Logistics Management: Important Features Of Qube Logistics

Question:

Describe the important features of Qube, and identify logistics management strategies to resolve the issues.

Answer:

Introduction

Qube Logistics is a diversified infrastructure and logistics company in Australia. It was reformed in 2010; when the KFM, an investment trust Diversified Infrastructure and Logistics Fund got hold of Kaplan Equity and developed into a standardized operating company, re-branded as Qube Logistics. Qube acquired absolute control and mainstream ownership of P&O in April 2011. Qube Holdings Limited operates services covering rail and road transport, distribution and warehousing, container parks and other related services; intermodal logistics hubs together with international freight forwarding and rail terminals. These services are combined as tailored or an integrated solution to meet individual customer needs. Over the past few years, Qube has extensively expanded and developed its logistics group to become the biggest service provider of logistics in Australia. The motive of the assignment is to highlight the different problems or issues related to the logistics in the area of NSW and the way to improve the following issues is recommended. The involvement of the government is very much important in these matters and the areas where the government will intervene are also focused upon (www.qube.com.au 2016).

Important features of Qube Logistics

Services

Qube Logistics became the only Australian Company by formulating the idea of involving like port services into single operating group and to offer all land and international logistics services in-house to maintain control over the whole process. Qube in Australia is the only largest provider of amalgamated wharf cartage and port logistics services. The cut-edge technology drives the Qube’s national infrastructure and network all over Australia. They try to deliver the best in international and landside logistics results in Australia.

Facilities

Qube is serving export and import oceanic container provision includes within Brisbane, Melbourne, Sydney, Adelaide and Perth. All the company’s Logistics assets are established to maximize the efficiencies of the customers. The Qube Logistics have an all-multi-user terminals that are tactfully located and are used for interstate, port shuttles, and regional services of rail. This enables a seamless network to depot, container park facilities and warehousing as well as all export and import movements. By operating uninterruptedly 24/7 in its largest ports, it can offer its clients supreme synergies. This widespread network of its owned facilities enables it to provide a premium, countrywide services meeting any sort of challenges (www.qube.com.au 2016).

Technology

This company provides 24/7 real-time status and tracking with the help of state-of-the-art technology. The technology they offer includes:

  • Geo-fence GPS-based technology
  • Warehouse and Transport visibility system
  • Global trace and track system

All the landside business operations of Qube Logistics are operated by single Nation-wide system and technology, which is updated and tracked by all time online tracking system. All its trucks are equipped with GPS systems and the PODs are sent automatically after electronic acceptance. All the freights are tracked in real time without driver’s activation with messages intimating the status of the vehicles sent automatically based on Geo-fences. Any client can track and enjoy Business-to-Business (B2B) interfaces on their technology operating systems by updating real-time data.

Global 24/7 Tracking System

Qube’s Global Tracking secure tracing and tracking tool convey complete consignment visibility. It lets the client review their report and order progress on completed orders. Client can access their shipment details, reports and documents; they can also download their own key incident data. The Gateway of Qube lets its clients see all of their data so they always know about all the details and status of their cargos. Qube can tailor reporting system and KPIs to client’s business operations; also have more than 200 main events that produce customized email alerts.

Social Responsibility

Community

The Qube Logistics is dedicated to working with domestic communities and contributing its financial assistance and services to other local causes. Every year, the company identifies charities and communities it wishes to take care of. Few of them are identified as Beyond Blue, Wilderness Society, Royal Children Hospital QLD, Royal Children Hospital VIC, Rotary Club, Lions club. The Company supported the Victorian bushfire tragedy and ongoing recovery.

Environment

Qube Logistics is faithful to a sustainable environment across all external operations and within the company. They provide a secure working environment for its employees and any other person they meet. Company’s policy ensures its customers and employees are attentive of their enduring responsibilities to their workplace and the surroundings.

Safety

Safety is a core value of Qube Logistics. Their safety operating methods and practices are business leading and are intended to eliminate all injuries and accidents. Qube Logistics inspiring safety record is the consequence of senior supervision ensuring all contractors, visitors and employees are acceptably skilled, briefed and trained on safety.

Operations in New South Wales

Qube Logistics in New South Wales (NSW) operates from four sites as follows:

  • Port Botany Filght Terminal
  • Port Botany Intermodal Terminal
  • Macarthur Intermodal Terminal
  • Yennora Intermodal Terminal

Two sites are operative within Port Botany named Port Botany Empty Park and Port Botany Freight Terminal. Macarthur Intermodal Terminal is established within the increasing southwestern urban region supporting both Regional and Port activities. Forth site, Yennora Intermodal Terminal, is situated in the Western suburbs enabling rail access direct from Port Botany wharf workstation to Yennora Intermodal Terminal. Total cargo space capacity for all the above listed facilities collectively is in excess of eight thousand FCL containers and nine thousand Empty containers.

Main issues of Logistics Network in NSW

New South Wales is land bordered by South Australia, Victoria and Queensland and has a long coastal area bordered by Murray river. Geographically this area is diverse and this company is facing a serious issue in providing the logistics services in this area, due to the diversity in the geographical area. The management of the company in a recent survey has confessed that the logistics system in this particular area needs to be changed. The main logistics issues faced by the company in the area are the large number of service providers in the area and non-specific targeting of the market (Luo 2013). There are a growing number of frictions among the regional government and the interstate government regarding providing the services. Moreover, there is a acute lack of dedicated corridors along the geographical areas.

Geographical diversity and intense competition in the limited geographical areas makes it difficult for the company to operate the business successfully and make profits. Moreover, there is a lack of the dedicated corridors, like public transport, freight and others. This creates confusion and the chances of fatal accidents are higher in this region (Novellani 2014). It becomes difficult for the company to lay new rail tracks and at the same time, there is a crisis in the expansion of the business due to the intense competition in the market. All these create logistics problems in the New South Wales division and the company is facing problems in the above-mentioned areas.

The company even if launches expansion plans in the particular area, they will not be able to successfully implement the plan due to congestion in the market. Moreover, the road networks in the South Wales are really bad and the conditions is getting worse by each passing day. The toll taxes in the particular area increases the costs of the operations and the company is finding it difficult to operate within the tight cost framework. It is affecting the profitability of the concern and is a major area of concern to the company (Grobelny and Michalski 2016).

There are many remote areas in the given area, and at the same time the number of petrol pumps and gas stations is very few, and this creates problem in the operations. Moreover, mining sites often comes in the area of operations and these two factors creates a sort of nexus among them thus hampering the operations of the company (Ning 2013). It is indeed difficult to operate for the company with such difficulties and at the same time make profits within the tight framework.

The problems related to infrastructure needs long term planning, huge investments and a focus on the public policies. Planning forms, the basis of any changes and the planning has to be made with consultation of different other governing bodies as well as different other sectors. Other sectors also make the use of the logistics and it is important for the company to consider the impact of the changes that will affect the other relevant sectors. Without proper research, the company cannot implement the changes. The benefit must accrue to the company as well as to the different other sectors, so that the company improves the operations (Grobelny and Michalski 2016).

Investments are mandatory for making the changes in the public transport and it may be difficult for the company to make investments alone. Government has to take initiative in making the investments along with the different companies as this investment falls under public spending and the government has a different budgetary allocation for the same purpose. The area where it is important to invest are the road and rail infrastructure (Novellani 2014). The prime focus will be to focus on the general infrastructure so that the problems related to the logistics get reduced and the operations of the company become smooth. Moreover, there needs to be more number of dedicated freight corridors so that the distinction becomes obvious among the different types of transports and there is a smooth flow of traffics. Smooth flow will ensure rapid transportation and at the same time, improve the feasibility (Luo 2013).

A dedicated single party management is required to manage the network access and manage the overall transportation. This fact is again in the hands of the government and the management needs to be changed. On the part of the company, certain small changes in the managerial functionaries can affect the performance of the company. Transparency and single window for clearing the different issues regarding the functioning of the company is of prime importance. This act needs to be made both at the government level as well as at the company level (Nikolaenko and Shugaley 2014).

Pricing is an important criteria for the changes to be implemented and the company must try to make the pricing policies as commodity based and necessary allowances must be reflected in the growth of the freight networks. The interpretation must be made with an ease of interpretation as well as consistency among the different stakeholders.

The role of the government is indispensable in the functioning of the logistics and to bring about change in the particular domain. To bring a change in the existing process, it is the government who has to invest funds in the in the development of the infrastructure. Logistics will develop only when the existing infrastructure is matured and developed and the company will not have any problem in operating (Ning 2013). Government will create and build infrastructure for the entire industry and not for any one particular company. This uplifts the industry and helps them to achieve the objectives of the companies. The impact will be on the entire economy of the area and this will help the company in attracting investments and boost the entire economy.

On the other hand, as per the statements provided by Anand et al (2012) planning plays an important role in the logistics division and the planning is to be made for the long-term value creation, rather than for the short-term value creation. Moreover, the planning must be made on a neutral basis and it is important for the company to remain partial and look at the greater good of all the business houses. If the planning is done properly then it will really improve the conditions of the logistics in NSW. Planning for the sake of planning is not all, proper implementation of the same plan is also important. Implementation stage is vital issues in any governing body and the government of NSW must try to stick to the plan and implement it properly. This is an useful tool and the government when implements it properly makes for a useful decision making.

Single management or a single window screen for clearing all the issues related to the logistics is very much important. It will reduce the level of redundancy and at the same time, the work will be very fast. Fast movement of the different issues and quick decision-making is very much important in implementing changes. Changes are important in any concern and at the same time it is important for the government to take charges of all the different vital matters related to it.

Conclusion

After analyzing the entire report, it can be concluded that Qube Logistics is a market leader in the field of logistics and this company has an ambitious plan of expanding the operations of the company. This company is facing different issues relating to logistics and those problems are highlighted in the report.  The problems that are highlighted are severe in nature and the company must take urgent action to rectify the course of action and make amendments urgently. It is observed that the company alone can make not all the changes in the logistics division and the government has to intervene with related matters. The matters in which the government has to take part are of public interest in nature and it is important that all those factors are given due importance.

Reference

Anand, N., Quak, H., van Duin, R. and Tavasszy, L., 2012. City logistics modeling efforts: Trends and gaps-A review. Procedia-Social and Behavioral Sciences, 39, pp.101-115.

Barbati, M., Bruno, G. and Genovese, A., 2012. Applications of agent-based models for optimization problems: A literature review. Expert Systems with Applications, 39(5), pp.6020-6028.

De Rosa, V., Gebhard, M., Hartmann, E. and Wollenweber, J., 2013. Robust sustainable bi-directional logistics network design under uncertainty.International Journal of Production Economics, 145(1), pp.184-198.

Ferreira, M.A.M., Filipe, J.A., Andrade, M. and Coelho, M., 2012. Using infinite servers queue systems busy period to solve logistics’ problems.International Journal of Academic Research, 4(3).

Grobelny, J. and Michalski, R., 2016. A Concept of a Flexible Approach to the Facilities Layout Problems in Logistics Systems. In Information Systems Architecture and Technology: Proceedings of 36th International Conference on Information Systems Architecture and Technology–ISAT 2015–Part I (pp. 171-181). Springer International Publishing.

Hemmelmayr, V.C., Cordeau, J.F. and Crainic, T.G., 2012. An adaptive large neighborhood search heuristic for two-echelon vehicle routing problems arising in city logistics. Computers & operations research, 39(12), pp.3215-3228.

Luo, J., 2013. Modelling of quayside logistics problems at container terminals (Doctoral dissertation, University of Southampton).

Mancini, S., Gonzalez-Feliu, J. and Crainic, T.G., 2014. Planning and optimization methods for advanced urban logistics systems at tactical level. In Sustainable Urban Logistics: Concepts, Methods and Information Systems (pp. 145-164). Springer Berlin Heidelberg.

Min, H. and Kim, I., 2012. Green supply chain research: past, present, and future. Logistics Research, 4(1-2), pp.39-47.

Nikolaenko, A.E. and Shugaley, O.A., 2014. Forming optimal routes in the problems of transport logistics by use of GIS technology. Astronomical School’s Report, 10(2), pp.141-144.

Ning, L., 2013. Analysis of e-commerce logistics problems under the background of information. Electronic Test, 8, p.071.

Novellani, S., 2014. Models and algorithms for the optimization of real-world routing and logistics problems. 4OR, pp.1-2.

Pedraza‐Martinez, A.J., Stapleton, O. and Van Wassenhove, L.N., 2013. On the use of evidence in humanitarian logistics research. Disasters, 37(s1), pp.S51-S67.