The International Transport Forum
Outlook 2015 estimates that trade between
African countries will increase by 715 percent between now and 2050.
International freight transport volumes are also expected to grow by 200
percent over the same period. This is not altogether surprising as volumes of
trade through port terminals have to grow to sustain economic growth, jobs and
food security across Africa.
As customers enter new markets,
especially in emerging economies, they are demanding much more than
traditional transportation and
warehousing services from their freight forwarding and contract logistics providers.
The ability to offer new, value-added
services such as warranty processing, returns management and light
manufacturing is now a differentiator, as is providing services such as customs
and insurance brokerage, and trade and transportation management.
Costumer Needs: Another key to growth and profitability will be the
ability to analyse customers’ needs and then respond quickly with advanced
logistics solutions. That will require better IT tools to improve internal
process efficiency and to generate analyses that result in deeper understanding
of customers’ industries and business processes.
Data: A supply chain can generate huge amounts of data
as orders and shipments pass along it. At each stage, data is entered,
validated and often combined or merged with similar elements, resulting in very
large data sets. The challenge is to understand the implications of the data as
this will enable Freight Forwarders to improve their forecasts and consequently their negotiating
position with carriers.
Technology requirements: The importance of technology to freight forwarders
cannot be overstated.
Technology solutions will need to be quick and easy to implement, providing
much higher levels of end-to-end visibility that will allow companies to
compete effectively against others. Freight Forwarders who resist new
technology adoption and continue to work with legacy systems may fall behind
The future of the traditional freight forwarding model is indeed at risk thanks to changing demand and enhanced
technology. To survive, forwarders will need to plan, adapt and evolve or
become obsolete. However, this does not mean there isn’t amble opportunity for
companies willing to adapt and evolve.
If you are in need of skilled Freight
Forwarding staff to assist your company to grown in this volatile market, we
can assist. Communicate Recruitment is a specialist Freight recruitment
agency with experienced consultants that understand the industry and are able
to find you the right fit for your company. Contact us today for all
your Freight staffing needs.