People, goods, and everything in between … In cars, on trains, on planes, in boats, on mopeds … Things need to be moved, and there are companies, infrastructure and vehicles that are dedicated to moving them.
The transport sector is a large one and affects just about every other industry out there. The supply chain in any type of business can’t do its thing effectively if there are transport delays, so the transport industry and its effectiveness has a huge impact on the economy in general.
There are several different sectors that fall under the transport industry. These include:
- Road and Rail
- Airlines
- Marine
- Air freight
- Infrastructure
Other more specific parts of each of these sections are the physical vehicles, routes, information, record-keeping and people involved, which can be summed up as vehicles, infrastructure, and operations.
Supply Chains in the Transport Industry
In any industry, the supply chain is all about getting things from start (suppliers) to finish (customers) as quickly, cheaply and efficiently as possible. Every step of the way, care is taken to ensure that things are being done in such a way as to save time and money – after all, the demand in any market is for high quality, low cost, immediately available products and services.
This works exactly the same way in the transport industry – whether it’s transporting of goods or people, the chain follows the same pattern, and has the same goals. The surge in technological advances though, has had an impact on the transport industry and its supply chain – and is likely to continue doing so in the next few years.
Technological Advances in the Transport Industry
Cars have come a long way since the 1700s, when the first steam-powered buggy was designed and built (and crashed!), air travel has improved to the point where it is an everyday occurrence, and travel by rail has become more luxurious than ever.
We are in the midst of a new revolution in the transport industry, both on the public transportation side and on the delivery service side. With a high demand for faster, more efficient travel, technology is what’s making the difference.
When it comes to both travel and delivery, the millennial preference is for types of transportation that are offered as a service, rather than owning and using a personal vehicle. This is known in the transport industry as Mobility-as-a-Service (MaaS), and has created an influx of business in the transport industry in recent times.
While this means that the opportunity is there to supply the necessary service, it also means that companies providing these types of services cannot afford to fall behind in the technological revolution that we’re seeing in the industry.
Let’s look at some ways in which the latest tech is changing the transport industry’s supply chain management and helping to provide faster, more reliable service.
Study supply chain management