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Analyzing the Present Issues in NSW's Supply Chain and Logistics

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Added on  2023/06/04

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This essay analyzes the present issues in NSW's supply chain and logistics, including congestion, inadequate infrastructure, and government initiatives to address them. The report focuses on case studies of firms such as Qube Holdings and Zara, and suggests solutions such as the Public-Private Partnership and the use of resources like land in constructing new logistics centers. The government's involvement in enhancing the intermodal transport at Moorebank and leasing two primary ports is also discussed.

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Logistics
By (Name)
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University
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Introduction
The primary objective of this essay is to analyze the supply chain’s present issues that
affect the retailers as well as the logistics organizations that are found in New South Wales.
There has been a wide array of research regarding the issues that face the supply chain.
According to study, it is evident that the ports that neighbor NSW such as Port Botany, Jackson,
as well as Kembla experience a lot of congestion. Among the three named ports, Port Botany is
the most important one because it has the capability of handling high capacities. Currently, the
state faces the challenge of high costs which is as a result of traffic routes’ congestion and issues
relating to the network routes.
The development of logistics infrastructure in Western Sydney has been rendered
impossible due to the scarcity of land, particularly in areas that are close to the ports. The
interests that are associated with the present challenges have been depending on the firm’s case
studies. For instance, firms such as Qube Holdings, Zara, and other ports that are experiencing
the same kind of problems have been analyzed in this report (Bierwirth, Kirschstein and Meisel,
2012, pp.201). Based on the present trends, Zara firm is faced with the challenge of reduced
customer service. Nonetheless, some of the issues that have been addressed in this report are as a
result of the suppliers’ inability to adhere to the law when using fats transportation channels. At
Qube Holdings, the challenge that is experienced has been due to the construction of a new
intermodal station that is intended to ease Moorebank’s logistics system (Black, et al., 2018,
pp.47). The report has conducted a deep analysis to identify some of the issues that are
associated with the construction of this new facility.
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NSW’s Logistics Problems
The present problems that western Sydney is facing are caused by the dispersed terminal
station that deals with the logistics activities in the county as explained by Black, Roso, Marusic,
and Brnjac (2018). Presently, the procedure to be followed when demanding for materials is not
in line with the delivery of the same materials. The stakeholders also are not given enough
attention which to some extent impact the organization (Caris, Macharis and Janssens, 2013,
pp.109). The government encounters many challenges when trying to control the activities at the
port to make sure that the available land is put to maximum use. This includes the scope of the
rail located close to Port Kembla.
KPMG came up with a model that would help in studying the issues that associated with
deficiency of skillful labor in the logistics sector as expressed by Dekker, Bloemhof, and
Mallidis (2012). The study indicated that workers working in the supply chain field have
inadequate skills in management and leadership hence they need to improve for good operation
in the present situation. Firms such as Qube are taking a greater role in enhancing the intermodal
transport at Moorebank (Dekker, Bloemhof and Mallidis, 2012, pp.673). Intermodal transport
faces challenges due to the interrupted trade routes that are closely linked to the inland passenger
rail being constructed from Melbourne to Brisbane. Many questions have arisen as to whether
the intermodal transport services are in a position to offer an open-ended logistic solution to
people found in that area.
Besides, the Liverpool council has disagreed with the project due to the likely carbon
emissions and health hazards that are as a result of the construction process. Also, some experts
have expressed concerns regarding the increased congestion as a result of the activities of
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construction. Additionally, Zara supply chain’s activities are to be questioned since the firm has
a reputation for keeping on with its behavior of overlooking the conventional practices that have
been put in place to govern the operations of the supply chain (Ghaderi, Cahoon and Nguyen,
2015, pp.63). This firm believes that for organizations to succeed in controlling a product, the
control process should be continued until the product reaches the consumer. Zara’s ethical
practices in relation to supply chain activities have raised issues among the experts. This will
force Zara to improve its working and social conditions, including giving its staff more priority.
The other important problem is inadequate of stevedoring firms that are able to associate
well with tenants around the port, specifically at Port Botany, which is considered to be
Australia’s second largest port (Hoefnagels, et al., 2014, pp.803). The current stevedoring firms
which include Container Terminal and Brothersome Dock Australia have indicated that they are
not able to handle high yearly demand. Same challenges are encountered by airport terminals
which are brought by high air traffic among routes which link with the Western Sydney freight
line. The improved levels of e-commerce and cargo activities to some extent contributed to the
low accommodation of air traffic (Lam and Gu, 2013, pp.263). Most of the developments which
the previous and the current government has endorsed are primarily aimed at attaining medium-
term goals but does not put consider factors such as environmental effects and health matters.
Sturgess, Rahman, and Argyrous (2018) argue that the issues identified show that it is important
to divert focus from the urban areas of New South Wales’ to remote areas. More so, in 2013
additional rail routes were introduced.

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Measures of addressing NSW’s Current Issues
Brookfield Partners is an infrastructure firm and it is among the firms that provide
infrastructural resources to organizations such as Qube holdings and Asciano limited. They are
focused on addressing the current issues and this includes improving the operations at the
Asciano Patrick’s port (McIntosh, Newman and Glazebrook, 2013, pp.39). The reason behind
this is that Asciano Patricks’s port is able to accommodate the high demand for containers. The
port also has the ability to give a long-lasting solution to the current issues of satisfying the
logistics demands at South Sydney.
The Southern highlands logistics hub can be used in effectively managing the current
challenges related to the intermodal logistics hub. Some areas in the Southern Highlands can be
used in constructing new rail routes to reduce the present congestion on traffic road transit since
they have large spaces (Regmi and Hanaoka, 2012, pp.33). These regions are situated at Port
Botany and Moorebank. The study indicates that a highway found in New South Wales that joins
Western Sydney to Westlink M7 has a lot of potentials that will help in solving problems that
impact on NSW’s logistics network.
Government Involvement in Solving NSW’s Issues
Responding to the issues that were related to network congestion, the government
initiated many initiatives such as the Public-Private Partnership to focus on enhancing the
companies’ supply chain activities as Regmi and Hanaoka (2012) state. The government is also
committed to enhancing Qube Holdings Private Limited supply operations. This firm focuses at
constructing an intermodal station which will join Port Botany to the Australian Suburbs (Roso,
et al., 2015, pp.271). This projects will be important because it will improve NSW’s logistics
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trade routes. There is a lot of lands that are available for use in the construction of industrial
storages, including the supply chain operations. The construction of this new route will help
solve the challenges that have been experienced for decades by the tenants and the warehouse
managers, thus achieving the present capacity requirements. Additionally, the initiative will also
be very essential because it will improve on the declining demand for rail route services.
Notwithstanding, the government has taken a step further to involve third-party logistics
operators. This will help in sharing the opportunities that will result from gaining access to
Moorebank’s terminal (Song, Kim and Kim, 2013, pp.1806). The government has put in place
policy mechanisms that will ensure a mutual benefit that is as a result of the process of
constructing an intermodal terminal within the operations of the supply chain. These benefits are
aimed at enhancing the transportation services, which in return will translate to increased
competitiveness against the logistics’ rival companies.
Poulos, et al., (2016) has noted that the New South Wales government has initiated the
process of leasing two of the primary ports that are found in Southern Sydney. These two
primary ports are Port Kembla that has got a specialization in handling grain products, as well as
Port Botany as Regmi and Hanaoka (2012) notes (Sturgess, Rahman and Argyrous, 2018, pp.83).
The government has also put in place other initiatives that are intended to refinance the activities
at Port Kembla, including many other ports such as Cooks Rail terminal.
Conclusion
This analysis of the New South Wales intermodal has indicated that the current issues
associated with rail and road networks such as congestion have a negative impact on New South
Wales companies such as Qube and the Zara Holdings. Among the best solutions that the
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analyses offer is the Public-Private Partnership which is a position of addressing the problems
that are associated with the inadequate intermodal logistic facilities. Nonetheless, a deep analysis
has been carried out on sustainability and ha noted that the first way to solving the NSW’s
current issues is by making maximum use of resources such as land in constructing new logistics
centers such as that in the Southern Highlands of Southern Sydney. Additionally, the government
contribution has made sure that there is sustainability in the current operations.

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Bibliography
Bierwirth, C., Kirschstein, T. and Meisel, F., 2012. On transport service selection in intermodal
rail/road distribution networks. Business Research, 5(2), pp.198-219.
Black, J., Roso, V., Marušić, E. and Brnjac, N., 2018. Issues in Dry Port Location and
Implementation in Metropolitan Areas: The Case of Sydney, Australia. Transactions on
maritime science, 7(01), pp.41-50.
Caris, A., Macharis, C. and Janssens, G.K., 2013. Decision support in intermodal transport: a
new research agenda. Computers in industry, 64(2), pp.105-112.
Dekker, R., Bloemhof, J. and Mallidis, I., 2012. Operations Research for green logistics–An
overview of aspects, issues, contributions and challenges. European Journal of Operational
Research, 219(3), pp.671-679.
Ghaderi, H., Cahoon, S. and Nguyen, H.O., 2015. An investigation into the non-bulk rail freight
transport in Australia. The Asian Journal of Shipping and Logistics, 31(1), pp.59-83.
Hoefnagels, R., Searcy, E., Cafferty, K., Cornelissen, T., Junginger, M., Jacobson, J. and Faaij,
A., 2014. Lignocellulosic feedstock supply systems with intermodal and overseas
transportation. Biofuels, Bioproducts and Biorefining, 8(6), pp.794-818.
Lam, J.S.L. and Gu, Y., 2013. Port hinterland intermodal container flow optimisation with green
concerns: a literature review and research agenda. International Journal of Shipping and
Transport Logistics, 5(3), pp.257-281.
McIntosh, J., Newman, P. and Glazebrook, G., 2013. Why Fast Trains Work: An assessment of a
fast regional rail system in Perth, Australia. Journal of Transportation Technologies, 3, pp.37-47.
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Regmi, M.B. and Hanaoka, S., 2012. Assessment of intermodal transport corridors: Cases from
North-East and Central Asia. Research in Transportation Business & Management, 5, pp.27-37.
Roso, V., Russell, D., Ruamsook, K. and Stefansson, G., 2015. Seaport-inland port dyad
dynamics: an investigation of service provisions and intermodal transportation linkages. World
Review of Intermodal Transportation Research, 5(3), pp.263-280.
Song, K.Y., Kim, Y.H. and Kim, B.Y., 2013. Intermodal stimulated Brillouin scattering in two-
mode fibers. Optics letters, 38(11), pp.1805-1807.
Sturgess, G.L., Rahman, S. and Argyrous, G., 2018. Convict Transportation to New South
Wales, 1787–1849: Mortality Rates Reconsidered. Australian Economic History Review, 58(1),
pp.62-86.
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