Using Advanced GIS Techniques to Analyze the U.S. Freight Economy
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1 Using Advanced GIS Techniques to Analyze the U.S. Freight Economy Thomas Horan, Lee Munnich, Brian Hilton, Arman Majidi Esri User Conference, 2016
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3 Analytical Process Identify industry clusters: Apply cluster analysis to land use Locate commodity freight flow concentrations: Using hotspots analysis, identify local freight-intensive routes Identify state freight-intensive corridors through flow concentrations: Utilizing the data on commodity flows augmented with the LQ function at the state-level Identify regional freight corridors: Utilizing the data on commodity flows augmented with the LQ function at the regional-level FHWA criteria applied to identify regional freight corridors (i.e. highways segments with at least 8,500 trucks per day, highway parallel to rail lines with high volume, & rail and waterways with more than 50 million ton of bulk cargo) Identify national freight flows network (U.S. supply chain): Utilizing the data on commodity flows augmented with the LQ function nation-wide Analyze the economic impact of industry clusters and commodity flows Apply freight transportation intensity function a ratio of total ton-miles to Gross State Product & Gross Domestic Product to show the actual freight activity required to produce one unit of goods and services at either state- or national-level (acquired from BTS)
4 National Freight Economy Atlas
5 Analytical methods: LQ of commodity flows National maps and analysis: LQ of commodity flows Regional maps and analysis: LQ of commodity flows
6 Analytical methods: Clusters and Hotspots Cluster analysis: Identifying industry clusters through landuse metropolitan areas, statistical areas, and local municipalities Hotspot analysis: Locating freight-intensive corridors by freight flows state, regional, and national Note : This analysis identifies Minnesota industry clusters through land use by commodity code Location of Minnesota Intermodal Facilities & Warehousing/transportation industry cluster Note : The analysis identifies the Minnesota freight-intensive routes to intermodal facilities Concentration of Minnesota Average Annual Daily Truck Traffic
7 Case Study Analysis: Story maps A story map is a strategy of using a graphical organizer to provide a narrative of elements on a topic or a description of a series of events through a story-telling application. An example story map of the transport of agricultural products originating in Minnesota distributed across the Great Northern Corridor is provided below. 3
8 Supply Chain Analysis Medical services supply chains and computer and electronic manufacturing freight Starkey Supply Chain Medtronic Supply Chain
9 Starkey Hearing Technologies Eden Prairie for over 40 years, but international presence Distribution/manufacturing centers in Texas, Mexico, China, Japan, Korea, Germany, and in South America Two types: custom fit hearing aids and standard Custom fit hearing aids require a mold to be made at the hearing specialist s office
10 Transport, Logistics, & Supply Chain It s all about speed, reducing lag-time, and minimizing transportation costs Predominantly Air Transport A large fraction of expenses goes into transport and shipping Hearing aids are small and expensive (weight and expense) a shipment of 25 kilograms or less and it will cost over 250,000 dollars Memphis, the critical supply chain juncture
11 Starkey Supply Chain
12 Medtronic Started in a Twin Cities garage in the 1940s Headquarters in Dublin, Ireland Pacemaker, first major product Product Groups: Cardiac/Vascular Restorative Therapies Minimally Invasive Therapies Diabetes Ships to 155 different countries, 80 distribution centers globally, and 70 manufacturing plants
13 Transport, Logistics, & Supply Chain State licensing has a significant impact on medical device distribution, manufacturing, and trade Lithium battery restrictions Uses a variety of transportation options depending on size and cost of product Memphis, the critical supply chain juncture
14 Medtronic Supply Chain c7beaa8cce67
15 Future Directions Finalize Medical Devices and Health Sciences case studies of locally-linked supply chains and implications for transportation policy. Assess public and private stakeholder uses of Atlas, including specialized analyses for planning, policy and private sector considerations. Host/Participate in forums on economic competitiveness and supply chains, focusing on information and data needed to inform public policy as well as private transportation decisions. Assess value-added benefits of industry clusters to state and regional transportation planning and development.
16 Conclusion: There is value in understanding industry clusters at multiple levels Industry cluster analysis provides insight to economic growth. State analysis of industry clusters connects to communities and local transportation systems. Regional analysis of freight corridors shows critical supply and distribution systems. National and international analysis shows import/export movement, which is fundamental to economic growth.
17 Thank You! Acknowledgements Research Team Lee Munnich Frank Douma Barbara Rohde William Boulay Johnathan Sundby Kory Andersen Multimedia/GIS Team Brian Hilton Arman Majidi Yaser Khouja Dave Bourgeois Betty Martinez Terry Bills Project Sponsors BNSF Foundation TPEC Program Esri Corporation Data Sources Harvard Business School Datamyne Corporation
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