Citation
CargoSplit – A Smart Shared Logistics
Space Platform for MSMEs
Naina Shriwas1, Manish Pardhi2, Mayuri chinchulkar3, Mayur Gadekar4
GH Raisoni University Amravati, Maharashtra, India
E-mail: nainashariwas30@gmail.com , manishpardhi1807@gmail.com , mayurichinchulkar13@gmail.com, mayurgadekar0008@gmail.com
,swati.kosankar@ghrua.edu.in
Abstract:
Efficient logistics
management remains a major challenge for Micro, Small, and Medium Enterprises
(MSMEs), particularly when dealing with small shipment volumes. In traditional
logistics systems, cargo transportation is typically designed for full truckload
or full container load shipments. However, MSMEs often generate shipments that
occupy only a fraction of the available space. Despite this, they are required
to pay for the entire transportation unit, resulting in increased operational
costs and reduced profitability.
This research proposes
CargoSplit, a smart shared logistics platform that enables multiple exporters
to share transportation space within a single truck or container. The system
allows users to book only the required portion of space and pay proportionally,
ensuring fairness and cost efficiency. By connecting traders directly with
transporters through a transparent digital platform, CargoSplit eliminates
intermediaries, improves communication, and enhances visibility.
The proposed system focuses
on improving resource utilization, reducing empty cargo space, and promoting
sustainable logistics practices. It provides real-time tracking, transparent
pricing, and efficient coordination, making logistics more accessible and
reliable for MSMEs. The study highlights how shared logistics models can
transform traditional transportation systems into more efficient and
cost-effective solutions.
1.
INTRODUCTION
The logistics and transportation sector plays a crucial
role in economic growth and supply chain efficiency. With the rapid expansion
of e-commerce and global trade, the demand for reliable and cost-effective
logistics solutions has increased significantly. However, small exporters and
MSMEs continue to face challenges in accessing affordable transportation
services.
One of the primary issues is the mismatch between shipment
size and transportation capacity. Most logistics systems are designed for
full-capacity shipments, whereas MSMEs often deal with smaller loads. This
mismatch leads to inefficiencies such as underutilized containers, increased
costs, and limited accessibility for small businesses.
Cargo split refers to the process of dividing and
allocating cargo space among multiple shipments to maximize utilization. While
the concept exists, it is not widely implemented in a structured and scalable
manner. Existing systems rely heavily on manual coordination and
intermediaries, making the process complex and inefficient.
This research introduces CargoSplit, a platform that aims
to modernize cargo allocation by enabling shared usage of logistics space. The
system focuses on improving efficiency, reducing costs, and creating a
transparent and user-friendly logistics ecosystem.TrainEx is a modern web-based
application developed using React and Next.js, ensuring responsiveness of the
design, real-time updates, and offering scalability. It provides structured
communication and verification features that enhance authenticity, transparency,
and efficiency in collaborations at the academia-industry interface.
2.
REVIEW OF LITERATURE
Efficient cargo management
and logistics optimization have been widely studied in recent years,
particularly with the growth of e-commerce and global supply chains. Various
research works and institutional studies, including those from leading
institutes such as the Indian Institutes of Technology, have focused on
improving transportation efficiency, reducing logistics costs, and enhancing
resource utilization.
Traditional logistics systems
primarily rely on Full Truck Load (FTL) and Full Container Load (FCL) models,
which are not suitable for small and medium enterprises (MSMEs) dealing with
low-volume shipments. Several studies have highlighted that partial-load
inefficiency leads to increased transportation costs and underutilization of
available space.
Recent research also
emphasizes the importance of real-time tracking and visibility in logistics
operations. Providing users with live updates on shipment status improves
reliability and enables better decision-making.
Despite these advancements,
there remains a gap in developing a unified system that combines space-sharing,
transparent pricing, direct connectivity, and efficient allocation specifically
for MSMEs. The proposed system, CargoSplit, aims to bridge this gap by
introducing a structured and scalable solution for shared logistics.
Research in logistics
optimization has explored techniques such as load consolidation and shared
transportation models. These approaches allow multiple shipments from different
users to be combined into a single vehicle, thereby improving capacity utilization.
Studies conducted in academic institutions have shown that co-loading models
significantly reduce empty space and enhance operational efficiency.
Furthermore, digital
logistics platforms have emerged as a modern solution to address these
challenges. These platforms aim to connect shippers directly with transport
providers, improving transparency and reducing dependency on intermediaries.
However, many existing systems still lack proper mechanisms for dynamic space
allocation and fair cost distribution.
3.
PROBLEM STATEMENT
Small exporters and MSMEs frequently ship goods that occupy
only a fraction of a truck or container. However, due to the absence of a
structured space-sharing mechanism, they are forced to pay the full
transportation cost, making logistics expensive and inefficient for small
shipments.
This problem leads to several negative
consequences. Firstly, it increases the financial burden on small businesses,
limiting their ability to compete in the market. Secondly, it results in
inefficient use of transportation resources, as a significant portion of
container space remains unused. Lastly, the lack of transparency and reliance
on intermediaries further complicates the logistics process.
4.
METHODOLOGY
The methodology of the proposed system, CargoSplit,
explains the step-by-step process used to enable efficient cargo space sharing
among multiple users. The system is designed to ensure optimal utilization of
transportation resources while maintaining simplicity, transparency, and
reliability.
4.1
Data Collection
The process begins with collecting essential information
from users and transporters through the mobile application,
Users (MSMEs) enter shipment details such as:
• Weight
of goods
• Volume
or space required
• Pickup
and delivery location
Transporters provide:
• Vehicle
capacity (truck/container size)
• Route
and availability details
This data forms the basis
for further processing and allocation.
4.2
Space Requirement Analysis
Once the data is collected, the system analyzes the space
requirements of each shipment. The cargo is measured in terms of volume or
percentage of total container capacity.
This step ensures that each shipment is accurately evaluated
so that space can be allocated efficiently without exceeding vehicle limits.
4.3 Space
Allocation Process
In this step, the system
matches user requirements with available transporter capacity.
•
Multiple shipments with similar routes are
grouped together
•
Space is divided proportionally among different
users
•
Allocation ensures maximum utilization of
available space
This process allows multiple
MSMEs to share a single truck or container.
Space Calculation
The system adopts a volumetric (CBM-based)
approach to measure cargo space utilization.
Volume per Shipment
The volume of each shipment is calculated as:
Where:
For multiple units:
Container Capacity
Standard container capacities are defined as:
- 20-ft
container: 33 CBM
- 40-ft
container: 67 CBM
Space Utilization
This metric is critical for dynamic pricing and
optimization decisions.
4.4 Cost
Calculation
After space allocation, the
system calculates the transportation cost based on the space used by each user.
•
Cost is proportional to the occupied space
•
Transparent pricing is displayed to users before
booking
•
No manual negotiation is required
This ensures fairness and
affordability for all users.
4.4.1 Transportation Cost Model
The transportation cost is modeled using a
per-distance operational approach, incorporating both fuel consumption and
fixed logistics expenses.
The fuel cost per kilometer is calculated as:
For this study:
- Fuel
Price = ₹90 per liter
- Mileage
= 4 km/l
Additional operational costs are considered as
constant per-kilometer expenses:
- Driver
cost = ₹3/km
- Toll
charges = ₹2/km
- Maintenance
= ₹1/km
Thus, the total transportation cost per
kilometer is:
4.4.2 Trip Cost Estimation
The total trip cost is directly proportional to
the travel distance:
Where:
4.4.3 Cost Allocation Based on Space
Utilization
To ensure fair and efficient pricing, the total
transportation cost is distributed based on volumetric space utilization (CBM).
This volumetric allocation eliminates
inefficiencies associated with traditional weight-based pricing and enables
proportional cost sharing among users.
4.4.4 Load-Based Optimization Mechanism
To improve container utilization, a
load-dependent pricing factor is introduced:
The adjusted price is computed as:
This mechanism incentivizes higher container
utilization while compensating for underfilled shipments.
4.4.5 Pricing Constraints and Margin
To maintain operational feasibility, a minimum
pricing constraint is applied:
Where
Additionally, a unified margin factor is
applied to account for operational risk, platform fees, and profit:
Where:
4.4.6 Unified Pricing Function
The overall pricing model can be expressed as:
Where:
4.5 Booking
and Confirmation
Once the user agrees to the cost:
•
Booking is confirmed through the application
•
Secure payment is processed
•
Transporter receives booking details
This step completes the scheduling of cargo
transportation.
4.6 Shipment Execution and Tracking
After booking:
•
The transporter begins the shipment process
•
Users can track their cargo in real time through
the application
•
Status updates are provided at different stages
This improves visibility and trust in the
system.
4.7 Monitoring and Management (Admin Role)
The admin continuously monitors system
activities:
•
Oversees bookings and transactions
•
Resolves disputes if any
•
Ensures smooth operation of the platform
This ensures reliability and efficient system
management.
5.
PROPOSED SYSTEM
CargoSplit enables MSMEs to book only the required
logistics space, reducing costs.
It connects users directly with transporters for efficient
and transparent operations.
5.1 System
Modules
•
User Module (MSMEs): Allows users to enter
shipment details, book required space, make payments, and track shipments.
•
Transporter Module: Enables transporters to
provide vehicle details, manage capacity, and handle booking requests.
•
Admin Module: Monitors system activities,
manages users and transporters, and ensures smooth operations.
•
Tracking & Communication Module: Provides
real-time tracking and facilitates communication between users and
transporters.
5.2 Features
•
Expansion of the platform to support
international and domestic logistics and
larger transportation networks
•
Enhancement of the mobile application with
advanced tracking, notifications, and user interface improvements
•
Development of a stronger admin module with
analytics, monitoring dashboards, and automated issue management
5.3 Architecture
Overview
Cargo Split follows User Side and Client Side :
•
Frontend: ReactNative, Expo.
•
Backend: Node.js , Express
•
Database: Supabase Database
•
Admin Portal: role-based access and data
visualization.
5.4 Benefits
•
Improves utilization of trucks and containers
•
Eliminates dependency on brokers and
intermediaries
•
Provides transparency in pricing and booking
•
Enables real-time tracking of shipments
•
Enhances communication between users and
transporters
•
Increases efficiency and reliability of
logistics operations
•
Supports sustainable logistics by reducing
unused space
6.
SYSTEM DESIGN AND ARCHITECTURE
The system is designed as a
centralized platform connecting three main sides:
•
User Side (MSMEs): Book required cargo space and
track shipments
•
Transporter Side: Provide vehicle capacity and
manage deliveries
•
Admin Side: Monitor system operations and manage
users and bookings
This structure ensures smooth coordination,
efficient space allocation, and transparent logistics operations.
Data Flow:
User Input → Data Analysis →
Space Allocation → Cost Calculation → Booking → Transportation → Tracking →
Completion
7. ANTICIPATED
OUTCOMES
CargoSplit will reduce
transportation costs for MSMEs by enabling partial space booking and
eliminating the need for full-load payments.
It will improve resource
utilization, enhance transparency, enable real-time tracking, reduce dependency
on brokers, and create an efficient and sustainable logistics system.
8.
RESULTS AND DISCUSSION
The proposed CargoSplit system demonstrates significant
potential in improving logistics efficiency for MSMEs. By enabling partial
space booking, the system effectively reduces transportation costs, making
logistics more affordable for small traders. The shared transportation model
enhances the utilization of trucks and containers, thereby minimizing unused
capacity and improving operational efficiency.
From the transporter’s perspective, improved
load management leads to better revenue generation and reduced resource
wastage. The platform also introduces transparency in pricing and booking
processes, ensuring fair and reliable transactions.
Furthermore, real-time tracking and
streamlined communication between stakeholders enhance coordination and reduce
delays. The reduced dependency on intermediaries contributes to a more
efficient and organized logistics process. Overall, the system establishes a
balanced and optimized logistics environment.
9.
Flow Chart
Client side
·
User side
10.
CONCLUSION AND FUTURE WORK
The CargoSplit system can be
further enhanced to improve scalability and functionality. Future developments
may include the expansion of the platform to support international logistics
operations and integration with advanced tracking technologies for improved
accuracy.
Enhancements in the user
interface and mobile application can further improve user experience and
accessibility. Additionally, the system can incorporate automated notifications
and alerts for better communication and real-time updates.
The admin module can be
strengthened by introducing advanced monitoring dashboards, performance
analytics, and automated issue management systems. These improvements will
enable better control, decision-making, and system efficiency.
Overall, future advancements
can transform CargoSplit into a comprehensive and scalable logistics solution.
11.
REFERENCES
1. Khan,
S., Khatri, D., Abraar, M., Moiz, S., & Attar, F. (2024). CargoLinker:
Streamlined container booking app. International Journal of Advanced
Research in Science, Communication and Technology (IJARSCT), 4(1), April 2024.
2. Anap,
S., Rajhans, D., Naik, A., Achanta, S., & Jadhav, V. (2025). Smart
shared container space management platform with AI-based container matching and
real-time booking system. International Journal of Scientific Research
& Engineering Trends, 11(6), November–December 2025.
3. Abbasi,
S., Haque Jami, R., & Jiisun, M. S. H. (2023). White Paper-Framework for
Integrated Multisector Smart Logistics. Framework for Integrated
Multisector Smart Logistics, 1-34.
4. Mittal,
A., Marusak, A. A., Krejci, C. C., Sadeghiamirshahidi, N., & Rogers, K. J.
(2022). Evaluating the suitability of crowd-shipping platforms for small and
medium-sized enterprises. Sustainability, 14(21),
14177.
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DOI:
https://doi.org/10.26643/ijr/edupub
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