SOLUTIONS
MOBILITY
TRUCKS
The Core Productive Enhancer
The Future Beholds
The CV Gamechanger
CONNECTING TRADE PROFESSIONALS WITH INDUSTRY INTELLIGENCE
AL-FUTTAIM LOGISTICS VENTURES INTO AEROSPACE SECTOR
NOVEMBER 2023
IN THIS ISSUE
28
14
38
EMERGING AEROSPACE LOGISTICS (3PL) AL-FUTTAIM LOGISTICS VENTURES INTO AEROSPACE SECTOR
14 OPINION DATA: THE GAMECHANGER Elevating Manufacturing Excellence: Data-Driven Strategies for the Middle East 18 OP-ED
THE RETAIL PLAYGROUND Nicolas Bruylants, CVO and Founder of Uplo on the evolving retail logistics and supply chain industry
20 TRADE
UNLOCKING NEW HORIZONS The India-Middle East-Europe Corridor announced at the G20
24 AIR CARGO FROM ABU DHABI TO THE WORLD Leonard Rodrigues, Head of Revenue Management & Network Planning at Etihad Cargo, touts the company’s progressive growth and reach 34 MARINE
SPEARHEADING EVOLUTION With Dubai’s Maritime Industry
36 SOLUTIONS
THE CORE PRODUCTIVE ENHANCER Vibha Mehta spoke with Taylor Smith, Vice President and General Manager of Honeywell Productivity Solutions and Services, during his most recent visit to the UAE
38 MOBILITY
THE FUTURE BEHOLDS Andreas Flourou, Group Head of Operations - Mobility at Red Sea Global walks us through his journey, future of mobility and RSG’s plans
42 TRUCKS THE CV GAMECHANGER Logistics News ME speaks exclusively chats with Marco Torta, IVECO’s Area Manager for the GCC, on the company’s product lines, innovation strategy, e-mobility, and other topics LOGISTICS NEWS ME | NOVEMBER 2023 | 3
SAVE UP TO 25%
Until 29 March 2024
BOOK ON FA IR MONT.COM
CONNECTING TRADE PROFESSIONALS WITH INDUSTRY INTELLIGENCE
CEO Wissam Younane wissam@bncpublishing.net Director Rabih Najm rabih@bncpublishing.net
SUBSCRIBE subscriptions@bncpublishing.net
Group Publishing Director Joaquim D'Costa jo@bncpublishing.net Editor-in-Chief Vibha Mehta vibha@bncpublishing.net Managing Editor Kasun Illankoon kasun@bncpublishing.net Creative Lead Design Christian Harb chriss@bncpublishing.net Marketing Executive Aaron Joshua Sinanbam aj@bncpublishing.net Digital Media Producer Alexander Bungas
PO Box 502511 Dubai, United Arab Emirates P +971 4 4200 506 | F +971 4 4200 196 For all commercial enquiries, contact jo@bncpublishing.net T +971 50 440 2706 All rights reserved © 2023. Opinions expressed are solely those of the contributors. Logistics News ME and all subsidiary publications in the MENA region are officially licensed exclusively to BNC Publishing in the MENA region by Logistics News ME. No part of this magazine may be reproduced or transmitted in any form or by any means without written permission of the publisher.
C
M
Y
CM
Images used in Logistics News ME are credited when necessary. Attributed use of copyrighted images with permission. All images not credited courtesy Shutterstock.
Printed by United Printing and Publishing | upp.ae
MY
CY
CMY
K
ACCESS FRESH CONTENT DAILY ON OUR WEBSITE!
cbnme.com
NOVEMBER 6 | LOGISTICS NEWS ME | JULY 2023 2023
Logistics News ME Logistics News ME In addition to our print edition, we’re bringing you allbringing sorts ofyou industry news on our web we’re all sorts @Logisticsnewsme mediums. forward to interacting @Logisticsnewsme of industryWe’re newslooking on our web with our readers on all offorward our social media and mediums. We’re looking Logistics News ME web platforms. Seeour youreaders on the on web! Logistics News ME to interacting with all of our social media and web logistcsnewsme platforms. See you on the web!
WWW.CBNME.COM
LNME
EDITOR’S NOTE
PERCEPTION How do you determine who is correct now? Knowledge, awareness, background, individual experiences, and instincts are just a few of the numerous variables to take into account. And keep in mind that I am discussing personal choices here, not a topic of conversation that is especially broad. Whether it's a circumstance at work, in your life, or in the life of someone you know. In line with this, I have met many new and previously known people in the last few days. The ones I know have always been the same, so you can usually predict how they will feel about something—that is, until they surprise you with their answer, which doesn't happen very often. The new ones might give your life a breath of fresh air. I can attest to this entirely because I recently reconnected with my close friends, who haven't changed in almost a year or two. Saying that indicates that, although I am aware of their cognitive functions and how they think, our perspectives on various topics still diverge. This idea made me reflect on how diverse people can be. You all can also ponder on this. Until then, happy reading!
G
oogle defines perception as "the way in which something is regarded, understood, or interpreted," but in practice, people may interpret this term differently. There are myriad ways to interpret a particular situation, and those interpretations can yield a diverse array of outcomes. Good or bad. For example, Team A and Team B are talking about a particular topic. Team B has its own opinions on the matter, and Team A has a strong one.
8 | LOGISTICS NEWS ME | NOVEMBER 2023
Vibha Mehta
Editor-in-Chief vibha@bncpublishing.net Vibha Mehta vibhamehta01 @vibhamehta01
WWW.CBNME.COM
LNME
REGIONAL NEWS
Belal Deiranieh, CEO of SYSTRA Arabia, added: “SYSTRA Arabia is putting its global expertise at the service of the Kingdom by offering innovative and sustainable engineering solutions during this exciting period of transformation and has strengthened the local operation to support the country in achieving its Vision objectives. We have ramped up to be the benchmark in mobility and railways, infrastructure and environment, and building assets.” The inauguration ceremony for the new offices will take place on October 23, 2023, in Riyadh, where esteemed guests, government officials, industry professionals, and SYSTRA executives will gather to celebrate this momentous occasion. The event will serve as an opportunity to showcase SYSTRA’s commitment to excellence and its vision to shape the future of transportation and infrastructure in Saudi Arabia. A leading player in Saudi Arabia Present in the country since 2003, the French group is supporting the Kingdom’s development with the creation of transport networks throughout the country, particularly in Riyadh, Jeddah, Al Ula, Tabuk Province, Al Madina Al Munawarah, and Makkah. Having been involved in significant metro, freight rail, high-speed, tramway, and large-scale infrastructure projects, SYSTRA is currently engaged in several signature projects in the Kingdom, including Riyadh Metro, NEOM, Qiddiya, King Abdallah Financial District, Al Ula Experimental Tramway, Mashaaer Metro, and has multiple projects currently underway with Saudi Arabia Railways.
SYSTRA OPENS ITS NEW HEADQUARTERS IN RIYADH, SAUDI ARABIA
S
YSTRA, the French engineering and consultancy group specialising in public transportation and infrastructure, which has been present in Saudi Arabia since 2003, announces the inauguration of the new headquarters of its Saudi subsidiary in Riyadh. SYSTRA’s new offices in the Olaya district of Riyadh complement the Group’s four other addresses in the country. They will enable SYSTRA to extend its regional reach and contribute to several large-scale projects linked to the Kingdom’s Vision 2030 programme. Strengthening service capacity in the region SYSTRA, which currently employs over 400 people in Saudi Arabia, is already involved in numerous projects across the country and has committed to growing its portfolio of projects to support the Kingdom’s ambitions, mainly through developing urban infrastructure, public transport networks, and sustainable buildings. Pierre Verzat, CEO of SYSTRA, said: “With its experience in mobility in complex urban contexts, SYSTRA has been present in Saudi Arabia for over 20 years and will continue to shape the Kingdom’s future with its stakeholders. We currently employ over 400 people in Saudi Arabia and are committed to recruiting and training highly qualified local staff. The inauguration of the Riyadh office strengthens our service capacity in the region and symbolises the importance of this country and this area for SYSTRA’s growth.” 10 | LOGISTICS NEWS ME | NOVEMBER 2023
WWW.CBNME.COM
REGIONAL NEWS
IRU AND ALMAJDOUIE COLLABORATE TO IMPROVE DRIVERS AND OPERATIONS
A
lmajdouie Logistics Chief Executive Officer Mohammed Ali Almajdouie and IRU Secretary General Umberto de Pretto signed the agreement in Riyadh today. This strategic partnership will enhance the efficiency of Almajdouie Logistics’ operations and ensure its drivers operate in line with international standards. IRU RoadMasters helps mobility and logistics operators develop, strengthen and manage critical workers, primarily commercial drivers, with state-of-the-art training and assessment solutions. It certifies professional drivers and provides companies with digital dashboards to monitor and manage drivers’ skills profiles. Almajdouie Logistics Chief Executive Officer Mohammed Ali Almajdouie said, “We are delighted to be the first company in the Kingdom of Saudi Arabia to implement this leading programme for general cargo transport. “This collaboration with IRU is a significant step forward for Almajdouie Logistics in our pursuit of operational excellence and ensuring our drivers adhere to global standards. IRU RoadMasters offers a state-of-the-art solution to empower us to develop, strengthen, and efficiently manage our critical workforce, particularly our commercial drivers. “RoadMasters’ certification programme will equip us with the necessary tools to monitor and enhance our drivers’ skills profile, further solidifying our commitment to providing highquality logistics services.”
IRU Secretary General Umberto de Pretto said, “This partnership signifies our collective commitment to advancing the logistics and transport industry. “IRU is pleased to equip Almajdouie Logistics with the means to enhance driver skills and certify professionals, ultimately bolstering the company’s operational efficiency and global competitiveness. We look forward to a successful collaboration and the positive impact it will bring to the industry.” IRU RoadMasters optimises commercial driver competencies and equips companies with the correct data to make informed decisions and mitigate operational risks. It identifies and addresses gaps while boosting recognition of high professional standards. RoadMasters offers multiple advantages to logistics companies, helping them to select suitable candidates for specific roles and providing structured data analysis for informed decision-making at various organisational levels. It also enhances business efficiency by addressing skill gaps, reducing training costs through targeted instruction, managing risks, and ensuring compliance. Moreover, RoadMasters certification demonstrates a commitment to safety, fostering higher customer satisfaction and retention.
LOGISTICS NEWS ME | NOVEMBER 2023 | 11
LNME
REGIONAL NEWS
KUEHNE+NAGEL AND EMIRATES SKYCARGO ESTABLISH A DIRECT HOST-TO-HOST LINK
P
roviding direct access to its market-leading products and services and extensive global network, Emirates SkyCargo is now available on Kuehne+Nagel’s internal booking engine. This milestone marks the first time Emirates SkyCargo has made its services available via a freight forwarders-owned portal, a strategy that further elevates the airline’s world-class customer service
experience. Through this direct host-to-host connection, Emirates SkyCargo streamlines the booking journey for Kuehne+Nagel agents, providing access to the airline’s schedules, rates and available
12 | LOGISTICS NEWS ME | NOVEMBER 2023
capacity in real time. The connection first launched in Switzerland and Austria and will open to users in select countries across Europe, the Americas, Africa, Asia and Oceania by the end of the year. Nabil Sultan, Divisional Senior Vice President, Emirates SkyCargo, said: “This partnership is a testament to our longstanding digitalisation strategy, which aims to enhance our customer experience, streamline operations and drive greater efficiencies. By creating direct pathways for customers such as Kuehne+Nagel to connect with Emirates SkyCargo, we can optimize the booking process and reinforce our relationships across the logistics ecosystem.” Initially, the service will be available for general cargo, with the possibility of adding other Emirates SkyCargo’s class-leading product solutions shortly.
WWW.CBNME.COM
REGIONAL NEWS
WITH GROUNDBREAKING USD 10M SEED ROUND FUNDING, NEO MOBILITY DISRUPTS UAE’S LAST-MILE LOGISTICS
N
eo Mobility (Neo), the first all-electric last-mile logistics, mobility and infrastructure company, has launched its innovative last-mile logistics solutions in the UAE after completing its pre-launch Seed Funding. The cuttingedge sustainable solutions provider has raised USD 10M in its initial close of funding from green asset financing platform Delta Corp Holdings, global logistics and distribution company Pyse Sustainability Fund, and other esteemed angel investors. The substantial capital investment will support Neo’s vision to scale operations to an impressive fleet of 5,000 twowheeler and four-wheeler electric vehicles (EV) by 2025. Neo is the Middle East and North Africa’s (MENA) first B2B startup to offer last-mile solutions through a captive EV infrastructure business model, aligning with the UAE Net Zero and COP28 agenda to build a greener future. With over 90,000 motorbikes on UAE roads, it generates 480,600 tonnes
of CO2 emissions annually, equivalent to over 53 billion smartphones charged or over 49 million gallons of gasoline consumed. Abhishek Shah, CEO and Co-Founder of Neo Mobility, says, “We are committed to revolutionising last-mile logistics through our innovative all-electric vehicle solutions. The Seed Fund represents an exciting milestone in our journey, accelerating the transition to eco-conscious last-mile logistics. These funds will support the development of cutting-edge technology team expansions aimed at optimising fleet deployment and elevating the customer experience. Neo’s two-wheeler fleet sets a new standard in the UAE, featuring motorbikes rather than mopeds. The e-motorbikes offer superior durability, delivering enhanced riding experience and safety, with seamless adaptability similar to traditional IC engine bikes.” Mudit Paliwal, CEO and Founder of Delta Corp Holding, says, “Neo Mobility is an industry disruptor, leading the
charge in sustainable logistics in the Middle East region. Neo Mobility exemplifies our dedication to sustainable logistics in the Middle East, and its vision and commitment to ecofriendly solutions align perfectly with regional sustainability goals. This investment marks an exciting expansion to our sustainable last-mile logistics presence, elevating our investment portfolio, which includes Zyngo and Three Wheels United in India, as we work towards a global EV strategy.” Enabling food aggregators, ecommerce platforms and logistics companies to achieve their net zero goals, Neo will launch operations with its new fleet of GSO-certified EV motorbikes, with a driving range of 175 Kilometres, approved by the Ministry of Industry and Advanced Technology (MOIAT) and Dubai Roads and Transport Authority (RTA). Ensuring operations are efficiently streamlined, Neo will also implement its EV smart charging infrastructure with battery swapping stations across the UAE, enabling Neo riders to swap batteries within 60 seconds. With stations strategically located across commercial hubs and districts, Neo will ensure rapid delivery solutions while providing customers with smart dashboard reports highlighting their CO2 emissions savings using Neo’s state-of-the-art solutions. Neo is the first company to offer riders critical illness and injury insurance coverage along with life insurance, 24/7 rider and driver support and fixed working hours. Neo will also tap into the ride-hailing sector with its fleet of Tesla cars, with a phased rollout of state-of-the-art EV fast charging infrastructure across the Emirates, ensuring drivers can recharge their vehicles in less than 30 minutes. Neo Mobility plans to innovate leasing solutions, enabling drivers to pursue a lease-to-own model empowering them to become entrepreneurs in their own right. Neo also envisions leasing its fleet to third-party logistics (3PL) companies, enhancing the adoption of sustainable transportation in the UAE and the broader region. LOGISTICS NEWS ME | NOVEMBER 2023 | 13
OPINION
DATA :
I THE GAMECHANGER ELEVATING MANUFACTURING EXCELLENCE: DATA-DRIVEN STRATEGIES FOR THE MIDDLE EAST
n the dynamic landscape of Middle East manufacturing, the quest for operational efficiency and value creation has taken a transformative turn, with data emerging as the catalyst for change. Amid ongoing margin pressures, supply chain uncertainties, and evolving trade patterns, manufacturers in the Middle East are increasingly turning to data and analytics to revolutionise their operations. Unlocking Predictive Insights for Downtime Reduction: Within the bustling factories of the Middle East, sensors and assembly line equipment generate vast amounts of data.
14 | LOGISTICS NEWS ME | NOVEMBER 2023
O r i g i n a l l y w r i t t e n b y Ta r i q S a l a m e h , S o l u t i o n s E n g i n e e r M a n a g e r, M i d d l e E a s t & Tu r k e y, Cloudera. Edited by Vibha Mehta
LNME
WWW.CBNME.COM
DATA | THE GAMECHANGER
service. For example, manufacturers can utilise insights to predict potential product failures and proactively alert customers, enabling preventive maintenance. Automatic software updates further streamline customer experiences, sparing buyers of automobiles and smart devices from tedious problem-solving journeys. Safety and Compliance in Focus: Safety and compliance are critical considerations, particularly in the pharmaceutical and food production industries. The Middle East’s manufacturing sector can benefit significantly from data-driven strategies to ensure product safety, efficacy, and quality. Robust data governance, security measures, and effective data lineage tracking are imperative for regulatory compliance and public health safeguarding. Sensors deployed throughout the supply chain, such as smart thermometers, offer real-time data to monitor product status and quality, enabling proactive identification of potential security and compliance issues.
The key lies in harnessing this data to unlock predictive insights for downtime reduction. By aggregating and analysing historical data, manufacturers can employ predictive maintenance strategies, anticipating machinery failures before they occur. This saves substantial costs associated with unplanned downtime and enhances operational efficiency by reducing unnecessary interventions. Customer-Centric Manufacturing for Enhanced Service: In the Middle East’s competitive manufacturing landscape, customercentricity is paramount. Data analytics plays a pivotal role in enhancing customer
Navigating Data Complexity for Unified Operations: As Middle Eastern manufacturers embark on their data-driven journey, they face the challenge of dealing with diverse data sources. A significant portion of data is stored across both on-premises data centres and the cloud, sometimes spanning multiple cloud environments. Research indicates that 74% of manufacturers in the Middle East store data across both cloud and on-premises, and 81% work with at least two hyperscalers. However, 77% of manufacturing data leaders express concerns about the complexity of extracting value from this diverse data landscape.
extracting value becomes a complex endeavour, hindering the deployment of innovations such as predictive maintenance, customer-centric strategies, and safety and compliance measures. Thriving in the Competitive Landscape: In a manufacturing environment where fine margins can differentiate between success and failure, Middle East manufacturers stand to gain a competitive edge by unifying their data. Manufacturers improve their operations by determining themselves through datadriven strategies and enhancing the overall value delivered to their customers. The Middle East’s manufacturing sector is at the cusp of a data-driven revolution. By embracing predictive insights, customer-centric approaches, and robust safety and compliance measures, manufacturers can not only navigate the complexities of the modern supply chain but also thrive in an increasingly competitive market. The key lies in unifying data to unlock the full potential of manufacturing excellence in the Middle East. Tariq Salameh, Solutions Engineer Manager, Middle East & Turkey, Cloudera.
The Imperative of Unified Data Platforms: Middle East manufacturers need to unify their data on a single platform to unlock the full potential of data-driven innovations. This platform should seamlessly integrate structured and unstructured data, regardless of location, ensuring that analytics tools can access the complete dataset. Without this unification, LOGISTICS NEWS ME | NOVEMBER 2023 | 15
LNME
TALKING POINT
THE PATH TO COP28 AND A GREENER SUPPLY CHAIN ARE WE READY TO SHIFT TO A MORE SUSTAINABLE APPROACH? DR. SHEREEN NASSAR, GLOBAL DIRECTOR OF LOGISTICS STUDIES AND DIRECTOR OF MSC LOGISTICS AND SUPPLY CHAIN MANAGEMENT SUITE AT HERIOT-WATT UNIVERSITY DUBAI SHEDS LIGHT ON THE SUBJECT
16 | LOGISTICS NEWS ME | NOVEMBER 2023
O r i g i n a l l y w r i t t e n b y D r S h e r e e n N a s s a r. E d i t e d b y V i b h a M e h t a
T
he global pursuit of sustainability has reached a critical juncture, with the UN Climate Change Conference of the Parties (COP28) standing as a crucial milestone in the battle against climate change. As COP 28 approaches, global attention is focused on charting a path forward to confront the emissions crisis. Various countries in the Middle East, including Bahrain, the UAE, KSA, and Oman, have made substantial commitments towards achieving net-zero goals. These regional economies have acknowledged the imminent need for a fundamental shift and adaptation towards a low-carbon economy. The UAE, a crucial global supply chain hub, recognises the significance of promoting the transition towards sustainable energy solutions and fostering worldwide economic growth. As we confront the urgent need to mitigate environmental impacts, the role of supply chains in achieving a greener, more sustainable future has never been more significant. The concept of a sustainable supply chain has gained prominence in the last few years. The opportunities within this sector encompass a broad spectrum, ranging from the innovation and implementation of cutting-edge technologies to forming a consensus for seamless integration into the global supply chain network. The UAE embraces the prospect of taking the lead in this fundamental transformation of international trade. Through this, the UAE aims to pioneer a movement towards sustainable energy and inclusive economic growth that will benefit not only its economy but also global communities at large. One of the primary motivations for sustainable supply chains is the reduction
WWW.CBNME.COM
THE PATH TO COP28 AND A GREENER SUPPLY CHAIN
of their environmental footprint. From raw material extraction to production, transportation, and disposal, supply chains touch nearly every aspect of the environment. COP28 will lead to more stringent international commitments to reduce greenhouse gas emissions. This requires a restructuring of global production to significantly reduce its environmental impact, which in turn creates new challenges for supply chains mainly related to how to move towards circular economies and how to re-direct energy-intensive industries towards renewables and green hydrogen. The high cost of the transition towards more sustainable models is another challenge accompanied by a lack of management commitment, mainly for lower-tier suppliers which operate in developing countries. Sustainable supply chains can contribute to these targets by employing eco-friendly transportation, sourcing renewable energy, and implementing efficient manufacturing processes, reducing emissions throughout the supply chain. Achieving sustainability targets requires policies and regulations that shape global supply chain activities by globally agreed sustainability objectives. It is expected that these new regulations will mainly increase with the deadlines pressure of 20230 or 2050 in many cases. The UAE views climate change mitigation as a fundamental aspect of sustainable socio-economic advancement, underpinned by a strategic approach that promotes circular economics, encourages inclusive trade flow, enhances supply chain efficiency, and integrates trade technology. This multifaceted strategy is poised to generate fresh prospects for exporters, manufacturers, and investors across all four corners of the world. Central to this transition are sustainable supply chains, which play a pivotal role in enabling and promoting circular practices. Sustainable supply chains work by encouraging ecofriendly product design that prioritises reusability, durability, and recyclability from the very beginning. Furthermore, they are integral in developing efficient reverse logistics systems, making it easier to collect, process, and recycle materials and products at the end of their life cycles. Highlighting the importance of shifting towards a circular economy and nurturing
sustainable supply chains, COP28 aims to tackle pressing environmental issues, including the depletion of resources and the generation of waste, all the while stimulating economic growth and resilience. This strategy aligns with the more expansive global endeavours to combat climate change and attain sustainability objectives. Companies are increasingly prioritising responsible sourcing of raw materials. This involves identifying ethical suppliers, reducing materials that harm the environment, and supporting fair labour practices. Sustainable sourcing not only helps protect ecosystems but also ensures the longevity of supply chain resources. Integrating renewable energy sources, such as solar and wind power, is another crucial element of sustainable supply chains. Companies are investing in on-site renewable energy generation and purchasing renewable energy credits to power their operations while reducing their carbon footprint. Efficiency in transportation and logistics is a primary focus for sustainable supply chains. This includes optimising shipping routes, utilising eco-friendly vehicles, and adopting advanced tracking technologies to minimise energy consumption and emissions. Furthermore, collaboration along the supply chain is vital. Many companies are now working closely with suppliers to align sustainability goals and drive positive change. Additionally, supply chain transparency is being improved through blockchain technology, enabling
consumers to trace the journey of products and confirm their sustainability credentials. The legal and regulatory requirements towards more supply chain carbon footprint transparency to minimise greenhouse gas emissions will continue to grow in response to the net zero goals. COP28, hosted by the UAE in Dubai, will spotlight the role of trade in goods and services and how trade policies can contribute to strengthening and expediting the transition towards clean energy and building resilience. The inclusion of international trade on the agenda of COP28 marks a historic first for the UN climate summit. Designated as ‘Trade Day’ during COP28, this event will emphasise trade’s potential to act as a driving force for climate-smart development, concentrating on topics such as reducing carbon emissions within value chains and enhancing resilience. Heriot-Watt University Dubai (HWUD) will allocate two floors of its campus in Dubai Knowledge Park as a Climate Hub to support these efforts. This hub will serve as a gathering place for visitors worldwide, as an estimated 70,000 individuals are expected to convene in the UAE for COP28 discussions about the Paris Agreement and its progress assessment. As we stand on the cusp of COP28, the priority to green our supply chains has never been clearer. It is the collective responsibility of leaders, policymakers, and stakeholders to embark on this journey, shaping a more sustainable and resilient world for future generations.
LOGISTICS NEWS ME | NOVEMBER 2023 | 17
OP-ED
Tariq Salameh, Solutions Engineer Manager, Middle East & Turkey, Cloudera.
O
ur team operates across the Middle East and North Africa (MENA), covering a range of services, from building and optimizing e-commerce operations to managing marketplaces and connecting logistics from brand manufacturer to end consumer. As part of our research, we wanted to learn more about the perspectives and opinions of the region’s retail leaders, particularly areas proving challenging. Through independent interviews with retail leaders (conducted in partnership with YouGov), we found valuable insights, which we compiled into a report with contributions from SAP and Checkout.com. Shoppers in the region choose international sellers but prefer local fulfilment and service. Purchasing from all over the world is undoubtedly a trend amongst regional consumers. According to Trade.Gov, online shoppers in the UAE buy 58 per cent of their items from international sellers. This has been attributed to trust in marketplaces, international payment gateways and an increasingly reliable network of international fulfilment and shipping. However, global brands often find their challenges when tackling the Middle East from afar. Some of the key issues include handling customs clearance and tariffs, efficiently managing returns and providing the level of customer service demanded by the region’s most discerning consumers. This is why, typically, our advice to global brands is to deploy a localized presence in the MENA region with dedicated local fulfilment and customer channels because it enables the highest satisfaction and customer retention levels. Retailers broadly understand that language and localization are crucial to MENA’s e-commerce customers.
THE
RETAIL PLAYGROUND NICOLAS BRUYLANTS, CVO AND FOUNDER OF UPLO ON THE EVOLVING RETAIL LOGISTICS AND SUPPLY CHAIN INDUSTRY. 18 | LOGISTICS NEWS ME | NOVEMBER 2023
The majority of MENA retail leaders find e-commerce logistics challenging. One of the most exciting aspects of this research was understanding whether retailers were confident in the logistics solutions they deployed for their online retail sales. Nearly two-thirds (63%) of the surveyed retail leaders in MENA said they found managing the logistics for e-commerce challenging. Despite clear improvements in regional logistics, brands
Originally written by Nicolas Bruylants, CVO and Founder of Uplo. Edited by Vibha Mehta
LNME
WWW.CBNME.COM
THE RETAIL PLAYGROUND | NICOLAS BRUYLANTS
and their retail partners need help to navigate a seamless end-to-end journey for e-commerce distribution. There are several broad areas of concern for retail leaders beyond the skill set of their teams to handle such challenges. Infrastructure in the Middle East is not as developed as in other, more established e-commerce markets. Complicated regulations and customs procedures can cause difficulties, as can navigating the various languages of the region. Last-mile challenges, including defining precise addresses and cash-on-delivery, add further intricacy. Even the climate and its often high temperatures can require specific modes of transport for goods. Just over half of UAE retailers want to sell cross-border. Many retailers are concerned about what is happening on their doorstep, but our recent study found that more than half (51%) of retailers in the UAE wanted to increase their global reach and sell cross-border. There are many potential benefits for brands looking to sell internationally,
including having a broader consumer base for purchasing and exposure to global revenue streams. However, brands and retail business leaders often need more skillsets, knowledge or experience to know what is required to successfully export and deliver internationally. Automating and optimizing the supply chain Effectively managing the supply chain across e-commerce is also about ensuring the proper flow of goods, and there are an increasing number of businesses seeking automation in this area. Retail leaders were split into the importance of using artificial intelligence (AI) and machine learning (ML) to handle sales forecasting and stock planning. Around half (47%) of the retail leaders surveyed use AI/ML for these tasks, but the remainder still need to deploy such solutions for their retail brands. We are at the tipping point for AI/ML across logistics, and the trend is only going one way. Leading software solutions provider SAP, one of our partners, offered greater insight into this, saying that retailers… need a solution that combines
sales and operations planning (S&OP), forecasting and demand, response and supply, demand-driven replenishment, and inventory planning. Supply chain analytics must be embedded into the solution and include what-if simulations, sophisticated forecasting algorithms combined with machine learning, alerts, and more to stay ahead of change and improve responsiveness and efficiency. Apart from this, retail businesses can also leverage technology to drive efficiency in back-end processes such as warehouse execution efficiency (through optimizing picking path, using AR / VR applications, and better manpower planning), optimising routes by using heuristics and machine learning considering delivery constraints and get visibility into end-toend supply chain operations through control tower to identify exceptions and act on them promptly.’ A supply chain control tower combines people, processes, data, organization and technology. Gartner succinctly describes it as using real-time data to enhance visibility and
improve decision-making. However, retailers are divided on whether AI/ML, such as advanced supply chain control towers, are worth the investment. 26% of businesses think they’ll spend more on AI/ML processes across their e-commerce logistics and supply chain, but 24% think they may cut back on such tools. The remainder (38%) believe their budgets will remain unchanged. Key takeaway Regional and global online retail brands struggle with MENA logistics and supply chain complexities, so it pays to take advantage of local specialist support, which can assist faster, more efficient end-to-end processes. With the proper guidance, we are entering a transformational time for MENA e-commerce businesses to serve regional customers and cross-border international sales better. 2023 marks the moment when MENA e-commerce brands begin to revolutionize their supply chain with artificial intelligence and machine learning, and those who don’t may be left behind.
LOGISTICS NEWS ME | NOVEMBER 2023 | 19
LNME
TRADE
UNLOCKING NEW
HORIZONS The India-Middle East-Europe Corridor announced at the G20 W O R D S B Y P R A N AV D O S H I
A
landmark achievement reached on the sidelines of India’s G-20 Summit was the new initiative to develop a rail and shipping corridor connecting India to Europe via the Middle East. Leaders from the United States, India, Saudi Arabia, the United Arab Emirates, France, Germany, Italy, and the European Union signed a Memorandum of Understanding (MoU) agreeing to establish a new India-Middle East-Europe Economic Corridor (IMEC).
20 | LOGISTICS NEWS ME | NOVEMBER 2023
This ambitious project aims to create a seamless trade and transportation route connecting three diverse regions - India, the Middle East, and Europe. In this article, we will delve into the details of this corridor, exploring its significance, challenges, and potential impact on regional and global dynamics. The India-Middle East-Europe Corridor, often called the IMEE Corridor, is a multimodal transport and trade project to enhance connectivity between India, the Middle East, and Europe. The corridor
envisions a network of road, rail, and maritime routes that will facilitate the efficient movement of goods, people, and capital across these regions. That some of the major Middle Eastern countries, including Saudi Arabia, Israel, the UAE, and Jordan, are part of it makes it noteworthy, especially from a geopolitical perspective. Announcing this at the G-20 Leaders’ meeting on the Partnership for Global Infrastructure and Investment (PGII), the leaders noted that the IMEC will involve rail connectivity, shipping lines, high-speed data cables, and energy pipelines. These will complement the existing maritime and road networks that will enhance the movement of trade and services “to transit to, from, and between India, the UAE, Saudi Arabia, Jordan, Israel, and Europe.” The successful implementation of the India-Middle East-Europe Corridor is expected to have far-reaching consequences for trade and economics. WWW.CBNME.COM
UNLOCKING NEW HORIZONS
1. Boosting Trade and Investment The corridor’s shorter transit times and reduced transportation costs can increase trade between India, the Middle East, and Europe. It will encourage businesses to explore new markets, leading to greater economic integration. 2. Regional Economic Growth Participating countries along the corridor will likely experience economic growth due to increased trade and investment. Developing infrastructure and logistics facilities will also create jobs and stimulate economic activity. 3. Diversification of Trade Routes Reducing dependence on traditional trade routes, such as the Suez Canal, diversifies options for global trade. This can enhance resilience in the face of disruptions and provide more flexibility to businesses. 4. Connectivity Benefits Improved connectivity through the corridor can lead to more significant people-to-people exchanges, tourism, and cultural interactions. This can foster a sense of global community and mutual understanding. Proposed route: Multiple routes are being considered to reduce freight load on the chosen route. The ports that are likely to be connected on the west coast of India are Mundra (Gujarat), Kandla (Gujarat) and Jawaharlal Nehru Port Trust (Navi Mumbai). In the Middle East, at least
five ports have been shortlisted to be connected to the Indian ports, including Fujairah, Jebel Ali, and Abu Dhabi in the UAE, as well as Dammam and Ras Al Khair in Saudi Arabia. The project will involve building a railway line across the Arabian Peninsula through the UAE and Saudi Arabia. This railway route, primarily traversing the Middle East, includes plans for laying electricity and high-speed data cables and clean hydrogen pipelines. It will also provide reliable and cost-effective crossborder ship-to-rail transit, complementing existing maritime and road transport routes. The corridor is expected to attract more Asian countries, boosting manufacturing, food security and supply chains within its sphere of influence.
to deepen its strategic engagement with the Middle East countries. The current National Democratic Alliance (NDA) government in India has established strong links with some countries, notably the UAE and Saudi Arabia. This corridor will provide an opportunity to develop closer links through better connectivity. Unlike the BRI, wherein China has provided the bulk of the investment, in the IMEC, there appears to be a good buy-in from the European countries for infrastructure development in this region. The EU had earmarked €300 million(S$433 million) for infrastructure spending worldwide during 2021-27. Its support for the new corridor will make the EU a significant stakeholder in integrating India with the Middle East and Europe.
Counter-balance to China: The project has been viewed as an alternative to China’s Belt and Road Initiative (BRI), which is in its 10th year and has countries in South Asia, the Middle East and Africa participating. The announcement of the IMEC and the possible stagnation of Chinese investments in the BRI seems to have persuaded Italy to cease its participation in the BRI. Italy’s Prime Minister Giorgia Meloni hinted in this direction during the G20 Leaders’ Summit.
Challenges: Undeniably, a project of such massive financial commitment involving many countries having resource challenges besides economic viability issues will require a tremendous amount of coordination and political will to implement. The US and the EU are facing protracted difficulties due to the longdrawn conflict in Ukraine, which does not seem to be ending soon. The German economy, the engine of European growth, has shown signs of stagnation. The fact that Iran and Turkey are not a part of the project may pose challenges, especially since Iran’s Chabahar port has been facing headwinds due to continuing US sanctions. The more significant concern now is the recent conflict in Israel, which is bound to see retaliation and protracted hostilities. The US has been engaged in backdoor negotiations to normalise relations between Saudi Arabia and Israel such that Saudi Arabia would get Western assistance to build a rail network to obtain access to Israel’s Haifa port through Jordan. The hostilities will be a temporary setback to the progress made on the deal. The complexities associated with the logistical challenges of the project are still to be addressed, given that such a large project encompasses a vast geographic area. The corridor’s success largely hinges on developing efficient transportation networks to connect the three regions seamlessly. >>>
Benefits for India and participating countries: For India, the IMEC offers tremendous advantages. India’s most significant inadequacy is the Pakistani land mass to its west, which obstructs any attempt by India to establish land connectivity with West Asia. The IMEC will help India overcome this barrier in establishing connectivity with Afghanistan, Iran and Central Asia. Further, India has long desired
LOGISTICS NEWS ME | NOVEMBER 2023 | 21
LNME
TRADE
The construction of ports, roads, railways, and other connectivity infrastructure, as well as improving existing infrastructure, would require substantial investment, expertise, and meticulous planning. Additionally, addressing logistical issues such as customs procedures, border regulations, and transportation delays would be critical to preventing bottlenecks and ensuring smooth trade flows. However, the diverse political and legal frameworks governing all the nations involved may create bureaucratic hurdles, trade barriers, and delays in decision-making processes, resulting in a slowdown in the corridor’s progress. In this respect, overcoming the logistical challenges is further associated with addressing the collective regulatory and investment aspects of the project effectively. Harmonizing regulatory frameworks represents a formidable challenge for the IMEC. The corridor involves multiple countries
with differing legal systems, policies, transportation protocols, and regulations. Streamlining and unifying these frameworks is essential to facilitate trade, investment, and economic cooperation. Collaborative discussions and negotiations should be pursued to address regulatory barriers and promote a consistent and transparent business environment across the corridor. These efforts will be crucial in fostering trust and confidence among stakeholders and creating a conducive ecosystem for economic activities. Otherwise, differing policies and bureaucracy will result in delays and operational inefficiencies. In this respect, establishing favourable trade and investment regulations among the participating nations is essential. However, navigating the complex path of regulatory convergence can pose political challenges and potentially create conflicts of interest. Countries may seek to protect their domestic industries, maintain sovereignty over regulatory frameworks,
22 | LOGISTICS NEWS ME | NOVEMBER 2023
and negotiate different terms of collaboration. Striking a balance between national interests and regional cooperation will require significant diplomatic efforts and compromise. On the investment aspect, one of the critical obstacles to implementing the IMEC is securing adequate funding. Large-scale infrastructure projects typically require substantial financial resources, and it might be a challenge to garner the necessary investment promptly, given the involvement of several nations. In this respect, attracting massive investments from multiple stakeholders, including governments, international organizations, and private sector entities, demands a robust financial framework connecting all involved nations. Otherwise, the delay in funding infrastructure projects associated with the IMEC in participating nations will undoubtedly affect the overall progress. That said, financial connectivity is vital
for facilitating cross-border transactions, investment, and trade finance. The corridor would benefit significantly from establishing efficient economic systems, harmonized banking regulations, and frameworks for currency convertibility. Encouraging the development of local and regional financial hubs along the route, with robust regulatory frameworks, will support economic activities and attract financial institutions. Finally, the corridor represents a bold vision for regional integration, economic growth, and geopolitical stability. While the challenges are substantial, the potential benefits of trade expansion, economic development, and enhanced connectivity make it a project of great importance. As the participating countries work together to address the challenges and realize the corridor’s potential, it can transform the economic and geopolitical landscape of three diverse and dynamic regions - India, the Middle East, and Europe.
WWW.CBNME.COM
LNME
AIR CARGO
24 | LOGISTICS NEWS ME | NOVEMBER 2023
WWW.CBNME.COM
“FROM ABU DHABI TO THE WORLD” | LEONARD RODRIGUES
FROM
ABU DHABI
TO THE
WORLD
Leonard Rodrigues, Head of Revenue Management & Network Planning at Etihad Cargo, touts the company’s progressive growth and reach
S
ince its founding almost 20 years ago, Etihad Cargo, the national carrier of the United Arab Emirates and the cargo and logistics division of Etihad Airways, has grown steadily, utilising the hub’s advantageous location in Abu Dhabi to enhance connectivity and expand its global network. Through Etihad’s expanding passenger network, which links the United Arab Emirates to more than 70 destinations worldwide, they provide capacity globally from their hub at Abu Dhabi International Airport (AUH). Etihad Cargo is currently serving 12 destinations in the Middle East, Europe, the USA, Africa, and Asia as it continues to expand its global freighter network. >>>
LOGISTICS NEWS ME | NOVEMBER 2023 | 25
LNME
AIR CARGO
Leonard Rodrigues, Head of Revenue Management & Network Planning at Etihad Cargo
Fleet Management Etihad Cargo has one of the industry’s youngest and most fuel-efficient fleets of Boeing 777 production freighters. “We were the first Middle Eastern carrier to firm up orders for the new-generation Airbus 350 freighter. We are expecting the first delivery of the seven aircraft ordered in 2026, and we will be adding B787s and A350s in the coming year,” shares Leonard Rodrigues, Head of Revenue Management & Network Planning at Etihad Cargo. Etihad Cargo is dedicated to making sure that all cargo carried by their aircraft can be transported in the best possible way, safely and securely. Etihad Cargo holds IOSA certification that adheres to a comprehensive Safety Manager System (SMS) encompassing risk assessment, safety reporting, training, and awareness campaigns. Etihad Cargo, being a UAE-based company, complies with regulations set forth by the General Civil Aviation Authority, which guarantees that operators uphold the safety and security of the aviation sector in the UAE. Furthermore, they have established reliable practices and guidelines that comply with all relevant legal frameworks and are recorded in Etihad Cargo’s 26 | LOGISTICS NEWS ME | NOVEMBER 2023
operational manuals. “These processes and procedures guide our handling partners on the acceptance, handling, storage, loading and unloading of all cargo transported on Etihad Cargo’s aircraft. As a last line of defence, we have Etihad Cargo loadmasters operating on all freighters,” states Leonard. Industry Specifications With an eight-strong premium product range, they tailor the products and services provided to customers and partners in a diverse range of industries and sectors to maximise capacity across their global network. Etihad Cargo offers two excellent chain products: PharmaLife for the shipment of pharmaceuticals, healthcare or life sciences commodities and FreshForward for the shipment of perishable fresh produce, including fresh fruits, vegetables, dairy, fish, meat and flowers. One of their primary offerings is PharmaLife, and they work closely with partners to offer a solid, dependable, and effective solution for the international transportation of pharmaceuticals and life sciences goods. To start initiatives like the Pharma Corridor 2.0, a fully compliant origin-todestination pharma air corridor, and dedicated long-term storage areas, like KEZAD, a premier economic zone for life sciences located in Abu Dhabi that hosts numerous pharmaceutical manufacturers, life science businesses, laboratories, packing businesses, and supporting services, Etihad Cargo, for instance, is collaborating closely with the Department of Health, customs, the police, ground handling partners, and freight forwarders. In 2022, Etihad Cargo became the first airline in the Middle East and only the third globally to hold IATA’s CEIV Live Animals, CEIV Fresh and CEIV Pharma certifications. “Our eight-strong premium product range also includes FlightValet for the transportation of high-value vehicles, FlyCulture for the transportation of rare and valuable paintings, sculptures and musical instruments, SafeGuard for the transportation of high-value and precious cargo, and our dedicated air mail and e-commerce product,” comments Leonard. Technology Etihad Cargo’s customers are at the heart of everything they do, and the digital solutions they have developed and launched are making it easier for customers to monitor their shipments. For example, the revamped booking portal lets customers book, track and manage their air cargo shipments. Leonard adds, “Our digital transformation has seen us proactively find solutions for our customers and automate solutions at our state-of-the-art Cargo Control Centre, which monitors and steers its global cargo flows round-the-clock.” Smart solutions adopted include the automation of customer messaging, pre-alert messages to inform stakeholders at its hub and outstations, service-level monitoring of handling providers, identification of service failures or irregularities to allow for immediate response actions, and live tracking of trucking services. WWW.CBNME.COM
“FROM ABU DHABI TO THE WORLD” | LEONARD RODRIGUES
Etihad Cargo has further automated air cargo processes using Descartes’ next-generation Internet of Things (IoT) Bluetooth® Low Energy solution integrated with Jettainer’s unit load device (ULD) management services. The combined solutions expand Etihad Cargo’s ability to improve ground processes at cargo and ULD handling and to gain data-driven insights into the transport and ambient conditions of air cargo in transit. To further enhance the trackability of perishable and pharmaceutical shipments, they have also conducted a pilot with Trackonomy, using stateof-the-art sensors to monitor location, temperature, humidity and tilt. Customs Clearance Trade compliance is a top concern for Etihad Cargo. As a cargo carrier, Etihad Cargo plays a significant role within the supply chain, and they have an increased responsibility to act as a filter and aid compliance. To mitigate the high-risk exposure to the businesses by facilitating the transportation of controlled commodities and cargo to or from sanctioned parties, Etihad Cargo has a dedicated team to ensure the carrier’s legal, trade and operational compliance. As an extra layer of security, Etihad Cargo complies with Pre-Loading
Advance Cargo Information (PLACI) requirements, which are active in the US and Europe, with the UAE, the UK and Canada expected to go live in 2024. This new security requirement mandates shipments arriving at specific destinations must be pre-cleared by the respective regulatory authority before uplift from the last point of departure. Etihad Cargo maintains 100 per cent compliance with these requirements and ensures that any cargo not cleared is not uplifted. Successful Projects Or Partnerships The transportation projects they have been involved with demonstrate Etihad Cargo’s capabilities to provide comprehensive solutions in short timelines. For example, they offered an aircraft and delivered aid to the Phillippines within 24 hours in response to the natural disaster on behalf of Abu Dhabi’s Ministry of Foreign Affairs (MOFA). Partnership and finding the right partners is a core focus for Etihad Cargo and is a crucial enabler for them to achieve their ambitious growth plans. Etihad Cargo’s partnership based on a reciprocal block agreement with SF Airlines is an excellent example and will help Etihad Cargo deliver on its commitment to the Chinese market. “In the short term, this partnership will enable Etihad Cargo to add depth to our network by providing
additional online feeds into our passenger network. As a result of this partnership, we have added Ezhou to our network and can provide capacity to China’s five national-level city clusters via railway, waterway, expressway and air transportation infrastructure within a twohour flight,” states Leonard. Temperature-Controlled Containers Via their IATA CEIV Pharma-certified product PharmaLife, Etihad Cargo ensures pharmaceuticals are transported reliably, efficiently and safely, tracking and monitoring shipments at every journey stage. They have invested in digital solutions and initiatives that have brought much-needed transparency, traceability and trackability to the sector, benefiting customers and the global pharma supply chain. Leonard says, “We have established dedicated temperature-controlled facilities and infrastructure to maintain the required temperature ranges, from -80 to 25 degrees Celsius, throughout the transportation process. To expand our pharma storage capabilities, Etihad Cargo has launched a state-of-the-art cool chain facility at Abu Dhabi Airport.” Established in partnership with Etihad Airport Services Cargo and Abu Dhabi Airports, the new pharma facility will double Etihad Cargo’s astonishing chain capacity to carry and accommodate an additional 50,000 tonnes of excellent chain commodities, including pharmaceuticals and life sciences products. The pharma hub will support the growing global healthcare and life sciences demand. By offering state-of-the-art temperaturecontrolled solutions, such as temperaturecontrolled containers and specialised packaging, Etihad Cargo ensures the integrity and efficacy of products. Etihad Cargo’s thermal covers help them mitigate environmental risks, such as the ambient temperature, as pharmaceutical cargo is transported from the aircraft to their dedicated temperature-controlled pharmaceutical facility. “We have launched these covers for PharmaLife products into our top pharma origin stations, including Amsterdam and Paris,” concludes Leonard. They also can provide this new feature on demand so that the customers can reach out to their dedicated PharmaLife team anywhere in the world. LOGISTICS NEWS ME | NOVEMBER 2023 | 27
LNME
COVER STORY
DR. RAMAN KUMAR MANAGING DIRECTOR
AT AL-FUTTAIM LOGISTICS, SHEDS LIGHT ON THE COMPANY’S ENTRY INTO THE AEROSPACE LOGISTICS SEGMENT
>>> 28 | LOGISTICS NEWS ME | NOVEMBER 2023
WWW.CBNME.COM
AL-FUTTAIM LOGISTICS VENTURES INTO AEROSPACE SECTOR
EMERGING
AEROSPACE LOGISTICS
(3PL) WORDS BY KASUN ILLANKOON
Al-Futtaim Logistics, one of the leading logistics providers in UAE, recently entered the aerospace logistics business during MRO – AIME Middle East. Since its entry into the market the company has been able to establish a geo-gateway network with globalised control towers enabling international movement of aircrafts parts across the globe and offering a variety of services. In this exclusive interview with Logistics News ME, Dr. Raman Kumar, Managing Director at Al-Futtaim Logistics discusses about breaking into the aerospace logistics market, how their services are customer centric, the importance of collaborations, challenges, and so much more.
Al-Futtaim Logistics’ entry into the aerospace logistics segment The soft launch of Aerospace Logistics took place at the MRO – AIME Middle East. One of the focus points was building our strategic partner network spanning 65+ members in over 300 stations and freight solutions for our customers who trusted Al-Futtaim Logistics early on. We have set up the geo-gateway network promising globalised control towers enabling international movements of aircraft parts across the globe. Together with our knowledgeable aerospace associates, reliable gateway partners and customer trust, I can proudly say, we have the right people and an array of aerospace logistics solutions to go to the market.
Our experience ranges from handling AOGs, time critical parts for MROs, airlines and part suppliers, overcoming uncertainties and designing custom solutions to respond to the aerospace client’s pain points. Over time, we have gained momentum through client recommendations. Aerospace logistics services Al-Futtaim Logistics offers aerospace logistics to serve MRO and Aircraft Interiors, Airlines, OEMs, Part Suppliers, and Asset Leasing companies. These include, engines and parts movements, surface transportation, service & routine cargo, airside deliveries and time critical solutions to suit urgent business continuity customer needs. Our services
and solutions are customer centric and problem solving in nature, and we speak to our clients and aim to solve some of their immediate pain points. New array of services that have enabled us to become category leaders are: A. 24/7 aerospace Ops Desk B. Domestic transportation C. Airside deliveries D. Storage solutions E. Multiple carrier options F. ISO & AEO certified supply chain security G. Technician Onboard Charters (TOC) Additionally, our presence in the UAE provides storage solutions for customers compliant with The General Civil >>> LOGISTICS NEWS ME | NOVEMBER 2023 | 29
LNME
COVER STORY
Aviation Authority (GCAA) and ASA-100 standards. Lastly, as certified Authorised Economic Operator (AEO) by Federal UAE Customs and Dubai Customs, we are compliant to the specifications of the World Customs Organisation (WCO). Just recently, we have extended our air side deliveries in major UAE airports. To develop these capabilities, we had to
upgrade people skills and modify vehicles to be certified by airport authorities. This gives our customers an edge on the JIT deliveries and extends our capabilities to a full service 3PL provider. Industry Trends There will be exponential growth in MRO due to ageing aircraft fleets and
the need for ongoing maintenance and upgrades. One of the trends we observed in the Onboard services is the need for Onboard technicians. With our experience and local knowledge, we can scale the solutions and provide customers with a one-stop solution, which is valuable in times of crisis, where we are just one call away for a comprehensive outcome. Global Network and Strategic Partnerships Today, our global freight network covers 150 countries, with key synergies in all the key origins across the world of which 65+ network members manage global aerospace logistics. Today, Al-Futtaim Logistics is offering single contact 24 / 7 centralised services to customers, covering all times zones and regions. To provide full operational service coverage and a personalised experience, the AOG key account management and operations based in the UAE work 24/7. This is crucial for round-the-clock
AL-FUTTAIM LOGISTICS VENTURES INTO AEROSPACE SECTOR
service excellence for clients across geographies. Automation in Aerospace Logistics Automation allows for predictive analytics and performance optimisation simulations. With automation, cost and time efficiencies can gain optimal performance. While the sensitive nature of the industry demands personal interactions, our people are better equipped to deliver the best customer experience aided by technology. The most important factor is the traceability of the shipment’s movement real-time from origin to destination until proof of delivery. Every minute counts, and monitoring for proactive actions is fully capitalised on using technology. We use technology to optimally deploy resources, whether it is equipment, people, or cargo movements. Challenges and Security Measures There are several challenges in the aerospace 3PL sector. One of the key challenges is the unexpected cost of logistics. One of the reasons why Al-Futtaim Logistics has an advantage is the 40+ years of relationship we have with authorities in the UAE, as well as being part of one of the largest automotive conglomerates in the UAE, Al-Futtaim Automotive. UAE, being home to major airlines with the fastest procedures and multiple departures from one of the world’s busiest air hubs, enables multiple carrier options, first flight out and just-in-time services, crucial in the event of AOG. Time is money and every Aircraft on Ground (AOG) due to a technical fault can cost an airline up to $150,000 USD an hour*. With millions in implications, the aerospace supply chain is always time critical and sensitive, which means the business continuity plan for such operations are more frequently tested in the event of missed connections and off loads. Our network team constantly works to build our own strategic partnerships with carriers and agents truly enabling the synergies needed in the aerospace logistics. >>>
LNME
COVER STORY
“AL-FUTTAIM LOGISTICS IS OFFERING SINGLE CONTACT 24 / 7 CENTRALISED SERVICES TO CUSTOMERS, COVERING ALL TIMES ZONES AND REGIONS.”
32 | LOGISTICS NEWS ME | NOVEMBER 2023
The second challenge we would like to highlight is the supply chain security. Aerospace industry is a critical sector with national security implications which means that having prevention measures must be stringent and non-compromised. Al-Futtaim Logistics has focused its quality assurance programs backed by ISO 28000 for the supply chain security. Warehouses are GCAA compliant and equipped to handle Dangerous Goods with onsite DG certified professionals. To add to the security, the sensitive shipments are digitally enabled and tagged with trackers that provide full secure visibility to customers. To always prepare for real crisis management, we have regular fully exercised mock drills for recalls, crisis, and business continuities to always have our staff prepared for the real supply chain disruptions for critical components.
Establishing Backup Measures Aerospace logistics is always time critical, and it is critical to have a reliable network and carrier partnerships to diversify reliance. This approach enables us to have multiple logistics routing options and fail save operations. Our customers trust us to always have the solutions in times of disruptions, so it is important to start acknowledging and proactively identify risks in critical activities. We have business continuity and mitigation plans in place, which are regularly tested for its viability and recovery time. The taskforce team are trained to manage crisis situations and coordinate emergencies. More importantly, the customer relationship is founded on clear understandings of partnership agreements. This is key to preventing liabilities in case of accidents, cargo damage and financial losses.
WWW.CBNME.COM
AL-FUTTAIM LOGISTICS VENTURES INTO AEROSPACE SECTOR
Sustainable Initiatives Sustainability is a vital part of the aerospace sector, which means any supplier to the aerospace industry has a responsibility towards ESG (environmental, social, and governance). At Al-Futtaim Logistics, the sustainable fleet fuel journey started a several years ago as part of our voluntary GHG (greenhouse gas) emission reduction initiatives. We use biofuel in our fleet, and the vehicles are upgraded from B50 to B100, which is pure or neat biodiesel. Additionally, our drivers are trained on eco-driving by truck manufacturers, and with the support of vehicle telematics, drivers self-manage their eco-driving contribution. There has also been a focus on improving the longevity of battery-powered forklifts, and the use of
alternatives such as lithium batteries has yielded better results. Just recently, we added our first 100% EV (electric vehicle) truck to our large fleet capacity and are in the process of migrating lighting to solar power. In May this year, we were recognised by GFA (Green Freight Asia) for our outstanding commitment to consecutive years of dedication to green freight movement. These are some of the few initiatives and offsetting contributions that include recycling, reusing, and rethreading to extend the life of materials. Additionally, community planting of trees in the Al Zorah Natural Reserves in Ajman has just commenced to neutralise CO2. Future of the Aerospace Logistics Industry The UAE’s position for world-class logistics infrastructure makes it an attractive logistics hub for the global Aerospace industry. The UAE is fast establishing itself as an international hub for MRO. Dubai is 7th largest importer of parts of aircraft and spacecraft in the world. Over the next two decades, the Middle East is predicted to see 3.2% continued growth in the MRO services market*.
With the UAE in the center of being a prominent aerospace hub in the Middle East, our customers are focused on the speed of parts availability for regional consumption. That’s why most of the customers approach us for GCAA approved storage solutions, including DG and value-added services such as packaging, quality check and periodic maintenance. Most recently, we had extended dedicated and shared storage models inside the free zone or on the mainland. Our clients include Airlines, MROs, OEMs, aerospace parts suppliers, and engine leasing companies globally. Quick Facts: > Headquartered in the UAE > Established in 1980 > Winner of emerging aerospace logistics award > Centralised aerospace services, with global coverage > 65+ aerospace network member and 300+ stations > 24 x 7 operations > ISO and AEO certified practices > GCAA and DG storage options > Airside operations in major UAE airports > Technicians Onboard Charters (TOC) > Customised Value Added solutions
* S o u r c e s : h t t p s : // w w w. a f l o g i s t i c s . c o m /e n / m e d i a / r e s e a r c h - i n s i g h t s
LNME
MARINE
Jehad Abdulrazzaq Kazim, Executive Director of the Dubai International Arbitration Centre (DIAC)
34 | LOGISTICS NEWS ME | NOVEMBER 2023
SPEARHEADING EVOLUTION WITH DUBAI’S MARITIME INDUSTRY
SPEARHEADING EVOLUTION WITH DUBAI’S MARITIME INDUSTRY
Dubai International Arbitration Centre (DIAC) will host the 22nd International Congress for Maritime Arbitrators (ICMA XXII) from November 5th to 10th, 2023
V
ibha Mehta, Editor in chief of Logistics News ME, spoke with Jehad Abdulrazzaq Kazim, Executive Director of the Dubai International Arbitration Centre (DIAC), on this significant occasion. Here’s what the first female Emirati in this role says about how Dubai’s marine industry is changing. The dates of ICMA XXII are November 5–10, 2023, in Dubai. As the site of this esteemed assembly of maritime judges and leaders of the international shipping industry, this represents a major turning point for the region. Additionally, the choice of Dubai as the location highlights the city’s expanding importance in the marine industry and its status as a major centre for international maritime trade. The UAE’s importance in the global maritime arena is evident, as the marine sector contributes a hefty $24.5 billion yearly to the country’s GDP and accommodates over 27,000 maritime organisations. ICMA XXII is an extraordinary chance to learn more about this dynamic industry. This event, which embodies Dubai’s contemporary corporate culture, will function as a premier place for networking and socialising in addition to providing a forum for exchanging knowledge. Participants from all around the world will be able to interact, exchange ideas, and witness firsthand Dubai’s maritime development. How does DIAC’s expertise in maritime arbitration cater to the distinctive requirements of maritime disputes? With over three decades as a reputed international ADR centre in Dubai, where maritime has always been an integral part of the economy, DIAC possesses a deep understanding of maritime arbitration. Our location in Dubai, a central hub in the maritime world, offers us direct exposure to various disputes unique to maritime commerce. In addition, our collaborations with critical global maritime players like the Hong Kong Maritime Arbitration Group (HKMAG) integrate international maritime practices with Middle Eastern insights. At DIAC, our arbitrator panel boasts a wide range of marine expertise, ensuring resolutions are up-to-date, impartial, and aligned with global standards. What does DIAC’s hosting of the International Congress of Maritime Arbitrators (ICMA) signify for Dubai’s stature as a global maritime nexus? Hosting the ICMA at DIAC is a milestone event for Dubai. It emphasises the city’s expanding role in maritime arbitration and its position as a hub for logistics. The ICMA, being a gathering of marine arbitration specialists, selecting Dubai as a venue indicates the city’s significance in the maritime arena. Dubai underlines its preparedness and proficiency in addressing
intricate maritime issues by encouraging discussions and building collaborations during these events. It also mirrors Dubai’s aim to advance its position in the global maritime industry, setting the stage for advanced maritime commercial undertakings and international partnerships. What role does the ICMA play in galvanising cooperation and intellectual reciprocity in the global maritime arbitration community? The ICMA serves as a pivotal event in global maritime arbitration discussions. It provides a platform for professionals from various jurisdictions to exchange knowledge and discuss best practices and challenges. By bridging cultural and legal gaps, ICMA ensures the maritime arbitration community remains cohesive and agile in addressing evolving challenges. ICMA is an excellent forum for the arbitration community to find solutions to challenges and shape the future of maritime dispute resolution. With the ICMA event poised to attract maritime, logistics, and legal professionals, what do you foresee as the primary learnings for attendees, and how might it boost their sectors? The ICMA is a unique gathering of maritime, logistics, arbitration and legal experts. Attendees can familiarise themselves with new trends, cross-industry challenges, and maritime arbitration emerging topics. More than just a learning experience, the event is an opportunity for networking, understanding inter-industry dynamics, and collaborating on solutions. In our globalised age, comprehending the specifics of each sector is vital. The event will provide attendees with a broad perspective on the maritime sector, coupled with legal viewpoints and logistical knowledge, expanding their global maritime network. Can you elucidate the principal obstacles maritime arbitration is grappling with globally? Like many specialised areas, Maritime arbitration confronts its challenges. Geopolitical tensions introduce complexities, and variations in legal frameworks among countries can make arbitration particularly difficult, especially when disputes span multiple jurisdictions. The rapid technological advancements in maritime operations give rise to new types of disputes, requiring arbitrators to adapt constantly. Additionally, maintaining the sustainability and efficiency of the arbitration processes is paramount in the maritime sector, where delays can ripple across intertwined industries, causing financial strains. As the maritime industry advances globally, the arbitration community is keen on addressing these issues proactively to remain relevant and practical. LOGISTICS NEWS ME | NOVEMBER 2023 | 35
LNME
SOLUTIONS
THE CORE PRODUCTIVE ENHANCER Vibha Mehta spoke with Taylor Smith, Vice President and General Manager of Honeywell Productivity Solutions and Services, during his most recent visit to the UAE
H
oneywell Productivity Solutions and Services partners with businesses on digital transformation journeys, providing mobile computers, data capture devices, cloud-based software, and voice automation solutions to improve efficiency. As part of Honeywell Safety and Productivity Solutions, they focus on safety, productivity, and supply chain optimization. The integrated solutions help reduce fulfilment times, increase efficiency, and cut costs.
36 | LOGISTICS NEWS ME | NOVEMBER 2023
PORTFOLIO Honeywell is driving digital transformation across MENA amid a growing market that demands unprecedented efficiencies and productivity. In the oil and gas industry, where workers often face risks from working at height and performing critical tasks near explosive substances, Honeywell offers a range of solutions, from personal protective equipment and gas detection devices to voice automation technology. For example, our Voice solutions, available in more than 40 different languages, enhance safety by
enabling workers to prioritize safety protocols and related tasks. Honeywell voice automation technology can help oil and gas companies streamline repair and inspection processes, eliminating paper-based checklists and helping to speed up workflows while documenting every step to ensure strict compliance with regulations or standard operating procedures. Our solutions enable digitalization of the warehouse, which is integral to achieving significant improvements in efficiency, speed, and accuracy. For instance, the Honeywell CT47 mobile computer, WWW.CBNME.COM
THE CORE PRODUCTIVE ENHANCER
which we unveiled to the region at GITEX, is designed to provide reliable performance, 5G data connectivity and enhanced communications capabilities, giving workers one powerful device to complete tasks in the supply chain – from picking and packing to delivery. The rugged device is designed for warehouse, logistics, and fieldwork professionals so it can endure the demanding warehouse environment while also helping to provide efficient logistics operations. Another example is that of the CT30 XP, which has been designed for the retail and healthcare industries. A durable, all-purpose device providing ultrareliable data access and communications, it helps empower nurses and other caregivers to provide safe and effective care as efficiently as possible. The slim, lightweight design makes it easy to carry
and use over long shifts yet resistant to cumulative damage from long-term use and frequent sanitizing. DATA SECURITY AND COMPLIANCE Honeywell’s cybersecurity professionals keep customer data privacy at the forefront, and our company is a founding member of the ISA Global Cybersecurity Alliance & ISA Secure Institute. We build products through “secure by design and default” software development practices. We keep our cyber teams and developers trained on the latest risks and mitigations, and our software goes through robust security testing during development and at the product and program level. We maintain our systems via patches and enhancements – regularly deploying updates as new protections and controls become available. We also drive secure practices to our suppliers and vendors. SUSTAINABILITY At Honeywell, we are leaders in the global push for safer, more environmentally friendly and more sustainable technology solutions. We recognize the crucial role we play in enabling the energy transition, and we will continue to lead that evolution as our investment priorities remain focused on innovative solutions that improve environmental and social outcomes for customers. We are actively helping businesses in their digital transformation journey, which, in turn, can help reduce steps in their supply chain, increasing efficiency and potentially reducing the environmental impact of transportation and logistics operations.
commitment to meeting customer demands for convenience. The region’s young and tech-savvy population, coupled with rising disposable incomes, presents a vast consumer base for e-commerce expansion. As we advance, we expect e-commerce platforms to expand their promotion of sustainable practices such as eco-friendly packaging, carbon offset programs, and offering products from sustainable and ethical brands. This trend will align with the global shift toward responsible consumption and present an opportunity for e-commerce retailers to cater to the evolving values and preferences of Middle Eastern consumers. Additionally, in the coming years, we anticipate that retail and e-commerce will be transformed by technologies such as artificial intelligence (AI), machine learning (ML) and computer vision (CV). According to a Honeywell survey launched in August, nearly six in 10 retailers plan to adopt these technologies over the next year to enhance the shopping experience offered within stores and online. The research also indicated that retailers see this new technology as complementing and enhancing their workforce and not eliminating jobs. Nearly half (48%) of respondents identified AI, ML and CV as the top technologies expected to have a significant impact on the retail industry over the next three to five years. More and more companies will invest in automation and digital transformation solutions, creating a massive demand for technology and service providers worldwide.
FUTURE FOR E-COMMERCE INDUSTRY The e-commerce market in the Middle East is thriving, driven by a steadfast LOGISTICS NEWS ME | NOVEMBER 2023 | 37
LNME
MOBILITY
THE FUTURE
BEHOLDS Andreas Flourou, Group Head of Operations - Mobility at Red Sea Global walks us through his journey, future of mobility and RSG’s plans Please introduce yourself and provide a brief overview of your role as the Head of Mobility at Red Sea Global. I am proud to say that I have been a part of the RSG team since 2017, during which I have played a pivotal role in shaping and delivering RSG’s strategy. In 2021, I undertook the ambitious endeavour of establishing and leading the Mobility division within RSG. This role has proven to be the most 38 | LOGISTICS NEWS ME | NOVEMBER 2023
captivating and demanding career experience. Within my capacity, I oversee the mobility strategy for land, sea, and Aviation Operations within the group’s extensive portfolio, which encompasses The Red Sea, AMAALA and Thuwal -the latest addition to RSG’s portfolio of destinations-. These exceptional, regenerative tourism destinations are committed to establishing new benchmarks in sustainable
development and positioning Saudi Arabia prominently on the global tourism landscape. What are some of Red Sea Global’s mobility initiatives? And how do they align with the company’s broader goals and vision? RSG is a cornerstone of Saudi Vision 2030, aiming to support transforming the nation by creating massive economic opportunities and driving economic development in local communities and on a national scale. Since day one, our goal has been to set new standards for responsible and sustainable development worldwide. A key aspiration is achieving a 30 per cent net conservation benefit by 2040 through the protection and enhancement of critical habitats crucial to biodiversity. This has led us to think of every operational aspect, and Mobility plays a significant role in achieving that. For example, we recently launched the largest off-grid electric vehicle (EV) charging WWW.CBNME.COM
THE FUTURE BEHOLDS | ANDREAS FLOUROU
network in Saudi Arabia to support our growing EV fleet. RSG also proudly unveiled the firstever fleet of carbon-neutral electric buses in Saudi Arabia, acquired for staff transportation at The Red Sea. In addition to this ground-breaking achievement, we are exploring sustainable transportation solutions across our Land, Marine, and Aviation divisions. These efforts include integrating hydrogen vehicles, vessels and even our seaplanes. We remain dedicated to driving innovation and embracing zero-emission and advanced technologies, including Autonomous Vehicles and Advanced Air Mobility in the form of EVTOL. This comprehensive approach is further enhanced by our existing electric vehicle (EV) fleet, which offers a range of luxury vehicles designed to provide our guests with an environmentally responsible and enjoyable transportation experience. What are some of the critical features of the latest project of completed installation of the largest off-grid electric vehicle (EV) charging network in Saudi Arabia? The Red Sea will be the world’s largest destination to run solely on renewable energy. Five solar farms with 760,000 photovoltaic panels have already been built to power phase one of the destination, including its EV fleet and charging network. Over 150 chargers have been installed, and all are managed through a bespoke cloud operating platform explicitly developed for mobility operations. Communication between the chargers and the cloud platform is enabled by our state-of-the-art 5G mobile network, itself a world’s first in terms of being powered solely by sustainable energy from our solar farms. This network will expand tenfold over the next 12-18 months.
skilled technicians, and EV charging specialists. These roles will contribute to enhancing the Kingdom’s pioneering role in the field of future mobility while reaffirming RSG’s commitment to empowering young Saudis, particularly in local communities, with opportunities to thrive in industries of the future. Can you provide examples of how you’ve overcome unique or complex challenges in this project? During this project, we anticipated encountering unique and complex challenges due to the innovative nature of the products and technologies in the region. However, we’ve been fortunate to receive substantial support from a network of external agencies, original equipment manufacturers (OEMs), and strategic partners. While I’d like to acknowledge the invaluable assistance we’ve received, I can also provide specific examples of how we’ve navigated and addressed these challenges. For instance, when confronted with the challenge of adapting cuttingedge technology to local conditions, we leveraged the expertise of our OEM partners to tailor solutions that would thrive in our unique environment. >>>
ANDREAS FLOUROU, Group Head of Operations - Mobility at Red Sea Global
>>>
How does this project enhance economic growth and diversification in the region? Red Sea Global expects to create over 120,000 direct and indirect jobs, many of which will appeal especially to younger Saudis entering the workforce. Mobility alone is expected to create 1,500 new jobs, such as chauffeurs, hub managers, LOGISTICS NEWS ME | NOVEMBER 2023 | 39
LNME
MOBILITY
Additionally, in cases where regulatory hurdles threatened our progress, we worked closely with external agencies to ensure compliance while advocating for necessary modifications to facilitate our project’s success. By proactively collaborating with our partners and drawing upon their support, we’ve successfully overcome complex challenges and continue to drive innovation.
Our Future Mobility team is tasked with the incubation and deployment of cutting-edge mobility technologies and the corresponding infrastructure throughout our projects. This encompasses the implementation of Battery Electric (BEV), Hydrogen (H2), Autonomous (AV), and Advanced Air Mobility (AAM) assets and infrastructure across various terrains – land, sea, and air. Notably, some of these
technologies are already in active use on-site. Within this team, we are fortunate to have an array of industry-leading experts, individuals who have spearheaded the management of some of the world’s most extensive electric and hydrogen fleets and have successfully overseen the deployment of infrastructure on a global scale.
What trends or developments do you foresee shaping the future of mobility? According to our findings, travellers are more conscious of their environmental impact than ever. However, individuals want to go beyond minimizing their negative influence and make a positive difference when they travel. Today, we appeal to the first movers looking to make a positive impact when they travel. Tomorrow, this will become the norm.
40 | LOGISTICS NEWS ME | NOVEMBER 2023
WWW.CBNME.COM
ﺳـﺠــــــﻠـﻮا اﻵن REGISTER NOW � KNOWLEDGESUMMIT.ORG
22-21ﻧـــــﻮﻓــﻤــــﺒــــــﺮ
21–22 NOVEMBER
ﻣﺮﻛﺰ دﺑﻲ اﻟﺘﺠﺎري اﻟﻌﺎﻟﻤﻲ
DUBAI WORLD TRADE CENTRE
23ﻧـــــﻮﻓــﻤــــﺒـــــﺮ
23 NOVEMBER
ﺟﻠـﺴـــﺎت اﻓﺘــﺮاﺿــﻴــﺔ VIRTUAL
LNME
TRUCKS
THE CV GAMECHANGER
What types of vehicles does IVECO manufacture, and in which markets are they primarily sold? IVECO product line-up can be divided into three segments: light, medium and heavy ranges. IVECO Daily is the milestone of our Light Commercial Vehicle sectors, and we consider it the perfect solution for every business success. The IVECO Daily 7-tonne model, for example, has become a true asset to operators thanks to its rugged truck-based chassis that affords an impressive 3.5t towing capability and class-leading payload of up to 4.9t. This allows us to do the most demanding jobs quickly and efficiently, saving time and improving profitability with lower TCO. A range of engines provides a good balance of power and efficiency. Each engine is designed for each need: 42 | LOGISTICS NEWS ME | NOVEMBER 2023
Logistics News ME speaks exclusively chats with Marco Torta, IVECO’s Area Manager for the GCC, on the company’s product lines, innovation strategy, e-mobility, and other topics
> Euro VI-E specifically designed to meet the challenging European pollution targets > Euro V able to satisfy the needs of most of South Africa, North Africa, and Middle East countries > Euro 4 and Euro 3 diesel robust for more challenging missions in the remaining AME countries The Eurocargo represents the medium range. Eurocargo is the medium vehicle with the most comprehensive range in its class thanks to its 7 GVW variants, which go from 11t to 18t and 19t only on Euro V; 4 power ratings; 7 gearboxes and three cab types. Thanks to its outstanding adaptability to every requirement available in over 11,000 variations, it is the perfect multi-mission truck for municipalities, light construction, airport services, and logistics. WWW.CBNME.COM
THE CV GAMECHANGER | TATRO MARCO
Then, there is our Heavy Range “DRIVE THE NEW WAY” composed by IVECO S-Way and IVECO T-Way. The first one is the on-road truck developed with a complete package of features that are efficient and driver-oriented: the ideal business solution for the fleet owner and the perfect travel companion for the driver. With a new engine line-up and next-generation rear axle, IVECO S-Way has taken every opportunity to deliver cost savings and productivity gains for the owner’s profitability. The IVECO T-Way, instead, is the off-road vehicle, and it is perfect for the most challenging missions in extreme conditions. It introduces advanced technological solutions to exceed all expectations in productivity, payload capacity, safety, and driver comfort. Its robustness and torsional rigidity make the IVECO T-Way the best-in-class performer in every off-road mission, being the ideal solution in the Middle East for oil, gas, construction, and off-road logistics. How does IVECO stay at the forefront of innovation and technology in the commercial vehicle industry? Our innovation process is based on a clear set of practices focused on satisfying our product development, design activities and production methods. Creativity is encouraged at all levels, but only the best ideas, those meeting the stringent standards of technological and economic feasibility, will go forward to become product developments and will become realised for our customers.
“THANKS TO ITS OUTSTANDING ADAPTABILITY TO EVERY REQUIREMENT AVAILABLE IN OVER 11,000 VARIATIONS, IT IS THE PERFECT MULTI-MISSION TRUCK FOR MUNICIPALITIES, LIGHT CONSTRUCTION, AIRPORT SERVICES, AND LOGISTICS.”
standard, the most stringent available European standard. In 1986, the first Daily electric vehicle was made public, and now Diesel-electric hybrid vehicles have become a reality consolidated and tested by several large customers in urban transport. Can you discuss any recent advancements or developments in IVECO’s vehicle designs or technologies? IVECO recently renewed the design of its vehicles in a driver optic. Concerning IVECO S-Way, IVECO has taken every opportunity to deliver cost savings and productivity gains to the benefit of the owner’s profitability, redesigning the cab from the ground up. All the elements of the new design work together to achieve a superior aerodynamic performance and deliver fuel savings of up to 4% on top of the outstanding fuel efficiency that is the hallmark of this product family. In addition, the new design also provides much improved direct visibility for the driver with the one-piece side windows and rear-view mirrors. >>>
Marco Torta, IVECO’s Area Manager for the GCC
The technical innovation plan is organised in the following four pillars for product development: > environment > safety > productivity > performance Confirming that innovation is part of IVECO’s DNA, it is sufficient to note that our company offered vehicles to its customers, already compliant with Euro V emissions levels four years before its mandatory introduction date, which currently offers a wide range of products conforming to the EEV (Enhanced Environmentally Friendly Vehicle) LOGISTICS NEWS ME | NOVEMBER 2023 | 43
LNME
TRUCKS
The IVECO S-Way also offers full LED lights, which have a much sharper beam that carries further, improving visibility and obstacle perception by 15% and further enhancing safety in lowlight conditions. The IVECO T-Way, too, has been designed for efficiency and productivity, becoming the most conversion-friendly off-road truck. Its 16-speed HI-TRONIX automated gearbox now
also features new functions specifically intended for off-road mobility, including a Hill Holder function to help departure on steep slopes, Rocking Mode to help recover traction in slippery conditions, Creep Mode for ultra-low speed when idling. The introduction of the HI-TRONIX represents the state-of-art in the automated transmission sector and delivers the perfect gearshift strategy for every application. What initiatives or partnerships is IVECO involved in to promote electric and alternative fuel vehicles? Since 2019, we have partnered with Nikola Corporation., an American Company specialising in producing green energy. We were in a joint venture to leverage the respective expertise to deploy zero-emission heavyduty (Class 8) trucks in North America and Europe. The two companies worked jointly at a steady pace, despite COVID-19 and supply chain challenges, to achieve the outcomes of the previous phase, launching Battery Electric Vehicles (BEV) and Fuel Cell Electric Vehicles (FCEV) for regional and long haulage. IVECO recently assumed full ownership of the joint venture in Ulm, Germany, for the European market, while Nikola is focused on North American operations. A further partnership has been signed with the Hyundai group in March 2022 to develop hydrogenpowered vehicles. Just this month, IVECO launched at the Busworld Exhibition in Brussels, the new IVECO BUS E-WAY H2. The E-WAY H2 is a 12-meter-long low-floor city bus equipped with a 310-kW e-motor and an advanced fuel cell system provided by HTWO, a fuel cell system-based hydrogen business brand of Hyundai Motor Group. It will be produced in the IVECO BUS plants in Annonay, France, and Foggia, Italy. Can you provide information about IVECO’s involvement in sustainable transportation solutions, including electric and hybrid vehicles? The world of transport is rapidly changing, and customer demands have become increasingly diverse and complex. Nowadays, it’s essential to protect the ecosystem, and sustainability is the priority in our sector. IVECO’s commitment, indeed, is the decarbonisation of transport and paving the way for alternative solutions such as the electric battery for short and medium-range missions, the electric fuel cell for the complete decarbonisation of long-distance transport and the heaviest missions. In September 2022, IVECO launched in Europe the eDAILY, the IVECO Daily, with the same cargo volume, payload,
44 | LOGISTICS NEWS ME | NOVEMBER 2023
WWW.CBNME.COM
THE CV GAMECHANGER | TATRO MARCO
agility, and transformability as the Diesel versions but just wholly electric. This step highlights IVECO’s commitment to presenting advanced and eco-friendly products across all mission spectrums. So, for the future, our commitment is to offer increasingly advanced and environmentally friendly products for all ranges and missions, contributing, together with our partners, suppliers, and customers, to the construction of a new green ecosystem in the truck sectors. Can you share some insights into IVECO’s vision for the future of transportation and its role in shaping the industry? Our vision is to take the lead over the competition, offering value and quality for the success of our customers. As the (near) future is focused on zeroemissions vehicles, our company has made significant organisational changes, adding new departments focused on developing new product components and concepts required for this enormous challenge. Apart from the new “green” product mentioned above, we are working on new technologies such as automated trucks. We started to operate in Germany an IVECO S-Way truck equipped with PlusDrive, Plus’s enhanced driver-assist solution based on its open autonomy
platform. The milestone follows a rigorous testing and validation process, including extensive closed-course testing, validation of previously collected public road data and in-depth training for the test drivers on the advanced safety features of the truck. New technologies are also applied for integrated services and transport solutions created by IVECO to help our business customers be more competitive, profitable, sustainable, and easier to manage. We have flexible offers that can be customised to match business requirements and missions: from connected services to boost our vehicle’s potential to a complete set of tailored aftermarket solutions to be at the customer’s side throughout the journey. How does IVECO address the unique needs and requirements of different industries and sectors, such as logistics, construction, and public transportation? With a customer-oriented vision, we are focused as much as possible on their satisfaction. Our objective is to offer the perfect vehicle for each customer’s need and demand in every country. Thanks to our comprehensive product line-up from Light to Medium and Heavy Ranges, we are one of the few OEMs to cover all businesses from exceptional to
on-road and off-road, offering tailor-maid solutions for all types of missions such as logistics and transport, construction, oil and gas, municipalities, and tenders. So, IVECO addresses the unique needs and requirements following and improving its main pillars, which are: v FULL OFFERING: THE BEST SOLUTION FOR EVERY JOB > Wide range of Commercial Vehicles > Most advanced technologies > Competitive costs v EUROPEAN TECHNOLOGY: > Reliability, Flexibility, Versatility, Prestige > High Performance and robust trucks for extreme off-road conditions > High Quality complete line-up in terms of tonnage, power, torque, safety, ergonomics > Advanced Logistics v AFTER SALES SERVICE > Repair and Maintenance contracts > Competitive Warranty conditions > Origin 100% IVECO Parts > Widespread coverage v FINANCING SOLUTIONS > Tailor-made solutions > Top Financial Partners > Qualified team of experts
TRANSPORTATION
A DIGITAL
TRANSFORMATION
Yasar Arafath, Country Manager of Hytera UAE
Yasar Arafath, Country Manager of Hytera UAE, sheds light on how Hytera provides services to transform the transportation industry
H
ytera delivers a repertoire of mission-critical communication solutions and services that cater to the present and future needs of the transportation sector. Their portfolio of transportation solutions and services includes radio voice solutions, which ensure dependable voice communications via digital radio solutions, and Push-to-Talk over Cellular (PTToC) multimedia services that enable voice, data, and video with extensive coverage. In addition, they also offer onboard communication equipment that guarantees connectivity in real-time, enhancing efficiency and safety in the railway and metro sectors. They also provide Future Railway Mobile Communication System (FRMCS) and Mission Critical Communications (MCS) services to accelerate digitalisation in the industry. With advanced solutions, they aim to improve communication and operational efficiency while ensuring safety and fostering sustainability in the transportation industry. A Basket Of Solutions They provide numerous state-of-the-art products, services, and communication solutions for transportation businesses, including cutting-edge private mobile radio (PMR), DMR, Tetra, and PDT solutions. “Our innovative solutions enable a seamless transition towards next-generation LTE/5Gbased critical communications,” says Yasar Arafath, Country Manager of Hytera UAE. “We also enable seamless integration of traditional PMR and modern LTE/5G technologies. Our range of multimedia communication services and apps, including Hytalk MC and Hytalk-Pro, and the PMR solutions cater to the various needs of the industry.” Utilising LTE/5G networks, the PTToC solutions offer many customised features and functionalities. Additionally, the integrated dispatching system, Smartone, enables unified dispatching of voice, data, video, and Internet of Things (IoT) services. They further provide an array of versatile terminals specifically crafted for transportation businesses. “Our present focus is on dualmode handheld radios and onboard dual-mode terminals, which satisfy several communication needs and are compatible with PMR systems and LTE/5G networks,” shares Yasar. Seamless connectivity is made possible by integrating PMR systems, MNO’s networks, wayside and onboard CCTV systems, and additional third-party BC applications into
the communication ecosystem through open interfaces of an open unified communication platform (OUCP). Their e-fusion addresses communication difficulties in emergencies or natural disasters and guarantees the continuity of communications during such scenarios. Scalability And Adaptability Yasar adds, “We address the scalability and adaptability needs of transportation companies through our flexible product offerings and innovative technologies. Our solutions are designed to scale seamlessly with the company’s growth or changing operational demands.” They prioritise interoperability, enabling smooth integration of the solutions to the existing communication systems, which reduces the need for extensive overhauls. Furthermore, modular systems offer customisation, empowering companies to choose their required components and features. In addition to various training and support services, they provide ongoing software updates and support to ensure companies stay current on the latest features and technology advancements. “Our commitment to flexibility and adaptability assist transportation companies in navigating changing conditions, adhering to industry regulations, and creating more efficient and secure fleet operations,” comments Yasar. >>> LOGISTICS NEWS ME | NOVEMBER 2023 | 47
LNME
TRANSPORTATION
Technological Advancements Hytera leverages numerous cutting-edge innovations, including PMR technologies, Tetra, Digital Mobile Radio (DMR), and Professional Digital Trunking (PDT), to provide exceptional missioncritical communication solutions in the transportation industry. By employing high-speed mobile broadband networks like LTE/5G, they give the firms unique communication capabilities and features. Correspondingly, they further utilise Software Development Kits (SDKs) and cellular networks for Push-toTalk over Cellular (PTToC) solutions to offer customising capabilities and enable prompt voice, data, and video communication. In addition to an integrated dispatching system, they provide a range of handheld radios, including multi-mode radios, connected body cameras, and 5G smartphones. “We currently seek to implement the Mission Critical Communications (MCS) and Future Railway Mobile Communication System (FRMCS). Our LTE/5G-based critical communications are essential for data transmission and dependability in modern railway operations,” states Yasar. Furthermore, the OUCP platforms facilitate the integration of diverse communication systems and applications, improving interoperability and communication
48 | LOGISTICS NEWS ME | NOVEMBER 2023
efficiency. By integrating Closed-Circuit Television (CCTV) systems, they further enhance security and situational awareness in the transportation communication infrastructure. Operational Efficiency And Safety The solutions are targeted at assisting transportation companies in improving operational efficiency, ease, and safety, as well as shaping a safer and more efficient transportation environment. The data applications reduce paperwork and eliminate manual steps, enhancing productivity and accelerating workflows. Video streaming enhances situational awareness and decision-making processes in transportation communication, while the integration of IoT provides realtime asset data and enables effective management of company resources. “Furthermore, our suite of safety measures entails real-time location
tracking, geo-fencing for boundary alerts, and wearable fall-down alerting features to provide immediate assistance,” adds Yasar. Employing the LTE/5G-based FRMCS lays the groundwork for a safer and more sustainable railway sector. Integrating Hytera’s Solutions Hytera’s innovative solutions can be effortlessly incorporated into the current transportation system and infrastructure. For instance, their communication solutions can be integrated into the transportation dispatch systems through our integrated dispatch solution or within management platforms. Their communication solutions facilitate the integration of several connectivity technologies, including PMR, LTE, 5G, and IoT, which guarantees compatibility across platforms and devices. By providing OUCP flatform for communications layers, dispatch system for application layers, and MCX enablers for WWW.CBNME.COM
A DIGITAL TRANSFORMATION | YASAR ARAFATH
and seamless coordination between individuals and devices. Meanwhile, more infrastructure is needed for public transportation. Some of the common challenges across transportation sectors include coexisting hybrid networks and converging heterogeneous technologies. “These technologies can be impeccably integrated through our expertise and solutions. Our MSX solutions are ETSI Plugtestcertified, guaranteeing 3GPP standard-compliant interoperability and supporting UIC-based FRMCS solutions in the railway industry,” claims Yasar. services layers, they empower software developers to easily integrate Hytera’s solutions into pre-existing transportation management systems or applications. Yasar comments, “Moreover, our smart radios provide proprietary or API-based mechanisms for device management systems using COTS hardware and OS environments, which enables seamless integration of Hytera radios with current transportation management systems or software.”
based CAD systems with visibility dispatching, event monitoring and alerts, and historical data analysis to enable real-time tracking and monitoring of individuals. Furthermore, by integrating onboard devices into the dispatch and pre-existing management systems, they deliver customised end-to-end solutions for asset tracking
and monitoring in the railway and metro sectors. “Our positioning solution integrates the train onboard system with the 3GPP mobile access network to enable dependable and accurate location of trains and other objects. For enhanced precision, data from NGSS and inertial navigation is also included,” concludes Yasar.
Real-Time Tracking And Monitoring Capabilities They incorporate dual-mode smart radios, advanced location services, and GIS-
Modes of Challenges Through the extensive range of communication solutions, they seek to address various challenges within the transportation sector. One of the significant challenges in the logistics sector is the limited availability of PMR networks. Improved vessel and crew communication is a substantial challenge in attaining maritime safety, and one of the difficulties facing the aviation industry is enabling robust LOGISTICS NEWS ME | NOVEMBER 2023 | 49
CBNME
SOLUTIONS
THE YANGO WAY
Islam Abdul Karim, General Manager of Yango GCC, talks about the evolving Yango services in the UAE
I
nternational tech business Yango has a successful global presence, operating in over 20 countries. Yango translates international technologies into commonplace services that enhance local communities. They transform and improve cutting-edge technologies from around the globe into smoothly integrated daily services for various regions, all while maintaining an unwavering commitment to innovation. In September 2022, they introduced the Yango ride-hailing service in Dubai. Yango Delivery and Yango Tech followed shortly after. The business also has plans to offer additional services soon. In keeping with this, Yango is a global tech business that has successfully expanded to over 20 nations. “In September 2022, we introduced the Yango ride-hailing service in Dubai. Subsequently, we introduced Yango Tech and Delivery.” According to Islam Abdul Karim, General Manager of Yango GCC, “The United Arab Emirates is a significant market for us, and we are excited to announce that we plan to launch Yango ride-hailing service in some other emirates within the coming several months.”
Regarding its business strategy, the ride-hailing service Yango allows local transportation providers to use its services; it does not, therefore, operate its vehicles or drivers. In exchange, they assist drivers. “Since our establishment in Dubai, we have collaborated with over fifteen notable local enterprises,” states Islam. Development Ride-hailing apps have grown more and more popular as a result of increasing urbanisation and changing consumer behaviour, especially in cities where parking is a problem and population density is increasing. After the pandemic, the emergence of hybrid working models has further encouraged people to reevaluate owning a car, which has made part-time use of platforms like Yango appealing. The predicted $335 billion on-demand economy by 2025 and consumers’ preference for effective, smartphoneenabled fast bookings highlight the change. In the UAE, ride-hailing users are forecast to reach 3.25 million by
2027, compared to projections of 293.22 cars per 1,000 residents by 2028. Efforts like Dubai’s Urban Plan 2040 aim to address this by promoting a compact and practical urban framework. In the competitive ride-hailing market, Yango’s creative integration makes a statement. Furthermore, a sneak preview of Yango’s ongoing project, an AI assistant who speaks Arabic and is emotionally intelligent, is also available. Beyond simple duties like turning on smart home appliances or streaming music, this smart assistant is a sympathetic companion. Future Plans The news of Yango’s new global operational office, which will open in Dubai Internet City in Q4 2023, was first shared with GITEX attendees. An important turning point in managing Yango services, such as ride-hailing, Yango Delivery, Yango Tech, and many others, has been reached with this calculated move. “The office will spearhead technological developments, encouraging teamwork and creativity for customised global solutions. It will support Yango’s operations in more than 20 Middle Eastern and African countries and other regions by acting as a centre of excellence,” adds Islam. The objective is to enhance the tech industry by empowering local talent, promoting innovation, and facilitating international knowledge exchange.
Technology Yango uses revolutionary, creative solutions from a variety of industries. Yango’s service makes use of sophisticated, modern technologies like smart order distribution, navigation, and maps. All of these can guarantee the effective use of drivers’ time, lower the net cost of the ride and the amount of time a driver spends searching for a passenger, and give riders a reliable and reasonably priced service. The time drivers spend searching for, picking up, and dropping off passengers is reduced by this combination. Their technologies thus contribute to a reduction in both fuel consumption and traffic congestion. 50 | LOGISTICS NEWS ME | NOVEMBER 2023
WWW.CBNME.COM
THE YANGO WAY | ISLAM ABDUL KARIM
Islam Abdul Karim, General Manager of Yango GCC
LOGISTICS NEWS ME | NOVEMBER 2023 | 51
CBNME
THE
SAAS
CURVING
ARCH W
VAIBHAV DABHADE, CO-FOUNDER AND CEO OF ANCHANTO, HIGHLIGHTS THE KEY PILLARS SHAPING THE COMPANY’S POSITION IN THE MARKET
ith cutting-edge technologies, Anchanto is a worldwide B2B SaaS technology firm reshaping the logistics and e-commerce industries. They provide nine custom-designed solutions through their six SaaS offerings. These solutions are intended to support the expansion of various e-commerce and logistics businesses. The solutions are designed to help local and international organisations overcome obstacles specific to their industry and hasten their development. The solutions include: Complete Digital 3PL: With its scalable WMS capabilities, streamlined multi-customer management and operations, and process automation, this solution is designed with 3PLs and logistics service providers in mind. Digital Retailing: Aids in eliminating disconnected systems 52 | LOGISTICS NEWS ME | NOVEMBER 2023
and sales channels, inflexible shopping and delivery options, fragmented offline and online channels, and manual multichannel management. Brand Digital Shelf Health: This is intended to give e-commerce companies AI-driven insights into the state of their online retail, helping them to outperform competitors. Post Purchase Experience: Assists in lowering order status inquiries, controlling customer expectations, slicing down on inefficient manual processes, and maintaining a steady flow of parcel tracking data. Multi-carrier Parcel Tracking: For effectively managing numerous carriers, handling massive amounts of parcel data, assisting in the planning of extraordinary events, and effectively integrating with current systems. WWW.CBNME.COM
THE CURVING ARCH | VAIBHAV DABHADE
Vaibhav Dabhade, Co-Founder and CEO of Anchanto
Complete E-commerce Enabler: Supports the development of e-commerce omnichannel strategies and helps e-commerce enablers grow in line with business growth objectives. Moreover, it permits central administration of pricing, promotions, product listings, and inventory. 1P, 3P Catalog Distribution: Created to complement a powerful brand presence with top-notch product experience. It improves product information across sales channels, boosts marketplace rankings, centrally monitors all listings across distribution networks, and produces a consistent omnichannel experience. 3P & Grey Seller Management: Promotes safeguarding a brand’s online presence. It stops price gouging, provides complete sales visibility, enhances product discoverability, highlights dishonest sellers, and pinpoints lost income. Carrier SLA Management: Allows complete supply chain visibility and unmatched SLA performance. Additionally, it integrates data from various sources, tracks SLA compliance across national borders, and notifies pertinent stakeholders of unforeseen events to monitor carrier performance. The biggest differentiator that sets them apart is that “We developed our technology using first-hand experience of managing multichannel selling for multiple brands. Instead
“OUR PRODUCTS AND SOLUTIONS ARE DEVELOPED TO BRIDGE THESE GAPS IN THE INDUSTRY AND ELIMINATE THE CHALLENGES HOLDING BACK E-COMMERCE AND LOGISTICS BUSINESSES. THE OFFERINGS INCLUDE 200+ READY INTEGRATIONS WITH MARKETPLACES, WEBSITES, LAST-MILE CARRIERS (LOCAL AND GLOBAL), FULFILMENT CENTRES, AND ACCOUNTING TOOLS.”
of becoming armchair pundits, we poured our learnings and collected feedback from our customers over a decade to shape our products,” says Vaibhav Dabhade, Co-Founder and CEO of Anchanto. Their products and services are designed to close the gaps in the e-commerce sector and get rid of the actual problems that are preventing e-commerce companies from growing. They don’t just concentrate on selling subscriptions when they market their offerings; instead, they recognise that every company is different and faces different obstacles. Hence, they conduct thorough analyses to understand the specific challenges faced LOGISTICS NEWS ME | NOVEMBER 2023 | 53
LNME
EVENTS
by our customers and offer customized solutions that work for them. Correspondingly, With a suite of six potent products designed to improve B2B performance in the logistics and e-commerce sectors, Anchanto is a SaaS technology company. The products include: Anchanto Order Management: An all-in-one enterprise solution with the capabilities, integrations, and agility needed to run multichannel selling operations at scale. Anchanto Warehouse Management: A modular, robust, and ergonomic fullsuite Warehouse Management System built to meet the needs of each business and its customers. Anchanto Digital Shelf: Captures live performance data of businesses and their competitors for comparison and quick action. Anchanto Operations Experience: Helps businesses position themselves with their technology, reduce white labelling costs, and speed up B2B onboarding. Anchanto Parcel Tracking: Tracks parcels and provides buyers with realtime tracking details.
Anchanto Control Tower: Enables businesses working with multiple carriers to identify issues across the supply chain before they occur and promptly address them. E-commerce and logistics companies can efficiently manage their operations and performance with the help of Anchanto’s technology. Their offerings are made to provide data, make tasks more accessible, and give users visibility and control. Anchanto Order Management and Anchanto Digital Shelf are used by brands, retailers, distributors, and e-commerce enablers to monitor and assess e-commerce performance. These platforms each provide a unique set of features to improve e-commerce tactics and operations. They have been created in partnership with actual companies to deliver the solutions they need right now. Multichannel order, inventory, and catalogue management are centralised using order management software. It also provides adaptability for intelligent routing and splitting choices. For instance, brands and retailers can compare and improve their sales strategies using Anchanto Digital Shelf to track competitor activities, pricing, ratings, and more. Anchanto Warehouse Management and Anchanto
Parcel Tracking are essential tools for distributors, 3PLs, and enablers to monitor and evaluate logistics operations. Before going on sale, these systems were also created in cooperation with companies. Additionally, they assist companies in taking charge of their data by selecting KPIs and personalised reports, forecasting delays, and tracking package movements in real-time. In this dynamic age of e-commerce, modern businesses must collaborate with various partners and systems. By themselves, these partners and systems cannot communicate with one another. For companies starting to engage in cross-border e-commerce, the difficulties are even more significant. “Our products and solutions are developed to bridge these gaps in the industry and eliminate the challenges holding back e-commerce and logistics businesses,” shares Vaibhav. The offerings include 200+ ready integrations with marketplaces, websites, last-mile carriers (local and global), fulfilment centres, and accounting tools. This enables businesses to manage all their ecosystem partners centrally and efficiently. Vaibhav concludes, “Our systems also work well with customers’ existing ERPs and technologies like SAP and QuickBooks, so there isn’t any disruption or need to give up what works for them.”
Expertise in the Aerospace Logistics
Origin & Destination Services in
Surface Transportation in
150+ Countries
06 Continents
Aircraft Parts Movement
Engine Movements
AOG Services
Dangerous Goods Handling
Time Critical Movements
Airside Deliveries
24/7 Operations
Multiple Control Towers
Service Cargo
On Board Courier
Charter Logistics
Warehousing and Quality Control
- , KT !Q>=E 2JEPA@ N=> "IEN=PAO 1AHġ #=Tġ A I=EHġ ?KJP=?PĤ=ŃKCEOPE?O ?KI www.HÅVNPZ[PJZ JVT
Drive the new way. New IVECO T-WAY: high productivity and safety on off-road terrains With a complete line-up of AWD and PWD versions and the the 16-speed HI-TRONIX automated gearbox, the IVECO T-WAY features a host of functionalities such as Rocking Mode, Off-road Mode, Creeping Mode and 4 reverse gears to tackle with ease the toughest off-road conditions. The new architecture of the EBS system, combined with disc brakes on all wheels, greatly improves the vehicle’s performance and the driver’s safety in the most demanding applications. New IVECO S-WAY: high technology and efficiency for on-road missions The new IVECO S-WAY, with a completely redesigned and reinforced cab, offers a wide choice of Euro III/V diesel engines, a delivering class-leading power from 360 HP to 560 HP Euro III / 570 HP Euro V and superior fuel-saving devices, such as anti-idling feature, Ecoswitch, Ecoroll and Smart Alternator, 12-speed HI-TRONIX automated transmission with the most advanced technology in its category, electronic clutch and best-in-class torque-to-weight ratio.