With the changing economic scenario, factors such as globalization of markets, international economic integration, removal of barriers to business and trade. • The Road Transport Industry (RTI) has always been backbone for the economic growth of a nation.

1. INDIA’S FOREIGN TRADE POLICY 2009-14
By Cybex Exim Solution Pvt Ltd.
Risk Management
In Transportation
Business
Presented By:
Prashant Arsul

2. Overview of Transportation Industry
• With the changing economic scenario, factors such
as globalization of markets, international economic
integration, removal of barriers to business and trade.
• The Road Transport Industry (RTI) has always been
backbone for the economic growth of a nation.

3. In todays business big or small
,domestic or global, the value
of time is clearly immense.
Business today is focusing on
how it can deliver goods and
services to global markets in
a timely and reliable manner.

4. Risks in Transportation Business
Operational Risks
Road accidents:
According to the Ministry of Road
Transport and Highway in year
2012 there are 500000 road
accidents in India.

5. Percent share in total road accidents by type of
vehicle involved (2011-2012)

6. Mixing of traffic

7. Transport infrastructure risk

8. Risk of theft

9. Risk of overloading

10. Risk of drivers

11. Weather condition

12. Risk Management in Transportation Business
•Driver’s Management:
Elements related to the drivers which include the drivers
recruitment, training, evaluation and behavior change performance
monitoring.
 Drivers Recruitment:
Road Transporters shall have a policy and procedure in place to
address the requirements in recruiting new drivers and to recruit the
best driver available.

13.  Drivers Training:
A system in place to ensure that the training needs of drivers
are identified and satisfied in an appropriate and adequate
manner so that operations are carried out competently and
safely.

14. Political risks and government related risks
Transportation policy

15. Government duties and taxes

16. Street demonstration

17. Technological risks

18. • Journey Risk Management:
Elements related to the routes used for the delivery and it
associated risks and mitigation actions. A Journey risk
management plan is in place taking into account National
and Local authority on routing of hazardous substances.

19. Conclusion:
At present transport companies’ managers are facing with a
bewildering array of uncertainties, as the environment within
which they operate changes at an increasing rate. Risk
management is dealing with uncertainty in order to reduce
threats and maximize opportunities. It can be seen as away that
enables to create sustainable competitive advantage but no risk
management process can create a risk-free environment.