When it comes to the supply chain and logistics sectors, transportation plays a critical role. Be it manufacturing, hospitality, and healthcare, transport services in Delhi play an integral role in connecting the firms to the clients. It is believed that the global logistics and transportation sector is estimated at around 11.26 trillion in 2024. Talking about India, it has seen 10%-15% growth. This shows how rapidly the Indian transportation industry is evolving. However, the growth is not coming without any challenges.
To find out more about this sector, continue reading this post.
Solutions for the challenges faced by transportation in India
The transportation in India industry is facing a lot of challenges. Check out the following for more details regarding the challenges and solutions:
- Road infrastructure
Road transportation is one of the key modes used in India. It is believed that around 60% of shipments are moved by road. Due to high tariffs on railways, a mere 30%-32% of cargo is shipped by rail. Since a huge amount of cargo is moved by road, it consists of lots of hiccups. One of the biggest challenges is the poor infrastructure of the road, congestion, and multiple checkpoints.
Since this challenge causes increased overall operational costs, delays, and unpredictable timelines for delivery, it is quite hard for the logistics companies to work efficiently and consistently. To make this condition better, it is better to have better roads with dedicated lanes at the checkpoints. Besides, depending on the precise cargo (medicines and other essentials), other measures should be taken by the government.
- Bottleneck of the bulk order
Handling bulk orders and managing the given timeline is such a herculean task for a provider of transport services in Delhi, India. This is one of the issues that is faced by almost every logistics and transportation company in the country. When there are huge or bulk orders, it becomes a complex task for the service provider to juggle and prioritize orders and ensure on-time deliveries.
The challenge becomes even worse when there are limited resources to handle bulk orders. Furthermore, other factors, such as mass delays due to festive seasons, can also make things harder. To deal with delayed ETA (estimated time of arrival), companies can work on their resources. By increasing the number of resources, companies can easily manage bulk orders, even during peak seasons.
- Unexpected hike in the cost of fuel
The transportation in India faced one of the biggest challenges, which is the cost of fuel. In India, the cost of fuel changes on a daily basis. The most notable aspect is that the cost often goes up, and this is because of inflation. This increased fuel cost also increases the overall transportation costs. When the fuel prices rise, they will also put an extra burden on the increased surcharges and overall freight rates.
Since it is hard to manage the fluctuating rates of the fuels, there is only one solution for this. A logistic service provider should plan their budget smartly and effectively. In addition to this, they can work on pricing strategies to prevent the adverse effect on long-term profitability and retain customer-business association.
- Uncertainties associated with the routes
India is one of the countries that has different climatic conditions. This is something that can result in diverse travel and varied terrain. It creates unreliability in the sector, highlighting the higher possibilities of unforeseen events. Even if the packaging, shipment, etc. are done on time, delays can happen due to route and related issues. Besides, toll stations, multiple checkpoints, and traffic congestion can contribute to the woes.
Since this challenge can convert into losing money and time, a transport company can take small measures to see major outcomes. First and foremost, they can use new-age tools to find the best route for a location. In addition to this, they can outline the routes that should not be taken (if they are highly congested and prone to road accidents). This can make their task a little bit easier.
- Lack of trained and skilled professionals
The providers of transport services in Delhi, India, face an alarming shortage of skilled and specialized manpower. Since the technology is evolving, every service provider in the logistics and transportation sector will need professionals who are skilled and familiar with the technical advancements.
Thankfully, it is one of the challenges that can easily be fixed. Yes, a company can train and make its existing members familiar with the ongoing technical trends. Besides, they can conduct regular training and educational sessions to keep up with things. Though it will add to the training costs, it will mitigate the need for hiring new manpower, which will take more time, money, and resources.
Final takeaways,
In addition to the challenges listed above, a transportation and logistics company may face issues associated with warehousing facilities, overstressed and inadequate delivery staff, cash flow and delayed payments, and more. However, there is one company that is smartly dealing with these challenges. Yes, we are talking about BSA Logistics. Being a prominent provider of transport services in Delhi, India, you can count on them to have your shipment delivered on or before the given ETA.
