TT Club, the insurance specialist serving the global freight industry, continues to support innovation in the logistics sector.
TT Club, which provides liability, cargo and property cover to freight forwarders and logistics companies, once more observes that innovation in technological capabilities and tailored supply chain processes is essential for logistics companies to thrive in a sustained competitive environment.
A long-term supporter of the British International Freight Association (BIFA) Awards, TT Club sponsored the 2013 European Logistics Award. TT Club’s Development Director for UK and Ireland, Brian Sullivan, was part of the judging panel that employed a stringent vetting process to find the most deserving entry. This year the winner is DSV. The award was presented by Sullivan to DSV's Chris Malyon at a ceremony in London on Thursday, 16 January.
The Club’s detailed knowledge of its own Members' supply chain services has convinced Sullivan that the proliferation of innovation in the sector and a trend away from rate-driven commoditisation is a very real phenomenon.
“Many in the freight transport industry feel that pressure on rates from customers has shorn the operator of the necessary resource to deliver the added-value elements that distinguishes logistics from the straightforward ‘A to B’ transportation of freight. As a result of my own and the Club’s experience, I would contest this view,” comments Sullivan.
TT Club is certainly seeing more extensive services being provided by its customers. Many companies that in the past offered traditional freight forwarding now take on a much higher degree of supply chain risk and sustain greater liability by providing increasingly complex and sophisticated services.
The trend is however seen as positive. The increased complexity of service offerings and the ingenuity of operators in designing alternative supply chain solutions provides opportunity for new entrants as much as established logistics companies.
TT Club recognises the need to support and reward quality innovation in the industry and has been a sponsor of the BIFA awards since their inception nearly twenty years ago. By the very nature of the insurance services it provides, the Club is at the heart of the supply chain industry and consequently, is able to monitor the dynamic trends that are always at play as logistics operators strive to improve their service offerings to meet market demands.