Challenges faced by NSW logistics
The primary objective of this essay is to analyze the supply chain’s present issues that affect the retailers as well as the logistics organizations that are found in New South Wales. There has been a wide array of research regarding the issues that face the supply chain. According to study, it is evident that the ports that neighbor NSW such as Port Botany, Jackson, as well as Kembla experience a lot of congestion. Among the three named ports, Port Botany is the most important one because it has the capability of handling high capacities. Currently, the state faces the challenge of high costs which is as a result of traffic routes’ congestion and issues relating to the network routes.
The development of logistics infrastructure in Western Sydney has been rendered impossible due to the scarcity of land, particularly in areas that are close to the ports. The interests that are associated with the present challenges have been depending on the firm’s case studies. For instance, firms such as Qube Holdings, Zara, and other ports that are experiencing the same kind of problems have been analyzed in this report (Bierwirth, Kirschstein and Meisel, 2012, pp.201). Based on the present trends, Zara firm is faced with the challenge of reduced customer service. Nonetheless, some of the issues that have been addressed in this report are as a result of the suppliers’ inability to adhere to the law when using fats transportation channels. At Qube Holdings, the challenge that is experienced has been due to the construction of a new intermodal station that is intended to ease Moorebank’s logistics system (Black, et al., 2018, pp.47). The report has conducted a deep analysis to identify some of the issues that are associated with the construction of this new facility.
The present problems that western Sydney is facing are caused by the dispersed terminal station that deals with the logistics activities in the county as explained by Black, Roso, Marusic, and Brnjac (2018). Presently, the procedure to be followed when demanding for materials is not in line with the delivery of the same materials. The stakeholders also are not given enough attention which to some extent impact the organization (Caris, Macharis and Janssens, 2013, pp.109). The government encounters many challenges when trying to control the activities at the port to make sure that the available land is put to maximum use. This includes the scope of the rail located close to Port Kembla.
Issues with suppliers and intermodal transportation
KPMG came up with a model that would help in studying the issues that associated with deficiency of skillful labor in the logistics sector as expressed by Dekker, Bloemhof, and Mallidis (2012). The study indicated that workers working in the supply chain field have inadequate skills in management and leadership hence they need to improve for good operation in the present situation. Firms such as Qube are taking a greater role in enhancing the intermodal transport at Moorebank (Dekker, Bloemhof and Mallidis, 2012, pp.673). Intermodal transport faces challenges due to the interrupted trade routes that are closely linked to the inland passenger rail being constructed from Melbourne to Brisbane. Many questions have arisen as to whether the intermodal transport services are in a position to offer an open-ended logistic solution to people found in that area.
Besides, the Liverpool council has disagreed with the project due to the likely carbon emissions and health hazards that are as a result of the construction process. Also, some experts have expressed concerns regarding the increased congestion as a result of the activities of construction. Additionally, Zara supply chain’s activities are to be questioned since the firm has a reputation for keeping on with its behavior of overlooking the conventional practices that have been put in place to govern the operations of the supply chain (Ghaderi, Cahoon and Nguyen, 2015, pp.63). This firm believes that for organizations to succeed in controlling a product, the control process should be continued until the product reaches the consumer. Zara’s ethical practices in relation to supply chain activities have raised issues among the experts. This will force Zara to improve its working and social conditions, including giving its staff more priority.
The other important problem is inadequate of stevedoring firms that are able to associate well with tenants around the port, specifically at Port Botany, which is considered to be Australia’s second largest port (Hoefnagels, et al., 2014, pp.803). The current stevedoring firms which include Container Terminal and Brothersome Dock Australia have indicated that they are not able to handle high yearly demand. Same challenges are encountered by airport terminals which are brought by high air traffic among routes which link with the Western Sydney freight line. The improved levels of e-commerce and cargo activities to some extent contributed to the low accommodation of air traffic (Lam and Gu, 2013, pp.263). Most of the developments which the previous and the current government has endorsed are primarily aimed at attaining medium-term goals but does not put consider factors such as environmental effects and health matters. Sturgess, Rahman, and Argyrous (2018) argue that the issues identified show that it is important to divert focus from the urban areas of New South Wales’ to remote areas. More so, in 2013 additional rail routes were introduced.
Concerns with Zara’s supply chain activities
Brookfield Partners is an infrastructure firm and it is among the firms that provide infrastructural resources to organizations such as Qube holdings and Asciano limited. They are focused on addressing the current issues and this includes improving the operations at the Asciano Patrick’s port (McIntosh, Newman and Glazebrook, 2013, pp.39). The reason behind this is that Asciano Patricks’s port is able to accommodate the high demand for containers. The port also has the ability to give a long-lasting solution to the current issues of satisfying the logistics demands at South Sydney.
The Southern highlands logistics hub can be used in effectively managing the current challenges related to the intermodal logistics hub. Some areas in the Southern Highlands can be used in constructing new rail routes to reduce the present congestion on traffic road transit since they have large spaces (Regmi and Hanaoka, 2012, pp.33). These regions are situated at Port Botany and Moorebank. The study indicates that a highway found in New South Wales that joins Western Sydney to Westlink M7 has a lot of potentials that will help in solving problems that impact on NSW’s logistics network.
Responding to the issues that were related to network congestion, the government initiated many initiatives such as the Public-Private Partnership to focus on enhancing the companies’ supply chain activities as Regmi and Hanaoka (2012) state. The government is also committed to enhancing Qube Holdings Private Limited supply operations. This firm focuses at constructing an intermodal station which will join Port Botany to the Australian Suburbs (Roso, et al., 2015, pp.271). This projects will be important because it will improve NSW’s logistics trade routes. There is a lot of lands that are available for use in the construction of industrial storages, including the supply chain operations. The construction of this new route will help solve the challenges that have been experienced for decades by the tenants and the warehouse managers, thus achieving the present capacity requirements. Additionally, the initiative will also be very essential because it will improve on the declining demand for rail route services.
Notwithstanding, the government has taken a step further to involve third-party logistics operators. This will help in sharing the opportunities that will result from gaining access to Moorebank’s terminal (Song, Kim and Kim, 2013, pp.1806). The government has put in place policy mechanisms that will ensure a mutual benefit that is as a result of the process of constructing an intermodal terminal within the operations of the supply chain. These benefits are aimed at enhancing the transportation services, which in return will translate to increased competitiveness against the logistics’ rival companies.
Measures to address NSW’s current issues
Poulos, et al., (2016) has noted that the New South Wales government has initiated the process of leasing two of the primary ports that are found in Southern Sydney. These two primary ports are Port Kembla that has got a specialization in handling grain products, as well as Port Botany as Regmi and Hanaoka (2012) notes (Sturgess, Rahman and Argyrous, 2018, pp.83). The government has also put in place other initiatives that are intended to refinance the activities at Port Kembla, including many other ports such as Cooks Rail terminal.
Conclusion
This analysis of the New South Wales intermodal has indicated that the current issues associated with rail and road networks such as congestion have a negative impact on New South Wales companies such as Qube and the Zara Holdings. Among the best solutions that the analyses offer is the Public-Private Partnership which is a position of addressing the problems that are associated with the inadequate intermodal logistic facilities. Nonetheless, a deep analysis has been carried out on sustainability and ha noted that the first way to solving the NSW’s current issues is by making maximum use of resources such as land in constructing new logistics centers such as that in the Southern Highlands of Southern Sydney. Additionally, the government contribution has made sure that there is sustainability in the current operations.
Bierwirth, C., Kirschstein, T. and Meisel, F., 2012. On transport service selection in intermodal rail/road distribution networks. Business Research, 5(2), pp.198-219.
Black, J., Roso, V., Maruši?, E. and Brnjac, N., 2018. Issues in Dry Port Location and Implementation in Metropolitan Areas: The Case of Sydney, Australia. Transactions on maritime science, 7(01), pp.41-50.
Caris, A., Macharis, C. and Janssens, G.K., 2013. Decision support in intermodal transport: a new research agenda. Computers in industry, 64(2), pp.105-112.
Dekker, R., Bloemhof, J. and Mallidis, I., 2012. Operations Research for green logistics–An overview of aspects, issues, contributions and challenges. European Journal of Operational Research, 219(3), pp.671-679.
Ghaderi, H., Cahoon, S. and Nguyen, H.O., 2015. An investigation into the non-bulk rail freight transport in Australia. The Asian Journal of Shipping and Logistics, 31(1), pp.59-83.
Hoefnagels, R., Searcy, E., Cafferty, K., Cornelissen, T., Junginger, M., Jacobson, J. and Faaij, A., 2014. Lignocellulosic feedstock supply systems with intermodal and overseas transportation. Biofuels, Bioproducts and Biorefining, 8(6), pp.794-818.
Lam, J.S.L. and Gu, Y., 2013. Port hinterland intermodal container flow optimisation with green concerns: a literature review and research agenda. International Journal of Shipping and Transport Logistics, 5(3), pp.257-281.
McIntosh, J., Newman, P. and Glazebrook, G., 2013. Why Fast Trains Work: An assessment of a fast regional rail system in Perth, Australia. Journal of Transportation Technologies, 3, pp.37-47.
Regmi, M.B. and Hanaoka, S., 2012. Assessment of intermodal transport corridors: Cases from North-East and Central Asia. Research in Transportation Business & Management, 5, pp.27-37.
Roso, V., Russell, D., Ruamsook, K. and Stefansson, G., 2015. Seaport-inland port dyad dynamics: an investigation of service provisions and intermodal transportation linkages. World Review of Intermodal Transportation Research, 5(3), pp.263-280.
Song, K.Y., Kim, Y.H. and Kim, B.Y., 2013. Intermodal stimulated Brillouin scattering in two-mode fibers. Optics letters, 38(11), pp.1805-1807.
Sturgess, G.L., Rahman, S. and Argyrous, G., 2018. Convict Transportation to New South Wales, 1787–1849: Mortality Rates Reconsidered. Australian Economic History Review, 58(1), pp.62-86.
Order an Essay Now & Get These Features For Free:
Turnitin Report
Formatting
Title Page
Citation
Outline
