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ProLogis report highlights collaboration trends

ProLogis has released a new research report, entitled “Transport Collaboration in Europe,” in which the costs and benefits of collaboration are examined.

The report observes that freight transport costs account for approximately 30% of total supply chain costs. As a result, companies have recently found ways to reduce freight miles along with other solutions to help cut transportation costs. Some of these efforts involve collaboration with both non-competitors and competitors.

“What we are interested in exploring in this report is a new twist or variation on transport collaboration, one involving business peers,” commented Lisa Graham, vice president of European research for the ProLogis Research Group. “Aware of the potential benefits, a few companies in Europe have reached out to competitors to collaborate on and improve the efficiency of their distribution networks.

"Numerous barriers to collaboration must still be overcome, including mistrust, but the potential cost savings and other benefits are so great that third-party organisations, shippers/haulers and logistics parties are induced to continue to find opportunities for forging successful transport collaborations.”

The full report may be downloaded from the link at the end of this story.

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