APLAN to unite logistics enterprises in the West has the potential to enhance Melbourne’s global economic position by $2 billion annually, according to a Victoria University expert.
Dr Pieter Nagel said the key infrastructure and industries needed to create a logistics city, or local logistics network, already exist in the West, but the challenge is in uniting them.
Dr Nagel’s team at Victoria University’s Institute for Logistics and Supply Chain Management (ILSCM) has been working on a plan to harness and connect the existing logistics and transport infrastructure in the West.
ILSCM recently released the plan, which investigates opportunities for employment, economic growth and improved transport networks and infrastructure.
The plan connects each of the six city councils and logistics-related businesses located in the West.
Dr Nagel said the proposal’s focus on the West and its resources would have significant flow-on effects at state, national and international levels and would require both State and Federal Government support the action.
With the Port of Melbourne’s estimate that container traffic at the port will double in the next 30 years and the prediction that the West will accommodate 25 per cent of Melbourne’s growth in the next 25 years, he said now is the time to implement a logistics plan to address transport and employment problems.
Traditionally a logistics city is located within a limited area that includes ports, cargo airports and rail and road infrastructure.
But logistics services in Melbourne’s West are spread out geographically, one of the major hurdles faced by the ILSCM in creating the plan.
Dr Nagel said time could be minimised by improving connections between sites and better utilisation of existing networks.
One of the key features of the plan is the creation of logistics hubs, or specific zones, which would be located close to important transport and logistic infrastructure.
Logistic hubs would increase business efficiency by consolidating resources and provide on-site access to education and training, financial and IT services, retail, medical, leisure and child care.
Another feature of the plan is the Intelligent Transport System, which would provide businesses and commuters with access to real-time traffic and public transport information, allowing them to make better travel decisions and take less time to get to their destinations.
Dr Nagel said the technology already exists, although it would need to be united into one system to provide an accurate picture of traffic conditions.
What’s in it for the West?
* Regional development and the chance for economic growth;
* Job creation and career development through up-to-date education and training; and
* A larger contribution to national and global logistics trade.
