BAKU, Azerbaijan, December 5. Trains can move even without new technologies, but the introduction of digital solutions allows for optimizing costs affecting tariffs in the transport sector, the head of PwC Technology in Azerbaijan Farid Gattal told Trend.
"Information and digital technologies are now widely used in the transportation sector, including companies involved in the construction of roads, railways, airports, and ports, as well as, of course, carrier companies. I would like to focus on a few issues of interest in public and urban transportation," Gattal said.
"It is no secret that scooters have appeared in our city. Baku quickly skipped the era of bicycles, while in many countries with the emergence of scooters, the question of what to do with bicycles became urgent. Baku has transcended this phase by introducing access to scooter rentals through an app," said the head of PwC.
"This is a great example of how new technologies are not only becoming part of a business but are themselves bringing to life a new technology-oriented business, which becomes possible and whose services become available to the masses through hardwareand software to connect a vehicle, such as a scooter, with a mobile application for renting, controlling movement and payment," he added.
According to Gattal, the same is happening in the cab industry.
"For example, while scooter rental is a new business that has emerged from scratch due to technological advancements, in terms of cabs, we are seeing a transformation driven by disruptive technologies. These new technologies are transforming the dispatch cab into a mobile app-based cab service. We have services such as Uber, Uklon, Bolt, Yango, and others operating in our city that are powered by modern technology. For the end consumer, these changes have a positive effect, affecting the reduction of the cost of travel, increasing the speed of cab service, and improving the quality of services in general," he emphasized.
Gattal also touched upon transportation corridors and trunk highways.
"Firstly, technology alone cannot serve as a basis for new business, being only a part of it. Therefore, a combination of infrastructure projects and smart IT and digital solutions is needed. In particular, this is true for railroads. Railroads have existed for many years and represent an important element of the country's transportation system. For example, Baku-Tbilisi-Kars, a railway that is already operational, is part of the Middle Corridor. Trains can move even without new technologies, but the introduction of digital solutions allows for optimizing costs affecting tariffs in the transport sector. Lower fares become a competitive advantage for various transportation corridors," Gattal continued.
As for railway infrastructure, he said that technologies such as Enterprise resource planning systems (ERP) and repair and procurement management systems are saving on inventory, reducing procurement prices and labor costs.
"An example of the successful implementation of such technologies is Italian Railways, which has been able to save a significant amount of money thanks to its preventive repairs model. This model involves using hardware and software to read data from key components of locomotives, rail sections, and stations to predict breakdowns and prevent major repairs, which in turn avoids traffic delays. These examples provide evidence that technology not only saves money but also makes services cheaper and more attractive," he said.
"Such principles are also applicable in aviation, where airports serving transport vessels can adopt cost optimization technologies. Seaports and highway operators can also utilize information and digital technologies to improve their operational efficiency," Gattal said.
The head of PwC Technology also emphasized that there are highways where control systems, billing, toll payment and license plate scanning technologies have already been implemented.
"An example of this is the first toll road from Baku to Guba city, where technology plays an important role in license plate scanning, automatic billing, and payment. In addition, new technologies also have an impact on urban transportation," he said.
According to him, the Mobility as a Service concept seeks to integrate different vehicles and companies into a single offering.
"This becomes especially important for e-commerce, where transportation is an integral part of business processes. One of the main challenges is to automate the last mile delivery process, and the Umico project in Azerbaijan successfully shows how technology can make delivery faster and more predictable," Gattal said.
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