Heavylift / Breakbulk
A white paper for black gold
Changes in customer behaviour and in production markets demand end-to-end solutions that increase the transparency and reliability of supply chains. These are the conclusions of a study recently published by DHL.
In a white paper the global logistic service provider DHL describes the supply chains used by companies from the energy sector, and recommends that forwarders review traditional transport routes and implement integrated solutions – before soaring shipping costs reduce profit margins. The report is based on research conducted by Lisa Harrington, president of the Lharrington Group and associate director of the Supply Chain Management Center of the University of Maryland.
Harrington opts for a smarter supply chain. A carefully-organised and data-based end-to-end model, which increases transparency and reliability while cutting costs and minimising risks. The decision-makers quoted in the report admit that energy firms often have difficulty dealing with the complexities of supply chains. When companies have to cooperate with several partners on a number of different drilling sites, poor transparency and poor predictability of the work processes present a particular challenge. This often causes problems with meeting health, safety and environment-protection standards, and makes the struggle with data management to measure performance even more difficult. As a result, risks are compensated by stockpiling large quantities of goods and chartering expensive cargo flights at the spur of the moment.
Driven by the development of new, unconventional sources of energy, such as shale gas, tight oils, coal seam gas and oil sands, the industry is currently undergoing substantial change. In contrast to conventional oil production, the exploitation of unconventional energy sources calls for higher and more sustainable investment. Moreover, global energy sources are no longer limited to the Middle East, Africa and Russia. Many fuel reserves are located in remote areas that have yet to be developed.