The Threat of Global Gridlock

  • Reference: HBS-R0907T

  • Publication Date: Jun 30, 13

  • Source: HBSP (USA)

  • Type of Document: Article

  • Industry Setting: Transportation

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Description

As ports, highways, railways, and airports run out of room, the world faces a looming transportation crisis. The current meltdown masks the threat, but once the recovery begins, a lack of infrastructure capacity, combined with rising oil prices, will constrain growth. Congestion and delays will eat away business profits, forcing companies to rethink their long, complex supply chains. Smart organizations will use unorthodox methods to cut often-hidden transportation costs and outmaneuver rivals.

Keywords

Crisis management Infrastructure International trade Logistics