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Prime Mover Magazine


Technology alone won’t ensure economic growth in freight transport: Isuzu

Inefficiencies that continue to impact transport freight in this country will dampen Australia’s economic growth according to Phil Taylor. The newly appointed Isuzu Australia Limited, Director & CEO has renewed calls for industry leaders and government bodies to work together as the industry moves through a transitional period.

Disruptive shifts throughout the supply chain will have broad ramifications said Taylor.

“Since the start of the new millennium, the volume of freight being distributed throughout Australia has experienced sustained growth,” he said.

“We’ve also seen supply chains grow more complex and customer expectations around shipping times tighten globally, and these changes have been reflected in the Australian landscape.”

With the freight task expected to increase an additional 50 per cent in the next 20 years according to the Council of Australian Governments Transport and Infrastructure Council, multi-modal freight transport is being forecast as a viable solution to effectively addressing the demands of freight transport as they evolve.

Taylor said the current shift in tracking data captured at every point of the supply chain across air, sea, road and rail was providing a much clearer picture of events.

“The most pertinent challenge for the transport and logistics industry is how we can work together to share that information in a way that boosts the sophistication and improves the flow of freight down the entire supply chain,” he said.

Technology alone, however, will not be enough to effectively establish optimal efficiencies for shipping goods according to Taylor. The key to maximising the impact of individual pieces of infrastructure was developing strategies to ensure integration within the existing supply channel was long lasting and supported by state and federal governments.

“In a multi-modal transport landscape, every piece of infrastructure’s effectiveness will be largely determined by the links that connect it to broader supply chains. It’s vital that substantive planning instruments are in place to best improve supply chain efficiencies,” said Taylor.

“In terms of freight distribution, road will remain a lynchpin in Australia. Even as Australian population hubs expand, trucks will remain the most effective way for operators to address the all-important first and last miles of freight transport.”

“Government agencies need to play a regulatory role to facilitate how companies use and share data collected throughout the supply chain,” he said.

“Promoting the adoption of global data standards throughout Australian supply chains will help ensure local operators can better function in an increasingly globalised logistics environment.”

“Ultimately, the more conversations the industry can facilitate, the better chance we have of ensuring Australia’s evolving freight transport needs are met,” he said.

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