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Benchmarking Logistics - Logistics Performance Indicators By Ziad Nakat , Phd . Transport Specialist The World Bank J

Benchmarking Logistics - Logistics Performance Indicators By Ziad Nakat , Phd . Transport Specialist The World Bank June 12, 2013 Amman. Semantic. Logistics = art of organizing physical movement of goods or supply chains Logistics performance = national level concept

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Benchmarking Logistics - Logistics Performance Indicators By Ziad Nakat , Phd . Transport Specialist The World Bank J

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  1. Benchmarking Logistics - Logistics Performance Indicators By ZiadNakat, Phd. Transport Specialist The World Bank June 12, 2013 Amman

  2. Semantic • Logistics = art of organizing physical movement of goods or supply chains • Logistics performance = national level concept • Trade and Transport Facilitation = set of measures and investment to improve logistics performance

  3. Logistics Performance • How do you connect to international logistics networks? • How easy it is for traders to use international networks? • Logistics Performance is very much Endogenous: = procedures, services, business practices, to clear goods and move them inland.

  4. Logistics Performance and Growth • Aggregating individual supply chain logistics expenses at the national level. (=8 to 30% of GDP) • Productivity and Competitiveness • Sustainable growth • Poverty reduction (20 to 60% of food cost) • An array of policy interventions: • Infrastructure and planning • Customs Trade facilitation • Regulation of services

  5. Cost Structure Economic distance to markets Goods prices Logistical cost Administration costs, documentation, procedures etc Handling costs Packing, palletizing, labeling Profit, occasional payments, informal etc. Inventory (incl. warehouse) Direct costs

  6. The Logistics Performance Index Measures the overall trade logistics efficiency of 150+ countries • 2007 • 2010 • 2012 >>2014 www.worldbank.org/lpi

  7. The Logistics Performance Index • Source of data is suppliers of logistics services (freight forwarders, express carriers), FIATA sponsored • Rates logistics performance on a scale of 1 to 5 • 6 components • One overall LPI

  8. Service Delivery performance outcomes Supply Chain Service Delivery Areas for policy regulations (inputs) Time, Cost & Reliability measured in the LPI Customs & Border procedures Timeliness Availability of International Shipments Transport &Telecom Infrastructure Tracking and Tracing Services Quality Time, cost, reliability

  9. LPI 2010 – performance varies around the world Logistics unfriendly Partial performers Consistent performers Logistics friendly No data Countries are improving around the world

  10. LPI & income.

  11. Good news, everyone doing better

  12. Top 10 and bottom 10 performers

  13. Top high & low middle income countries performers

  14. LPI scores, per component and quintile

  15. Going Forward • Improving infrastructure • More ICT solutions • Improving logistics services in developing countries (better regulation, competition) • Coordinating border management • Regional facilitation and integration • National data for reforms (logistics observatory?) • Green growth and logistics

  16. Trade Logistics Reform Matrix

  17. Thank You

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