Sample Research Paper on Challenges and Trends within the Transportation and Logistics Field

Challenges and Trends within the Transportation and Logistics Field

Transportation is among the world’s major industries. It has various sectors that range from trucks to taxis, trains, barges, ships, warehouses couriers services, airplanes, and logistics services. A study in the year 2013 by the Plunkett Research estimated the revenues of the transportation industry in the US to be approximately $950.6 billion (Plunkettresearch.com, 2014). Despite the huge revenue by the transport industry, there are several challenges and trends that have emerged in the industry. Some of these emergent issues in the transportation industry are discussed in the subsequent paragraphs.

Labor Shortage

The increase in demand is likely to cause a shortage of experienced and qualified drivers. Increase in demand is likely to increase the cost of shipping services. Moreover, the transport and logistics industry faces tougher competition levels from other service-based sectors, further lowering its labor pool (Plunkettresearch.com, 2014).

New technology

New technology in the transport and logistics industry is vital, as it has played a key role in facilitating communication. The latest trends include the use of new designs, such as Smartphone apps that are utilized in providing synchronized information regarding cargo status. The increased use of technology has helped the people in the transport industry to make more defined decisions as well as respond to the client needs effectively (Klumpp, Clausen & ten Hompel, 2013).

A structural move to sea freight

Lately, there has been a structural transitioning from airfreight to using the sea freight. The transition has been propelled by supply demands as well as the difference between the costs of the two forms of transport. As the transport cost of the sea freight lowers than that of the of the air freight, it has hence become a popular alternative. This shift has majorly taken place in the electronics and pharmaceutical sectors (Greencarrier Blog, 2014).

The above discussed challenges and trends are likely to affect the future of TLM differently. The labor shortages are expected to prevent some of the anticipated growth in the industry. The communication between various sectors in the transport industry is likely to improve as technology advances on a daily basis. Finally, the value, cost and quality of services offered to the customers are likely to favor the industry’s client in the near future.

References

Greencarrier Blog. (2014). 5 global logistics trends. Retrieved 9 October 2014, from http://blog.greencarrier.com/5-global-logistics-trends/

Klumpp, M., Clausen, U., & ten Hompel, M. (2013). Logistics Research and the Logistics World of 2050. In Efficiency and Logistics (pp. 1-6). Springer Berlin Heidelberg.    

Plunkettresearch.com. (2014). Transportation-supply-chain-logistics-market-research – Industry Trends. Retrieved 9 October 2014, from http://www.plunkettresearch.com/transportation-supply-chain-logistics-market-research/industry-trends