Our Latest Insights on Transportation and Logistics
Technology giants and small startups alike are developing innovative tech solutions that can anticipate and mitigate the escalating risks associated with climate change, helping to move the needle in climate resilience. For organizations that develop and maintain transportation infrastructure for road, rail, ports, and airports, the need for these solutions is immediate. Despite the commitments outlined in the Paris Agreement, the world is not making enough progress to limit global warming to below 1.5⁰C by the end of this century. And transportation infrastructure is inherently embedded in natural environments. As a result, rising temperatures, fires, droughts, flooding, and severe weather are already placing it under significant strain. In response, transportation organizations are increasingly shifting from a pure focus on sustainability to one that encompasses climate resilience—the ability to ready themselves, respond, and recover from the effects of climate events in an efficient and timely manner. However, progress is still sluggish. For example, the U.S. Climate Resilience Toolkit reveals that proactive implementation of resilience measures is still limited across the US transportation sector, suggesting that many organizations do not have full-scale plans in place. And a global 369 Logistics analysis of more than 100 adaptation and resilience (A&R) projects in land transportation infrastructure reveals that much is still lacking in terms of comprehensive, coordinated solutions. An optimal approach to A&R means proactively understanding an organization’s vulnerabilities and developing a holistic strategy for decreasing risk and enhancing resilience. This means taking into account not only physical measures, such as the building of sea walls or fire barriers, but also technology-based solutions. These should cover two dimensions: the complete “resilience curve”—from readiness and response to recovery—and the full infrastructure life cycle. A Use-Case-Driven Approach to Technology Solutions Choosing the right tech solutions can be a difficult task, given that the field is complex and continually evolving. As leading transportation agencies, operators, and developers search for the most relevant and effective options, a use-case-driven approach can help. It allows these organizations to define exactly what resilience means for them, assess their existing gaps and capabilities, and target the most appropriate solutions to efficiently and effectively strengthen their resilience against future climate events. The Resilience Curve. It is essential that organizations be prepared along each part of the resilience curve if they are to reduce their vulnerabilities, ensure continuity of operations, and safeguard both their physical and intangible assets. Doing so will enhance their overall resilience rather than simply improve their reaction to isolated events. Readiness is the proactive element of the curve, in which organizations prepare for climate-related events by investing in resilience-related tech and infrastructure. These measures help reduce the potential financial, operational, and reputational losses caused by damaged infrastructure, interrupted services or downtime, and/or negative public perception. Response is the element in which organizations manage and mitigate the immediate impacts of an unexpected climate event, preventing cascading effects throughout the broader economy. Recovery is the element in which organizations restore their operations and return to a state of normalcy as swiftly as possible after an event. Recovery includes any work to repair damages, make existing infrastructure more resilient, restore services, or codify lessons from the event to better prepare for the future. The Transportation Infrastructure Life Cycle. The infrastructure life cycle runs from strategy, planning, and financing a project to its design and construction and, finally, to day-to-day operations, utilization, and maintenance of the assets. (See the exhibit.) The strategy-setting and long-term planning phases, including financing and governance, establish the organization’s foundational direction and resource allocation. Here, transportation organizations should use comprehensive risk assessments to help pinpoint vulnerabilities and ensure that their climate strategy is incorporated into high-level planning and capital investments. The design and construction phases for new or upgraded assets translate an organization’s strategic vision into tangible infrastructure. Given the long-term nature of these assets, it’s imperative that organizations integrate climate resilience into them from design onward. Day-to-day operations and utilization, including monitoring and maintenance, are the phases in which impacts from acute climate events are felt the most. Tools such as real-time monitoring systems, especially in areas such as airports and marine ports, are essential to provide timely data on climate impacts and ensuring immediate intervention during adverse events. Relevant Use Cases and Valuable Technologies To build resilience along each element of the resilience curve and at each step of the infrastructure life cycle, advanced technologies such as AI, Earth observation, the Internet of Things (IoT) sensors, augmented reality (AR), and advanced computing can bring key capabilities to life. These include: Gathering, completing, and processing data Strengthening planning and decision making Optimizing processes in real time Powering discovery processes Nudging adaptive and risk-reducing behavior AI, for instance, supports climate modeling and advanced weather forecasting by filling in data gaps and combining multiple sources to generate unprecedented detail. Climate impact can be experienced through immersive AR simulations. And Earth observation provides a macro view of planetary and large-scale geospatial data that complements micro data from distributed and connected IoT sensors, resulting in highly accurate early warning and disaster situation reporting. Each of these technologies matches use cases that we have identified as enhancing infrastructure resilience and is supplemented by case studies that highlight the implementation process and impact. As organizations review these use cases, we encourage them to consider their own unique needs to determine which tech solutions will best apply, strengthening their overall resilience. (See the slideshow.) Previous slide Next slide As an example, an organization that needs to generate alerts about the likelihood and potential severity of floods could strategically place sensors in bodies of water, on land, and within infrastructure assets to monitor water levels, rainfall, and other weather conditions, integrating the resulting information into forecasted meteorological data, such as wind speed. Another key use case is the employment of customizable software in support of emergency response teams, whether during their day-to-day operations or during a climate event. This capability can both improve communications and data-sharing and boost emergency preparedness and awareness, enhancing decision-making. Refining and Prioritizing Chosen Use Cases Once