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Similarities of US and European Pipeline Industry

 Pipelines have been used to transport natural gas, petroleum and chemicals in closed systems which are safe. Thus, there are reduced risks of loss and damages. They however serve limited geographical fixed areas.  

 Strategies established in the United States are used as a framework within which security is maintained in cargo flow along the line of supply chain. They are already incorporated in national strategies. Other programs which are practical plans have also been implemented by various departments and agencies. They both therefore are the overall United States cargo security programs with efforts to clarify and operate in harmony in similar ways as international programs. Such international programs like the World Custom’s organizations are the frameworks of standards to facilitate and secure global trade (United States government 2007). This means in Europe such programs do apply hence there is no much difference between US and European pipeline industries.

 Results have shown that pipeline firms of US and Australian firms which use external relationships and integrated approaches to encourage external customer and external partners (Gourdin 2001). The primary organization pipeline industry includes interactive relationships between supplier and customers. The European nation and United States view such strategic alliances as being very important. This is so different from Japanese Keirestsu structures since US business relationship and alliance strategies are more equal and voluntary where roles are agreed upon (Gourdin, 2001). 

 Pipelines protection of both submerged and buried use chemical pretreatment before coating is used all over the world. This mode was first discovered by Pyrene Chemical Service LTD in 1984. It rapidly gained acceptance in most countries including European countries as a pipeline coater that protects one thousand kilometers of the pipe (Morash, Droge &Vickery 1996)

 Transportation is an ideal position which integrates and coordinates flows throughout the supply chain (Steven, 1997). Harmonization of all structures of transportation such as information sharing and coordination of all operation lowers the cost of goods in the supply chain. In pipeline industry fast transmission of goods is possible through inventories which allow consumers to sell their goods at a lowered praise. The integrative capabilities and supply chain organizational structures of United Stares and Australia were found to integrate computer system for the purpose of reducing cost. The external supply chain focuses on physical process improvement. They also place greater effort on to recover problems within the supply chain operation plans.

 On organizational loyalty, both the US and Australia are at the same level as compared to Japanese respondents which has the greatest tendency towards increased organization loyalty. Japanese has higher competitive advantage as compared to US and Australia which are at the same level.

 The ICC being concerned with the smooth flow of global trade ensures that all transport mode of goods and services work efficiently.  The US oil pipeline collected revenue of 10% in 2002. This was an increased higher rate that pushed up revenue compared to previous years. The fuel pipeline industries lead to increased revenue for carrires (The Commission on Transport and Logistics, 2002). In Europe, Nabucco project a pipeline industry has proven be a success story. It is the chief energy and economic booster in Germany, the whole of Europe and beyond though it doesn’t take any figuring. Since it conception in 1990s the project has gained international political debates for supporting Europe to escape from Russian energy supremacy. They US and the EU pipeline industries have therefore helped the countries to boost their GDP hence there is overall improvement in economic performances of the respective countries.


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Morash, E., Droge, C., &Vickery, S (1996). Boundary Spanning Interfaces between

           Logistics, Production, Marketing, and New Product Development. International

           Journal of Physical Distribution and Logistics Management, Vol. 26, No. 8, (pg


Steven, C. (1997, march 22).The role of transportation capabilities in international supply

           chain management. Transport journal.

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         chain management. Retrieved from

           On 27th February 2010

Analysis of International Supply Chain Management Literature from 1990 to

           2006.Gabler Velar,


Steven, C. (1997, march 22).The role of transportation capabilities in international supply      

          chain management. Transport journal .retrieved from


          On 27th February 2010


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