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Frost & Sullivan Finds Complex Supply Chains Underline the Appeal of Outsourced Logistics - The global outsourced logistics industry is poised for strong expansion due to a growing trend towards outsourcing by manufacturers in order to focus on their core competency
Frost & Sullivan Finds Complex Supply Chains Underline the Appeal of Outsourced Logistics

 

NewswireToday - /newswire/ - London, United Kingdom, 2009/03/10 - The global outsourced logistics industry is poised for strong expansion due to a growing trend towards outsourcing by manufacturers in order to focus on their core competency.

   
 
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Frost & Sullivan’s analysis “360 Degree CEO Perspective of the Global Logistics Industry” (automotive.frost.com), finds that the global outsourced logistics industry is estimated to reach $648.57 billion in 2014.

“The global logistics market is at a prolific phase of its development,” notes Frost & Sullivan Research Associate Archana Rajagopalan. “Although the transportation segment was hit by rising fuel prices, the industry has maintained a steady profit of ten to 15 percent.”

Increased outsourcing of manufacturing activity, multiple sourcing locations and a widespread consumer base have resulted in the supply chain also becoming longer and more extensive. As supply chains get more complex, they are increasingly being outsourced to logistics service providers, who handle transport, storage, distribution and the risks associated with it.

However, volatile oil prices will affect the logistics and transportation industry. With fuel prices eating away profit margins, service providers are looking at alternative, more fuel-efficient modes of transport.

“On the other hand, manufacturers are beginning to change their preferences from cheaper emerging economies to closer, more transport-friendly locations,” explains Archana. “Third Party Logistics (3PLs) have to keep an eye on changing sourcing locations, and the preference for rail and marine modes of transport over road and air alternatives.”

3PLs should also keep abreast of developments in the automotive sector. In particular, the focus should be on vehicles running on alternate sources of energy and developments in technology, thereby tracking the efficiency of fleets on the run.

“Along with an emphasis on investigating new methods, 3PLs should also focus on improving their current assets,” says Archana. “They need to improve the efficiency of their assets using technologies like Fleet and Warehouse Management Solutions to avoid the brunt of fuel pressure.”

If you are interested in a virtual brochure, which provides manufacturers, end users, and other industry participants with an overview of the 360 degree CEO perspective of the global logistics industry, then send an email to Anna Anlauft, Corporate Communications, at anna.anlauft[.]frost.com, with your full name, company name, title, telephone number, company email address, company website, city, state and country. Upon receipt of the above information, an overview will be sent to you by email.

The 360 Degree CEO Perspective of the Global Logistics Industry is part of the Automotive & Transportation Growth Partnership Services programme, which also includes research in the following markets: Third-Party Logistics Customer Satisfaction: A Competitive Benchmarking Study – ASEAN4, Strategic Analysis of 3PL Market in the Indian Automotive Vehicles Sector, Analysis of the German and The United Kingdom Markets for Innight Logistics Services and Strategic Analysis of Indian Transportation Markets. All research included in subscriptions provide detailed market opportunities and industry trends that have been evaluated following extensive interviews with market participants. Interviews with the press are available.

Frost & Sullivan, the Growth Partnership Company, enables clients to accelerate growth and achieve best in class positions in growth, innovation and leadership. The company's Growth Partnership Service provides the CEO and the CEO's Growth Team with disciplined research and best practice models to drive the generation, evaluation and implementation of powerful growth strategies. Frost & Sullivan leverages over 45 years of experience in partnering with Global 1000 companies, emerging businesses and the investment community from 31 offices on six continents.

360 Degree CEO Perspective of the Global Logistics Industry / M34C

GIL 2009: Europe
Frost & Sullivan has expanded its flagship Global Congress on Corporate Growth - GIL Global - into several major cities around the world including London. For the first time ever in Europe, Frost & Sullivan will be hosting the Growth, Innovation and Leadership Congress 'GIL 2009: Europe' on 19-20 May, at the Sofitel St James in London. GIL Global is the industry's only event designed to support senior executives in their efforts to achieve sustainable, top-line growth. To register, obtain a programme agenda, explore sponsorship opportunities, or attend as a member of the media for GIL 2009: Europe, please contact Anna Anlauft, Corporate Communications for Frost & Sullivan in Europe, at anna.anlauft[.]frost.com. One-on-One interviews with Frost & Sullivan senior growth consultants are also being scheduled.

 
 
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Frost & Sullivan Finds Complex Supply Chains Underline the Appeal of Outsourced Logistics

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Frost & Sullivan | GIL 09: Europe
Publisher Contact: Anna Anlauft 
+49 (0) 69 770 33 12 anna.anlauft[.]frost.com
 
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