Visy Logistics is a leading privately owned intermodal company, which is headquartered in Melbourne, a city in the state of Victoria, Australia (Visy – For a better World. 2018). Visy Logistics has numerous sites crossing over 120 across many countries like Australia, New Zealand and Thailand .It has established trading offices across Asia, Europe and USA. Visy Logistics has been engaged in freight management activities from 1999.The business of Visy in both Australia and international markets have been instrumental in the development of intermodal freight services through road, rail, sea and air. The paper aims to identify the logistics management strategies for resolving the issues, which are concerned with operational aspects of the company Visy Logistics. The report discusses the main problem associated with logistics network for Visy Logistics and other related companies, which are located in Melbourne, Australia. It also comprehends the remedy of the problems associated with it. The paper also endeavors to identify the involvement of the government in resolution of the problems associated with current logistics network. The paper also provides an in-depth study about the sustainability of resources associated with the intermodal company, Visy Logistics.
Visy Logistics which is a leading Australian intermodal logistics company faces a lot of challenges related to demography, geography, environment , legislation and technology as well some other challenges (Fernie and Sparks 2014). Other related companies face these problems and challenges also which are present in Melbourne, Australia.
There are many geographical challenges that can be faced in Australia .There are different challengers and issues related to logistics, which are encountered in both urban and regional areas.
Urban Challenges
Regional Challenges
Many people in Australia are forced to work even after the age of 65 years so that they can earn for a longer period and for their survival in rest part of their life when they will not be working. In the logistics industry these aged people finds it difficult to keep pace with the fast-paced advancement in technologies, which are made to use in the logistics industry (Kulik et al. 2014). Thus, this aged section of population is a problematic issue for the intermodal logistic company like Visy logistics.
The increase in population in the coastal cities of Australia is also an issue for Visy Logistics and the related companies. With the increase in population the demands also increase as a result Visy Logistics and other related companies situated in Melbourne should make sure that the needs of the people are satisfied .But it is to be ensured that giving extra attention to the cities does not create negligence towards the regional sites. Therefore, the logistics company like Visy Logistics needs to adjust and adapt to the demands in the market in order to thrive.
The Australian legislation possesses a number of different logistics challenges .The challenges vary from operational level of business to strategic level of business. Some of the logistic challenges faced due to the legislation of Australia are:
Transport Regulation – The regulations that regulate the transport of gods can have an influence on the logistic operations of the Visy Logistics. There may be a condition, which require additional permits or specially designed vehicles in case of special transportation (Forsyth, P., 2017).
Quarantine Investigation- When the goods are to be imported to Visy Logistics and other logistics company in Australia, it is important to take permission from AQIS (Australia.gov.au. 2018). AQIS make a thorough investigation of all the materials coming to Australia, which includes luggage, shipping containers and others. For the purpose of security, random quarantine investigations are also undertaken. For the export of goods from Australia to other countries permits are required too and all the goods for export are critically monitored .So an additional planning is required for these processes .The companies engaged with Visy Logistics should also be aware of the import and export permits and regulations activities .
Work Safety – Work safety is a major issue that has grown in Australia. In order to increase and ensure safety of the workers the cost for business has been increasing .It has been made compulsory that all the workers should be wearing safety vests, which should be visible. Wearing of these vests is not only a compulsion for the ware house workers involved in operations but also it is necessary for the employees off upper level management of Visy Logistics to wear these vests .In some works safety glasses, hardhats and boots capped with steel may be also required .
The latest technologies, which are used in today’s world, have brought about new challenges for Visy Logistics and related companies. Even in future, the latest advancement of technologies may lead to other technological challengers for the logistics company like Visy Logistics. Some of the technological challenges faced by Visy Logistics are:
There are also some other challenges which are encountered by the logistics company like Visy Logistics which are present in Australia. Some of the other challenges are mentioned below.
There are many challenges which the intermodal company like Visy Logistics and other related companies encounters .There are some challenges, which does not have any solution like work safety legislation but the other challenges have solutions .Some of the solutions to the problems faced by the intermodal company, Visy Logistics are:
Urban Challenges
Regional Challenges
Demographical Challenges
Legislative Challenges
Technological Challenges
The Logistics industry accounts to almost about 9 percent of the GDP (Gross Domestic Product) of Australia. Therefore, it is the responsibility of Australian government to look into the problems of logistics industry and the intermodal companies. The freight market is a difficult and competitive market, still the Australian government plays an important role by opening new trade lanes providing an orientation between the source and destination (Johnson and Garnett 2017). The Australian government also improved the infrastructure that facilitates the growth of intermodal companies .But there are some other factors which should be considered by the Australian government like reduction of import and export costs (Seyoum, B., 2013) . There are some areas in Australia specially the regional areas where the road conditions and other infrastructures like internet connection and cell phone signals are below par, these condition should be looked into and improved. The government of Australia should negotiate trade agreements so that the trade barriers are minimized so that it is easier for companies to make exports and provide services.
It is necessary for the Australian government accept the role of intermodalism in all the transport in Australia .The government should focus more on development of infrastructure by identifying various ways to attract capital like following public-private partnership models. The Victorian Transport ,Distribution and Logistics Industry Action Plan , has undertaken several initiatives that aims to improve practices of supply chain for all the Victorian Industry ,this would help Visy Logistics being located in Victoria(Aljohani, K., 2016). After the incident of 9/11 the Australian government has improved and tightened the security in Australian aviation and maritime centers, this is a good approach by the Australian government (Hanes, and Machin 2014).
Sustainability is a part of Visy Logistics and they have realized that by following sustainable approach, Visy Logistics have improved market opportunity and reduced unnecessary costs and also increased the profits (Boons and Lüdeke-Freund, 2013) .Visy Logistics aims to achieve the following sustainable objectives:
Conclusion
After critically analyzing the operational aspects related to the intermodal company, Visy Logistics, it can be concluded that there several challenges associated with the company, Visy Logistics and other intermodal companies encounters. Several management strategies related to logistics has been identified and discussed in the report .However, these strategies need to be properly implemented so that the challenges faced by the company can be curtailed .The government of Australia showed also play an instrumental role in mitigating the problems and challenges faced by the intermodal companies situated in Australia like Visy Logistics.
References
Aljohani, K., 2016, November. Integrating Logistics Facilities in Inner Melbourne to Alleviate Impacts of Urban Freight Transport. In Australasian Transport Research Forum (ATRF), 38th, 2016, Melbourne, Victoria, Australia.
Australia.gov.au. (2018). Customs and quarantine | australia.gov.au. [online] Available at: https://www.australia.gov.au/information-and-services/passports-and-travel/customs-and-quarantine [Accessed 12 Sep. 2018].
Boons, F. and Lüdeke-Freund, F., 2013. Business models for sustainable innovation: state-of-the-art and steps towards a research agenda. Journal of Cleaner production, 45, pp.9-19.
Fernie, J. and Sparks, L., 2014. Logistics and retail management: emerging issues and new challenges in the retail supply chain. Kogan page publishers.
Forsyth, P., 2017. Replacing regulation: airport price monitoring in Australia. In The Economic Regulation of Airports (pp. 3-22). Routledge.
Guayante, F., Díaz-Ramírez, A. and Mejía-Alvarez, P., 2014, September. Detection of Vulnerable Road Users in Smart Cities. In NGMAST (pp. 307-312).
Hanes, E. and Machin, S., 2014. Hate crime in the wake of terror attacks: Evidence from 7/7 and 9/11. Journal of Contemporary Criminal Justice, 30(3), pp.247-267.
Holz-Rau, C., Scheiner, J. and Sicks, K., 2014. Travel distances in daily travel and long-distance travel: what role is played by urban form?. Environment and Planning A, 46(2), pp.488-507.
Johnson, K.M. and Garnett, H.C., 2017. The economics of containerisation. Routledge.
Kulik, C.T., Ryan, S., Harper, S. and George, G., 2014. Aging populations and management.
McKinnon, A., Browne, M., Whiteing, A. and Piecyk, M. eds., 2015. Green logistics: Improving the environmental sustainability of logistics. Kogan Page Publishers.
Phillips, R.O. and Sagberg, F., 2013. Road accidents caused by sleepy drivers: Update of a Norwegian survey. Accident Analysis & Prevention, 50, pp.138-146.
Savelsbergh, M. and Van Woensel, T., 2016. 50th anniversary invited article—city logistics: Challenges and opportunities. Transportation Science, 50(2), pp.579-590.
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