benefits depend on. Ubbels and Verhoef (2. The Netherlands would reduce car trips. A flat kilometre fee primarily affects social trips and tends to. A peak- period. fee primarily affects commute trips, and tends to cause a combination of shifts. May and Milne (2. They found significant differences in the. TDM objectives. Table 6 shows the estimated price level required to achieve a 1. They conclude that time- based pricing provides the. Table 7 Impacts. Congestion Pricing, Year 2. Harvey and Deakin 1. Table B. 6)Region. Avg. Fee. VMTTrips. Delay. Fuel. ROGRevenue. Bay. Area. 13¢- 2. Sacramento. 8¢- 1. San. Diego. 9¢- 1. South. Coast. 19¢- 3. Avg. Fee = average. VMT =. change in total vehicle mileage. Trips = change in total vehicle trips. Delay =. change in congestion delay. Fuel = change in fuel consumption. ROG = a criteria. Revenue = annual revenue in millions of 1. U. S. dollars. See. A small reduction in urban- peak traffic. Deakin and Harvey. California. Table 7 summarizes their results for the. It indicates, for example, that in the South Coast (Los Angeles) region, a fee averaging 1. In an experiment involving time- and mileage- based pricing. O’Mahony. Geraghty and Humphreys (2. Table 8 Travel Impact Summary. Travel Impact. Toll Road Funding. Congestion Pricing. Comments. Reduces total. Impacts on total. Reduces peak. period traffic. Fixed tolls. cause moderate peak reductions. Shifts peak to. off- peak periods. Fixed tolls. provide no incentive to shift. Shifts. automobile travel to alternative modes. Congestion pricing. Improves access. reduces the need for travel.- 1. Additional. roadway capacity can encourage low- density urban expansion. Increased. ridesharing. Encourages. ridesharing and may fund rideshare programs. Increased public. Encourages. transit use and may fund transit improvements. Increased. cycling. Encourages. cycling and may fund cycling improvements. Increased. walking. Encourages. walking and may fund pedestrian improvements. Increased. Telework. Encourages. telework. Reduced freight. traffic. May have some. effect. Rating from 3. (very beneficial) to –3 (very harmful). A 0 indicates no impact or mixed. Benefits And. Costs. Road Pricing benefits and costs vary. Pricing Evaluation). A basic economic principle is that markets. Currently in North America, road user fees only cover about. Henchman 2. 01. 3), and less on congested urban. Glossary of Supply Chain Terms. Stymied by stickering? Exasperated by XML? And just what is Poka Yoke, anyway? Let Inbound Logistics' glossary of transportation, logistics, supply chain, and international trade terms help. A | B | C | D | E | F | G | H | I | J | K | L | M | N | O | P | Q | R | S | T | U | V | W | X | Y | ZAABC Analysis: A classification of items in an inventory according to importance defined in terms of criteria such as sales volume and purchase volume. ABC Classification: Classification of a group of items in decreasing order of annual dollar volume or other criteria. This array is then split into three classes called A, B, and C. The A group represents 1. The next grouping, B, represents about 2. The C- class contains 6. ABC Costing: See Activity- Based Costing (ABC)ABC Inventory Control: An inventory control approach based on the ABC volume or sales revenue classification of products (A items are highest volume or revenue, C - or perhaps D - are lowest volume SKUs.)ABC Model: In cost management, a representation of resource costs during a time period that are consumed through activities and traced to products, services, and customers, or to any other object that creates a demand for the activity to be performed. ABC System: In cost management, a system that maintains financial and operating data on an organization's resources, activities, drivers, objects and measures. ABC Models are created and maintained within this system. ABI: *See Automated Broker Interface (ABI)ABM: See Activity- Based Management (ABM). ABP: See Activity- Based Planning (ABP). Abnormal Demand: Demand in any period that is outside the limits established by management policy. This demand may come from a new customer or from existing customers whose own demand is increasing or decreasing. Care must be taken in evaluating the nature of the demand: Is it a volume change, is it a change in product mix, or is it related to the timing of the order? Absorption Costing: In cost management, an approach to inventory valuation in which variable costs and a portion of fixed costs are assigned to each unit of production. The fixed costs are usually allocated to units of output on the basis of direct labor hours, machine hours, or material costs. Synonym: Allocation Costing. Accelerated Commercial Release Operations Support System (ACROSS): A Canada Customs system to speed the release of shipments by allowing electronic transmission of data to and from Canada Customs 2. Acceptable Quality Level (AQL): In quality management, when a continuing series of lots is considered, AQL represents a quality level that, for the purposes of sampling inspection, is the limit of a satisfactory process average. Acceptable Sampling Plan: In quality management, a specific plan that indicates the sampling sizes and the associated acceptance or non- acceptance criteria to be used. Also see: Acceptance Sampling. Acceptance Number: In quality management, 1) A number used in acceptance sampling as a cut off at which the lot will be accepted or rejected. For example, if x or more units are bad within the sample, the lot will be rejected. The value of the test statistic that divides all possible values into acceptance and rejection regions. Also see: Acceptance Sampling. Acceptance Sampling: 1) The process of sampling a portion of goods for inspection rather than examining the entire lot. The entire lot may be accepted or rejected based on the sample even though the specific units in the lot are better or worse than the sample. There are two types: attributes sampling and variables sampling. In attributes sampling, the presence or absence of a characteristic is noted in each of the units inspected. In variables sampling, the numerical magnitude of a characteristic is measured and recorded for each inspected unit; this type of sampling involves reference to a continuous scale of some kind. A method of measuring random samples of lots or batches of products against predetermined standards. Accessibility: A carrier's ability to provide service between an origin and a destination. Accessorial Charges: A carrier's charge for accessorial services such as loading, unloading, pickup, and delivery, or any other charge deemed appropriate. Accountability: Being answerable for, but not necessarily personally charged with, doing specific work. Accountability cannot be delegated, but it can be shared. For example, managers and executives are accountable for business performance even though they may not actually perform the work. Accounts Payable (A/P): The value of goods and services acquired for which payment has not yet been made. Accounts Receivable (A/R): The value of goods shipped or services rendered to a customer on whom payment has not been received. Usually includes an allowance for bad debts. Accreditation: Certification by a recognized body of the facilities, capability, objectivity, competence, and integrity of an agency, service, operational group, or individual to provide the specific service or operation needed. For example, the Registrar Accreditation Board accredits those organizations that register companies to the ISO 9. Series Standards. Accredited Standards Committee (ASC): A committee of ANSI chartered in 1. The committee develops and maintains US generic standards (X1. Electronic Data Interchange. Accumulation Bin: A place, usually a physical location, used to accumulate all components that go into an assembly before the assembly is sent out to the assembly floor. Synonym: Assembly Bin. Accuracy: In quality management, the degree of freedom from error or the degree of conformity to a standard. Accuracy is different from precision. For example, four- significant- digit numbers are less precise than six- significant- digit numbers; however, a properly computed four- significant- digit number might be more accurate than an improperly computed six- significant- digit number. ACD: See Automated Call Distribution. Acknowledgement: A communication by a supplier to advise a purchaser that a purchase order has been received. It usually implies acceptance of the order by the supplier. Acquisition Cost: In cost accounting, the cost required to obtain one or more units of an item. It is order quantity times unit cost. Action Message: An alert that an MRP or DRP system generates to inform the controller of a situation requiring his or her attention. Active Stock: Goods in active pick locations and ready for order filling. Activity: Work performed by people, equipment, technologies, or facilities. Activities are usually described by the action- verb- adjective- noun grammar convention. Activities may occur in a linked sequence and activity- to- activity assignments may exist. In activity- based cost accounting, a task or activity, performed by or at a resource, required in producing the organization's output of goods and services. A resource may be a person, machine, or facility. Activities are grouped into pools by type of activity and allocated to products. In project management, an element of work on a project. It usually has an anticipated duration, anticipated cost, and expected resource requirements. Sometimes major activity is used for larger bodies of work. Activity Analysis: The process of identifying and cataloging activities for detailed understanding and documentation of their characteristics. An activity analysis is accomplished by means of interviews, group sessions, questionnaires, observations, and reviews of physical records of work. Activity- Based Budgeting (ABB): An approach to budgeting where a company uses an understanding of its activities and driver relationships to quantitatively estimate workload and resource requirements as part of an ongoing business plan. Budgets show the types, number of, and cost of resources that activities are expected to consume based on forecasted workloads. The budget is part of an organization's activity- based planning process and can be used in evaluating its success in setting and pursuing strategic goals. Activity- Based Costing (ABC): A methodology that measures the cost and performance of cost objects, activities, and resources. Cost objects consume activities and activities consume resources. Resource costs are assigned to activities based on their use of those resources, and activity costs are reassigned to cost objects (outpputs) based on the cost objects proportional use of those activities. Activity- based costing incorporates causal relationships between cost objects and activities and between activities and resources. Activity- Based Costing Model: In activity- based cost accounting, a model, by time period, of resource costs created because of activities related to products or services or other items causing the activity to be carried out. Activity- Based Costing System: A set of activity- based cost accounting models that collectively defines data on an organization's resources, activities, drivers, objects, and measures. Activity- Based Management (ABM): A discipline focusing on the management of activities within business processes as the route to continuously improve both the value received by customers and the profit earned in providing that value. AMB uses activity- based cost information and performance measurements to influence management action. See Activity- Based Costing. Activity- Based Planning (ABP): Activity- based planning (ABP) is an ongoing process to determine activity and resource requirements (both financial and operational) based on the ongoing demand of products or services by specific customer needs. Resource requirements are compared to resources available and capacity issues are identified and managed. Activity- based budgeting (ABB) is based on the outputs of activity- based planning. Activity Dictionary: A listing and description of activities that provides a common/standard definition of activities across the organization. |
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