Technology and automation will define the future of road transport according to new IRU research, but significant obstacles stand in the way

November 04, 2018 - 06:39
Technology and automation will define the future of road transport according to new IRU research, but significant obstacles stand in the way

GENEVA, SWITZERLAND - EQS - 5 November 2018 -

 

  • In the face of geopolitical and economic uncertainty, technology-driveninnovation will be key to meeting the challenges of tomorrow in the roadtransport sector, according to a survey published today by IRU.

  • This topic will top the agenda of the IRU World Congress, a new global event for transport, logistics andmobility which is opening this week in Muscat, Oman.

 

The global snapshot survey is basedon interview data from 450 transport companies across Europe, the GCC and Asia,and reveals the following headline findings:

 

  • Majority oftransport companies in Europe, Asia and the Gulf Cooperation Council (GCC)[1] countries(57%) view geopolitical uncertainty as the biggest threat to their development.
  • Technology andinnovation key to overcoming challenges and securing the future of the industry-- over three quarters (76%) of transport companies surveyed expect autonomoustrucks to become aviable option on the roads within the next decade.
  • At the opening ofits World Congress in Oman, IRU, the world road transport organisation, urgesthe industry to fix the digital foundations of transport in order to fully benefitfrom automation and other innovations.

 

Findings reveal that transport companies are concerned about macroglobal issues. Over half (57%) see geopolitical uncertainty as the biggest threatfacing the sector -- from escalating international trade wars to growingconcerns around Brexit. The risk of global recession and the challenge ofkeeping up with changing customer demand are jointly seen as the second biggestthreats to transport companies at 52%.

 

Umberto de Pretto, IRU's Secretary General,commented: "The global transport systemtouches the lives of each of the planet's seven billion people, from the foodwe eat to the consumer goods we buy. So it's perhaps not surprising that manyof the issues facing society today are also considered by transport companiesto be their biggest challenges. These include some of the main themes thatdominate the international agenda, including geopolitics, trade and theenvironment."

 

Tech to provide a safe, successful,sustainable future

 

Transport companies recognise that developments in technology andinnovation will be key to building a safe, successful and sustainable industryin the future.  One in three (33%) transportcompanies across every region believe that improving safety will be the biggestinnovation opportunity, while one in five cite automation.

 

In fact, transport companies are extremelyoptimistic about the timescales for automation -- over three quarters (76%) oftransport companies expect autonomous trucks to become a viable option within the next decade;of these, 29% believe they will be a reality on our roads in the next fiveyears. Transport companies believe the primary benefit of automation will beboosting productivity (50%), followed by helping to cut costs (19%).

 

Breaking through the road blocks todigitisation  

 

Barriers to adopting technology persist -- with transport companiesciting the major challenges to adopting technology driven innovation as costand investment (71%), followed by a limited understanding of the range ofemerging technologies available (50%).

 

This suggests that pockets of the industry haveyet to embrace new technologies and processes, and that there is still work todo to fix the digital foundations of the industry before technology-driveninnovation can be optimised properly.

 

Gearing up for automation

 

Similarly,while many transport companies believe autonomous trucks are just around thecorner, the reality is that there is still some way to go before they become asafe, secure and sustainable option on our roads.  

 

Whilethe technology itself is becoming ever more sophisticated, there is a risk thatit will be held back by the lack of necessary investment in infrastructure.

 

Boris Blanche, IRU's Managing Director, commented: "There is noquestion that autonomous trucks will eventually be transformative for theindustry -- helping boost productivity, create efficiencies and enhance driverworking conditions. But drivers will not become obsolete any time in thefuture, and in fact the industry must continue to encourage more drivers intothe profession. Proper and responsible adoption over time is required, and wemust see full cooperation from all industry stakeholders."

 

Umberto de Pretto, continued: "Fortechnology to take hold, and for the industry to truly benefit from it, we mustensure we have the foundations in place. This means first getting the basicsright, such as full transitioning to digital documentation, improvingtraceability, security and efficiency. We must work harder to join the dotsbetween operators, service providers, manufacturers and governments to nurturea supportive environment for innovation and digitisation.

 

"We must also push for legislation andpolicies that encourage all operators to invest in the technology needed tomake these innovations the norm. At IRU, our role is to championthe potential of the industry and promote this cooperation, to empower alloperators in the sector to seize the great innovation opportunity."

 

Notes to editors


About IRU

IRU is the world road transport organisation, promoting economicgrowth, prosperity and safety through the sustainable mobility of people andgoods. Founded in 1948, IRU has members and activities in more than 100countries. IRU conceived TIR in 1949 and continues to manage the system.

 

About IRU World Congress

The IRU World Congress is the new global event for transport, mobilityand logistics. It is a platform for global decision-makers to exchange ideas,debate solutions and define the future of the road transport industry. Centredon the themes of innovation and trade, Innovation on the Move will take placeat the new Oman Convention and Exhibition Centre in Muscat, from 6 to 8November 2018. www.iruworldcongress.com/

 

Survey Methodology

In collaboration withIRU, Random SA developed a quantitative online survey to target transportcompanies. 

 

The survey wascompleted  by a global sample size of 450respondents working for a transport operator, transport broker or freightforwarder company in one of the 19 pre-selected countries covering threegeographical areas: Europe, the GCC and Asia. The research sample wasidentified, recruited and surveyed independently from IRU to ensure a broad,robust and representative picture of transport companies. 

 

Quotas were set percountry and weighted to reach 150 respondents per region. Additional quotaswere set to reach a sample size of minimum 50% CEOs/managers from the logisticdepartment vs. non-managers from the logistic department.

 

The fieldwork took placefrom end of August to mid-September 2018 and was conducted under thesupervision of Random SA, by Asia Research Partners, one of the leading Asianindependent research companies, based in India. Random SA and Asia ResearchPartners are both members of ESOMAR, the leading global insights association tocertify that the highest ethical and professional standards are respected bymember research institutes. Random SA ran the analysis (SPSS) in-house based ona statistical significance levels of 95%.



[1] Cooperation Council forthe Arab States of the Gulf, often shortened to the Gulf Cooperation Council(GCC), in an intergovernmental organisation made up of six states in the PersianGulf, Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, and the United Arab Emirates.Transport companies from these countries (excluding Oman) were respondents tothe IRU study.


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