HÒ CHÍ MINHBÁO CÁO TÔNG KẾT DÈ TÀI NGHIÊN cứu KHOA HỌC THAM GIA XÉT GIẢI THƯỞNG “NHÀ NGHIÊN CỨU TRẺ UEH” NĂM 2024 MEDIATION OUTPUTS EROM ADOPTING ELECTRIC VEHICLES IN HORIZONTAL URBAN LO
INTRODUCTION
Research objectives
In an era increasingly conscious of environmental impact, economic efficiency and social issues, our study aims to
Collaborating between electric motorbike leasing brands like Green and Smart Mobility (GSM) and traditional gas-powered vehicle services such as Grab and Gojek is essential for enhancing economic viability, reducing emissions, and maximizing social benefits This partnership can drive down operational costs through shared resources, promote sustainable transportation solutions that lower carbon footprints, and improve community health by decreasing air pollution By integrating electric and gas-powered services, both sectors can work together to create a more efficient and environmentally friendly urban mobility ecosystem.
This study is dedicated to urban logistics, addressing the specific challenges and requirements of city environments Our goal is to analyze how cargo movement operates effectively within urban settings.
Research question
In this context, data from Vietnam is used in this study and the following research questions arc posed.
RQ 1: What is the mediation output benefited from adopting Electric motorbikes in horizontal urban logistics collaborations ?
RQ 2: Why should we recommend the policy to promote electric motorbikes adoption in horizontal collaborations?
Research section
In this context, the subsequent stages of this study are organized as follows:
Chapter 2 presents an extensive literature review on horizontal collaborations and electric motorbikes adoption in urban logistics Chapter 3 includes data source, and methodology In Chapter 4, previous case studies are presented and discussed Last,
Chapter 5, conclusion, recommendations, limitations and future research are proposed.
LITERATURE REVIEW
2.1.1 Horizontal collaboration in urban logistics
In recent years, collaborative distribution has gained significant attention from both practitioners and scholars as a key trend in transportation and logistics (Aloui et al., 2021; Speranza, 2018) This approach involves multiple stakeholders within logistics networks working together to achieve common goals (Mrabti et al., 2022), with collaboration occurring both vertically across various stages and horizontally among entities with similar needs (Shah and Singh, 2021) In urban logistics, these collaborations manifest through different levels of interaction, including transactional, informational, and decisional components (Lambert et al., 1999; Gonzalez-Feliu and Morana, 2011).
Collaboration in horizontal supply chains goes beyond mere cooperation, as it involves a deeper level of sharing that includes information, risks, knowledge, and profits (Cruijssen et al., 2007) This form of collaboration often encompasses joint route planning and the pooling of customer orders among participating organizations, offering a sustainable solution to logistics challenges (Pan et al.).
In urban freight logistics, horizontal collaboration can be effectively modeled as a Multi-Depot Vehicle Routing Problem, leading to economies of scale and environmental advantages Initial research highlighted the importance of electronic document usage, standardized container design, coordinated routing plans, and load consolidation Later studies have underscored the benefits of such collaboration, particularly the integration of electric vehicles, which help to lower costs and mitigate environmental and social impacts This paper assesses the implementation of an electric vehicle fleet within a horizontal collaboration framework among carriers in urban logistics.
2.1.2 Electric vehicles (motorbikes) in urban logistics
The rise in global energy prices and environmental concerns has driven the search for alternative transportation methods, making vehicle electrification a crucial step toward sustainable growth In urban areas, where high vehicle density increases fuel consumption, electric vehicles (EVs) are becoming essential for urban logistics This trend highlights the significant role of EVs in the logistics industry's transition to greener practices, particularly for short-distance transportation needs such as inter-outlet logistics and last-mile deliveries, especially amidst the growing e-commerce sector To promote this shift, governments are implementing supportive policies that incentivize EV adoption With lower electricity costs and reduced emissions compared to traditional fuel vehicles, electric vehicles present an attractive option for logistics service providers.
2022) Nonetheless, apprehensions persist regarding the willingness of logistics providers and drivers to invest in electric vehicles, primarily due to perceived cost disparities (Yan el al., 2023; Zhou et al., 2019).
The successful integration of electric vehicles in urban logistics relies on government incentives, corporate social responsibility, and market demand for eco-friendly options In Vietnam, major e-commerce and logistics companies like LAZADA, SHOPEE, and XANH SM are transitioning to electric vehicles in response to government initiatives promoting green economies However, the adoption of electric vehicles in logistics remains in its early stages Sustainable development in this sector requires collaboration among manufacturers, logistics providers, and government entities to address challenges related to costs, regulations, and market dynamics.
In Vietnam, motorbikes account for over 90% of the total traffic, playing a crucial role in urban logistics and contributing to sustainable development alongside electric vehicles This study emphasizes the significance of motorbikes within the context of Vietnam's transportation landscape.
2.2 Mediation output from horizontal collaboration
2.2.1 Economic mediation of electric vehicles adoption in horizontal collaboration
Logistics collaboration is an effective strategy for companies aiming to improve logistics efficiency and achieve economic, environmental, and social sustainability goals Research has extensively analyzed logistics costs within transportation networks, focusing on two primary components: fixed costs, which encompass the purchase of transport means and the establishment of distribution centers, and variable costs associated with transport and logistics activities.
In recent years, horizontal collaboration in logistics has gained significant attention due to its numerous benefits, including resource sharing among various logistics networks, such as warehouses and distribution centers (Pan et al., 2019) According to Palmieri et al (2019), these collaborations lead to cost reductions for companies by enabling them to share logistics activities with competitors and other businesses.
Logistics collaboration significantly impacts economic costs and environmental outcomes, as highlighted by Ouhader (2020), who found that horizontal collaboration can lower transport costs and enhance ecological performance for partners However, transportation costs and CO2 emissions often present conflicting objectives, necessitating multi-objective optimization for decision-makers to find the optimal balance, particularly in reducing transportation emissions Furthermore, Aloui et al (2021) emphasize that collaboration among suppliers can lead to reduced overall costs and emissions within the logistics system.
Horizontal collaboration in logistics enhances economic efficiency in freight transport, making it applicable to urban delivery with electric vehicles According to Melander & Wallstrom (2023), four sharing business models—utilizing existing privately owned infrastructure, jointly constructing new infrastructure, developing shared customer site infrastructure, and organizing sharing via a third party—provide both economic and environmental benefits These models create new revenue streams, promote cost-sharing, reduce investment costs, improve utilization rates, and minimize material usage Furthermore, Dehkordi et al (2024) highlight that Electric Commercial Vehicles (ECVs) offer businesses reduced operational and maintenance costs, increased profitability, and improved delivery times.
2.2.2 Environmental mediation of electric vehicles adoption in horizontal collaboration
The drive for electric vehicle (EV) adoption through horizontal collaborations is primarily motivated by the need to lower carbon footprints, adhere to environmental regulations, and achieve sustainability objectives In Ho Chi Minh City, Vietnam, numerous enterprises are striving to obtain Carbon Certificates to attract more investments and expand their global presence This environmental mediation entails evaluating the ecological advantages of switching to EVs, which include decreased emissions and diminished reliance on fossil fuels, ultimately benefiting all parties involved in the collaboration.
Collaboration among stakeholders in the electric vehicle (EV) industry can lead to significant mutual benefits, including shared resources like EV charging infrastructure, joint purchasing of fleets to lower costs, and collaborative research and development to address technological challenges In Ho Chi Minh City, a diverse range of both local and imported electric vehicle brands contributes positively to the economy while also benefiting the environment.
Environmental mediation plays a crucial role in shaping public perception, as highlighted by various studies (Rela et al., 2020; Liu et al., 2020; Xiuhong He and Yingying Hu, 2022) By adopting electric vehicles (EVs), companies can significantly improve their corporate image and demonstrate leadership in sustainability Collaborative initiatives in the EV sector further enhance this impact, reflecting a collective commitment to environmental stewardship across the industry As a result, companies can create a positive impression among audiences, ultimately leading to improved business performance and profitability.
2.2.3 Social mediation of electric vehicles adoption in horizontal collaboration
Research by Aloui et al (2021) indicates that social sustainability has received significantly less attention compared to economic and environmental sustainability, with only three out of 89 articles published between 2010 and 2020 addressing this aspect Moutaoukil et al (2013) focused on transporter safety and resident comfort, facing challenges in quantifying these factors by estimating accident risks and vehicle numbers to evaluate congestion in the transport network Ouhader and El Kyal (2017) found that collaboration can negatively affect the social dimension by hindering job creation Meanwhile, Allaoui et al (2019) developed a decision support tool that assesses sustainability across three dimensions, measuring the social aspect through total job counts, employee satisfaction, and health and safety indicators, including accident rates.
Integrating social factors into sustainable optimization models for collaborative transportation networks poses significant modeling and evaluation challenges (Aloui et al., 2021) Addressing social welfare involves various stakeholders and necessitates a multidisciplinary approach Quantifying social performance through measurable indicators proves to be difficult Hence, it is advisable to utilize multi-criteria approaches that consider all sustainability objectives at once.
METHODOLOGY
Our primary case study revolves around Ho Chi Minh City, an urban center that exemplifies many of the logistical challenges and opportunities present in modern cities
Our objective is to derive insights that are not only relevant to Ho Chi Minh City's logistics system but also have the potential for nationwide application across Vietnam We aim to provide actionable conclusions that can be implemented locally while envisioning their scalability throughout the country.
Vietnam is entering the electric vehicle era, with electric motorcycles currently dominating urban logistics This study utilizes diverse data sources, including newspapers, local research, e-books, and technical information, to analyze the economic, environmental, and social implications of electric vehicle adoption.
The study addresses the challenge of insufficient data in Vietnam's logistics industry, particularly in Ho Chi Minh City, by leveraging research from other countries It focuses on Horizontal Collaboration and its impacts, conducting a benefit analysis by comparing outcomes before and after implementing collaborative strategies Ultimately, the study aims to estimate potential improvements for local urban logistics.
Table 1 Studies in use for data sources
Sharing economy of electric vehicle private charge posts
A triplc-win scenario for horizontal collaboration in
Italy Palmieri Ct al 2019 logistics: Determining enabling and key success factors
Modeling a green inventory routing problem for perishable products with horizontal collaboration
North-West Europe Soysal et al 2018
An integrated optimization approach using a collaborative strategy for sustainable cities freight transportation: A Case study
Short- and mid-term evaluation of the use of electric vehicles in urban freight transport collaborative networks: a case study
A Human Behaviour Perspective on Horizontal Collaboration to
Reduce the Climate Impact of
Combining Facility Location and Routing Decisions in
RESULTS AND DISCUSSION
4.1.1 China case study 1 conducted by Xu Hu in 2021
Melander et al (2023) explore the potential for firms to share charging infrastructure for electric freight vehicles, based on data from five companies They propose four models for sharing this infrastructure: utilizing existing company premises, investing collaboratively in new charging locations, investing at customer sites, and organizing sharing through a third party Despite challenges such as stakeholder agreements, risk management, and participant willingness, collaboration can lead to significant cost and emission reductions This aligns with findings from Hu et al (2021) in China, which indicated that charge post owners could save between 20% and 50%, providing a substantial opportunity for reinvestment in the electric vehicle industry.
4.1.2 Ceva Logistics Italia case study 2 conducted by Antonio Palmieri in 2019
In their 2019 study, Palmieri et al highlighted the triple-win scenario of Horizontal Collaboration in Logistics, emphasizing the challenges companies face in achieving this goal Ceva Logistics Italia successfully launched innovative horizontal collaboration services, promoting this practice among its customers The authors noted that such collaboration significantly reduces environmental impact compared to non-collaborating firms, regardless of the impact category considered.
Table 2 ReCiPe analysis of horizontal collaboration vs non-collaborative scenario
Impact category Unit Non-collaborative scenario (a)
Stratospheric ozone depletion kg CFG 11 eq ().000()31 0.000025 0.000006
Ionizing radiation kBq Co-60 eq 2.913 2.33 0.583
Ozone formation Human health kg NOx eq 0.637 0.51 0.127
Fine particulate matter formation kg PM2,5 eq 0.148 0.119 0.03
Ozone formation, terrestrial ecosystems kg NOx eq 0.649 0.519 0.13
Terrestrial acidification kg SO2 eq 0.342 0.273 0.068
Human carcinogenic toxicity kg 1,4-DCB 1.635 1.308 0.327
Human non-carcinogenic toxicity kg 1,4-DCB 46.969 37.575 9.394
Mineral resource scarcity kg Cu eq 0.138 0.11 0.028
Fossil resource scarcity kg oil eq 31.943 25.555 6.389
4.1.3 North-West Europe Case study 3 conducted by Mehmet Soysal in 2018
A study by Soysal et al (2018) analyzed the economic benefits of Horizontal Collaboration, focusing on cost reduction through merged routes and shipment agreements The research compared two scenarios: a non-collaboration context and a collaboration context involving two suppliers The findings revealed a significant reduction in emissions by approximately 29.3% and an overall cost reduction of about 17.1%.
Table 3 Summary results for the base cases
Non-collaboration Horizontal Collaboration Gain
Total emissions (kg) 2738.6 2888.6 5627.2 1923.0 2057.1 3980.1 29.3 Total driving time (h) 69.5 72.9 142.4 47.5 50.9 98.4 30.9 Total routing cost (€) 2520.4 2654.8 5175.2 1755.9 1879.1 3635.0 29.8 Total inventory cost (€) 1684.2 2606.4 4290.6 1481.7 2556.2 4037.9 5.9
4.1.4 France case study 4 conducted by Aymen Aloui in 2021
To investigate the real situation of the Logistics Industry in France, Aloui et al.,
In 2021, a case study was conducted involving four small and medium-sized agri-food companies to analyze their distribution strategies The study focused on key variables, including the locations of each company's distribution center, the 39 customers served, and four planning periods, each lasting one week Prior to implementing a collaboration program, the authors calculated the associated costs and emissions to establish a baseline for comparison.
Table 4 Summary of the results obtained in the initial and collaborative scenarios
Integrated decisions planningInitial Collaborative % Saving
This study demonstrated a 16.37% reduction in emissions, significantly lower than the findings of Soysal et al (2018) Additionally, it achieved a cost reduction of 20.06% and highlighted the differences in accident risk before and after collaboration Overall, the research not only contributed to reducing costs and emissions but also provided social benefits through a decrease in accident rates.
4.1.5 Colombia case study 5 conducted by Munoz-Villamizar et al in 2019
Munoz-Villamizar et al (2019) studied the implementation of an electric vehicle fleet for urban goods distribution, utilizing a horizontal collaboration strategy among carriers They developed a biased randomization-based algorithm with a multi-objective function to analyze the relationship between delivery and environmental costs This approach was validated with real data from Bogotá, Colombia.
Table 5 Cost and emissions per type of vehicle
According to Munoz-Villamizar et al (2019), the economic savings from gasoline vehicles are significantly less than the environmental advantages offered by electric vehicles Notably, a modest increase of 2% in operational costs can lead to environmental impact reductions of up to 22%.
4.1.6 Data collected by some case studies conducted by Cruijssen et al in 2023,
Ouhader and El Kyal in 2017
Research on the social implications of horizontal collaboration in urban logistics, particularly regarding electric vehicles, remains limited However, existing studies on general horizontal collaboration highlight the primary societal goal of reducing the transportation carbon footprint (Cruijssen et al., 2023) Governments can effectively engage pro-social individuals who prioritize collective benefits and equitable distribution to foster horizontal collaboration for sustainable transportation, potentially yielding greater results than widespread subsidies for zero-emission trucks Nonetheless, it is important to note that horizontal collaboration may negatively impact job creation, presenting trade-offs among economic, environmental, and social objectives, which often conflict with one another (Ouhader and El Kyal, 2017).
Table 6 Payoff' table in collaboration scenario
*c_min: cost minimizing case in which the model is solved considering only the objective function that minimizes
*Em_min: emissions minimizing case where the model is solved for optimal levels ofCO2 emissions
*Soc_max: social impact maximization case where the model is solved for optimal levels of job opportunities created (estimated by number of job opportunities)
Horizontal collaboration enhances economic, social, and environmental efficiency, aligning with previous studies (Aloui et al., 2021; Zhang and Wang, 2014; Wang et al., 2020; Liu et al., 2020; Pan et al., 2019; Munoz-Villamizar et al., 2017) However, this research reveals a divergence in social mediation outcomes compared to Ouhader and El Kyal (2017), particularly concerning employment trade-offs This discrepancy can be attributed to the specific context of Vietnam's electric vehicle market and the government's sustainable development initiatives (Bộ Giao thông Vận tải, 2023) Additionally, the delivery technology sector faces considerable challenges, including increased job demands and occupational hazards such as theft (Báo Dân Trí).
In 2023, many drivers are grappling with income limitations and feel compelled to accept significant discounts due to fluctuating gasoline prices, leading some to withdraw from their jobs (Kinh tê & Đô thị, 2023; Tuôi Tre, 2022) A notable percentage of workers in this sector face demanding conditions, with 6% reporting shifts longer than 12 hours and 40% working seven days a week, which undermines labor force sustainability (Báo Dân Tri, 2023) While transportation jobs under such contracts may continue temporarily, the lack of voluntary commitment poses challenges for the long-term social sustainability of urban logistics However, the shift to electric vehicles could provide a solution to unemployment among drivers, particularly those experiencing economic difficulties (HY, 2023).
CONCLUSIONS
This study explores the challenges of urban logistics in Ho Chi Minh City, characterized by motorcycle-dominated traffic and strict emission standards It emphasizes the importance of horizontal collaboration between electric motorbike leasing companies and traditional gas-powered vehicle services to enhance the logistics system By analyzing data through the Triple-Bottom-Line (TBL) framework, the research aims to assess the role of electric motorcycles in urban logistics Additionally, it incorporates findings from global research on horizontal collaboration to highlight its significant impact on improving urban logistics efficiency.
The integration of horizontal collaboration and electric vehicles in urban logistics presents significant economic, environmental, and social implications By sharing resources across various networks, horizontal collaborative logistics effectively reduces costs and enhances efficiency This approach has also contributed to environmental sustainability through the adoption of electric vehicles, which help lower emissions Nevertheless, previous studies have often overlooked social sustainability aspects Our research seeks to fill this gap by investigating job conditions, worker satisfaction, and the overall welfare of participants in collaborative transportation networks.
This study emphasizes the significance of electric motorbikes in horizontal urban logistics collaborations, enhancing our understanding of their economic, environmental, and social impacts Unlike previous research that focused on sharing traditional resources among various actors, our findings highlight the unique benefits of sharing electric motorbike resources, including information and labor Furthermore, the study supports the integration of sustainability considerations into collaborative efforts, addressing a gap identified by Pan et al (2019) It also proposes three dimensions of the Triple-Bottom-Line (TBL) for future research, particularly relevant in emerging markets like Vietnam, which have distinct socioeconomic and political contexts Notably, the research reveals that social mediation outcomes challenge earlier studies, suggesting that the social implications of electric mobility adoption differ significantly in Vietnam, thereby broadening the knowledge base in this area.
5.2.2 Practical implications: Adopting electric motorbikes in horizontal collaboration between Xanh SM and other competitors in HCMC
Urban logistics relies on a diverse range of vehicles, including heavy trucks, vans, light-box trucks, and motorcycles, creating a stable network for enterprise operations As Vietnam enters the electric vehicle era, electric motorcycles are becoming increasingly utilized in urban logistics This study highlights the advantages of electric vehicles (EVs) by analyzing their emissions and economic costs in comparison to traditional gasoline vehicles (TGVs) using secondary data.
The Honda Wave Alpha HOcc is an affordable gasoline-powered motorbike that stands out for its cost-effectiveness It is particularly suitable for transporting goods, making it a practical choice for drivers Additionally, when compared to higher-cost vehicles, the savings from using electric alternatives become even more significant, reinforcing the value of this budget-friendly option.
The VinFast Feliz S electric motorbike is currently the model available for rent in the Vietnamese market, catering specifically to the delivery needs of drivers For our analysis, we will utilize the technical specifications of both motorcycles, which are accessible on the manufacturers' websites.
To assess the economic cost, we will analyze the ownership expenses associated with either renting or purchasing the battery for the electric motorbike, including oil changes and fuel consumption rates Our cost estimation will span a five-year period for a comprehensive comparison.
Over a five-year period, the cost of owning a gasoline motorcycle significantly exceeds that of an electric motorcycle, leading to savings of over 60,000,000 VND when choosing electric As this timeframe extends, the savings become even more pronounced due to the lower operating costs associated with electric motorcycles Additionally, opting for a rental model becomes less appealing as rental costs increase more rapidly than other ownership alternatives, coupled with the lack of ownership benefits.
The information we gather from many sources on the internet, some are from the national newspapers, some are from the standard emission estimation.
Reports indicate that personal motorbikes significantly contribute to urban air pollution, with data revealing that motorbike drivers carrying goods over 100 km emit harmful toxic gases Research from the Institute of Environment and Natural Resources at Ho Chi Minh City National University highlights that gasoline motorbikes are the primary source of air pollution in the city, accounting for 90% of carbon monoxide, 65.4% of non-methane volatile organic compounds (NMVOC), 37.7% of dust, and 29% of nitrogen oxides (NOx) Additionally, older motorbike models consume more fuel and produce higher emissions In contrast, electric motorbikes operate without direct emissions, and while the electricity used for charging does produce CO2, the total emissions amount to approximately 2.52 kg CO2 per 100 km Thus, electric motorbikes present an effective solution for reducing emissions and promoting environmental protection.
When adopting electric motorbikes in horizontal collaboration between Xanh SM and other competitors in Ho Chi Minh City, we find that:
Horizontal collaboration creates job opportunities for ridesharing drivers Xanh
Xanh SM Bike offers an accessible opportunity for new technology drivers, requiring only a low deposit of 4 million VND (paid in four installments) to acquire a VinFasl Feliz electric motorbike valued at 50 million VND, including a battery for operation, with no additional battery rental fees This contrasts with ride-hailing companies like Grab, Be, and Gojek, where drivers must own their bikes Consequently, joining Xanh SM as a ridesharing driver is more straightforward, as it alleviates the financial burden of purchasing and maintaining a vehicle To enhance job opportunities further, it is recommended to lower the deposit fee, encouraging more drivers to participate in this horizontal collaboration among logistics service providers.
Horizontal collaboration promotes a balanced workload for drivers of electric vehicles, offering them necessary breaks during battery charging Unlike gasoline vehicle drivers, who often face continuous pressure to work longer hours for increased earnings, electric vehicle drivers can rest and recharge after several hours on the road This approach not only enhances their mental well-being but also boosts overall performance.
The research presented specific solutions and directions for implementation, but it has several shortcomings.
The study relies on secondary data from various sources, which may introduce inaccuracies, and lacks specific information such as emissions during production and data on Horizontal Collaboration However, as primary and secondary data improve and transportation infrastructure modernizes, future research can provide a more comprehensive understanding of electric vehicle transportation This will enable deeper exploration of cooperative enterprises and the development of tailored operational recommendations for businesses.
In the Ho Chi Minh City case study, only one vehicle type was analyzed due to market constraints, limiting the scope of urban logistics, which encompasses various transport modes Although this approach allows for a fair comparison between gasoline-based and electric technologies, future research should explore multiple vehicle types and technologies to deepen our understanding of their impact within the 3PBL framework Additionally, as electric trucks are expected to play a significant role in urban freight transport, further investigation into their performance and integration is essential.
Last, there are no social impacts considered in the Vietnam context Due to the shortage of research and information, the social factor data is hardly collected to discuss
In the future, there might be a more open source for researchers to get access to the social impact in the Logistics Industry to fill the gaps.
This systematic review explores collaborative insights into horizontal logistics, emphasizing the integration of supply chain planning and transportation logistics It highlights the importance of aligning these two areas to enhance efficiency and effectiveness within logistics operations The findings are presented in a thematic mapping format, providing a comprehensive overview of current trends and practices in the field This research contributes to the Journal of Open Innovation: Technology, Market, and Complexity, offering valuable perspectives for professionals seeking to optimize logistics strategies.
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