by TMR/ pic by AFP
Shell and digital road freight platform Ezyhaul are working together to further transform the Malaysian freight market.
Shell said in a statement today that the partnership seeks to build a relationship with its customers by learning about their fleet management problems and then providing solutions for issues related to safety, maintenance, and fuel consumption using telematics, mobility services, and others.
“The freight industry is relatively analogue, with operations being managed without the use of online platforms.
The concept of digitalisation is rising and at Shell, we aim to drive the future of mobility to address the various pressure points for both shippers and transporters,” said Zain Hak, General Manager, Shell Fleet Solutions Asia.
Manual booking of shipments, limited real-time visibility on delivery status, lack of reliable and consistent data for analysis and improvement, difficulties to measure, manage and control vendor performance, billing inaccuracies and lack of data integration are some of the common challenges companies are facing when running an outsourced transport operation.
“Besides these, transporters are also faced with issues such as under capacity and empty backhaul issues,
“However, digital and technology disruptions are starting to bring about a positive change,” he added.
According to Frost and Sullivan, effective data use can help fleet managers increase productivity by 10-15%, cut fuel expenses by 20-25% and reduce vehicle idle time by 20-30% 1.
As the third-largest economy of ASEAN, Malaysia is well-positioned to reap the benefits of the digital revolution.
Malaysia has been positioning itself towards becoming a logistics hub in the region, encouraging more foreign companies to set up their logistics hub.
“Road freight in South Asia is characterised by fragmentation and high inefficiencies. We are very proud to have gained such a strong global player as Shell as our partner and make our services available to more shippers and transporters across Malaysia,” said co-founder and CEO of Ezyhaul, Raymond Gillon.
The marketplace aims to provide improved pricing, visibility, quality of service and transport optimisation.
Ezyhaul, through its cloud-based marketplace, levels the playing field for both transporter and shipper via a user- friendly interface on mobile or desktop.
Thousands of quality shippers can accurately control their operational costs while connecting with a host of new shipping clients, and conversely, shippers can now access a new range of qualified transporters with transparent and competitive costs.
The system also eases the burden of cash flow in which transporters face the challenge of maintaining their cash flow specifically with credit requirements from customers and their operational expenditure.
Most transporters have a 45–90-day payment term which could result in around 20%–25% upfront fuel expenditure.
This partnership allows registered transporters to contract jobs via the Ezyhaul platform while being fuelled by Shell quality products, mitigating these large upfront payments.
It also facilitates increased convenience and transparency for transporters where the platform allows for truck tracking and tracing, granting shippers and transporters full transparency.
Customers also are able control fuel payment and consumption via real-time informatics, while providing business analytics and insights.