State and perspectives of urban logistics in Poland · The Karol Adamiecki University of Economics in Katowice Role of Polish logisticians What we know as logisticians: City Logistics

Business Logistics Department E-mail: [email protected] www.ae.katowice.pl

State and perspectives of urban logistics in Poland

Jacek SzoltysekProfessor of LogisticsWarsaw, 24th of May 2007

Bogucicka 14

40-226 KATOWICE

Tel. +48 32 259 84 21

Fax +48 32 258 89 11

The Karol AdamieckiUniversity of Economics in Katowice

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The Karol Adamiecki University of Economicsin Katowice

Background for city logistics ...

Urbanization in Poland

-Over 60% of Poland’s

population live in cities

-Almost 30% of them live

in cities with more

than 100 thousand citizens

Quality of life in cities

The 2007 Worldwide Quality of Living Survey by Mercer Human Resource Consulting. Cities are ranked against New York as the base city which has an index score of 100. The analysis is part of Mercer’s Worldwide Quality of Living Survey, covering 215 cities, which is conducted to help governments and major companies to place employees on international assignments.

Background Logistics & City Citizens and the city Interest Role

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Quality of life in citiesMercer’s study is based on detailed assessments and evaluations of 39 key quality of living determinants, grouped in the following categories:

Political and social environment (political stability, crime, law enforcement, etc)

Economic environment (currency exchange regulations, banking services, etc)

Socio-cultural environment (censorship, limitations on personal freedom, etc)

Health and sanitation (medical supplies and services, infectious diseases, sewage, waste disposal, air pollution, etc)

BESTUFSBackground


Logistics & City Citizens and the city Interest Role

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Quality of life in cities cont.Schools and education (standard and availability of international schools, etc)

Public services and transportation (electricity, water, public transport, traffic congestion, etc)

Recreation (restaurants, theatres, cinemas, sports and leisure, etc)

Consumer goods (availability of food/daily consumption items, cars, etc)

Housing (housing, household appliances, furniture, maintenance services, etc)

Natural environment (climate, record of natural disasters)

BESTUFSBackground



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Quality of life in cities cont.

BESTUFSBackground


82.9 (81.9)RIGA, Latvia92 (98)23

83.2 (83.2) LIMASSOL, Cyprus91 (88)22

83.7 (82.8)TALLINN, Estonia89 (91)21

85.7 (85.1)WARSAW, Poland85 (86)20

86.6 (85.9)VILNIUS, Lithuania82 (84)19

87.0 (86.6)LJUBLJANA, Slovenia80 (80)18

87.6 (86.8)ATHENS, Greece78 (79)17

90.2 (90.8)BUDAPEST, Hungary74 (74)16

92.3 (91.8)PRAGUE, Czech Republic72 (73)15

97.4 (97.4)ROME, Italy61 (62)14

100.1 (98.9)LISBON, Portugal47 (53)13

100.5 (100.1)MADRID, Spain42 (45)12

101.2 (101.2)LONDON, UK39 (39)11

102.7 (102.7)PARIS, France33 (33)10

103.1 (103.1)HELSINKI, Finland30 (29)9

103.3 (103.8)DUBLIN, Ireland27 (24)8

104.7 (104.7)STOCKHOLM, Sweden20 (20)7

104.8 (104.8)LUXEMBOURG, Luxembourg18 (18)6

105.2 (105.1)BERLIN, Germany16 (16) 5

105.6 (105.6)BRUSSELS, Belgium14 (14)4

105.7 (105.7)AMSTERDAM, Netherlands13(13)3

106.2 (106.2)COPENHAGEN, Denmark11 (11)2

107.7 (107.5)VIENNA, Austria3 (4)1

IndexCityWorldwide ranking

EU ranking

Overall quality of livingWarsaw ranked 20th of 26 in EU city ranking

And…

85th out of 215 within global city rankingin 2007.


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Background for city logistics...

BESTUFSBackground

An internet opinion survey on a doctor’s website An internet opinion survey on a doctor’s website

published in the newspaper published in the newspaper GazetaGazeta WyborczaWyborcza

found that a third of all Polish doctors between found that a third of all Polish doctors between

25 and 35 years of age25 and 35 years of age——or 10 000 doctorsor 10 000 doctors——

plan to work in western European countries. plan to work in western European countries.

The development of efficient waste removal and The development of efficient waste removal and

sewage systems, coupled with government sewage systems, coupled with government

investment in medical infrastructure, will be key investment in medical infrastructure, will be key

to avoiding pandemic outbreaks of diseases and to avoiding pandemic outbreaks of diseases and

for improving general living standards.for improving general living standards.

Despite the recent economic boom andDespite the recent economic boom and growing growing

demand for skilled labour, demand for skilled labour,

Poland'sPoland's unemployment rateunemployment rate poses a main poses a main

challenge for the country. Yet, thechallenge for the country. Yet, the mobility of mobility of

Polish citizens, living and working particularly in Polish citizens, living and working particularly in

the UK, is not reflected in the country's the UK, is not reflected in the country's

unemployment statistics scaling down. The unemployment statistics scaling down. The

current unemployment ratecurrent unemployment rate at a level ofat a level of 14,4% 14,4%

(March 2007).(March 2007).

Companies managing a global workforce must Companies managing a global workforce must

take into account a range of factors when take into account a range of factors when

structuring remuneration packages for their structuring remuneration packages for their

expatriate employees. Organizations can expatriate employees. Organizations can

struggle to find suitably qualified local staff when struggle to find suitably qualified local staff when

operating overseas and so rely on benchmark operating overseas and so rely on benchmark

data to ensure the rewards they offer encourage data to ensure the rewards they offer encourage

employees with transferable skills to accept employees with transferable skills to accept

international assignments.international assignments.

In Poland…In Poland…Facts and hypothesizes Facts and hypothesizes


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Background for city logistics...

BESTUFSBackground

These factors are recognized as a main city These factors are recognized as a main city

development barrier by ¾ of Poland’s population.development barrier by ¾ of Poland’s population.

Growing traffic congestion, industrial plants and Growing traffic congestion, industrial plants and

other pollutants reduce air quality in some Polish other pollutants reduce air quality in some Polish

cities, which may undermine the otherwise cities, which may undermine the otherwise

pleasant living standardspleasant living standards

In Poland…In Poland…Facts and hypothesizes Facts and hypothesizes


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Myths and legends on city logistics or Who knows what is thit about?

What is city logistics due to common opinion: - based on my research, interviews and results of Google search (www.google.pl)

Background

City logistics, as a distribution strategy only


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Myths and legends on city logistics or Who knows what this it about?

What cities do to improve quality of life:

1.Public transport services on higher level

… but without connection with private means of transport

2. Parking places and limited cars access to some areas (ex. City center)


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3.Decrease level of congestion by constructing new roads

EU STRUCTURAL FUNDS ARE IN USE (Sectoral Operational Programme Transport ))

4. Limit access of lorries to some parts of city

….. but without building city delivery system


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5. Establish systems for bicycle roads

… but without necessery infrastructure (ex. places for parking)

INSTEAD OF:

establishing efficient and environmentally friendly logistics systems in urban areas.


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What we know (or suspect) citizens want form city?

Why we have this situation in cities:

1. My Students and I have researched since 2002 and have established the following:

Background

YesYes

YesYes

NoNo

%%

(12)(12)551166

(11)(11)441166

(7)(7)331133

(4)(4)220022

(2)(2)000022

Do you know what is:Do you know what is:••Park & ridePark & ride••Kiss & rideKiss & ride••Car poolingCar pooling

26265656

88

991100

28285656

77

990000

27275555

1111

770000

30305353

1010

661100

30305252

1111

551111

What city has to improveWhat city has to improve::••Public transport Public transport ••No limits for private carsNo limits for private cars••Limit access of lorries to Limit access of lorries to citycity••More rights for bicycle More rights for bicycle usersusers••Close city for all carsClose city for all cars••NothingNothing

7979

2121

7171

2929

6161

3939

6363

3737

6161

3939

Is congestion a serious Is congestion a serious problem to you, which may problem to you, which may influence on decision of influence on decision of leaving the city?leaving the city?

2006200620052005200420042003200320022002ProblemProblem


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What city can do for its citizens? … and why only this?

Background

City government

Citi

zens

’ exp

ecta

tions

Lim

ited

fun

ds

Iden

tyfi

edp

rob

lem

s

Ele

ctio

nfe

ar

Fea

ro

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PP

City logisticsprojects

QUALITYOFLIVING

Interest RoleLogistics & City Citizens and the city

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Probably this is why cities don’t do Urban Freight Transport (UFT) projects, although:

1. UFT represents very often the “ Last Mile“ of the transport chains

2. UFT guarantees the goods supply of the citizens and enterprises - Transports between production plants- Carrier and parcel services- Main construction trade and interior fittings- Retail and services- Waste disposal

The additional problem is lack of information about city needs in fright transport (number and location of receivers, number of deliveries, average weight of one delivery etc.) Result: Rather low attention is paid to the UFT matters within the cities‘ overall transport and traffic planning (compared to passenger transport planning)

Background Interest RoleLogistics & City Citizens and the city

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Based on the others experienceBased on the others experiencewe can we can forseeforsee the expected resultsthe expected results

•• Increasing service qualityIncreasing service quality -- The probability to reach a customer at The probability to reach a customer at a certain time point and location will increasea certain time point and location will increase

•• Reducing „ empty“ trips and repeat deliveryReducing „ empty“ trips and repeat delivery

•• Reducing the time per delivery (more organisational effort is Reducing the time per delivery (more organisational effort is needed)needed)

•• More consignments can be delivered with less vehicles (reducing More consignments can be delivered with less vehicles (reducing the amount of trips)the amount of trips)

•• Less trips lead to a reduction in the traffic situationLess trips lead to a reduction in the traffic situation

Necessity for compromising : deliveries vNecessity for compromising : deliveries versuersus stockss stocks


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Increasing interest in UFT - Five reasons

1. Home shoppingConsequences of an increasing number of small deliveries

2. Negative environmental effects of transportGrowing awareness of the negative effects of transport and the relatively larger contribution caused by UFT

3. Attractiveness of citiesMeasures in the city centres improve attractiveness but may hinder the UFT

4. Access restrictions to city centresMeasures have to address the access for UFT explicitly

5. High cost for the Last MileIncreasing interest in transport telematicsfor the optimisation of supply chains


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Role of Polish logisticians

What we know as logisticians: City Logistics is the process of totally optimizing urban logistics activities by considering the social,environmental, economic, financial and energy impacts of urban freight and passengers' movement.

What we do as logisticians: Teach students, Write books, Write papers, Support

students conferences and city logistics meetings, Organize conferences together with

practice


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Role of logostics experience and international exchange:

What we can do also for city logistics :

Participate in BESTUFS

••Presentation of approaches considered as goodPresentation of approaches considered as good

practices at BESTUFS workshops and conferencespractices at BESTUFS workshops and conferences

••Collecting experiences and results from projects, Collecting experiences and results from projects,

case studies and surveys related to specific BESTUFS themescase studies and surveys related to specific BESTUFS themes

Co-operate with city councils in finding best solutions based on logistical thinking

Popularize city logistics essence wherever it is possible

Prepare city logistics managers for cities

InterestBackground RoleLogistics & City Citizens and the city

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Thank you for your attention!

Documents

State and perspectives of urban logistics in Poland · The Karol Adamiecki University of Economics in Katowice Role of Polish logisticians What we know as logisticians: City Logistics