普华永道-22nd-CEO-Survey-Transportation-and-logistics-trends-2019_12页_5mb

2019 Transportation and Logistics Trends Summary

Core Content

The 2019 Transportation and Logistics (T&L) industry is undergoing significant transformation driven by a surge in innovation from startups and the adoption of new technologies. Traditional logistics companies are facing increasing pressure due to the rise of digital disruptors that are redefining efficiency, transparency, and customer service in the sector.

Main Trends and Innovations

• Startups and Digital Disruption: A wave of startups is challenging the traditional logistics model by introducing innovative solutions. These include:

  • Fetchr: A Dubai-based app that uses GPS to deliver packages to consumers anywhere.
  • what3words: A London-based company that assigns three-word labels to 3m x 3m global locations, enabling precise delivery in areas with poor address systems like Nigeria.
  • Flexport: A San Francisco-based startup offering a cloud platform to optimize global trade logistics through real-time data analysis.

• Investment Growth: Venture investment in the T&L industry reached record levels in 2018, surpassing all previous years combined and doubling the 2017 figure of US$1.4 billion.

• Blockchain in Logistics: Blockchain is seen as a promising technology to improve transparency and reduce administrative delays. It allows for:

  • Real-time tracking of shipments.
  • Automated customs and payment processes.
  • Reduction of inefficiencies in last-mile delivery.
  • Examples include:
    • TradeLens: A joint venture by IBM and Maersk.
    • Global Shipping Business Network: A competing blockchain initiative.
    • Blockchain in Transportation Alliance (BTTA): A global group with over 500 members.

• Artificial Intelligence (AI): AI is being explored to enhance operations and customer service, with potential applications such as:

  • Fleet Management: Using AI to monitor fuel consumption and suggest maintenance.
  • Dynamic Scheduling: Optimizing delivery times and routes based on real-time data.
  • Predictive Analytics: Improving asset deployment and inventory management.
  • Autonomous Equipment: Advanced machines capable of managing climate control and sorting items based on shipment requirements.
  • Challenges: AI adoption is not yet a priority for many T&L CEOs, with 40% having no plans to pursue AI projects.

• Robotics and Automation: The logistics sector is increasingly adopting robots for tasks like inventory management and loading dock operations. Tractica predicts a significant growth in robot shipments from 2018 to 2022.

• Workforce Strategy Shifts: Digital tools are enabling more flexible and responsive workforce planning. T&L companies are moving away from fixed-hour workers towards on-demand staffing models, which could be more cost-effective and efficient.

• Strategic Alliances: While there is growing interest in technology, strategic collaborations between startups and established T&L firms are still limited. Only 26% of CEOs expect to collaborate with startups in the next 12 months.

Key Information

• CEO Confidence: Confidence among T&L CEOs in revenue growth over the next 12 months has dropped to a five-year low, with only 29% expressing 'very confidence' in 2019 compared to 45% in 2017.
• Skills Gap: A significant skills gap is affecting innovation and growth, with 55% of T&L CEOs extremely concerned about it.
• Future Outlook: The T&L industry is expected to see a major shift in business models due to the rapid adoption of digital technologies. Companies that fail to adapt may struggle to remain relevant.

Conclusion

The logistics segment is experiencing a digital revolution, with startups and new technologies challenging the status quo. Blockchain and AI are key innovations that can significantly enhance efficiency and reduce costs. However, the adoption of these technologies requires strategic investment, collaboration, and a shift in workforce strategies. T&L companies must embrace these changes to remain competitive in the evolving industry landscape.