Logistics News ME - November 2024

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SAUDI ARABIA New Pathways AVIATION

Wings of Innovation INTERVIEW Speed at the Core

CONNECTING TRADE PROFESSIONALS WITH INDUSTRY INTELLIGENCE

A Horizon Like No Other The Continuous Evolution of Tech

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Humans vs. Robots: Collaboration or Competition?

We've all seen sci-fi movies where robots take over the world and AI spirals out of control, but could that actually become a reality? And if so, how soon?

Recently, fascinating details about Tesla's Optimus robots have been revealed. These humanoid robots are capable of performing a wide range of human tasks—everything from household chores to grocery

shopping, babysitting, and even serving drinks. These robots could potentially do "anything," with an estimated price tag of USD 20,000 dollars to USD 30,000 dollars.

Technology is taking over every industry, with remarkable milestones that are reshaping the way things are done. To highlight this advancement of tech, we have included a series of stories in this issue that showcase the transformative role of technology in the logistics industry. It’s exciting

to witness how swiftly the sector is evolving, with innovations reshaping every facet of our lives. From automation and AI to robotics, geospatial intelligence and beyond.

While this all may sound absolutely exciting, it is also extremely frightening. What if this future really comes to pass? Will we be replaced?

Though this rapid evolution of tech may feel unsettling at times, it will continue, and it should. No matter where this reaches, the human element will forever be irreplaceable. The emotions and feelings that humans carry are more powerful than anything else, these are the drivers of the fascinating world we have created till now. Feelings of love, anger, joy, pride, sadness, and all of the endless emotions that we are blended with create our own unique and special ideas, stories, and successes.

Technology is available to assist us

Xiaoyue (Aya) Zhang xiaoyuezhangg

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PARSONS SECURES USD 25 MILLION IN CONTRACTS FOR TRANSPORTATION PROJECTS

Parsons Corporation (NYSE: PSN) announced today that it has been awarded two USD 25 million contracts to perform design engineering for a Middle East transportation customer. With the same customer, Parsons has won more than USD 90 million in contract awards over the last nine months.

Under these contracts, Parsons will lead the design engineering and construction supervision of transportation infrastructure enhancements. The scope includes the development of mobility solutions and their dedicated corridors, roadway capacity upgrades, and public transit initiatives on critical streets to improve urban mobility and reduce congestion. Parsons will also conduct a strategic study to assess a new corridor to alleviate traffic and optimize expressway traffic. Finally, Parsons will manage the planning and design to minimize disruption to existing traffic while supporting the seamless integration of these improvements into the region’s transportation network.

“Projects like these demonstrate the evolving nature of transportation in the Middle East. I am proud that we are leveraging Parsons’ 80 years

of global experience, combined with our local knowledge to create bespoke solutions for our transportation clients’ needs that are transforming regional mobility,” said Pierre Santoni, President of Infrastructure EMEA at Parsons. “As demand rises for sustainable modes of transportation, Parsons is committed to working with its clients to imagine the future of transportation with safe, secure, connected and sustainable solutions.”

These projects enhance transportation infrastructure and underscore Parsons’ commitment to deliver innovative solutions. With advanced design practices that are environmentally conscious, Parsons is creating mobility solutions that alleviate congestion and promote alternative, eco-friendly modes of transport. Parsons’ focus on sustainability, through rigorous Environmental Impact Assessments and the development of pedestrian-friendly features, aligns with the region’s vision for a greener future.

These wins are part of a broader strategic focus of the Gulf member states, including Bahrain, Qatar, Abu Dhabi, Saudi Vision 2030, Oman Vision 2040, and Dubai 2040 Urban Master Plan. Parsons is proud to be a trusted partner for over 65 years and will help deliver their vision of digitally transformed infrastructure.

With a regional team of more than 6,500 employees, Parsons brings deep domain expertise across urban and destination development, transport infrastructure and smart mobility, industrial and commercial development, asset management, sustainability, and resilience.

DUBAI SOUTH AND INDU KISHORE LOGISTICS BREAK GROUND ON LOGISTICS FACILITY

Dubai South, the largest single-urban master development focusing on aviation, logistics and real estate, and INDU Kishore Logistics, broke ground on a new facility that will be built at Dubai South’s Logistics District. This development marks a significant milestone in the company’s expansion plan, supporting its ambition to evolve into a multiindustry logistics leader.

The groundbreaking ceremony was attended by AbdulBasit AlMarzouqi, Deputy CEO of the Logistics District, Dubai South and Kishore Lakhani, Chairman INDU Group, in the presence of senior executives from both entities.

The facility, spanning approximately 23,000 square metres and a storage capacity of 75,000 pallets, is scheduled for completion by Q3 2025. Designed to handle spare parts of all sizes, it will leverage datadriven automation to streamline processes, enabling rapid turnaround times and ensuring an efficient, optimised flow of shipments.

In his comments, Mohsen Ahmad, CEO of the Logistics District, Dubai South, said: “We are pleased to witness the groundbreaking of INDU Kishore Logistics’ new facility, which will be of added value to the logistics sector and our portfolio of

leading logistics companies. At Dubai South, our mandate is to support the government’s vision of positioning Dubai as a leading global logistics hub. We are committed to fully supporting INDU Kishore Logistics in its expansion endeavors, and we look forward to the successful completion of this facility.”

Kush Lakhani, Managing Partner at INDU Kishore Logistics, said: “At INDU, we have long embraced Dubai’s visionary approach of ‘Build It and They Will Come.’ This strategic investment is driven by a surge in demand within the automotive and aerospace sectors. With the expansion of Al Maktoum International Airport, we believe

the timing is ideal, and we are truly grateful for the trust and support extended by the Dubai South team in bringing this project to fruition.”

Representing the pinnacle of logistical innovation encapsulated within a premier infrastructure network, Dubai South’s Logistics District offers premier services and operations as well as uninterrupted access to Jebel Ali Port via a bonded logistics corridor. The district comprises multiple zones, which have direct access to the cargo terminals at Al Maktoum International Airport; EZDubai, a fully dedicated e-commerce free zone; and a Contract Logistics Zone.

EMIRATES SIGNS A MULTI-MILLION DOLLAR AGREEMENT WITH GE AEROSPACE

GE Aerospace announced a 10-year, multi-million-dollar services agreement with Emirates supporting the electrical load management system on its Boeing 777 fleet. The agreement is supported by GE Aerospace in Cheltenham, UK. The airline is the world’s largest B777 operator with a fleet of 143 aircraft.

Electrical load management systems help aircraft operate more safely and efficiently through enhanced management and distribution of electrical power throughout the aircraft.

Ahmed Safa, Emirates’ Head of Engineering & MRO said: “Improving operational reliability and aircraft availability, maximising efficiency, and enhancing safety have always been at the heart of how we support our fleet, and it ensures we offer a consistent experience for our customers. GE Aerospace continues to demonstrate a deep understanding for our requirements, offering seamless integration of the latest technologies that enable us to optimise the Emirates Boeing 777 fleet.”

“This agreement is a flexible services program designed to reduce operator costs and maximise aircraft availability,” said Salim Mousallam, Regional Vice President – Defense &

Systems for GE Aerospace in Middle East, Africa, and Türkiye. “We will provide Emirates with the service solutions that best fit their needs so they can focus on the business of operating and sustaining a rapidly growing global airline.”

The program for Emirates’ B777 fleet will provide an optimised solution for through-life support and includes repairs, stock holding, inventory management, program management, configuration control, engineering change control, technical documentation, obsolescence management, and reliability trend analysis. Under the new agreement, the GE Aerospace inventory in Dubai will be consolidated with Emirates and housed at Emirates’ facility. This strategic move aims to enhance stock availability and improve lead times, thereby elevating service levels.

GE Aerospace has developed a number of Integrated Logistics Management and PerformanceBased Logistics programs as part of its services offering. Each component of the program is tailored to meet the customer’s

specific requirements, such as improved parts availability, shortened supply chain, improved operational efficiency, and reduced life-cycle costs.

This agreement builds on decades of partnership between GE Aerospace and Emirates. The two companies have long collaborated across the aerospace sector, from major aircraft engine orders and long-term service contracts, to sustainable aviation fuel test flights, adoption of emissionreducing GE Aerospace flight software, development of UAE-based MRO services for the Emirates fleet, and the establishment of the Middle East Technology Center, an innovation hub addressing the impact of hot and harsh conditions on aircraft engines from Emirates and other carriers in the region.

SAUDIA CARGO ANNOUNCES ENG. LOAY MASHABI AS NEW CEO

Saudia Cargo, a leader in global air cargo transportation and a member of the biggest air cargo alliance, SkyTeam Cargo with its global reach, is pleased to announce the appointment of Eng. Loay Mashabi as its new Chief Executive Officer and Managing Director, effective January 1, 2025.

Eng. Mashabi succeeds Teddy Zebitz as CEO, who has led Saudia Cargo to record success, driving innovation and solidifying its leading position, Zebitz will continue to serve as a member of the Board of Directors

“During Teddy’s tenure, we have achieved remarkable milestones and navigated through numerous challenges, all while maintaining our commitment to performance and service excellence,” stated Mr. Abdulkareem Abualnasr, Saudia Cargo Board Chairman. “Teddy’s vision and leadership have been instrumental in building the capabilities of our company and in executing our strategies, and we are deeply grateful for all his valuable contributions.”

Eng. Mashabi joined Saudia Cargo as board member in August 2021 then as a Managing

Director in October 2023, bringing a wealth of experience in the transportation and logistics sector. Prior to joining Saudia Cargo, he served as Deputy Minister for Logistics Services at the Ministry of Transportation and Logistics Services, and Deputy Governor for Planning and Development of the General Authority of Customs. He also served as CEO of the inception phase of a Al Soudah destination at Public Investment Fund (PIF)

Under his leadership, Saudia Cargo will focus on accelerating its growth, expanding its international network, and advancing Saudi Vision 2030’s logistics sector goals, enabling the Kingdom’s transformation by securing essential goods and providing customer-centric solutions that help businesses thrive and industries grow.

Eng. Loay Mashabi holds an Executive MBA from London Business School and a BSc in Petroleum Engineering from King Fahd University.

Disruptive Turnover

The role of supply chain flexibility in disruption recovery and resilience

n today’s fast-moving and uncertain business environment, disruptions are a significant threat to every firm in the supply chain. Disruptions refer to disturbances or problems interrupting an event, activity, or process (Oxford English Dictionary) or the average progress or activity (MerriamWebster). The word has been used in supply chain management to describe an event that disrupts the flow of goods or services in a supply chain. Disruptions were also viewed as a primary source of organisations’ financial and operational risks. Supply chain resilience has been conceptualised differently across streams, with many scholars having their own definitions. However, it is commonly agreed that resilience is the firm’s ability to recover from supply chain

Originally written by Dr. Fabienne Chedid.
Edited by Vibha Mehta.

disruptions quickly. While supply chain management is building capabilities to manage the supply chain, supply chain resilience is building capabilities to recover from supply chain disruptions.

During crises, when a different, unusual action needs to be taken, supply chain resilience comes into play to realign the daily operations and reconfigure the current supply chain resources to cope with disruption. Therefore, supply chain resilience satisfies the properties of dynamic capability that hold the potential to promote ongoing adaptation in the face of disruptions. When business is advancing fast, resilience is becoming the new must-have attribute for companies. All companies suffer from disruptions, but only some can relatively recover from these experiences and transform them into catalysts for development. In a survey done by Harvard Business Review in 2017, analytic services showed that only 12% of the respondents believed that their firm’s efforts at raising a culture of resilience were prosperous. Also, in a study by the World Economic Forum in collaboration with Accenture 2013, more than 80% of companies reported that supply chain resilience is becoming a primary concern.

Many studies have identified various capabilities that firms

can leverage to build resilience, including redundancy, flexibility, visibility, and collaboration. One of these main dimensions of supply chain resilience is flexibility. Flexibility encompasses various aspects of a firm’s ability to adapt to unforeseen changes. These include sourcing flexibility, like sourcing from multiple suppliers; manufacturing flexibility, such as shifting production quantities across different plants or employing manufacturing postponement; and logistics flexibility, which involves utilising various transportation modes, carriers, logistics providers, or routes. Flexibility facilitates coordination processes and enables organisations to deal with high levels of uncertainty. Flexibility also allows resource reconfiguration, which is the ability of a firm to reconfigure, realign and reorganise its resources in response to changes in the firm’s external environment.

Another essential concept is operational flexibility, which refers to a firm’s capability to adapt profitably to changes by reallocating production resources across its multinational entities or factories. A multinational company’s degree of international diversification enhances its flexibility and readiness to handle external shocks. This flexibility includes responding swiftly and efficiently

to shifts in demand, competition, and technology with minimal time, effort, cost, or performance penalties. It encompasses internal manufacturing flexibility and various forms derived from core inter-organisational procurement, sourcing, and distribution logistics processes.

One must note that there are several antecedents and drivers of flexibility; one is redundancy, which serves as a pathway to achieving flexibility. Redundancy involves maintaining excess resources, such as safety stock or extra capacity, to buffer a firm against disruptions. Another primary driver is the thorough understanding of the supply network structure, which is crucial for assessing resilience within the supply chain. By adopting this network perspective, companies can gain new insights and more visibility into their supply network, allowing them to incorporate redundancy and measure resilience more effectively strategically. This approach demonstrates how flexibility emerges from the interplay of various network components, including suppliers, manufacturers, and distributors. Recognising these relationships and their impact on flexibility enables firms to enhance their ability to respond to changes, maintaining efficiency and profitability while containing the disruption impact and facilitating recovery from these disruptions.

Driven by Change

The transformation of UK forecourts in the age of clean energy

According to the latest statistics, there are 8353 petrol stations operating across the UK with facilities spanning conventional fuel dispensers and cleaner energy alternatives.

However, with the Government committing to phase out all sales of Internal Combustion Engine (ICE) vehicles by 2035, the configuration of these stations will change considerably. We will unquestionably see greater adoption of electric vehicles (EVs), fuel cell electric vehicles (FCEVs) and other clean fuel powered transport.

Nevertheless, with ICE vehicles likely to remain on roads well into the 2040s, fuel stations will evolve to cater towards all fuel types simultaneously.

How Will Forecourts Change?

The UK made headlines recently by selling its millionth battery-powered electric car, a milestone on the road to net-zero. This means that EVs have even outsold diesel vehicles for the first time in history to become the UK’s second most popular fuel-type behind petrol.

In addition to this, Hydrogen transport has also become more feasible, with the UK’s first FCEVs hitting British roads and a further GBP 11 billion in private investment expected by 2030.

A move towards cleaner fuel types changes the complexion of the traditional forecourt massively with greater accessibility and infrastructure needed to cater towards future demand.

Originally written by Cedric Herbreteau, Director of Clean Energy at Dover Fueling Solutions®
(DFS).
Edited by Aya Zhang.

The country is set to witness a mix of refuelling options available – including EV, Hydrogen, Liquefied Natural Gas (LNG) and Compressed Natural Gas (CNG) – at the stations of the future alongside petrol and diesel facilities.

An Evolved Convenience Store Offering

As the refuelling experience evolves, so will consumer attitudes to the forecourt retail experience.

Some forecasters predict that a renewed focus on cleaner fuels will also put pressure on fuel retailers to provide a more sustainable offering within their convenience stores. This could include a more sustainable product range, utilities powered by renewable energies and new AI-driven, intuitive payment systems and platforms.

Modernising the pump will likely include a mix of biofuels and Hydrogen for passenger fleets and heavy-equipment operators as well as a burgeoning demand for EV charging facilities in the B2C passenger car market.

The increased dwell time associated with EV charging offers an enormous opportunity for retailers. Even the fastest public chargers will take at least 20 minutes to charge, meaning customers have more time to spend across retail, entertainment and food & beverage stores.

It is likely that old-world, motorway convenience stores

will transform into larger-scale ‘retail hubs’ to capitalise on this. By leveraging customer loyalty schemes, convenience stores can become a one-stop-shop for other services such as click & collect, remote working, online returns, postal services and shopping.

Multi-Fuelling Stations

While infrastructure is certainly improving, cleaner fuelled transport is still heavily outnumbered by ICE vehicles with petrol retaining a top market share of 42.3%.

A shift to cleaner fuels certainly won’t mean the death of petrol stations. Over the next decade, there will still be many motorists who haven’t yet made the switch. The average lifespan of an EU ICE car is currently 12 years, meaning these vehicles could still be on the road until late 2040s.

Many petrol and diesel nozzles will need to remain in operation to refuel the remainder of this car population so forecourt owners will need to carefully balance the demands of all of their customers during this period of transition.

One solution could be to invest in transitional fuels. In comparison to conventional fossil fuels, such as petrol and diesel, a transitional fuel is any type of fuel which

contributes to FIT for 55 reduction targets. Leading examples include natural gas variants: CNG and LNG.

Both offer a cost-effective alternative to petrol and diesel, supporting the transition as EV and hydrogen infrastructure develops, while producing minimal tailpipe emissions. CNG is a solid choice for lighter duty vehicle applications with LNG more suited to more demanding, long-haul transportation. Maintaining a winning mix of all of these refuelling types will likely be the key to success when future-proofing your forecourt.

Conclusion

The landscape of UK refuelling is set to undergo significant transformation as the country drives towards its 2035 targets. While traditional petrol stations currently dominate, future forecourts will see a mix of various fuelling options and a wider retail offering. Ensuring your forecourt remains versatile and sustainable will be the key to success.

Cedric Herbreteau, Director of Clean Energy at Dover Fueling Solutions® (DFS)

New Pathways

Bassel El Dabbagh, CEO, CEVA AlMajdouie Logistics, discusses the new joint venture between CEVA Logistics and Almajdouie, technology, sustainability, and more…

Under the Kingdom of Saudi Arabia Vision 2030 theme of ‘A Thriving Economy,’ there are strategic objectives around the creation and improvement of logistics hubs, and regional and international connectivity via enhanced transport networks. The Kingdom of Saudi Arabia has ambitious plans to transform the country into a global hub that will enable business growth and development. In 2023, nearly 60 logistics zones were launched. Today, 22 are currently active and 37 are in development with an anticipated finish date of 2030. These will include seven Special Economic Zones.

Rail is increasingly impacting the transport and logistics sector with several rail routes activated in the eastern and northern regions, and additional routes are to be developed by 2030 and beyond. The Kingdom of Saudi Arabia has jumped 17 places to now rank 38th in the World Bank’s Logistics Performance Index of 2023. According to the announcement by the Ministry of Transport, KSA will invest over SAR 1 trillion in the logistics sector by 2030, with SAR 200 billion already deployed.

These rapid developments and major opportunities in KSA attract global logistics leaders. However, an intimate understanding of local regulations and the local environment is critical; that is why CEVA Logistics is partnering with a local logistics champion, Almajdouie.

CEVA Logistics x Almajdouie

This is a unique partnership between a global logistics leader and a local logistics champion. It is a very complementary joint

venture, with CEVA Logistics adding value through its extensive global network, global expertise and cutting-edge technology coupled with a persistent drive towards innovation. Almajdouie brings invaluable local execution expertise, local connections and a presence across all key ports and airports in KSA, over 2,300 transport and handling assets, over one million square metres of terminal space, and much more.

One of the reasons why we strongly believe in this partnership is that both entities share strong family values. From humble beginnings and a clear vision for the future, both businesses transformed into leading logistics groups that remain family-owned.

Impact

Resilient and functional logistics is a key pillar in any economy to enable trade and business growth. Given its global network in 170 countries, CEVA will enable the JV to connect KSA’s imports and exports to all corners of

Bassel El Dabbagh, CEO, CEVA AlMajdouie Logistics

LNME SAUDI ARABIA

the world. Likewise, one cannot do business effectively in KSA without a deep understanding of the local landscape. Almajdouie Logistics has been in KSA since 1965, following and supporting KSA’s unprecedented growth journey. The JV will offer robust end-toend supply chain services, with strong logistics offerings at its origin, destination and all points in between.

Saudi Vision 2030

We believe that it is the right time to invest in logistics in KSA. Many mega projects increasingly require elaborate logistics solutions. To add to this, KSA is rapidly developing its own manufacturing and exporting capability for both local and global markets. Therefore, KSA will need robust end-to-end logistics support that is backed by advanced technology.

Advanced Technologies

There are several areas where CEVA Logistics can bring its best global practices to the JV, including but is not limited to:

• Leveraging AI for operational optimisation across route planning, warehousing, and customer service, considering factors like transport modes, traffic, and carbon emissions.

reporting globally.

• Deploy AI-driven visibility and decision-making tools, including Dynamic Predictive Visibility for real-time container tracking and the CEVA platform for balancing cost, speed, and emissions.

• Driving sustainability through data initiatives, offering digital technologies for emissions visibility, tools like “Green Ocean Offer,” and introducing low-carbon solutions and CO2

• Fostering innovation through data standardisation, developing protocols for data-sharing governance and creating global, standardised tools like the 11,000+ warehouse solutions database.

Sustainability

On a local level, the JV has already taken some steps to implement sustainable practices in logistics including:

• Hydrogen Fuel

• Signing the MOU with Air Product Qudrah & Maaden to utilise the hydrogen truck after obtaining the first licence for hydrogen trucks and launched by TGA in November 2023.

• CEVA Almajdouie Logistics has signed a new MOU with KFUPM and MOE to cooperate in a research project related to hydrogen trucks.

• Biofuel Diesel

• CEVA Almajdouie Logistics is communicating

with companies in the Eastern Region to start using diesel biofuel in their operations.

• Double Trailer Truck

• The JV has finished the first pilot of double trailer trucks which will lead to reduced CO2 emissions.

• Sustainable trucks

• CEVA Almajdouie Logistics has replaced the fleet by investing in new trucks that can reduce their CO2 emission footprint by 15%.

• Warehouses

• We are planning to roll out solar panels on the roofs of our warehouses in KSA for more sustainable energy solutions.

Looking Ahead

Selecting the right partner for a JV in KSA is not an easy task. The company culture needs to be fully aligned along with the vision for the future, and this can be challenging when we bring together a global corporation and a local leading company. Finalising this JV was a long and rewarding journey. We strongly believe that this is the type of partnership that brings the best aspects out of each company which will benefit the growing logistics demand in KSA.

We share a joint commitment to Saudi Arabia and an obligation to excellence in logistics. We will move together focusing on continuous improvement and innovative, sustainable and resilient transport and logistics solutions across KSA.

Core at the Speed

Shadab Ahmad - noon’s SVP of Fulfilment & Logistics reveals what sets the company apart in the fiercely competitive lastmile market

noon has grown rapidly across the region, how has this journey unfolded?

We started with a simple logistics network but quickly scaled to a hub-and-spoke model, expanding efficiently. Setting up last-mile hubs was a challenge

to begin with, but we are now able to launch them quickly and accurately. By reducing reliance on third-party contractors and bringing more operations in-house, we’ve gained better control, cut costs, and boosted efficiency, giving us a strong market edge.

In the competitive landscape of e-commerce and last-mile, what sets you apart from other players?

With fast delivery, we’re reshaping customer expectations. noon Minutes delivers thousands of products, not just groceries, in under 15 minutes. Our latest service, supermall, features an even wider

selection with 45-minute delivery and real-time tracking for added convenience. Our logistics operations excel in network reach, cost efficiency, and delivery speed.

How do you balance the need for speed with maintaining operational efficiency?

With various delivery options, we optimise operations across product categories, meeting customer expectations without compromising quality. Whether it’s 15-minute, 45-minute, same-day, or next-day delivery, we’ve designed processes for quick turnarounds while keeping costs in check. This flexibility lets us deliver at speed without losing efficiency.

What key innovations have you implemented within noon’s fulfilment and logistics operations?

Our mega fulfilment centres in the UAE and KSA help to consolidate inventory, optimise deliveries, and improve eco-friendliness.

We’ve also added a dedicated facility for bulky shipments to strengthen our regional network.

Our cross-border supply chains give customers access to global products, and noon’s in-house engineering teams

let us quickly adapt to customer and seller needs with tech advancements.

The Middle East presents unique logistical challenges due to its diverse infrastructure. How does noon navigate these complexities?

Understanding the market is key. We built our logistics network early to support growth, but still faced challenges like mapping issues, no postcodes, and reliance on cash over digital payments. We learned a lot then and continue to now.

Tell us about the sustainable initiatives noon has undertaken.

We’re taking meaningful steps to reduce our environmental impact through initiatives like introducing electric vehicles to our fleet, using recyclable packaging, reducing energy consumption during off-peak hours, and supporting local food donation efforts to minimise waste. Plus, customers can choose to bundle deliveries at checkout, helping to reduce vehicle trips.

Looking ahead, what future trends do you foresee?

Customers expect faster delivery, and we’re meeting that demand. Most noon Minutes orders now arrive in under 8 minutes. Continuing to expand our assortment and supply is important, along with continuously increasing our speed.

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A Horizon Like No Other: The Continuous Evolution of Tech

Advancements in technology are hugely influencing all sectors of society, and the logistics industry is no exception. Nowadays, there is a plethora of continuous talks on various aspects of technologies that can assist the logistics sphere, including but not limited to: AI, automation, drones, robotics, digital twins, blockchain, the Internet of Things, and so much more. While the vast number of these innovations can be overwhelming, it is essential to stay updated, informed, and flexible to change in order to strive for the betterment of businesses.

The following stories showcase how companies are embedding technology at the core of their logistics operations. For instance, ports are boosting productivity by integrating AI, automation, and video analytics into terminal operations. Geospatial intelligence is also on the rise, addressing evolving needs in areas like last-mile delivery, which in the

MEA region alone is projected to reach USD 24.4 billion by 2030. In fleet management, real-time GPS tracking, route optimisation, fuel monitoring, and driver behaviour analysis are helping businesses maximise fleet performance, reduce costs, and improve safety standards.

In addition, one of the examples of a premier showcase for tech innovations is GITEX Global 2024, which took place last month from 14th to 18th at the Dubai World Trade Centre. This event offered a platform for unveiling cutting-edge products, discussing emerging trends, and forging partnerships set to shape the future of digital innovation.

Yet, even amid rapid technological advancements, it is important to remember that the value of genuine conversations and strong partnerships remains unparalleled. Technology is an enabler, but human insight will always be essential to make these innovations meaningful and effective.

Tech-Tide Rising

Vinay Sharma, Chief Information Officer (CIO), Gulftainer, delves into the company’s top technological advancements

Investment in AI and automation is ushering in a new era for logistics. These technologies not only enhance efficiency but also guarantee the timely delivery of goods, which is crucial in this industry. Gulftainer has invested in these technologies and embedded them, to further enhance its operational and business performance.

In its terminal operations, Gulftainer uses AI and automation along with video analytics to improve productivity. It monitors the performance of its equipment and machinery, which helps it plan for preventive maintenance, leading to lower downtime and higher efficiency. Predictive maintenance powered by AI allows Gulftainer to plan preemptive

actions that minimise service downtime and operational costs.

In its business operations, Gulftainer uses AI for data analysis to help manage workload, customer service, and projections. The exponential increase in data collection requires real-time data processing and big data analytics. These are not just tools but necessities for performance and growth in the fast-paced world of international trade.

Exploring Digital Twins

Digital twins – one of the technologies that Gulftainer is planning to explore in the future. The company is preparing to enable digital twins, as this needs a lot of infrastructure to be in place. It is evaluating adopting 5G to ensure data transfer is seamless from all areas and devices within the terminal. The company is also working on IoT, which is the backbone of providing required inputs to create a digital twin.

Digital twins can assist Gulftainer to centralise and run a remote command control centre for managing its operations. The company could have experts from one central location solving related issues and proactively planning its operations without the need for a huge team in all its sites.

Furthermore, digital twins can help in simulations and emulations, which can provide inputs for short-term actions and long-term capacity planning.

Cyber Threats

Cybersecurity is a business risk, and Gulftainer has measures in place to ensure business continuity, information control, governance and compliance.

The company has implemented various cybersecurity measures to protect its digital infrastructure like regular cybersecurity awareness & training programmes, AI driven email security, data encryption, advanced endpoint detection and response (EDR) tools to monitor devices, zero trust

architecture, regular vulnerability assessments and penetration testing to identify and address security weaknesses in the IT infrastructure.

Next Frontier

Gulftainer has several new technologies beyond just AI and robotics. The integration of technologies like digital twins, 5G, blockchain, quantum computing, and swarm robotics can transform ports into hyperconnected, smart ecosystems that operate with unparalleled efficiency, sustainability, and security.

It is important to continue investing in technology and fostering a culture of continuous learning and innovation. To remain competitive and relevant in this rapidly evolving landscape, industry leaders must champion digital transformation.

The Power of

Smart Technology in Logistics

Mirza-Akhmedova,

highlights how cutting-edge technologies, such as AI-driven routing solutions and real-time mapping, are revolutionising industries in e-commerce and logistics

The latest industry trends revolve around geospatial intelligence (GIS) and data-driven optimisation. With the rise of e-commerce, ride-hailing, and food delivery services, GIS solutions are indispensable for streamlining logistics, optimising delivery routes, and improving customer experiences. Real-time interactive maps and enterprise data integration enable precise resource allocation, helping businesses improve operational efficiency.

In rapidly urbanising markets like the GCC, digital and smart technologies are becoming indispensable. The region’s GIS market is the backbone of industries such as e-commerce and retail, with the UAE’s online food delivery market projected to reach USD 1.12 billion by 2024, and retail sales expected to hit USD 114 billion. Mapping solutions are being used

Sabina MirzaAkhmedova,

to optimise supply chains and reduce operational costs, with better delivery routes. As businesses adopt these innovations, customer satisfaction is enhanced through more efficient deliveries, meeting the growing demand for quick, reliable services.

Technology Advancements

Mappable leverages cutting-edge technology to create superior geospatial and routing solutions that help our clients achieve their business goals. Our Neurogeocoder API, for example, utilises machine learning and AI to provide accurate address decoding and geocoding processes even with unstructured or error-filled location requests. It adapts to cultural nuances of address input, recognizing even colloquial expressions for districts, towers, and roads, and effectively links them to the right locations on the map — a capability that standard geocoders lack. This is essential for sectors like e-commerce and logistics to streamline delivery processes, where geodata accuracy is a must.

The company also constantly updates its existing products to better serve its clients’ needs. Mappable recently launched features like ‘Avoid Custom Zones,’ which helps businesses reroute around high-risk areas, ‘Waypoints Optimization,’ which ensures the most efficient multi-stop routes, and ‘Left Turns Deprioritization,’ aimed at enhancing safety by minimising risky manoeuvres for

heavy vehicles. These features in the platform’s route planning and navigation solutions are specifically designed for logistics involving heavy vehicles, helping companies enhance routing efficiency for fleet management.

How Important Is AI?

AI and machine learning enhance predictive modelling across sectors like retail, telecom, finance, and logistics, enhancing forecasting accuracy, supply chain management and resource allocation. These technologies harness data to predict travel times, manage traffic conditions, and even account for weather impacts, ensuring that logistical decisions are both strategic and adaptive.

In the UAE, the government’s focus on digital transformation through initiatives like “We the Emirates 2031” creates an ideal environment for

innovation. Mapping technologies, critical as 80% of enterprise data is location-based, are increasingly adopted to improve infrastructure, urban planning, and transportation and service delivery in e-commerce. Mappable’s partnerships with entities like Fujairah GIS Center, Emarat and Emirates Transport demonstrate the growing demand for advanced solutions in logistics and fleet navigation within government organisations.

With the GCC’s geographic information system (GIS) market projected to reach USD 2.15 billion by 2032, advanced geospatial technologies are pivotal to advancing smart city initiatives, driving growth across industries and encouraging innovation in both public and private domains.

Mappable’s Isochrone API

guide drivers to nearby charging stations. As lastmile delivery becomes a critical factor in customer satisfaction, the Isochrone API offers a competitive edge by helping businesses deliver faster, more accurate services.

The Isochrone API, Mappable’s newly launched product, is set to significantly impact the logistics industry, particularly in the last-mile delivery sector. It identifies reachable areas from a specific point within a given time frame for various modes of transportation, including cars, public transport, bikes, scooters, and walking. While defining accessible areas, the Isochrone API considers not only the mode of transportation, but also road conditions, traffic, and even weather conditions, to provide accurate and dynamic results. This is crucial for optimising delivery zones and ensuring faster fulfilment times, especially in the growing quick-commerce and restaurant sectors. With the last-mile delivery market in the MEA region projected to reach USD 24.4 billion by 2030, the Isochrone API offers a powerful tool for improving operational efficiency.

This API’s versatility allows businesses to streamline operations, reducing customer wait times and improving service. For example, logistics companies can use it to determine from which warehouses or dark stores couriers can reach the desired location fastest while electric vehicle manufacturers can

An Evolutionary Path

AI is already transforming the analysis of satellite images into dynamic, accurately marked maps. By integrating machine learning and real-time data from IoT devices and GPS trackers, mapping solutions can continuously elevate the quality of geodata. This results in more precise outcomes, improved time estimates, and enhanced decision-making capabilities. For example, Mappable’s route planning solutions — such as the Distance Matrix API and Route Details API — leverage machine learning to evaluate both historical and real-time traffic conditions alongside weather forecasts, ensuring optimal route planning across various travel modes. As AI technology continues to evolve, we can expect more innovations in mapping solutions that will adeptly address highly specialised business needs, making these tools increasingly responsive to everchanging conditions.

Resilient Supply Chain

Today’s complex global supply chain warrants

efficient navigation to optimise operations and prepare for seasonal peaks. Mappable’s solutions are designed for smooth delivery scheduling, enhancing delivery routes, cutting fuel costs and reducing delivery times, which is critical in today’s fast-paced market. The company provides enhanced visibility into the movement of goods, enabling better stock management and significantly lowering holding costs.

Mappable’s capabilities go beyond basic logistics support. By analysing geographical data on different parameters, we offer effective plans for warehouse locations or order pickup points, ensuring companies stay ahead of market changes. Moreover, we help businesses identify and mitigate risks by considering data related to natural disasters, accidents, or other disruptions.

Through interactive maps, intelligent geospatial tools, advanced route planning and navigation solutions we give companies the ability to streamline operations — whether it’s verifying addresses, calculating delivery costs, or optimising transportation routes. With Mappable, logistics businesses are empowered to meet modern challenges with a supply chain that’s both agile and customer-focused.

The Sustainability Race

Through our advanced mapping and navigation solutions, we enable businesses and governments to optimise resource management, reduce fuel consumption, and lower CO2 emissions. Our APIs use historical and real-time data to plan delivery routes in the most energy and time-efficient manner, which not only cuts operational costs but also supports the growing need for sustainable practices.

In the UAE and beyond, our partnerships are designed to streamline logistics and enhance fleet navigation while directly contributing to sustainability goals, such as the UAE’s Net-Zero by 2050 target. By integrating our geospatial and navigation technologies, companies can achieve greater efficiency and contribute

to a greener future. With climate change impacting industries worldwide, our solutions offer tangible environmental and economic benefits, fostering a future where logistics operations are both effective and environmentally responsible.

Future Prospects

Decisions in urban planning, resource allocation, and market expansion are increasingly data-driven. GIS technologies are essential for visualising and analysing vast geo datasets, enabling businesses to allocate resources more effectively and boost performance. The future of GIS-driven products in the UAE is promising, focusing on sustainability, smart cities, and achieving goals like the ‘20-minute city’ and Net-Zero emissions by 2050.

Mappable’s diverse range of solutions and technologies improve efficiency in transportation and reduce carbon emissions by optimising routes. Our customizable, data-rich maps for clients’ websites and apps, AI-powered geocoding and easy search by address or coordinates, as well as navigation and route planning tools that consider not only historical and real-time traffic but also weather forecasts, are aimed to help clients improve their operational efficiency, enhance their customers’ experience, and ensure that their drivers, couriers, and other professionals navigate efficiently. Advanced GIS solutions can contribute to economic growth by improving resource management, and we at Mappable aim to contribute to regional development by aligning with government digital initiatives for economic progress.

THE POWER OF SMART TECHNOLOGY IN LOGISTICS

TheFleet Evolution

Aliaksandr Kuushynau, Head of Wialon, delves into the vital role of fleet management solutions and the transformative impact of emerging technologies on the industry

The fleet industry in the MENA region is experiencing rapid transformation driven by the increasing need for operational efficiency, safety, and sustainability. Governments and businesses are recognizing the value of fleet management solutions to meet these goals, especially with large-

scale infrastructure projects and expansions in logistics and transportation. Digital transformation is central to this shift, with telematics, IoT, and cloud-based solutions becoming indispensable tools for fleet owners and operators.

Wialon provides a comprehensive suite of fleet management solutions designed to address the

evolving needs of fleet operators in the region. The company’s platform offers a wide range of features, from real-time GPS tracking and route optimisation to fuel monitoring and driver behaviour analysis. These tools help businesses optimise their fleet performance, reduce operational costs, and improve safety standards. Additionally, Wialon’s scalable platform allows

businesses of all sizes to benefit from cutting-edge telematics technology, whether they are managing a small local fleet or a large-scale operation across multiple countries.

While the vehicle fleet in the region has grown significantly, according to Future Market Insights, the market is projected to expand at a CAGR of 5.1% from 2023 to 2033, driven by growing demand for both basic and advanced telematics solutions, a significant portion of fleet managers in the region still rely on traditional solutions where they primarily need to know the location and speed of a vehicle. However, Wialon thrives when the projects become more complex.

Approximately 30-40% of the projects in the region based on Wialon involve advanced features such as video telematics, fuel sensors, and CAN bus integration. These are functionalities that modern fleets now require, such as AI-powered dashcams, fuel management systems, and driver behaviour analytics.

For instance, one of Wialon’s clients in Lebanon, the country’s leading fuel importer, had a fleet of over 150 trucks delivering oil and gas throughout Lebanese territories. With orders arriving through

THE FLEET EVOLUTION
Aliaksandr Kuushynau, Head of Wialon

various channels, the company faced challenges such as route inefficiencies, unmonitored driver behaviour, traceability issues, and frequent fuel theft. Tragically, these risks culminated in a severe truck explosion, prompting the company to seek a robust telematics solution to improve both safety and efficiency.

Through partnering with MaliaTec, the company implemented a Wialon-powered system focused on video telematics and driver behaviour monitoring. This solution introduced in-cabin cameras, fuel theft detection, and optimised route planning, helping the fleet operate more securely and cost-effectively. Within just six months, the client achieved:

• 100% driver compliance with safety protocols and schedules

• 23% fuel savings by reducing fuel theft and optimising routes

• Zero driver-related accidents, eliminating risks from distractions and unsafe driving

• 60% reduction in traffic fines by monitoring and correcting aggressive driving behaviour

This case exemplifies how Wialon’s solutions can turn industry challenges into opportunities for safer, more efficient fleet operations.

Wialon also noticed a rising interest in asset trackers, including container and animal tracking, which is a growing trend. Additionally, customers are increasingly requesting phone tracking and integrations with third-party systems like ERP and mobile apps. In general, there has been a growing awareness of telematics technologies among fleet operators. Many now come with a clear understanding of GPS tracking, but they want more comprehensive solutions to address fuel management, fleet optimization, and operational efficiency.

There is a strong growth in the number of service providers and integrators who work with the Wialon platform to develop their solutions for fleet managers in the region.

When it comes to technology, AI, Big Data, and ridesharing are indeed reshaping fleet management, although their full potential is still unfolding.

AI integration, particularly through video telematics, has already started transforming the way fleets are managed. AI-powered cameras can monitor driver behaviour, detecting fatigue, phone usage, and distractions, which significantly improves safety. Moreover, AI is helping optimise routes and fuel consumption, making fleet operations more efficient.

Big Data is another game-changer, enabling fleet operators to analyse massive volumes of data collected from vehicles to predict maintenance needs, optimise routes, and reduce operational costs. Predictive maintenance, which leverages AI and Big Data, can forecast issues before they happen, minimising downtime and extending vehicle lifespans.

In terms of ride-sharing, there is a growing shift toward more shared mobility solutions in the region, especially in densely populated areas. This transformation promotes more efficient vehicle usage and reduces emissions, aligning with global sustainability goals. As these technologies continue to evolve, more advanced applications in fleet operations, like predictive analytics and intelligent automation are expected to become standard practices.

Riyadh Exhibition and Convention Center (Malham), Riyadh, Saudi Arabia

The Human Touch

Ayman Kabbara, Managing Director – MENA Cluster Management, Scan Global Logistics sits with Logistics News ME to discuss the necessity of balancing human involvement with automation

Can you share the latest updates at SGL?

We have been expanding quickly, globally and regionally in the Middle East and Africa, to get even closer to our customers. This year, we entered new markets in Brazil, Argentina, Colombia, Italy, Ireland, and Saudi Arabia. Our approach is not about just adding offices; it is about adding value. Our customers know they can count on a team that is not just available but proactive and always looking out for them. By staying “asset-light,” we can remain nimble and quickly adapt our solutions to meet shifting demands without being weighed down by heavy infrastructure.

In an increasingly automated industry, how does SGL maintain the personal relationships that are so vital to client trust?

Automation has its place, but nothing replaces a real conversation and a true partnership. Our philosophy is simple: we choose people over algorithms when it matters. Said in a different way: we believe in systems backing our people up, and not the other way around. Customers have direct access to their account managers, who know their business inside out. We are invested in each of our partnerships, and that means being there in person, picking up the phone, or having real discussions about how to improve things. Technology supports us where it makes sense, but we do not hide behind screens— our customers know they can count on us for direct, human engagement.

What challenges have you faced in blending automation with human expertise?

The biggest challenge? Making sure that tech never takes over the relationships we have worked hard to build. We have adopted smart tech like AIdriven ocean freight visibility to improve predictability, but it is still our people

who make the calls and solve the issues. Technology is a tool, not a solution on its own. To make sure our teams stay empowered, we focus on training that helps them use these tools to enhance—not replace—the personal touch that makes us different.

We believe resilience comes from having the right people in the right places who know when to pivot, when to reach out, and how to tailor responses based on real-world experience. The tech amplifies their abilities but never replaces their intuition or judgement.

What are the key factors that allow SGL to remain agile in the face of rapidly changing logistics landscapes?

Being nimble is in our DNA. We have structured ourselves to be decentralised in order for local teams to act fast and be backed by regional expertise and global support. Our strength is in understanding the specific needs of each market—there is no “one-size-fits-all” here. Our offices across the Middle East are a great example: each location was set up to meet the distinct needs of customers in that area, so we are always a step ahead. This regional autonomy allows us to make the right calls when challenges come up without layers of bureaucracy.

What ethical responsibilities do you believe logistics companies have?

We believe we have a duty to lead by example. We launched a biofuel partnership with Hapag-Lloyd to offer sustainable options for ocean freight. And for airfreight, we are offering Sustainable Aviation Fuel (SAF) that can

cut emissions by up to 80%. This is not just about ticking boxes—it is about making an impact. Our customers know they can partner with us not just for efficient logistics but for a shared commitment to a sustainable future. We are not just in the business of moving goods; we are shaping how it is done for future generations.

Looking ahead, how do you envision the role of human expertise evolving within logistics as technology continues to advance?

Even with tech advancing at lightning speed, we are convinced that human insight will be irreplaceable. As automation takes over repetitive tasks, our teams will focus even more on what technology cannot do: building relationships, making judgement calls, and thinking creatively. At SGL, we see technology as a powerful assistant, not a replacement. The future of logistics is one where human expertise and tech go hand in hand, with people leading the way, informed and supported by smart, adaptable tools.

At SGL, we are building the future by staying true to our roots: staying close to our customers, maintaining real connections, and doing things with purpose. We do not just talk about agility; we live it. Our teams are empowered to make decisions that best serve our customers, backed by a culture that values innovation, integrity, and the human touch at every level.

Boundless Cargo Futures

What’s next for the industry in 2025? Tech advancements are set to lead the charge, transforming the landscape…

The logistics industry is on the brink of a technological revolution in 2025, with advancements that promise to reshape the entire supply chain landscape. One of the most impactful changes is the integration of artificial intelligence (AI), a development that is set to transform data analysis and decision-making across operations. With AI-powered predictive analytics, logistics firms can forecast demand more accurately, optimise routes dynamically, and foresee supply chain disruptions. This proactive approach enables companies to avoid issues, from traffic delays to weather impacts, minimising downtime and improving service delivery. The potential of machine learning, a subset of AI, to adapt to real-time conditions, refine resource allocation, and manage inventory with remarkable precision, is a reason for optimism in the industry.

Additionally, robotics and automation will continue to advance, particularly in warehouse and fulfilment operations. Autonomous robots for sorting, picking, packing, and transporting goods within warehouses will streamline processes, reduce labour costs, and increase speed. These robots can work alongside human operators or operate independently in fully automated facilities. The last-mile delivery segment, often the most costly and time-consuming part of logistics, is also set for transformation through autonomous vehicles and drones. Companies like Amazon are pioneering drone deliveries, which could significantly cut delivery times in urban areas and make remote deliveries more accessible. By 2025, we could see drones delivering small packages in highdensity regions while autonomous ground vehicles handle bulkier items.

The Internet of Things (IoT) is another vital technological advancement that will be pivotal in 2025. IoT enables logistics companies to gain visibility over every part of the supply chain. With IoT sensors embedded in cargo containers, vehicles, and pallets, logistics firms can monitor various conditions such as temperature, humidity, and realtime location. This capability is crucial for industries like pharmaceuticals and perishable goods, where strict environmental control is essential. The role of IoT in improving product quality and reducing spoilage is a testament to the reliability of the supply chain. In addition to these benefits, IoT sensors create transparency that reassures businesses and consumers by allowing them to track shipments at every stage.

Blockchain technology is also poised to make substantial strides in logistics, offering a secure and transparent system for tracking and managing transactions. The decentralised nature of blockchain provides a tamper-proof ledger that records every transaction or transfer of goods, making it particularly useful for customs, documentation, and fraud prevention in cross-border logistics. With blockchain, logistics companies can significantly reduce the time and resources dedicated to paperwork, streamline customs clearance processes, and ensure compliance with international standards. This means faster delivery times, reduced administrative costs, and increased stakeholder trust for businesses.

Correspondingly, the rollout of 5G technology will bring unprecedented data speeds and connectivity to logistics operations. With its low latency and high bandwidth, 5G will enable seamless communication

between IoT devices, autonomous vehicles, and control centres. For example, warehouses equipped with 5G connectivity can enable robots, sensors, and management systems to work harmoniously, optimising processes in real-time. In last-mile logistics, 5G will allow autonomous vehicles and drones to operate more reliably, facilitating realtime communication with dispatch centres for route adjustments or safety measures. The potential of 5 G to enable such seamless communication and realtime optimization is a reason for excitement about the future of logistics operations.

Augmented reality (AR) and virtual reality (VR) technologies will provide substantial productivity gains in warehouse management. AR devices, like smart glasses, can guide workers through warehouses by displaying the most efficient paths for picking items or providing real-time inventory information. This reduces human error, speeds up order fulfilment, and enhances efficiency. Conversely, VR can be leveraged for employee training, offering immersive simulations that prepare new hires for complex tasks without physical risks. AR and VR will be essential for inventory management, with AR applications enabling employees to visualise stock levels, locate items quickly, and streamline restocking.

Sustainability is another focus area in logistics, with green technology playing a central role. Electric and hybrid vehicles are becoming more viable for shorthaul and last-mile delivery, reducing emissions and fuel costs. Many logistics companies also use renewable energy sources and carbon offset programs to minimise their environmental impact. Advances in battery technology are making electric vehicles a practical option for longer routes, which could drastically cut emissions across the industry. Companies are also exploring sustainable packaging solutions, reducing waste while protecting goods in transit.

Digital twins, or virtual representations of physical assets, are another groundbreaking advancement expected

to become more widespread in logistics by 2025. Digital twins allow companies to create detailed simulations of warehouses, vehicles, and entire supply chains. By running these simulations, logistics providers can identify potential bottlenecks, experiment with different operational strategies, and test solutions without disrupting real-world operations. This technology offers a predictive capability essential for strategic planning and risk management, helping companies optimise resources and improve efficiency across their supply chains.

To summarise, 2025 is set to be a year of substantial technological advancements in logistics, with innovations in AI, IoT, blockchain, and 5G transforming every facet of the industry. These technologies are already being implemented in various ways, such as AI-powered predictive analytics for demand forecasting and blockchain for secure transactions. Automation, AR, and VR will optimise warehouse management and inventory control, while green technologies will drive the industry toward a more sustainable future. The combination of these technologies will enable logistics providers to meet the demands of a globalised, interconnected world, delivering goods faster, safer, and more efficiently than ever before. As logistics companies embrace these tools, the industry will shift towards a smarter, more adaptive, and environmentally responsible model that’s prepared for the future.

Shining Light on Tech Innovations

GITEX GLOBAL 2024 highlighted breakthrough tech innovations, with industry leaders such as Snowflake, Yango Robotics, and Yango Tech at the forefront, showcasing cutting-edge solutions

GITEX Global 2024 took place this year from the 14th till the 18th of October at Dubai World Trade Centre. The event is held annually and is one of the world’s largest and best rated tech and AI events, attracting industry leaders, global governments, innovators, experts and startups from across the globe. This year, GITEX GLOBAL witnessed an unprecedented gathering of over 6,500 exhibitors, 1,800 startups, and 1,200

investors, along with government representatives from more than 180 countries.

In its 44th edition, the event showcased breakthrough advancements in AI, cybersecurity, blockchain, smart cities, 5G, and more. It provides a platform for unveiling new products, discussing emerging trends, and exploring partnerships that will influence the future of digital innovation. With opportunities like

networking, live demonstrations, and panel discussions, GITEX GLOBAL continues to drive the region’s digital transformation and strengthen Dubai’s position as a global tech hub.

Logistics companies at the event took centre stage with an emphasis on smart logistics solutions that blend advanced technologies such as AI, blockchain, and IoT. These innovations are geared toward enhancing efficiency, security, and sustainability across global supply chains.

Smarter Warehouses

Alexei Filippov, Head of Global Business Development at Yango Robotics, highlighted the innovative solutions the company showcased at GITEX 2024, including their AI-powered warehouse automation solutions. These solutions address the growing need for automation

across e-commerce, logistics, and other industries.

Innovative robots were also presented, including the Picker Robot which is designed to enhance inventory accuracy and operational efficiency by leveraging advanced computer vision and machine learning technologies.

“As the UAE’s robotics market is projected to reach USD 360.10 million by 2029, growing at 11.02%, Yango Robotics is positioned to lead the transformation of warehouse operations. These solutions integrate seamlessly into existing systems, improving productivity, reducing costs, and addressing labour shortages. Attendees witnessed live demonstrations, showcasing how Yango Robotics’ technologies can be customised to meet specific business needs. This handson approach underscores the

company’s commitment to delivering cutting-edge automation that aligns with the evolving demands of modern supply chains.” Filippov said.

While Yango Robotics is leading the way in automation, the broader tech landscape at GITEX also saw remarkable AIdriven advancements.

AI in the Heart of the Middle East

The tech industry in the Middle East is undergoing a remarkable transformation due to AI adoption. Mohamed Zouari, General Manager - Middle East, Turkey and Africa at Snowflake, shares that the tech market is fueled by initiatives like the UAE’s Strategy 2031 and KSA’s Vision 2030. In addition, PwC predicts that AI could contribute up to USD 320 billion to the region’s economy by 2030—and the UAE is expected to derive nearly 14% of its GDP from AI—which highlights Snowflake’s dedication to supporting the UAE’s vision of becoming a global hub for AI and data-driven innovation.

He further mentioned that organisations are generating massive volumes of data, but this can only be valuable if data is being accurately analysed to drive actionable business decisions. Enterprise AI, driven by modern data platforms, is helping organisations across multiple industries in this journey

by giving them trusted, easy, and efficient data and analysis. This enables them to remain competitive in the market, automate workflows to boost productivity, optimise products, better understand and cater for customers, and all by doing so in a secure and governed environment.

A Flourishing E-Commerce Market

Max Avtukhov, Chief Executive at Yango Tech, Yango Group, says that AI and digital transformation are significantly reshaping the retail industry in the Middle East. In the UAE, customer engagement and operational efficiency are particularly paramount. AI technologies empower retailers to enhance customer experiences at scale, leveraging data-driven insights to personalise recommendations and promotions effectively.

Additionally, machine learning algorithms optimise inventory management and streamline supply chains, enabling retailers to respond swiftly to changing consumer preferences. Embracing these technologies not only improves operational efficiency but also strengthens competitive advantage in a rapidly evolving marketplace. According to recent reports, e-commerce sales in the UAE are expected to reach USD 17 billion by 2025, representing a substantial growth opportunity for retailers. This trend underscores the essential need for consumer brands to develop robust online and mobile capabilities to capture this market potential.

However, speaking about challenges, Avtukhov said: “One of the primary challenges retailers face today is the accelerated pace of digital transformation. It is no longer enough to simply digitalise physical stores; retailers must also cultivate a strong online presence to respond to the rapidly increasing demand for online sales.”

E-commerce has brought the shopping experience to the consumer’s fingertips, in the MENA region alone, the e-commerce market is projected to reach USD 49 billion by 2028. Despite this potential, local retailers often find themselves at a disadvantage, contending with increased competition from both domestic and international players, struggling to transition due to outdated systems and limited digital expertise. Additionally, retailers face challenges related to supply chain disruptions and inventory management, which have been intensified by recent global events.

“Strategic partnerships with proprietary technology providers, such as Yango Tech, can help address these challenges by equipping local retailers with the expertise and resources needed to adapt effectively. Our solutions enable businesses to streamline processes, boost operational efficiency, and elevate customer engagement, ultimately positioning local retailers to thrive in an increasingly competitive market.” He explained.

In conclusion, GITEX Global 2024 served as a powerful platform for showcasing cutting-edge technologies shaping some logistics industries. With a focus on innovation and digital transformation, the event highlighted the pivotal role of AI, automation, and data-driven strategies in enhancing operational efficiency, customer engagement, and business growth.

UNPACKING COMPLEXITIES

An inside look at the freight forwarding landscape in the Middle East with Laurance Langdon, General Manager of MFC Group

A Glimpse Into the Region

Each country across the Middle East region has its distinct ways of approaching matters. Historically, the region has been an import destination, and despite a plethora of industry developments now in the region, most remain largely importers. Thus, it is interesting how the intra-logistics across the Middle East still has a long way to go before it is seamless and effortless like Europe.

However, there are some great examples of success stories. The Jebel Ali Freezone is the shining example of a great leader’s vision. The ease of operating business in JAFZA, along with its business model tailored to serve the region, has become envied by neighbouring countries and regions worldwide. The outlook would suggest more competition rather than cooperation, so it will be intriguing to see how this unfolds.

On the flip side, the Etihad Rail project, which plans to connect most of the region, offers a new sustainable opportunity for the future. Nonetheless, it still has a considerable journey ahead before it is fully operational and its cross-border functionality is completely understood.

What Are the Challenges?

Regulations present a challenge, with risk being a key consideration within that framework. There are a lot of freight forwarders in the Middle East, thousands, which are all searching for business. Nowadays, with a laptop and a mobile, people can start their own logistics company.

It is important to remind customers that freight forwarding is an expensive business. When freight rates are high, cash flow becomes tight for companies. And there are many stories of cargo being held because the freight charges were not paid. Many trucking companies and freelance operators do not have suitable insurance, and when things go wrong, accountability can be hard to pin down, with the cargo owner left high and dry.

This is an important assessment customers should undertake: who are they working with? Is the business subcontracted? Who is doing what in the full supply chain, and what happens if something goes wrong?

It is worth mentioning as well that there are some good logistics organisations within the region, like NAFL, which represents and enables engagement with authorities to discuss issues. This is mostly managed on a country-by-country basis. Once moved to cross border business, it is essential to understand two different laws.

Laurance Langdon, General Manager of MFC Group

Personal Barriers

Service reliability from the shipping lines is one of the biggest challenges MFC has had to contend with. Connecting with a real person at many major shipping lines has become challenging, as they increasingly rely on IT systems for all interactions.

Whilst the geopolitical challenges have created profitable opportunities for shipping lines, the freight forwarders have lost the service from the shipping lines. But with every situation, good or bad, there is opportunity.

MFC has increased its Key Account Management program, so that it proactively engages with its clients, keeping them informed of the market. MFC aligns with customers so that it can be a part of their strategic planning, enabling them to order and manage their products to avoid overstocking and ensure they can meet demands efficiently.

Freight Forwarding is a service industry, but if companies are not providing solutions, they are just like the many thousand freight forwarders out there. And in a crowded marketplace, freight forwarders have to stand out, be reliable, be proactive and be a trusted partner.

All About Technology

Covid turbo charged the use of technology. E-commerce boomed, work from home created new ideas and opportunities; it forced change that had long been avoided.

MFC took the opportunity to move to laptops and completely revamp its ERP system, as it could see early that e-commerce was there, and it invested in technology to ensure its clients have accurate and real time information on their cargo when in warehouses.

One of the most important areas of investment, which many companies do not focus on, is data security. MFC’s clients demand uninterrupted service and protection of their data, and MFC gives them that guarantee. Ransomware attacks are increasing, and it is important for clients to know they are protected, as an attack can have a major impact on the supply chain data and inventory visibility, creating chaos and impacting their customers.

AI and Automation

The company has been using automation since 2019, and it has been an integral part of its operations ever since. Technology improves almost daily, so the company regularly reviews how it can improve processes and increase automation as much as possible. As a service and solutions company, MFC needs to ensure it does not lose the service aspect; humans want to talk to humans, and they prefer to talk to the same person, not a new person every time they call. It still comes down to relationships.

AI is relatively new and its usage in logistics is still

quite basic, but it will undoubtedly evolve and the industry will need to adapt and integrate it to ensure it delivers the best service and solutions. The possibilities introduced by AI, along with unimaginable future opportunities, are incredibly exciting.

Industry Pain Points

The supply chain is made up of many different players. And it is impossible to get them to all work openly and transparently. Freight forwarders are the coordinators of these different players, but they are the ones with the least power.

If a shipping line does not load a container or transship it adding 30 days to transit time because of a blank sailing, businesses cannot do anything. Similarly, if the port is congested and project cargo cannot be loaded, forcing the payment of vessel demurrage because the port cannot arrange stevedores or cranes, no action can be taken.

There are many things that can go wrong in the

supply chain, so it is important to understand which shipping lines are more reliable and what is happening in the port. It is important to keep customers proactively informed of what is going on, so when something does happen, it is not a complete surprise and companies can guide them towards the best solution.

MFC offers options and explains the risks, so that the final decision made is a calculated one. These are not innovations, but they are disciplines which are widely forgotten. The main innovative solutions to deal with congestion and delays have to come from the shipping lines and the ports. Freight forwarders are ready to integrate, they are not.

On the Horizon

It is witnessed how geopolitical problems have turned the logistics business upside down. The way the supply chain changed with Red Sea issues is an example of how quickly disruption can hit.

Overall, for freight forwarders, if they have not already adapted and embraced technology, or they are not working ethically or in compliance with laws and sanctions, then slowly the customer base and working area will reduce.

MFC is 100% compliant and it takes seriously the need to be business ready. Sustainability will become more and more important over the next few years. If service companies cannot provide proof of their commitment beyond a webpage pledge, then many customers will disqualify the freight forwarder immediately.

MFC has installed solar across its warehouses, and it is completely powered by the sun. The company’s customers’ cargo when it comes into its warehouse has a zero CO2 footprint. Any additional CO2 it generates is largely offset through its annual mangrove planting. MFC tries not to wait for its customers to ask, it aims to give them benefits it knows they need.

Wings of Innovation

Nand Yedery, Cathay Pacific’s Regional Head of Customer Travel and Lifestyle for South Asia, the Middle East, and Africa, shares insight into the airline’s bold new investments, and the newly launched Aria Suite

An HKD 100 Billion Investment Cathay Pacific has recently committed a significant investment of over HKD 100 billion (USD 12.8 billion) for the next seven years. The airline believes in moving people forward in life and that its purpose goes beyond flying customers to their destinations. This investment comes to solidify the role of the airline in the industry and the community aligned with Hong Kong’s identity as a global aviation hub.

The budget allocation will be placed towards the airline’s fleet, cabin products, lounges, and digital and sustainability leadership. As part of this evolution, the airline is thrilled to introduce new seat products over the next three years, each designed to elevate the inflight experience for its customers.

Cathay is launching its all-new Business and Premium Economy cabins, and a refreshed Economy cabin on its retrofitted Boeing 777-300ER. These will be followed by a new world-leading First class experience onboard its 777-9s, and a brand-new flat-bed Business class product on its Airbus A330s.

Nand Yedery, Cathay Pacific’s Regional Head of Customer Travel and Lifestyle for South Asia, the Middle East, and Africa

Through investments in cutting-edge aircraft, innovative technology and groundbreaking facilities, Cathay Pacific is dedicated to moving beyond expectations – in the air, on the ground and in every experience it creates.

Aria Suite

Cathay Pacific has transformed its 30 Boeing 777-300 ER aircraft, unveiling new Business and Premium Economy cabins, as well as a refreshed Economy. Since mid October, the airline’s retrofitted aircraft have begun to progressively return to the skies, offering passengers an experience defined by next-level comfort, enhanced privacy and intuitive functions – ideal for long-haul routes.

The airline has placed customer experience at the heart of the design and conception of its new Business class – Aria Suite. Artistry and craftsmanship have gone into every detail to create a holistic and immersive experience where comfort, privacy and a sense of personal space are completely reimagined for customers. The result is an inflight

journey that is intuitive and effortless. Aria Suite’s unique features include suite door and divider for enhanced privacy, versatile aisle-side armrest, multitier console design for abundant stowage, thoughtful meal table design and elevated dining options, personalised seat controls, suite ambiance, seamless connectivity to meet the evolving digital needs of customers, and state-of-the-art entertainment.

Innovation

The customer experience is at the heart of the design and conception of the all-new Aria Suite. In addition to retaining some of customers’ favourite features of Cathay Pacific’s existing Business class seats — such as the reverse herringbone arrangement, a generous bed and ample storage — Aria Suite features a range of innovations and enhancements to take the Business class experience to the next level.

Aria Suite features an enhanced level of privacy, surpassing all previous Business class experiences onboard Cathay Pacific flights. The addition of a suite door creates a unique space designed for the customer and uniquely adapted to enhance the immersive suite experience, giving customers the ability to work, rest and relax in true comfort. Centre-seat customers have the option to deploy the movable partition to enjoy an elevated level of privacy, or to have it open for a shared Business class experience with their travel partner.

The airline’s teams have paid extra attention to create a personal in-suite space that install an

air of relaxation from the moment customers step inside. Customers can customise the ambience of their suite through the various lighting options at the touch of a button. Alternatively, customers can just let Cathay Pacific set the mood for them with the airline’s activity-based pre-sets.

Aria Suite builds on Cathay Pacific’s award-winning inflight entertainment experience by providing customers with a 24-inch 4K ultra high-definition screen — the largest ever offered by the airline. Customers may pair their Bluetooth-enabled headphones to enjoy an even more personalised entertainment experience. Aria Suite also caters to the evolving digital needs of customers, who will delight in finding that the marble-style surface side console has a built-in wireless charger, perfect for charging their smartphones and other personal devices with ease simply by placing them on the dedicated spot. Alternatively, USB-A, USB-C, and AC power outlets are also available to suit customers needs, while the large table features an integrated personal electronic device holder.

The airline has paid attention to the needs of

customers to have a place for everything and has created a unique space for customers to stow their belongings safely and securely with added surprises that are sure to delight. The console offers a slide-away drawer to reveal a compartment perfect for their passport, glasses, watch and wallet.

In addition to creating a space for relaxation, the airline has noticed the trims and finish of the suite. Its soft-touch suede walls, natural wool seat fabric, and gold-accented touchpoints all come together to create a calming sensory experience. The main body of the seat is made of wool designed for comfort and breathability, with an all-in-one design to ensure a seamless bed surface. The headrest is soft and made from premium leather, as is the ottoman that extends the length of the bed.

All these come together to ensure customers enjoy a truly restful experience surrounded by comfort. First-ever suite door and divider for enhanced privacy Aria Suite provides customers with a high level of privacy that surpasses all previous Business class experiences on Cathay Pacific. For the first time, Cathay Pacific introduces a suite door to create a fully enclosed private space where customers can work, rest and relax in unparalleled comfort. While the door must remain open for taxi, take-off and landing, it is deployable once in the air.

In sum, the airline remains committed to fleet modernisation, enhancing operational efficiency, and harnessing emerging technology breakthroughs to drive decarbonisation in aviation. With a focus on high-quality carbon offsets and removals, the airline is steadfast in its journey toward achieving net-zero carbon emissions by 2050.

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