Australian Logistics Industry Case Study

Introduction

The Australian logistics industry accounts for a significant percentage of the country’s gross domestic product (GDP), and is expected to achieve a 2.5% growth rate within the next four years. This is largely due to the growth, or rather, the boom of online shopping.

E-commerce in Australia is certainly thriving. In October 2017, about 4.6 million Australians went on Amazon US. The famed online retail giant also ranked high in terms of the highest number of unique visitors, second only to Woolworths, which boasted a whopping 6.7 million unique visitors within the country that same year.

These days, as many as 33% of Australian shoppers order goods from abroad through the Internet, citing the wide variety of available products as a major draw. Thanks to e-commerce’s attractiveness for both local and international businesses, it is one of the strongest drivers behind the freight and logistics industry, largely due to the increasing volume of international cross-border tradeand the fact that Australia is geographically isolated from many key international markets.

However, the logistics industry also plays an important role in helping AU businesses reach a wider marketand to compete with cheaper imported goods. Since the population density throughout Down Under is relatively low, the efficient movement of goods is crucial to their ability to fulfill customer orders. Otherwise, customers will simply buy the imported counterparts within the domestic markets.

Lastly, the logistics industry is estimated to employ 1.2 million people. It’s further segmented into functions like freight transportation modes, freight forwarding, warehousing and value added services, among others.

Challenges Within the Industry

There are several challenges in the logistics industry, but they can be summarized as follows:

High Initial Set-Up Cost

A starter fleet of delivery trucks, warehouses, as well as the accompanying technologies and staff can cost a fortune. Thus, the logistics industry poses a high entry barrier, and competition is fierce among the existing players.

Intense Rivalry

Speaking of fierce competition, staying afloat in the logistics industry can be very challenging. Pricing is competitive, and the major players have various modern technologies on their side, including warehousing management systems, automation, drone delivery, and Transportation Management Systems. These allow for better tracking facilities, increased productivity, and higher added value propositions.

Furthermore, providing better customer service than one’s rivals is a constant concern.

Urban Congestion

As e-commerce grows in popularity, there is a greater need for freight and logistics companies to operate more intensively even during off-peak periods. This, along with the scale of urban development, has resulted in traffic congestion that is hampering the ability of many logistics companies to make prompt deliveries.

Aging Workforce

Last year, the Northern Territory’s population declined 0.5%, with Darwin topping the list in the area. In rural and remote areas, the decline in population growth is also driven by the movement of the younger generations into Australia’s cities.

Inefficient regulation

As with many industries, the logistics sector struggles with bureaucratic red tape. The captains of this industry have also long clamoured for the Australian government to deliver on their promises to improve the supply chain efficiency in the country.

Remote Staff As a Possible Solution

Obviously, Remote Staff can posit a solution to a couple of the logistics industry’s most pressing concerns: high labour costs and an aging workforce.

In the Philippines, the median age of the population is around 25, which implies a fairly young workforce. Many of them are also very technologically savvy, and have a lot of experience working remotely for various clients the world over, their strong grasp of the English language being particularly advantageous. Best of all, the cost of living here is relatively low, making the local salaries especially competitive on a global scale.

With Remote Staff’s extensive experience in the remote work industry, along with its unique platform and comprehensive pre-screening and onboarding procedures for all of its remote workers, we can provide you with some of the best candidates for various key positions including:

Roles

• Logistics Administration.

• Office Administration.

• Strategic Business Development.

• Customer Service.

• Dispatch.

• Warehouse Management.

Tasks Per Role That Can Be Outsourced

Logistics Administration.

• overseeing shipping procedures;
• managing the flow of orders for a company or shipping provider;
• communicating with logistics staff, including drivers, packers, and warehouse workers;
• doing logistics research on shipping requirements (e.g., duties, taxes, and any other charges/requirements);
• vendor shopping or finding new fulfillment centers in various countries;
• negotiating rates on logistics services;
• preparing reports and invoices;
• analyzing reports and invoices to ensure that collections are enough to at least cover operating costs.

Office Administration.

• data entry;
• ordering office supplies;
• directing calls;
• scanning documents;
• reviewing invoices;
• maintaining files and logs;

Strategic Business Development.

• sell domestic transportation solutions to new and existing customers within assigned territory;
• generate customer leads;
• negotiate and close deals.

Customer Service.

• maintaining customer databases;
• handling incoming calls;
• processing and compiling customer complaints and concerns;
• providing customer assistance over the phone or via email;
• keeping track of proposed solutions to customer complaints and concerns;
• escalating pressing or urgent concerns to the relevant authorities within the company.

Dispatch.

• handling inbound phone calls;
• coordinating delivery routes;
• monitoring delivery progress;
• making daily outbound phone calls;
• coordinating with all members of the dispatch team.

Warehouse Management.

• supervise and manage Purchasing and warehouse staff;
• manage all FIFO stock coming in and out of all outlets and project locations;
• manage and control all warehouse and stock storage locations;
• ensure consistent scheduling of the daily operations;
• collect data from all departments to prepare the reports for:
• Stock & Consumption control
• Utility, Uniforms, Fuel, Cash Expenses per Project, Logistics etc.

Remote Work Roles:

• Back Office Administrator
• Full Time – Data Entry
• Phone Support Professional ( Project – Office Based)
• Phone Support Professional (Home-based)
• Phone Support Professional (Office Based)
• Phone Support Professional (Project – Office Based)
• Phone Support Specialist
• Team Assistant Manager (Office-Based)
• Team Leader – Back Office Administrator
• Team Manager (Office Based)

Remote Staff’s Hourly Rates

As some of the roles in the previous sections are highly specialized, their rates aren’t standardized yet. Furthermore, unless stated otherwise, the rates indicated below are expressed in Australian dollars (AUD):