The economic return generated for every dollar of investment on a capital project like transport
Economic prosperity depends on transport’s ability to get people and objects from A to B efficiently and investments in transport are sound ones. Indeed, the World Economic Forum estimates that every dollar spent on capital projects like transport generates an economic return of between 5 and 25 per cent.
Conversely, we pay a high price in terms of time, cost, and our health for dysfunctional transport systems. While the industry has, by and large, been able to keep the wheels spinning to date, social, demographic and environmental changes are making that more difficult. The transport sector is at a crossroads as it grapples with how to best respond to the key megatrends of today – climate change, urbanisation, and globalisation – each of which create new and unique challenges. But they also present opportunities for those organisations that can successfully harness new technologies and turn them to their advantage.
Against this backdrop it should come as little surprise that the transport sector has its sights set on transforming itself and is investing heavily in new technologies to meet the challenges that lie ahead. Machine learning, robotics, 3D printing, next generation security and cognitive AI all feature in respondents’ technology roadmaps to some extent, but it is clear that it is IoT that sits at the heart of the transport sector’s transformation efforts.