Logistics Sector Keeps The Wheel of the Economy Moving

Yet, the logistics service providers are under constant pressure. Damaging myths about logistics sector prevail and hamper profitability.

about the author

VIVEK SOOD

Today, Vivek and his partners are among 20-30 people on the planet earth who have this deep understanding of supply chain systems, practices and tools. CEOs, COOs, executives and Boards call them in most challenging situations once they know the full potential of supply chain based transformations. Following are key milestones in Vivek's journey:

Started in 1983 as a merchant navy cadet at 18 years age, worked his way to qualify as a Captain - qualified to take command of any merchant ship, worldwide.
Earned a top tier MBA from UNSW at the top of his class.
Joined highly regarded strategy consulting firm Booz Allen & Hamilton, consulting to the CEOs, Boards and senior management of global corporations within Australia.
To learn and specialise in supply chain - against all odds, sought out the co-inventor of supply chain in Germany and convinced him to be a partner in his firm, GLOBAL SUPPLY CHAIN GROUP, launched in January 2000.
More than 500 successful blue chip projects with high impact business transformations in large corporations using the full power of SUPPLY CHAIN MANAGEMENT.
4 Seminal and path breaking business books IN SUPPLY CHAIN MANAGEMENT - these are available in bookstores and universities and libraries worldwide.

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The Logistics Conundrum

the logistics conundrum

Logistics companies invest billions in infrastructure

- ships, ports, trucks, railroads, pipelines, and other hard assets cost a lot of money.

Then they spend several billions more in software

IT systems, tracking and tracing capabilities, POD capabilities, and assorted other capabilities cost an equal amount of money.

Next they spend billions in gaining trust of their customers

relationship building, events and other activities (let's not name all of them here).

Yet, all that effort, in the end, yields very paltry overall returns

- especially when you compare those results against all other industries.

Why?

If you are in a senior position in this industry, and have ever wondered something like this before - you may be surprise with our answer.

Get in touch by using one of the methods in the top bar of this site and we might have a stimulating discussion.