AN ANALYSIS OF DEVELOPING LOGISTICS STRATEGY OF CONVENTIONAL RAILWAY COMPANY: A CASE STUDY OF TAIWAN RAILWAY ADMINISTRATION

Abstract: This study aims on analyzing important decision factor of freight transportation and logistic development strategy of conventional railway company in Taiwan (Taiwan Railway Administration, TRA), after the entry of High Speed Rail into intercity transportation market. Yet, such decision process needs to have some tangible and intangible variables being considered. Therefore, this study applies the method of Analysis Hierarchy Process by expert decision process to establish TRA’s logistics development strategy. The results of AHP analysis shows: financial planning is the most critical factor for TRA to develop logistic strategy. This study also finds the most appropriate alternative would be for TRA to continue to utilize current narrow-gauge railway system for the main freight transports between TRA’s stations. In addition, TRA could fully utilize central downtown location advantages of current stations to cooperate with private motor carriers for transportation from TRA’s station to final destination