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The recent developments in the global transportation industry, broadly categorised into freight and passenger segments, have been a function of considerable shifts in demand volumes coinciding with bottlenecks on the supply side, as well as increasing pressure to operate under stricter safety and environmental regulations imposed by governments and demanded by various social pressure groups.

Freight shipping has benefited greatly from intermodal transportation advancements, advent of alternative fuels, and the arrival of technology-based delivery and cargo tracking solutions. However, transportation and logistics decision-makers are faced with their own set of challenges. Volatile fuel prices, demand for cost effective and fast delivery, as well as widening geographic spread of businesses further squeeze already tight margins. Logistics executives are faced with the challenge of designing and operating increasingly complex supply chains with logistics solutions that are flexible and responsive to demand fluctuations, incorporate regional networks of suppliers and work smoothly in connecting multi-location operations of businesses spread across geographies of unevenly developed transportation infrastructure.

The passenger transportation sector, focused on leisure and business travel, has benefitted from passengers’ higher travel mobility and the globalized marketplace, which have led to a considerable rise in passenger traffic volumes. However, part of that growth was stifled by the negative impact of the economic turmoil of the past few years. The economic crisis, paired with soaring fuel prices, has further tightened operator margins.

The challenges and opportunities faced by the industry are particularly intense in several emerging markets, where on the one hand economic growth spurs demand for transportation services across segments, while on the other hand, industry development is severally hampered by an inadequate road and rail infrastructure, and, in many cases, skilled labour shortage. But the impact of the emerging economies on the global transportation landscape goes even further – it is expected to force logistics executives to redesign their supply chains, potentially impacting global trade corridors between the continents, as several Asian, African and South American emerging economies continue to exchange large volumes of freight and passenger traffic.

At EOS Intelligence, we understand that transportation and logistics play a critical role in any business. Our customized research and intelligence support allows our clients to optimize their strategic transportation decisions entailing safety standards, strategic partnerships, capacity management, sustainability, and cost control. Our intelligence solutions are supported by depth of our experience and understanding of the financial and operational drivers governing this industry.

If you desire to learn more about our transportation sector capabilities, please feel free to contact us, and we will be glad to answer your queries.

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