Question

In: Operations Management

Highlight what effects current globalization trens have on the truckingbusiness envrionement in Australia

Highlight what effects current globalization trens have on the truckingbusiness envrionement in Australia

Solutions

Expert Solution

There is a huge trend of globalization in trucking industry in Australia. Most of the key players in the trucking industry have built global operations to have door to door services in Australia. Hence, it has become important for trucking operators to fulfill the customer demand through service integration in supply chain. There are few concerns which in trucking industry such as -

-          Rise in cost has affected the small operators in trucking industry and increase in wages

-          Safety is the key principle in trucking industry where no operator wants to create any type of damage to the people

-          Affect on wages due to increase in regulations and labor supply. It is difficult to attract new workers. Hence, shortage of skilled employees

-          Work towards increasing productivity by reducing carbon emissions and issues related to traffic. Introduction big vehicles is the issue.

-          Different policies and legalization governance

-          Fluctuating demands from agriculture, manufacturing, wholesalers and retailers

-          Rise in the insurance premiums

-          The bad conditions of the road network creating congestion


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