Delivering to the Cities of Tomorrow - Global Mega Trends and Impact on Future of Urban Logistics

34
Delivering to the Cities of Delivering to the Cities of Delivering to the Cities of Delivering to the Cities of Tomorrow Tomorrow Tomorrow Tomorrow Global Mega Trends Global Mega Trends Global Mega Trends Global Mega Trends and Impact on Future and Impact on Future and Impact on Future and Impact on Future of Urban of Urban of Urban of Urban Logistics Logistics Logistics Logistics

Transcript of Delivering to the Cities of Tomorrow - Global Mega Trends and Impact on Future of Urban Logistics

Page 1: Delivering to the Cities of Tomorrow - Global Mega Trends and Impact on Future of Urban Logistics

Delivering to the Cities of Delivering to the Cities of Delivering to the Cities of Delivering to the Cities of TomorrowTomorrowTomorrowTomorrowGlobal Mega Trends Global Mega Trends Global Mega Trends Global Mega Trends and Impact on Future and Impact on Future and Impact on Future and Impact on Future of Urban of Urban of Urban of Urban

LogisticsLogisticsLogisticsLogistics

Page 2: Delivering to the Cities of Tomorrow - Global Mega Trends and Impact on Future of Urban Logistics

Today’s PresentersToday’s PresentersToday’s PresentersToday’s Presenters

Archana Archana Archana Archana AmarnathAmarnathAmarnathAmarnathProgram ManagerVisionary Innovation ResearchFrost & Sullivan

2

Archana VidyasekarArchana VidyasekarArchana VidyasekarArchana VidyasekarSenior Research AnalystVisionary Innovation ResearchFrost & Sullivan

Page 3: Delivering to the Cities of Tomorrow - Global Mega Trends and Impact on Future of Urban Logistics

AgendaAgendaAgendaAgenda

Presentation of Top Mega Trends of the Presentation of Top Mega Trends of the Presentation of Top Mega Trends of the Presentation of Top Mega Trends of the Future Future Future Future Influencing Urban LogisticsInfluencing Urban LogisticsInfluencing Urban LogisticsInfluencing Urban Logistics

Introduction and Definition of Introduction and Definition of Introduction and Definition of Introduction and Definition of Urban LogisticsUrban LogisticsUrban LogisticsUrban Logistics

Urban Logistics : NewUrban Logistics : NewUrban Logistics : NewUrban Logistics : New Trends and Business ModelsTrends and Business ModelsTrends and Business ModelsTrends and Business Models

More AboutMore AboutMore AboutMore About Visionary Innovation GroupVisionary Innovation GroupVisionary Innovation GroupVisionary Innovation Group

3

Page 4: Delivering to the Cities of Tomorrow - Global Mega Trends and Impact on Future of Urban Logistics

Objectives of the BriefingObjectives of the BriefingObjectives of the BriefingObjectives of the Briefing

• Defining and understanding the concept of Defining and understanding the concept of Defining and understanding the concept of Defining and understanding the concept of urban logistics and the dynamics urban logistics and the dynamics urban logistics and the dynamics urban logistics and the dynamics within within within within

the industrythe industrythe industrythe industry

• Understand Understand Understand Understand impact of impact of impact of impact of Mega Trends Mega Trends Mega Trends Mega Trends in driving in driving in driving in driving new business models, new new business models, new new business models, new new business models, new

technologiestechnologiestechnologiestechnologies and urban and urban and urban and urban freight transport practicesfreight transport practicesfreight transport practicesfreight transport practices

Gain insight into the use Gain insight into the use Gain insight into the use Gain insight into the use of of of of information and communication information and communication information and communication information and communication in fleet in fleet in fleet in fleet

4

technologiestechnologiestechnologiestechnologies and urban and urban and urban and urban freight transport practicesfreight transport practicesfreight transport practicesfreight transport practices

• Gain insight into the use Gain insight into the use Gain insight into the use Gain insight into the use of of of of information and communication information and communication information and communication information and communication in fleet in fleet in fleet in fleet

management and robotics in warehousingmanagement and robotics in warehousingmanagement and robotics in warehousingmanagement and robotics in warehousing

• Spot new business models Spot new business models Spot new business models Spot new business models and and and and intelligent optimised solutions intelligent optimised solutions intelligent optimised solutions intelligent optimised solutions being being being being

deployed for urban logisticsdeployed for urban logisticsdeployed for urban logisticsdeployed for urban logistics

Page 5: Delivering to the Cities of Tomorrow - Global Mega Trends and Impact on Future of Urban Logistics

What is Urban Logistics?What is Urban Logistics?What is Urban Logistics?What is Urban Logistics?

Transportation Transportation Transportation Transportation & Distribution & Distribution & Distribution & Distribution ActivitiesActivitiesActivitiesActivities

Warehousing Warehousing Warehousing Warehousing ActivitiesActivitiesActivitiesActivities

ValueValueValueValue----Added Added Added Added ActivitiesActivitiesActivitiesActivities

Urban Logistics Urban Logistics Urban Logistics Urban Logistics offers unique tailoroffers unique tailoroffers unique tailoroffers unique tailor----made solutions for the made solutions for the made solutions for the made solutions for the transport of goods in transport of goods in transport of goods in transport of goods in cities cities cities cities by by by by consolidating & rationalizing the existing logistics platforms & creating innovative consolidating & rationalizing the existing logistics platforms & creating innovative consolidating & rationalizing the existing logistics platforms & creating innovative consolidating & rationalizing the existing logistics platforms & creating innovative

solutions solutions solutions solutions for the future through the for the future through the for the future through the for the future through the use of use of use of use of information and communication information and communication information and communication information and communication technologies technologies technologies technologies

Key Segments Within Urban LogisticsKey Segments Within Urban LogisticsKey Segments Within Urban LogisticsKey Segments Within Urban Logistics

5

InInInIn----Bound Bound Bound Bound TransportationTransportationTransportationTransportation

Outbound Outbound Outbound Outbound TransportationTransportationTransportationTransportation

Storage Storage Storage Storage

Inventory Inventory Inventory Inventory ManagementManagementManagementManagement

Planning / Planning / Planning / Planning / MarketingMarketingMarketingMarketing

Other Other Other Other Optimisation Optimisation Optimisation Optimisation TechniquesTechniquesTechniquesTechniques

Page 6: Delivering to the Cities of Tomorrow - Global Mega Trends and Impact on Future of Urban Logistics

Global Mega Trends Global Mega Trends Global Mega Trends Global Mega Trends and Urban Logisticsand Urban Logisticsand Urban Logisticsand Urban LogisticsGlobal Mega Trends Global Mega Trends Global Mega Trends Global Mega Trends and Urban Logisticsand Urban Logisticsand Urban Logisticsand Urban Logistics

6

Page 7: Delivering to the Cities of Tomorrow - Global Mega Trends and Impact on Future of Urban Logistics

Mega Trends Driving Urban Logistics IndustryMega Trends Driving Urban Logistics IndustryMega Trends Driving Urban Logistics IndustryMega Trends Driving Urban Logistics Industry

UrbanisationUrbanisationUrbanisationUrbanisationConnectivity and Connectivity and Connectivity and Connectivity and

ConvergenceConvergenceConvergenceConvergence Bricks & ClicksBricks & ClicksBricks & ClicksBricks & Clicks

Future Future Future Future Infrastructure Infrastructure Infrastructure Infrastructure DevelopmentDevelopmentDevelopmentDevelopment

1111 2222 3333 4444

7

There Will be 35 Mega Cities Globally By 2025 Demanding For Unique City Logistics Solutions

By 2025, each person will have a minimum of five connected devices

By 2025, 20% of retail will happen through

online channels

By 2025, globally over $800 billion will be

spent on high speed rail projects.

What does this mean for Urban What does this mean for Urban What does this mean for Urban What does this mean for Urban LLLLogistics?ogistics?ogistics?ogistics?

500 million deliveries per person per day to

cities

‘On-the-fly’ deliveries will have to made

anywhere, anyhow, faster and quicker

Demand for urban parcel deliveries will

increase – shipments to become smaller and

frequent

An fuel and carbon efficient alternative to road and air transport

and multi-modality.

Page 8: Delivering to the Cities of Tomorrow - Global Mega Trends and Impact on Future of Urban Logistics

Mega Trend 1 : UrbanisationMega Trend 1 : UrbanisationMega Trend 1 : UrbanisationMega Trend 1 : UrbanisationUrbanisation Will Compel Logistics Companies To Have More Urbanisation Will Compel Logistics Companies To Have More Urbanisation Will Compel Logistics Companies To Have More Urbanisation Will Compel Logistics Companies To Have More

Spokes Near the CitiesSpokes Near the CitiesSpokes Near the CitiesSpokes Near the Cities

The Hubs:

Central Distribution Centres

Spokes:

Drop off-points for deliveries

near remote city areas

Medium and Light

CVs will deliver goods

80% 80% 80% 80% ---- 100% load factor100% load factor100% load factor100% load factor

InInInIn----night services, Earlynight services, Earlynight services, Earlynight services, Early----morning deliveriesmorning deliveriesmorning deliveriesmorning deliveries

8

Heavy Commercial

Vehicles (double trailer

trucks) will carry goods to

big warehouses at outskirts

CVs will deliver goods

to warehouses within

city

Outer Ring RoadOuter Ring RoadOuter Ring RoadOuter Ring Road25 miles from City 25 miles from City 25 miles from City 25 miles from City

CentreCentreCentreCentre

InInInIn----night services, Earlynight services, Earlynight services, Earlynight services, Early----morning deliveriesmorning deliveriesmorning deliveriesmorning deliveries

Reduce the number of Reduce the number of Reduce the number of Reduce the number of trips by almost halftrips by almost halftrips by almost halftrips by almost half

100% on100% on100% on100% on----time deliveriestime deliveriestime deliveriestime deliveries

Page 9: Delivering to the Cities of Tomorrow - Global Mega Trends and Impact on Future of Urban Logistics

Without Consolidation CentresWithout Consolidation CentresWithout Consolidation CentresWithout Consolidation Centres

Distribution Distribution Distribution Distribution will be Shared and become will be Shared and become will be Shared and become will be Shared and become more more more more ConsolidatedConsolidatedConsolidatedConsolidated

With Consolidation CentresWith Consolidation CentresWith Consolidation CentresWith Consolidation Centres

Consolidation centre

9

Page 10: Delivering to the Cities of Tomorrow - Global Mega Trends and Impact on Future of Urban Logistics

Mega Trend 2 : Connectivity and ConvergenceMega Trend 2 : Connectivity and ConvergenceMega Trend 2 : Connectivity and ConvergenceMega Trend 2 : Connectivity and Convergence

Intelligent Intelligent Intelligent Intelligent Transport Transport Transport Transport SystemsSystemsSystemsSystems

Social Media Social Media Social Media Social Media Integration Integration Integration Integration

RealRealRealReal----time is Too time is Too time is Too time is Too Late…Late…Late…Late…

2020202020202020

2025202520252025

Cloud LogisticsCloud LogisticsCloud LogisticsCloud Logistics

‘On‘On‘On‘On----thethethethe----Fly’ DeliveriesFly’ DeliveriesFly’ DeliveriesFly’ Deliveries

Urban logistics Urban logistics Urban logistics Urban logistics opportunitiesopportunitiesopportunitiesopportunities

Logistics Technology to Become More Proactive than ReactiveLogistics Technology to Become More Proactive than ReactiveLogistics Technology to Become More Proactive than ReactiveLogistics Technology to Become More Proactive than Reactive

10

ReactiveReactiveReactiveReactive ProactiveProactiveProactiveProactive

TelematicsTelematicsTelematicsTelematics

Intelligent Intelligent Intelligent Intelligent Transport Transport Transport Transport SystemsSystemsSystemsSystems

2010201020102010

Sensors and Sensors and Sensors and Sensors and Terrain Terrain Terrain Terrain

MappingMappingMappingMapping

Traffic Traffic Traffic Traffic Predicting Predicting Predicting Predicting SoftwareSoftwareSoftwareSoftware

2015201520152015

2020202020202020

Individually optimized Individually optimized Individually optimized Individually optimized transport solutiontransport solutiontransport solutiontransport solution

Quality Control ‘On the Quality Control ‘On the Quality Control ‘On the Quality Control ‘On the Move’Move’Move’Move’

Urban Lead Logistics Urban Lead Logistics Urban Lead Logistics Urban Lead Logistics

Page 11: Delivering to the Cities of Tomorrow - Global Mega Trends and Impact on Future of Urban Logistics

Global Online Retail Sales To Reach $4.3 Trillion By 2025 Accounting Global Online Retail Sales To Reach $4.3 Trillion By 2025 Accounting Global Online Retail Sales To Reach $4.3 Trillion By 2025 Accounting Global Online Retail Sales To Reach $4.3 Trillion By 2025 Accounting for 19% of Total for 19% of Total for 19% of Total for 19% of Total RetailRetailRetailRetail

“More “More “More “More the ‘Clicks’ More the Truck the ‘Clicks’ More the Truck the ‘Clicks’ More the Truck the ‘Clicks’ More the Truck Mileage”Mileage”Mileage”Mileage”

$11.8 $11.8 $11.8 $11.8 TrillionTrillionTrillionTrillion

$23 $23 $23 $23 TrillionTrillionTrillionTrillion

$18.7$18.7$18.7$18.7TrillionTrillionTrillionTrillion

24%24%24%24% 18%18%18%18% 25%25%25%25% 10%10%10%10% 15%15%15%15%

% share of online in total retail, 2025% share of online in total retail, 2025% share of online in total retail, 2025% share of online in total retail, 2025

Online SalesOnline SalesOnline SalesOnline Sales NonNonNonNon----Online SalesOnline SalesOnline SalesOnline Sales

Mega Trend Mega Trend Mega Trend Mega Trend 3 3 3 3 : : : : Bricks and ClicksBricks and ClicksBricks and ClicksBricks and Clicks

$11.8 $11.8 $11.8 $11.8 TrillionTrillionTrillionTrillion

$18.7$18.7$18.7$18.7TrillionTrillionTrillionTrillion

$11.25 $11.25 $11.25 $11.25 TrillionTrillionTrillionTrillion

$4.3$4.3$4.3$4.3TrillionTrillionTrillionTrillion

$0.55 $0.55 $0.55 $0.55 TrillionTrillionTrillionTrillion

United United United United StatesStatesStatesStates

ChinaChinaChinaChina United United United United KingdomKingdomKingdomKingdom

JapanJapanJapanJapan GermanyGermanyGermanyGermany

24%24%24%24% 18%18%18%18% 25%25%25%25% 10%10%10%10% 15%15%15%15%

1111 2222 3333 4444 5555

$1.32$1.32$1.32$1.32TrillionTrillionTrillionTrillion

$1.30 $1.30 $1.30 $1.30 TrillionTrillionTrillionTrillion

$0.19$0.19$0.19$0.19TrillionTrillionTrillionTrillion

$0.17 $0.17 $0.17 $0.17 TrillionTrillionTrillionTrillion $0.09 $0.09 $0.09 $0.09

TrillionTrillionTrillionTrillion

5%5%5%5%

95%95%95%95%

19%19%19%19%

81%81%81%81%

112011201120112011 2025202520252025

Page 12: Delivering to the Cities of Tomorrow - Global Mega Trends and Impact on Future of Urban Logistics

The Retail Model Will Evolve From a Single/Multiple Channel Model to an The Retail Model Will Evolve From a Single/Multiple Channel Model to an The Retail Model Will Evolve From a Single/Multiple Channel Model to an The Retail Model Will Evolve From a Single/Multiple Channel Model to an Integrated Cross Channel Model Demanding For Multiple Delivery OptionsIntegrated Cross Channel Model Demanding For Multiple Delivery OptionsIntegrated Cross Channel Model Demanding For Multiple Delivery OptionsIntegrated Cross Channel Model Demanding For Multiple Delivery Options

Department

Stores

Supermarkets Hypermarkets Online Mobile Payments Mobile Apps

Bricks (preBricks (preBricks (preBricks (pre----2000)2000)2000)2000) +Advent of Clicks (post+Advent of Clicks (post+Advent of Clicks (post+Advent of Clicks (post----2000)2000)2000)2000)

Source: Frost &

Sullivan Analysis

Interactive StoresVirtual Stores Hyper Online

Markets

The Future The Future The Future The Future ---- Bricks and Clicks (2015 and Beyond)Bricks and Clicks (2015 and Beyond)Bricks and Clicks (2015 and Beyond)Bricks and Clicks (2015 and Beyond)

12

Page 13: Delivering to the Cities of Tomorrow - Global Mega Trends and Impact on Future of Urban Logistics

Inventory Inventory Inventory Inventory VisibilityVisibilityVisibilityVisibility

Cold Cold Cold Cold Supply Supply Supply Supply Chain Chain Chain Chain

ServicesServicesServicesServices

Multiple Multiple Multiple Multiple Delivery Delivery Delivery Delivery OptionsOptionsOptionsOptions

Smaller Smaller Smaller Smaller ShipmentsShipmentsShipmentsShipments

Urban Logistics Solutions Urban Logistics Solutions Urban Logistics Solutions Urban Logistics Solutions

Ecommerce pressures on the supply chainEcommerce pressures on the supply chainEcommerce pressures on the supply chainEcommerce pressures on the supply chain

Retail Logistics Will Innovate Its Last Mile Offering Multiple Retail Logistics Will Innovate Its Last Mile Offering Multiple Retail Logistics Will Innovate Its Last Mile Offering Multiple Retail Logistics Will Innovate Its Last Mile Offering Multiple Delivery Options From Home Delivery to SelfDelivery Options From Home Delivery to SelfDelivery Options From Home Delivery to SelfDelivery Options From Home Delivery to Self----CollectCollectCollectCollect

Frequent Frequent Frequent Frequent DeliveriesDeliveriesDeliveriesDeliveries

13

SameSameSameSame----DayDayDayDay Night TimeNight TimeNight TimeNight Time Click ‘n’ CollectClick ‘n’ CollectClick ‘n’ CollectClick ‘n’ Collect Locker BoxesLocker BoxesLocker BoxesLocker Boxes Refrigerated Refrigerated Refrigerated Refrigerated Locker BoxesLocker BoxesLocker BoxesLocker Boxes

Urban Logistics Solutions Urban Logistics Solutions Urban Logistics Solutions Urban Logistics Solutions

Page 14: Delivering to the Cities of Tomorrow - Global Mega Trends and Impact on Future of Urban Logistics

In Future, HS Rail will not only offer high speed personal mobility In Future, HS Rail will not only offer high speed personal mobility In Future, HS Rail will not only offer high speed personal mobility In Future, HS Rail will not only offer high speed personal mobility but will also transport cargo at a lesser fuel and carbon costbut will also transport cargo at a lesser fuel and carbon costbut will also transport cargo at a lesser fuel and carbon costbut will also transport cargo at a lesser fuel and carbon cost

Project Examples:Project Examples:Project Examples:Project Examples:

• Eurocarex – High Speed Freight Train Between Lyon and London

• Bangalore-Chennai High Speed Freight Train• China’s Mixed Passenger-Freight High Speed

Trains

Mega Trend Mega Trend Mega Trend Mega Trend 4 4 4 4 : : : : Higher Speed LogisticsHigher Speed LogisticsHigher Speed LogisticsHigher Speed Logistics

What are the What are the What are the What are the Opportunities?Opportunities?Opportunities?Opportunities?

• Higher Speed Logistics• Intermodal Logistics• Next-day delivery between continents• More fuel-efficient than Air-Road Mix• Night-time multimodal logistics (e.g. no night time

flight restrictions)

Bangalore-Chennai High Speed Freight TrainChina’s Mixed Passenger-Freight High Speed Trains

14

Page 15: Delivering to the Cities of Tomorrow - Global Mega Trends and Impact on Future of Urban Logistics

Urban Logistics Urban Logistics Urban Logistics Urban Logistics TrendsTrendsTrendsTrends

Urban Logistics Urban Logistics Urban Logistics Urban Logistics TrendsTrendsTrendsTrends

15

Page 16: Delivering to the Cities of Tomorrow - Global Mega Trends and Impact on Future of Urban Logistics

$2.55 $2.55 $2.55 $2.55 trilliontrilliontrilliontrillion

$5.98 $5.98 $5.98 $5.98 TrillionTrillionTrillionTrillion

2011201120112011 2020202020202020

2.5xUrban Logistics SpendingUrban Logistics SpendingUrban Logistics SpendingUrban Logistics Spending

How will demand for urban logistics affect the spending on How will demand for urban logistics affect the spending on How will demand for urban logistics affect the spending on How will demand for urban logistics affect the spending on logistics in urban environments ?logistics in urban environments ?logistics in urban environments ?logistics in urban environments ?

16

50%50%50%50% 55%55%55%55%Transportation & DistributionTransportation & DistributionTransportation & DistributionTransportation & Distribution

WarehousingWarehousingWarehousingWarehousing

ValueValueValueValue----AddedAddedAddedAdded

32%32%32%32%

18%18%18%18%

23%23%23%23%

22%22%22%22%

Page 17: Delivering to the Cities of Tomorrow - Global Mega Trends and Impact on Future of Urban Logistics

How will urban freight transportation change?How will urban freight transportation change?How will urban freight transportation change?How will urban freight transportation change?

Road to remain the dominant mode of urban freight transport. Road to remain the dominant mode of urban freight transport. Road to remain the dominant mode of urban freight transport. Road to remain the dominant mode of urban freight transport. Logistics Logistics Logistics Logistics Related Related Related Related Transport Will Account For Over Transport Will Account For Over Transport Will Account For Over Transport Will Account For Over 35% 35% 35% 35% Of Urban Of Urban Of Urban Of Urban Freight Traffic Freight Traffic Freight Traffic Freight Traffic

B2C B2C B2C B2C trips will Come to rival the current dominant segment, B2B by 2020 trips will Come to rival the current dominant segment, B2B by 2020 trips will Come to rival the current dominant segment, B2B by 2020 trips will Come to rival the current dominant segment, B2B by 2020 underpinned by growth in ecommerceunderpinned by growth in ecommerceunderpinned by growth in ecommerceunderpinned by growth in ecommerce

Average length of haul Average length of haul Average length of haul Average length of haul will decrease will decrease will decrease will decrease as warehouses and delivery spokes as warehouses and delivery spokes as warehouses and delivery spokes as warehouses and delivery spokes move move move move

further into citiesfurther into citiesfurther into citiesfurther into cities

17

Average length of haul Average length of haul Average length of haul Average length of haul will decrease will decrease will decrease will decrease as warehouses and delivery spokes as warehouses and delivery spokes as warehouses and delivery spokes as warehouses and delivery spokes move move move move

further into citiesfurther into citiesfurther into citiesfurther into cities

100% Loading Factor 100% Loading Factor 100% Loading Factor 100% Loading Factor of Trucks of Trucks of Trucks of Trucks –––– Full OptimisationFull OptimisationFull OptimisationFull Optimisation

Smaller and more fuelSmaller and more fuelSmaller and more fuelSmaller and more fuel----efficient vehicles efficient vehicles efficient vehicles efficient vehicles will be used within cities which are will be used within cities which are will be used within cities which are will be used within cities which are

seamlessly integrated with multiseamlessly integrated with multiseamlessly integrated with multiseamlessly integrated with multi----modal functionalities (roll onmodal functionalities (roll onmodal functionalities (roll onmodal functionalities (roll on----roll off)roll off)roll off)roll off)

Page 18: Delivering to the Cities of Tomorrow - Global Mega Trends and Impact on Future of Urban Logistics

Future of Road Transport: Truck Concept 2020Future of Road Transport: Truck Concept 2020Future of Road Transport: Truck Concept 2020Future of Road Transport: Truck Concept 2020

DesignDesignDesignDesignConnectivityConnectivityConnectivityConnectivity• Lighter weight

vehicles (Plastic Shell)

• Low loading floor constructions

• Roll on-roll off systems

• Vehicle to grid Communication Navigation

• Green routing, terrain mapping

• On-Board Traffic analysing tools,

• Geo-fencing, and Smart sensors

The Concept of future delivery vans will revolve around The Concept of future delivery vans will revolve around The Concept of future delivery vans will revolve around The Concept of future delivery vans will revolve around technology, carbon technology, carbon technology, carbon technology, carbon footprint, footprint, footprint, footprint, fuel efficiency and Aerodynamicsfuel efficiency and Aerodynamicsfuel efficiency and Aerodynamicsfuel efficiency and Aerodynamics

18

Engine & Engine & Engine & Engine & FuelFuelFuelFuel

Driver Driver Driver Driver SupportSupportSupportSupport

• Tire Pressure Monitoring System,

• Driver Distraction Warning, Adaptive cruise control

On-Board Traffic analysing tools,

• Geo-fencing, and Smart sensors

• Electric• Hybrids/Fuel cell

Fleets• CNG• HCCI

Page 19: Delivering to the Cities of Tomorrow - Global Mega Trends and Impact on Future of Urban Logistics

Future Generation of WarehousesFuture Generation of WarehousesFuture Generation of WarehousesFuture Generation of Warehouses

Robotic, Automated and Intelligent Warehouse PickingRobotic, Automated and Intelligent Warehouse PickingRobotic, Automated and Intelligent Warehouse PickingRobotic, Automated and Intelligent Warehouse Picking

Robotic Unmanned ForkliftsRobotic Unmanned ForkliftsRobotic Unmanned ForkliftsRobotic Unmanned Forklifts

19

Picking Robots (Kiva)Picking Robots (Kiva)Picking Robots (Kiva)Picking Robots (Kiva) Augmented Reality Augmented Reality Augmented Reality Augmented Reality PickingPickingPickingPicking

‘‘‘‘AutostoreAutostoreAutostoreAutostore’ ’ ’ ’

Page 20: Delivering to the Cities of Tomorrow - Global Mega Trends and Impact on Future of Urban Logistics

Future of Consolidation and Last Mile DeliveryFuture of Consolidation and Last Mile DeliveryFuture of Consolidation and Last Mile DeliveryFuture of Consolidation and Last Mile Delivery

More Bundling and Innovative Last Mile Deliveries in Urban More Bundling and Innovative Last Mile Deliveries in Urban More Bundling and Innovative Last Mile Deliveries in Urban More Bundling and Innovative Last Mile Deliveries in Urban AreasAreasAreasAreas

Types of Urban DistributionTypes of Urban DistributionTypes of Urban DistributionTypes of Urban Distribution

20

Urban Transhipment AreasUrban Transhipment AreasUrban Transhipment AreasUrban Transhipment AreasUrban Urban Urban Urban Consolidation CentresConsolidation CentresConsolidation CentresConsolidation Centres Urban Intermodal HubsUrban Intermodal HubsUrban Intermodal HubsUrban Intermodal Hubs

Locker BoxesLocker BoxesLocker BoxesLocker BoxesMicrodistributionMicrodistributionMicrodistributionMicrodistribution

Types of Urban LastTypes of Urban LastTypes of Urban LastTypes of Urban Last----mile Deliveriesmile Deliveriesmile Deliveriesmile Deliveries

Mobile CollectionMobile CollectionMobile CollectionMobile CollectionNational Postal ServiceNational Postal ServiceNational Postal ServiceNational Postal Service

Page 21: Delivering to the Cities of Tomorrow - Global Mega Trends and Impact on Future of Urban Logistics

Urban Logistics Urban Logistics Urban Logistics Urban Logistics Policies and Policies and Policies and Policies and

MeasuresMeasuresMeasuresMeasures

Urban Logistics Urban Logistics Urban Logistics Urban Logistics Policies and Policies and Policies and Policies and

MeasuresMeasuresMeasuresMeasures

21

Page 22: Delivering to the Cities of Tomorrow - Global Mega Trends and Impact on Future of Urban Logistics

How are Cities managing Urban Logistics?How are Cities managing Urban Logistics?How are Cities managing Urban Logistics?How are Cities managing Urban Logistics?

Through vehicle access restriction, economic instruments, and special Through vehicle access restriction, economic instruments, and special Through vehicle access restriction, economic instruments, and special Through vehicle access restriction, economic instruments, and special infrastructure, city governments and municipalities are planning for an infrastructure, city governments and municipalities are planning for an infrastructure, city governments and municipalities are planning for an infrastructure, city governments and municipalities are planning for an

urban futureurban futureurban futureurban future

Access Access Access Access RestrictionRestrictionRestrictionRestriction

Economic Economic Economic Economic InstrumentsInstrumentsInstrumentsInstruments

Special Special Special Special InfrastructureInfrastructureInfrastructureInfrastructure

22

Low Emission ZonesLow Emission ZonesLow Emission ZonesLow Emission Zones

Time WindowsTime WindowsTime WindowsTime Windows

Vehicle Weight Vehicle Weight Vehicle Weight Vehicle Weight RestrictionsRestrictionsRestrictionsRestrictions

Congestion ChargingCongestion ChargingCongestion ChargingCongestion Charging

Incentives & SubsidiesIncentives & SubsidiesIncentives & SubsidiesIncentives & Subsidies

Freight LanesFreight LanesFreight LanesFreight Lanes

Urban Consolidation Urban Consolidation Urban Consolidation Urban Consolidation CentreCentreCentreCentre

Loading / Loading / Loading / Loading / Unloading AreasUnloading AreasUnloading AreasUnloading Areas

Page 23: Delivering to the Cities of Tomorrow - Global Mega Trends and Impact on Future of Urban Logistics

City of Paris Parking BaysCity of Paris Parking BaysCity of Paris Parking BaysCity of Paris Parking Bays

Examples of Cities experimenting with Urban Freight MeasuresExamples of Cities experimenting with Urban Freight MeasuresExamples of Cities experimenting with Urban Freight MeasuresExamples of Cities experimenting with Urban Freight Measures

Switzerland Subsidy for Intermodal TransportSwitzerland Subsidy for Intermodal TransportSwitzerland Subsidy for Intermodal TransportSwitzerland Subsidy for Intermodal Transport

23

Barcelona Night Time WindowBarcelona Night Time WindowBarcelona Night Time WindowBarcelona Night Time Window Italy’s Urban Consolidation CentresItaly’s Urban Consolidation CentresItaly’s Urban Consolidation CentresItaly’s Urban Consolidation Centres

Page 24: Delivering to the Cities of Tomorrow - Global Mega Trends and Impact on Future of Urban Logistics

Urban Business Urban Business Urban Business Urban Business Models From LSPsModels From LSPsModels From LSPsModels From LSPs

Urban Business Urban Business Urban Business Urban Business Models From LSPsModels From LSPsModels From LSPsModels From LSPs

24

Page 25: Delivering to the Cities of Tomorrow - Global Mega Trends and Impact on Future of Urban Logistics

Emerging and Future Urban Logistics Business ModelsEmerging and Future Urban Logistics Business ModelsEmerging and Future Urban Logistics Business ModelsEmerging and Future Urban Logistics Business Models

2012201220122012

2015201520152015

2020202020202020

Hybrid / Electric Hybrid / Electric Hybrid / Electric Hybrid / Electric Fleet / Shared Fleet / Shared Fleet / Shared Fleet / Shared

FleetFleetFleetFleet

Autonomous Autonomous Autonomous Autonomous Fleet (SelfFleet (SelfFleet (SelfFleet (Self----Monitoring Monitoring Monitoring Monitoring Vehicles)Vehicles)Vehicles)Vehicles)

PickPickPickPick----Up Vans / Up Vans / Up Vans / Up Vans / SelfSelfSelfSelf---- Collection Collection Collection Collection

PointsPointsPointsPoints

Lifestyle CarriersLifestyle CarriersLifestyle CarriersLifestyle Carriers

Logistics Logistics Logistics Logistics Planning and Planning and Planning and Planning and ForecastingForecastingForecastingForecasting

Cloud LogisticsCloud LogisticsCloud LogisticsCloud Logistics

Fu

ture

Fu

ture

Fu

ture

Fu

ture

25

TransportationTransportationTransportationTransportation ValueValueValueValue----added servicesadded servicesadded servicesadded services

2008200820082008

DistributionDistributionDistributionDistribution

2010201020102010

2012201220122012

OffOffOffOff----Peak Peak Peak Peak DeliveriesDeliveriesDeliveriesDeliveries

Multimodal Multimodal Multimodal Multimodal DeliveriesDeliveriesDeliveriesDeliveries

Consolidation Consolidation Consolidation Consolidation CentresCentresCentresCentres

Locker BoxesLocker BoxesLocker BoxesLocker Boxes

PickPickPickPick----Up Vans / Up Vans / Up Vans / Up Vans / SelfSelfSelfSelf---- Collection Collection Collection Collection

PointsPointsPointsPoints

Proprietary EDI Proprietary EDI Proprietary EDI Proprietary EDI

Telematics / Real Telematics / Real Telematics / Real Telematics / Real Time SolutionTime SolutionTime SolutionTime Solution

Pa

stP

ast

Pa

stP

ast

Page 26: Delivering to the Cities of Tomorrow - Global Mega Trends and Impact on Future of Urban Logistics

Examples of Logistics Service Providers Experimenting with Urban Examples of Logistics Service Providers Experimenting with Urban Examples of Logistics Service Providers Experimenting with Urban Examples of Logistics Service Providers Experimenting with Urban Logistics ModelsLogistics ModelsLogistics ModelsLogistics Models

DHL Consolidation CentreDHL Consolidation CentreDHL Consolidation CentreDHL Consolidation Centre TNT Express TricyclesTNT Express TricyclesTNT Express TricyclesTNT Express Tricycles UPSUPSUPSUPS----KialaKialaKialaKiala

26

DHL Consolidation CentreDHL Consolidation CentreDHL Consolidation CentreDHL Consolidation Centre

TNT Express Bento BoxTNT Express Bento BoxTNT Express Bento BoxTNT Express Bento BoxFedex Smart Ecommerce Fedex Smart Ecommerce Fedex Smart Ecommerce Fedex Smart Ecommerce SolutionsSolutionsSolutionsSolutions

Geodis DistropolisGeodis DistropolisGeodis DistropolisGeodis Distropolis

Page 27: Delivering to the Cities of Tomorrow - Global Mega Trends and Impact on Future of Urban Logistics

Top Urban Logistics Top Urban Logistics Top Urban Logistics Top Urban Logistics IndustriesIndustriesIndustriesIndustries

Top Urban Logistics Top Urban Logistics Top Urban Logistics Top Urban Logistics IndustriesIndustriesIndustriesIndustries

27

Page 28: Delivering to the Cities of Tomorrow - Global Mega Trends and Impact on Future of Urban Logistics

Top Industries Using Urban Logistics Services in the FutureTop Industries Using Urban Logistics Services in the FutureTop Industries Using Urban Logistics Services in the FutureTop Industries Using Urban Logistics Services in the Future

RetailRetailRetailRetail PharmaceuticalPharmaceuticalPharmaceuticalPharmaceuticalFood & Food & Food & Food &

BeveragesBeveragesBeveragesBeverages

Smaller StoresSmaller StoresSmaller StoresSmaller Stores Generic MedicinesGeneric MedicinesGeneric MedicinesGeneric MedicinesChilled and Frozen Chilled and Frozen Chilled and Frozen Chilled and Frozen

FoodFoodFoodFood

Industry Industry Industry Industry TrendTrendTrendTrend

28

Smaller StoresSmaller StoresSmaller StoresSmaller Stores Generic MedicinesGeneric MedicinesGeneric MedicinesGeneric MedicinesChilled and Frozen Chilled and Frozen Chilled and Frozen Chilled and Frozen

FoodFoodFoodFood

Industry Industry Industry Industry TrendTrendTrendTrend

Urban Urban Urban Urban Logistics Logistics Logistics Logistics

ImplicationImplicationImplicationImplication

Smaller shelf size Smaller shelf size Smaller shelf size Smaller shelf size ––––need for constant need for constant need for constant need for constant replenishmentreplenishmentreplenishmentreplenishment

No more No more No more No more homogenous single homogenous single homogenous single homogenous single supply chain modelsupply chain modelsupply chain modelsupply chain model

Need for Cold Need for Cold Need for Cold Need for Cold Supply Chain Supply Chain Supply Chain Supply Chain

ServicesServicesServicesServices

Urban Urban Urban Urban Logistics Logistics Logistics Logistics ServicesServicesServicesServices

Retail Retail Retail Retail Consolidation Consolidation Consolidation Consolidation

CentresCentresCentresCentresPackPackPackPack----totototo----orderorderorderorder

Refrigerated Refrigerated Refrigerated Refrigerated Locker BoxesLocker BoxesLocker BoxesLocker Boxes

Page 29: Delivering to the Cities of Tomorrow - Global Mega Trends and Impact on Future of Urban Logistics

So what will the So what will the So what will the So what will the futurefuturefuturefuture of of of of Urban Logistics Urban Logistics Urban Logistics Urban Logistics look like in 2025look like in 2025look like in 2025look like in 2025

1.1.1.1. A minimum of A minimum of A minimum of A minimum of 500 million deliveries per day500 million deliveries per day500 million deliveries per day500 million deliveries per day will be made within cities by 2025. will be made within cities by 2025. will be made within cities by 2025. will be made within cities by 2025.

2.2.2.2. People will volunteer to deliver goods on their way home becoming People will volunteer to deliver goods on their way home becoming People will volunteer to deliver goods on their way home becoming People will volunteer to deliver goods on their way home becoming lifestyle lifestyle lifestyle lifestyle

courierscourierscourierscouriers

3.3.3.3. Access to cities in the future will be guided by Access to cities in the future will be guided by Access to cities in the future will be guided by Access to cities in the future will be guided by Smart Cards and eSmart Cards and eSmart Cards and eSmart Cards and e----TTTTagsagsagsags

4.4.4.4. Information Driven Logistics Information Driven Logistics Information Driven Logistics Information Driven Logistics will become the norm with providers planning will become the norm with providers planning will become the norm with providers planning will become the norm with providers planning

delivery trips even before orders are placed through predictive analysis and delivery trips even before orders are placed through predictive analysis and delivery trips even before orders are placed through predictive analysis and delivery trips even before orders are placed through predictive analysis and

social media integrationsocial media integrationsocial media integrationsocial media integration

4.4.4.4. Information Driven Logistics Information Driven Logistics Information Driven Logistics Information Driven Logistics will become the norm with providers planning will become the norm with providers planning will become the norm with providers planning will become the norm with providers planning

delivery trips even before orders are placed through predictive analysis and delivery trips even before orders are placed through predictive analysis and delivery trips even before orders are placed through predictive analysis and delivery trips even before orders are placed through predictive analysis and

social media integrationsocial media integrationsocial media integrationsocial media integration

5.5.5.5. Logistics companies will Logistics companies will Logistics companies will Logistics companies will innovate innovate innovate innovate to to to to overcome the future urban challenge overcome the future urban challenge overcome the future urban challenge overcome the future urban challenge

introducing introducing introducing introducing hybrid fleets, consolidated deliveries and locker boxeshybrid fleets, consolidated deliveries and locker boxeshybrid fleets, consolidated deliveries and locker boxeshybrid fleets, consolidated deliveries and locker boxes among others among others among others among others

innovations for innovations for innovations for innovations for citiescitiescitiescities

6.6.6.6. City planners will reinforce and introduce new policy measures to City planners will reinforce and introduce new policy measures to City planners will reinforce and introduce new policy measures to City planners will reinforce and introduce new policy measures to control vehicle control vehicle control vehicle control vehicle

access, provide economic incentive access, provide economic incentive access, provide economic incentive access, provide economic incentive for sustainable freight deliveries, and for sustainable freight deliveries, and for sustainable freight deliveries, and for sustainable freight deliveries, and invest in invest in invest in invest in

infrastructure such as freight villages infrastructure such as freight villages infrastructure such as freight villages infrastructure such as freight villages

29

Page 30: Delivering to the Cities of Tomorrow - Global Mega Trends and Impact on Future of Urban Logistics

Visionary Innovation ResearchVisionary Innovation ResearchVisionary Innovation ResearchVisionary Innovation Research

2012 Topics2012 Topics2012 Topics2012 Topics

Urbanization Urbanization Urbanization Urbanization –––– City as a City as a City as a City as a CustomerCustomerCustomerCustomer

Smart is the Smart is the Smart is the Smart is the New GreenNew GreenNew GreenNew Green

Bricks and Bricks and Bricks and Bricks and ClicksClicksClicksClicks

Innovating Innovating Innovating Innovating to Zeroto Zeroto Zeroto Zero

Future Future Future Future Infrastructure Infrastructure Infrastructure Infrastructure DevelopmentDevelopmentDevelopmentDevelopment

Health, Health, Health, Health, Wellness Wellness Wellness Wellness and Well and Well and Well and Well BeingBeingBeingBeing

Top Mega Trends That We TrackTop Mega Trends That We TrackTop Mega Trends That We TrackTop Mega Trends That We Track

• Global Mega Trends and its Implications Global Mega Trends and its Implications Global Mega Trends and its Implications Global Mega Trends and its Implications to Urban Logistics to 2020to Urban Logistics to 2020to Urban Logistics to 2020to Urban Logistics to 2020

• Urbanisation and Mega Cities and Urbanisation and Mega Cities and Urbanisation and Mega Cities and Urbanisation and Mega Cities and Impact on Industries and BusinessImpact on Industries and BusinessImpact on Industries and BusinessImpact on Industries and Business

• New Business Models of the FutureNew Business Models of the FutureNew Business Models of the FutureNew Business Models of the Future• Bricks and Clicks: Macro to Micro Bricks and Clicks: Macro to Micro Bricks and Clicks: Macro to Micro Bricks and Clicks: Macro to Micro

Implications of Connectivity and Implications of Connectivity and Implications of Connectivity and Implications of Connectivity and Convergence In Retail IndustryConvergence In Retail IndustryConvergence In Retail IndustryConvergence In Retail Industry

30

Social Social Social Social TrendsTrendsTrendsTrends

Connectivity Connectivity Connectivity Connectivity and and and and ConvergenceConvergenceConvergenceConvergence

New Business New Business New Business New Business Models: Value Models: Value Models: Value Models: Value for Manyfor Manyfor Manyfor Many

Beyond Beyond Beyond Beyond BRIC: The BRIC: The BRIC: The BRIC: The Next Game Next Game Next Game Next Game ChangersChangersChangersChangers

Wellness Wellness Wellness Wellness and Well and Well and Well and Well BeingBeingBeingBeing

Future of Future of Future of Future of MobilityMobilityMobilityMobility

Upcoming Topics Upcoming Topics Upcoming Topics Upcoming Topics ---- 2013201320132013

• Macro to Micro Implications of Macro to Micro Implications of Macro to Micro Implications of Macro to Micro Implications of Convergence on Industries, Products Convergence on Industries, Products Convergence on Industries, Products Convergence on Industries, Products and Technologiesand Technologiesand Technologiesand Technologies

• 3D printing and its Macro to Micro 3D printing and its Macro to Micro 3D printing and its Macro to Micro 3D printing and its Macro to Micro Impact on Manufacturing and Supply Impact on Manufacturing and Supply Impact on Manufacturing and Supply Impact on Manufacturing and Supply Chain ManagementChain ManagementChain ManagementChain Management

• Macro to Micro Implications of Robotics Macro to Micro Implications of Robotics Macro to Micro Implications of Robotics Macro to Micro Implications of Robotics and Artificial Intelligence on Industriesand Artificial Intelligence on Industriesand Artificial Intelligence on Industriesand Artificial Intelligence on Industries

Page 31: Delivering to the Cities of Tomorrow - Global Mega Trends and Impact on Future of Urban Logistics

Frost & Sullivan’s Visionary Innovation SubscriptionFrost & Sullivan’s Visionary Innovation SubscriptionFrost & Sullivan’s Visionary Innovation SubscriptionFrost & Sullivan’s Visionary Innovation SubscriptionProvides Global Mega Trends Analysis, Regional Implications and a Deep Dive into Specific Provides Global Mega Trends Analysis, Regional Implications and a Deep Dive into Specific Provides Global Mega Trends Analysis, Regional Implications and a Deep Dive into Specific Provides Global Mega Trends Analysis, Regional Implications and a Deep Dive into Specific

Topics by Industry VerticalsTopics by Industry VerticalsTopics by Industry VerticalsTopics by Industry Verticals

AAAA

Global Mega Trends Global Mega Trends Global Mega Trends Global Mega Trends AnalysisAnalysisAnalysisAnalysis

• Featuring global study updates annually and analysis of key topics like Urbanisation, Smart is the New Green, Health, Wellness and Well Being

BBBB

Regional Mega Trends Regional Mega Trends Regional Mega Trends Regional Mega Trends and Implicationsand Implicationsand Implicationsand Implications

• Analysis of global Mega Trends in key geographies such as

1. Africa2. India3. China 4. Latin America

• Identification of specific regional trends (e.g., beneficiation in Africa)

CCCCFocus on Specific Mega Focus on Specific Mega Focus on Specific Mega Focus on Specific Mega

Trends and Their Impact by Trends and Their Impact by Trends and Their Impact by Trends and Their Impact by IndustryIndustryIndustryIndustry

• Focus on specific Topics e.g. the Impact of Connectivity and Convergence on Healthcare Devices, Urban Logistics .

• There will be over 30 such topics completed in next 12 months

31

3. China 4. Latin America

• Identification of specific regional trends (e.g., beneficiation in Africa)

Devices, Urban Logistics . There will be over 30 such topics completed in next 12 months

360 Degree Perspective of Global Mega Trends and Analysis of their Impact on 360 Degree Perspective of Global Mega Trends and Analysis of their Impact on 360 Degree Perspective of Global Mega Trends and Analysis of their Impact on 360 Degree Perspective of Global Mega Trends and Analysis of their Impact on IndustriesIndustriesIndustriesIndustries

Page 32: Delivering to the Cities of Tomorrow - Global Mega Trends and Impact on Future of Urban Logistics

MacroMacroMacroMacro MicroMicroMicroMicro

From Macro to Micro: Taking Mega Trends from Information to From Macro to Micro: Taking Mega Trends from Information to From Macro to Micro: Taking Mega Trends from Information to From Macro to Micro: Taking Mega Trends from Information to Strategy ImplementationStrategy ImplementationStrategy ImplementationStrategy Implementation

Mega TrendMega TrendMega TrendMega TrendSelected trends that impact your

business and markets

Analysis of Opportunities and Analysis of Opportunities and Analysis of Opportunities and Analysis of Opportunities and Unmet NeedsUnmet NeedsUnmet NeedsUnmet Needs

ToToToTo

Sub TrendSub TrendSub TrendSub TrendA sub-layer of trends that has a

wide ranging impact

Impact to Your IndustryImpact to Your IndustryImpact to Your IndustryImpact to Your IndustryVisualising the roadmap of these critical forces through scenario-

building and macro economic forecasts

Impact on Future Product/ Impact on Future Product/ Impact on Future Product/ Impact on Future Product/ TechnologyTechnologyTechnologyTechnology

32

Page 33: Delivering to the Cities of Tomorrow - Global Mega Trends and Impact on Future of Urban Logistics

Learn More About Learn More About Learn More About Learn More About “New Mega Trends”“New Mega Trends”“New Mega Trends”“New Mega Trends”

Published BookPublished BookPublished BookPublished Book::::

New Mega Trends New Mega Trends New Mega Trends New Mega Trends Implications for our Future Lives

By Sarwant Singh

Publisher: Palgrave Macmillanhttp://www.palgrave.com/products/title.aspx?pid=577423

Publisher: Palgrave Macmillanhttp://www.palgrave.com/products/title.aspx?pid=577423

Join Our Mega Trend Group OnJoin Our Mega Trend Group OnJoin Our Mega Trend Group OnJoin Our Mega Trend Group On

Mega Trends: Strategic Planning and Innovation Based on Mega Trends: Strategic Planning and Innovation Based on Mega Trends: Strategic Planning and Innovation Based on Mega Trends: Strategic Planning and Innovation Based on Frost & Sullivan ResearchFrost & Sullivan ResearchFrost & Sullivan ResearchFrost & Sullivan Research

33

Page 34: Delivering to the Cities of Tomorrow - Global Mega Trends and Impact on Future of Urban Logistics

Contact Contact Contact Contact InformationInformationInformationInformation

Sarwant SinghPartner & Practice Director, Visionary Innovation

Research Group and Automotive & Transportation

(+44) 2079157843

[email protected]

Sarwant SinghPartner & Practice Director, Visionary Innovation

Research Group and Automotive & Transportation

(+44) 2079157843

[email protected]

Archana AmarnathProgram Manager, Visionary Innovation Research

Group

(+44) 2079157893

[email protected]

Archana AmarnathProgram Manager, Visionary Innovation Research

Group

(+44) 2079157893

[email protected]

34

Archana Devi VidyasekarSenior Research Analyst, Visionary Innovation

Research Group

(+91) 4466814216

[email protected]