Future ICT and Predictions in the Road Transport

Future ICT and Predictions in the Road Transport Industry ARTSA 30 October 2003 Kim Hassall tl (Assoc Prof Centre for Freight & Logistics Research Director ATA Council)

Elements of ICT and Transport Related Telecommunications (6 Areas) l l l tl Planning Support Software: Consignment Barcoding , (the current ALC position) Vehicle telemetry and its operations and future regulatory impacts The current generation of Telecommunications The Internet and what it has meant to Transport, and logistics What things are on the horizon ? ?

What’s to Consider in Transport (ICT) Information & Computing Technology? l Planning Support Software: l Depot Location placement (gravity based models) l Optimal Dock numbers for a Depot or a DC l Distribution Centre layout (High Productivity Terminals) Simulation packages ( easier ) Electronic diaries, reporting systems etc. . . l tl

Future: Planning software: MAJOR developments…. Watch for METAHEURISTIC SCHEDULERS (major l changes are in the wind) l dynamic scheduling approaches for large scale redeployment l impact of meta heuristics (5% to 15% depending on windows and business rules) l tl 5 world records were broken last year with MH Algorithms. (Watch this space)

Barcode applications l l l tl Consignment Barcoding: Australian Logistics Council Position along with the respective freight councils, and NOIE is: EAN UCC for consignment, for SSCC and other applications; Australian position already taken to APEC, the UPU and WCO Don’t develop new barcode standards!!! The promotion for ALC recommendation will start soon…. .

Vehicle Telemetry: Several Streams of Use l Vehicle Telemetry, GPS (GPRS): Broadcast data flows have several applications: l Hi Tech Vehicle maintenance monitoring l GPS for tracking selected cargoes ($$$, reefer etc) l very specialised dynamic scheduling (re-routed courier application, even military applications) tl

Vehicle Telemetry: Regulatory and Enforcement l l l tl Regulatory applications: Urban traffic flow access management (OECD report) Tollway/Congestion flow entry pricing NRTC’s Intelligent Access Project: Regulated trips routes can be audited - large productivity gains NRTC’s PBS project - certain high productivity vehicles may similarly require GPS for an operations audit trail.

Vehicle Telemetry: Regulatory & Enforcement options l l l tl l Enforcement applications: Cutting edge GPS (or even current) can radically change the face of enforcement. 3 strikes and your out may be better with 2 strikes and a GPS with big fines for no usage. GPS exception reporting can change the nature of on road enforcement. One could re think the Safety-Cam program (speeding and driving hours). Again an Exception based operations audit trail.

Future: Telecommunications for transport regulation: Punting on the regulators… l l tl Ought GPS get mandated for enforcement and IAP and even PBS access regimes? Costs $2600 + $1 per day to $85 per week lease and send. Passenger vehicles can have full telemetry for $40 US but cheaper without MP 3 and CD Rom The regulatory report by exception will change the face of transport regulation…

Transport and Logistics Telecommunications: l l l tl What is my need ? ? ? The greatest is knowing what you need What Telecommunications based Transport ITC system should I use? Understand what you need and that ITC for its own sake is often overkill. IT and Telecomms do actually cost…. !!!

E-Transport and e-Logistics and the Internet: l l tl What has Internet done for the T&L sectors? : The internet is becoming the microscope for the logistics chain. - Very large interest in revamping logistics since 1995 Information on contract deliveries, link to link (carrier) measurement, KPIs and T&T are all happening. Standardisation of Barcoding and T&T may be a while off but the tools will get there. (Again it is horses for courses. )

Future: Telecommunications for transport applications: What can be expected… l l l tl Web based GPRS will get cheaper (quicker reports) Where can PDAs and scanning and mobile comms really go? (Greater Courier Impact) Cost of 3 G to the user ? ? Extra capacity available. . . Truck RFID read -RFID equivalent to unique identifier Smart GPS “may” emerge (costs already vary widely) Non standards barcoding may bring 1 day’s demurrage

Future: e-Transport and e-Logistics and the Internet: What will customers want from the internet for B 2 C and possibly B 2 B? l l l tl Stable e-market places. Urban logistics will change gradually and become more efficient Personal and contract transaction security. Advance international customs clearances where necessary - - - barcoding dependant? More varied delivery strategies (12 new ones identified. . ) More Track and Trace on “specific / selected” items Finally get EDI and Barcoding effective! However, there is much more than just the invoice !!!

Transport and Logistics Telecommunications: l Telecommunications in Transport: l Courier operations have come a long way with multi technological tools. Scanner/Mobile/SMS/Wireless to Internet downloads and report generation mechanisms l Warehousing LANs are getting cheaper and allowing more accurate RFID. Will truck RFID compete against fixed GPS? l tl

Realistic Future e-Transport possibilities: More possibilities: l l l tl Regulatory audit expectations from GPS or internet based GPRS applications; A rethink on hours for urban transport operations (many minimisation problems) Smarter application of Truck RFID and GPS at the depot level will save resources;

Future: e-Transport and e-Logistics and the Internet: Interesting possibilities: l l l tl A global internet based “public domain” track and trace system for customers and carriers that may be looking for minimalist Track & Trace capability. A global “public domain” logistics contract performance monitoring and reporting system. Measured by two parties against a set of agreed Business rules. (E 2 E FMT) Meta heuristics: delivering more power for medium and large scheduling problems over the web at an inter modal level. More profitable fleets. Change the mix of insourced vs outsourced; comes with good and bad news