NSW issues associated to the logistical challenges
Discuss about the Prototype Simulation Model For Army Logistics Training.
“New South Wales” is considered as one of the leading logistics hub of Australia pertaining to its advantages over other regions. The various types of estimates suggested by “Bureau of Infrastructure, Transport and Regional Economics (BITRE)” have shown that “New South Wales” alone handles a demand of more than 34% Australian road freight when compared to others states it is no more than 21%. Despite of this, due to changing market demand and technological progress there are a number of challenges considered with the logistics industry in NSW which have posed several difficulties for suppliers and logistics operator in accommodating such enormous demand for transportation of freight. Difficult geography of Sydney has contributed to several network problems for transport operators. Additionally, the supply chain is depicted to be becoming longer with the increasing distance between the main transportation hubs. Moreover, the enormous customer pressure for reducing lead times yet demanding for “deliver in full on time (DIFOT)” has created more problems for the logistics operators. In addition to this, there has been several changes in the distribution models such as electronic trade taken with internet, thereby increasing the SC time and planning for reverse movement of cargo. The main study has stressed on the current logistic problems which relates to network congestion in several highways and ports of NSW region. The various depictions of the study have suggested blue print for the identified issues and also consider the government participation in resolution of the operational problems associated to logistics (Transport.nsw.gov.au 2018).
The important concerns for the logistics network routes of “New South Wales” have been included with difficulties in Sydney region which relates to a suitable geographical conditions thereby leading to freight transport blockage along with inflated cost. The cost factor is further related to several logistics operations which is responsible for increasing the challenges due to present road networks. Initially, the government has made little recognition of cost associated to construction of roads and railways in the hilly areas and rivers which segregates Sydney from rest of the state. Moreover, the limited alternatives of the route selection near the waterways of Sydney had posed significant problems. In addition to this, the inside out layout for Sydney is identified as a coastal location which compels the fourth traffic to enter residential centre thereby creating major hurdles for delivery facilities which are being carried out in the Western Sydney. Furthermore, the increased cost associated to land is often considered incompatible with growing urban population, thereby limiting choices for industrial facilities in inner Sydney (Zinke et al. 2015).
Solutions for the problems
The various extents of geographical challenges are further identified with “Sydney beach’s proximity to the suburb regions from the supply hubs. It is to be understood that the distribution centre is mainly clustered around “M4/M7 junction at Eastern Creek”. This region is often well-thought-out to be inaccessible pertaining to high traffic congestion in the area. At the same time geographical limitation of road and waterway in the northern beach region is considered to be taking more time for delivery by the drivers. In response to this problem, the logistics operator has considered establishing a secondary depot which is in close proximity to Eastern suburbs.
The scope of study has further analyzed the logistics drivers in terms of poor freight utilization and non-presence of modal choice. In addition to this, there are several evidences of poor utilization of road near the intermodal hub which are considered with traffic congestion and delays in the loading area. This further restricts the trucks from doing an extra trip within the working hour so that it could have accommodated more cargo in a single vehicle, thereby difficultly reducing the chances of facing network congestion. The main rationale for poor utilisation of railroads is evident with delay of the rail during peak hours. Moreover, occasional curfews are also responsible for reducing the trip number in every week thereby increasing the cost of operations (Allen et al. 2018).
Moreover, it has been understood that the load capacity of trucks at present are limited and higher productivity vehicles are needed to accommodate the demand, thereby reducing total number of trips. Additionally, the absence of moral choice has made the transport network unreliable in nature.
Figure: Present issues with the logistics network in NSW
(Source: Industry.nsw.gov.au 2018)
It needs to be understood that there is a large amount of evidence which suggests that the ports are congested near “Port botany/airport precinct area”. Moreover, the M5 tunnel is congested due to presence of “local traffic, airport traffic, Port botany traffic and several other traffics based on road network”. It has been discerned that Port botany is identified as one of the major transportation hub for moving service containers via road. However, based on the present initiatives by state, the container movement will be allowed with 40% via rail route by 2025. Despite of this, rail interfaces is considered to be essential at each stevedoring Port. Additionally, the existing rail infrastructure is depicted to be inadequate for supporting such a plan. The container movements situated at a long distance from the port area need intermodal to be managed with sufficient capacity and rail route connections. In this particular context, Moorebank intermodal transportation facility is critical to the development (Boland, Reisi and Savelsbergh 2017).
Based on the current situation, the existence of freight paths inside the passenger network is considered to be limited. Moreover, the increasing passenger is more evident in “southern Sydney dedicated freight line”. Due to absence of freight traffic in this rail route, this is considered as a good medium-term proposition for enhancing the overall movement of freight in Sydney metropolitan area. In addition to this, some of the other scope of solutions are associated to take into consideration for air cargo events contest for all accessible infrastructure counting with the roads, office accommodation, warehousing and landing slots (Fischer and Lindenmayer 2014).
Apart from the initiatives relating to infrastructural changes, the organizations currently suffering from network conditions can look forward to implement innovation into their current logistics system. Several types of techniques such as “vehicle performance, on-board safety monitoring and factors responsible for driver performance”. The organizations did particularly focus on effective utilization of assets and reduce the cost among freight operators by introducing certain systems to monitor and measure vehicle performance.
The transport vehicles can adopt newer technologies such as radar, which will allow them in having a cruise control and maintain their speed by rejecting any object in its path. Moreover, any instance of traffic congestions will be duly updated to the drivers, as they will be able to respond with a warning signal and choose the best path for transportation purposes. In the last two years, DHL is recognized to be investing profoundly in its network and adopting such technology which has enhanced its customer experience and contributed towards overall efficiency. DHL express in particular is identified to optimize service routes and local routes by aligning the best route. The other areas of improvement by DHL is considered with reducing overall route length by splitting transportation hubs in shorter distances thereby saving fuel and drivetime (Fryirs, Gough and Hose, 2014).
Some of the recent development with RFID technology will be significantly able to contribute to the overall conveyance experience in NSW. However, the companies need to be particularly aware of high extent of cost related to purchasing of RFID tags. The important findings have suggested that such a technology will be particularly efficient in tracking shipments. The transmission of information via radio frequencies with a conducive in fetching live updates of Port traffic as the vessels move freight gates and docs. Moreover, the use of such a technology will ensure only appropriate products are shipped.
In several instance, the separate business leaders are bearing in mind asset innovation for overall reshaping of the traditional assets and adopting a more flexible way of performing multiple tasks. It has been further depicted that “Minto intermodal terminal” is able to develop a “20 feet container with numerous unique features which has reduce the loading times to a considerable level”. This clearly signifies that several steps have been taken by the logistics operators for reducing the total loading time which is done to compensate the increase traffic congestion in “NSW freight network routes”. Moreover, in terms of improving the supply chain “Hunter Valley coal chain” is depicted to collaborate with different types of transport operators for supplying coal. This is active as an innovative approach for effectively using 3PL services rather than only relying on personal vehicles (Hudson, Elsawah and Ryan 2017).
The main suggestions for the infrastructural solutions have concentrated on increasing the overall land interface and capacity at Port botany. In addition to this, several other intermodal initiatives are taking place to consider developing interstate rail which will support double stacking for moderating the increased demand. Several provisions have been also made to accommodate the air freight carriage operations done by road ways.
There have been several decisions taken by NSW government which have addressed to the present issues in managing and establishing overall distribution of the freight. The aforementioned factors are in conjunction with the users of the network. Moreover, “The Australian Government and other state governments such as Transport for NSW” have come up with macrolevel and microlevel performance indicators for increasing overall effectiveness of the present freight network.
The main implementation strategy to bring about efficiency in the network are taken into account by categorizing the freight movement and network demand. The road network of NSW has further considered supporting a considerable propensity of truck movement across Australia thereby creating several scopes for minimizing the high cost. The present strategies by the “Council of Australian Governments (COAG)” have stated on introducing new heavy vehicles so that NSW may be able to seek for improved movement of such vehicles. Additionally, the government has taken several initiatives in developing an interstate freight network which can work alongside with national regulators and adjacent jurisdictions for enhancing the cross-product connectivity (Johnes 2014).
Additionally, some of the other initiatives taken by government are acknowledged with improved access of heavy vehicles along the Hume Highway M 31. In addition to this, transport for NSW and Vic roads have considered the investment for lot of activity vehicles such as B triples on the Hume Highway between Sydney and Melbourne. Some of the initiatives are acknowledged by the government as development in rural bridges and roads across NSW freight network. The ageing road have been struggling to keep up with increasing demand from the road network henceforth the government has well-thought-out with strengthening, upgrading and substituting of bridges which connects the road with high priority areas thereby providing ease of access to the hyperactivity vehicles. Moreover, the continued access of hyperactivity has led to several opportunities in decreasing the financial and economic cost.
The infrastructural initiatives for improving the road network are taken into consideration with government aided projects such as:
The aforementioned initiatives have been conducive for the present network operators in providing an improved service. Additionally, an improved access of rail network has been identified in the Sydney trains and transport for NSW. This has led to several access protocol for rail networks which is observed between agreement made by Sydney trains and transport for NSW.
Figure: Important freight corridor existing in Sydney
(Source: Keatinge, Fowler and Briggs 2014).
In addition to the aforementioned initiatives, there has been several types of public-private partnerships. This is evident with strategy association of “Commonwealth Bank of Australia” with various private agencies and seek for new infrastructural development for the intermodal project at Moorebank (Keatinge, Fowler and Briggs 2014).
Conclusion
Based on the present concerns of road network in NSW, it needs to be understood that there is a large amount of evidence which suggests that the ports are congested near “Port botany/airport precinct area”. Moreover, the M5 tunnel is congested due to presence of “local traffic, airport traffic, Port botany traffic and several other traffics based on road network”. It has been discerned that Port botany is identified as one of the major transportation hub for moving service containers via road. However, based on the present initiatives by state, the container movement will be allowed with 40% via rail route by 2025. The important concerns for the logistics network routes of “New South Wales” have been included with difficulties in Sydney region which relates to a suitable geographical conditions thereby leading to freight transport blockage along with inflated cost. The cost factor is further related to several logistics operations which is responsible for increasing the challenges due to present road networks. Moreover, the limited alternatives of the route selection near the waterways of Sydney had posed significant problems. Some of the recent development with RFID technology will be significantly able to contribute to the complete transportation experience in NSW. However, the companies need to be particularly aware of high extent of cost related to purchasing of RFID tags. The important findings have suggested that such a technology will be particularly efficient in tracking shipments. There have been several types of public-private partnerships.
References
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