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The Transport, Distribution and Logistics Sectors in Victoria

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The Transport, Distribution and Logistics Sectors in Victoria The Transport, Distribution and Logistics Sectors in Victoria Audit Report 07 July 2001 Audit Report – Transport Distribution and Logistics Sectors TABLE OF CONTENTS ACKNOWLEDGMENTS.....................................................................................................................................6 EXECUTIVE SUMMARY...................................................................................................................................7 IMPORTANCE OF THE SECTOR .............................................................................................................................7 STRUCTURE AND PERFORMANCE .......................................................................................................................7 FUTURE DIRECTIONS............................................................................................................................................7 Key General Actions.......................................................................................................................................8 Key Modal Actions..........................................................................................................................................9 Road Freight.................................................................................................................................................9 Rail Freight....................................................................................................................................................9 Airfreight......................................................................................................................................................10 Sea Freight and Ports ...............................................................................................................................10 SUMMARY OF RECOMMENDATIONS ................................................................................................... 12 AUDIT PROCESS............................................................................................................................................... 26 BACKGROUND......................................................................................................................................................26 AUDIT METHODOLOGY ......................................................................................................................................27 SECTORAL OVERVIEW ................................................................................................................................ 29 1. STRUCTURE OF THE FREIGHT TASK ...........................................................................................................29 2. PERFORMANCE OF THE TDL SECTOR........................................................................................................31 2.1 Introduction .......................................................................................................................................... 31 2.2 Contribution to National and Victorian Economy ......................................................................... 32 2.2.1 Proportion of value added to GSP ..............................................................................................32 2.2.1 Gross Product Growth and Forecasts........................................................................................32 3. SECTOR PERFORMANCE AND COMPETITIVENESS.....................................................................................33 3.1 Market Power and Industry Concentration .................................................................................... 33 3.2 Small Business Contribution.............................................................................................................. 33 3.3 Regional Dimension of the Sector.................................................................................................... 33 3.4 Investment.............................................................................................................................................. 33 3.5 Employment........................................................................................................................................... 35 3.5.1 Growth Over 5 Years.....................................................................................................................35 3.5.2 Sub-sectors Employment.............................................................................................................35 GENERIC SECTORAL ISSUES .................................................................................................................... 38 1. STRENGTHENING VICTORIA AS A REGIONAL FREIGHT HUB ...................................... 38 1.1. EXPORTS AND IMPORTS........................................................................................................................38 1.2. INTERNET AND E-FULFILMENT ............................................................................................................38 1.3. GLOBALISATION ....................................................................................................................................38 1.4. TDL DIRECTIONS..................................................................................................................................39 1.5. VISION FOR THE TDL SECTOR IN VICTORIA .....................................................................................39 1.6. LOGISTICS MARKETPLACE ...................................................................................................................40 1.7. FREIGHT TRANSPORT PLAN .................................................................................................................40 1.8. MINISTERIAL CONSULTATIVE GROUP ................................................................................................41 2. SECTORAL IMAGE................................................................................................................................. 43 3. INFORMATION, COMMUNICATION TECHNOLOGY AND E-COMMERCE................. 44 3.1. INFORMATION AND COMMUNICATION TECHNOLOGY......................................................................44 3.2. E-COMMERCE.........................................................................................................................................45 3.2.1. B2B ................................................................................................................................................ 45 3.2.2. B2C................................................................................................................................................ 45 3.3. PROMOTING TECHNOLOGY UPTAKE...................................................................................................46 3.4. TECHNOLOGY COMPATIBILITY............................................................................................................47 Strategic Audit of Victorian Industry 2 Audit Report – Transport Distribution and Logistics Sectors 4. SUPPLY CHAIN MANAGEMENT...................................................................................................... 48 5. CUSTOMER RELATIONSHIPS .......................................................................................................... 51 6. INTERMODAL INTEGRATION.......................................................................................................... 52 6.1. RAIL.........................................................................................................................................................52 6.2. AIR AND MELBOURNE AIRPORT ..........................................................................................................53 6.3. SEA AND PORTS......................................................................................................................................53 7. PERSONNEL MANAGEMENT............................................................................................................ 55 7.1. EDUCATION AND TRAINING.................................................................................................................55 7.1.1. Training Needs............................................................................................................................ 55 7.1.2. Commitment to Training............................................................................................................ 56 7.1.2.1. Industry Training Issues Identified by the Sector...........................................................58 7.1.2.2. The National Training Package.........................................................................................58 7.1.3. Centre of Excellence in Transport, Distribution and Logistics at Victoria University .. 59 7.2. PERSONNEL MANAGEMENT ISSUES.....................................................................................................59 7.2.1. Changing Employment Practices............................................................................................. 59 7.2.2. Employment of Young People................................................................................................... 60 7.2.3. Female Employment ................................................................................................................... 60 7.3. PERSONNEL MANAGEMENT – MODES................................................................................................61
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