Much research has been done on the principles of Milk Run logistics. For
example, Gumus and Bookbinder (2004) present principles to design the
procurement system, Bowersox, Closs, and Cooper (2002) conclude that
Milk Run is an important element for an integrated lean logistics strategy,
and Nojiri (2005) shows that the Milk Run logistics is introduced to increase
efficiency when the production scale of auto assembly factories is relatively
small, at about several tens of thousands annually. However, only a few
studies have been conducted on the environmental impacts of Milk Run
logistics of auto parts, particularly in developing countries.
In this chapter we present the principles of Milk Run and its components
in the next section. The following section presents a case study on Pick-up
Milk Run by the Toyota Motor Thailand in Bangkok in some detail.
Then another case study is presented where we link the Milk Run system to
the long-distance logistics within the large supply chain network of a
company and put it into the framework of collaborative logistics. In the next
section the application of Milk Run in Chinese auto industry is discussed.
In the concluding section it is shown that Milk Run is expected to work
in China.