Page 2 - Al-Rashed Newsletter Marchl 19

LOGISTICS TRENDS- 2019

Based on a white paper issued by PWC titled "Five
Forces Transforming Transport & Logistics"

Logistics and transport is becoming more and more complex with technology

becoming more evolved and political scenarios changing.

The five forces that are expected in transforming transport and logistics in the recent
times are as below:
1. Digitalization
2. Shifts in international trade
3. Software-driven process changes
4. Shifts in markets’ domestic commerce
5. Machine-driven process changes

Over the next few years, these key forces will be pose to revolutionize the logistics
industry.

Digitalization is already transforming all T&L segments and it is expected to be the
most impactful trend over the coming years, reshaping entire businesses.

With growing China-EU volumes, new investments and the opportunities to quickly
enlarge land transport fleet, new trade route solutions such as services and
infrastructure development can be expected in
approximately two years’ time.

Software-driven processes solutions are expected to grow dynamically over the next
few years, generating even larger benefits for the business, but they still need to find
their way into the mainstream. eCommerce growing across regions, coupled with
increasing levels of optimization in T&L, are highly likely to create a push for sharing
economy and value chain integrations between T&L companies, eCommerce and
producers. Among other benefits, machine-driven core process changes can increase
the efficiency of deliveries and warehousing; however, they require investment in new
technologies, thoughtful implementation and legal changes

CREATE THE Like most other industries, transportation and logistics (T&L) is currently confronting
immense change; and like all change, this brings both risk and opportunity. New
HIGHEST, GRANDEST technology, new market entrants, new customer expectations, and new business
VISION POSSIBLE models. There are many ways the sector could develop to meet these challenges,
some evolutionary, others more revolutionary.
FOR YOUR LIFE,
Source: PWC, https://www.power-net.com.au/blog/everything-you-need-to-know-about-the-future-of-the-logistics-industry-pwcs-shifting-patterns-report
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