Unitrans CEO Edwin Hewitt Discusses the Future of Logistics in South Africa

Despite the deterioration of South Africa’s aging transport infrastructure and a challenging operating environment, Unitrans CEO Edwin Hewitt is optimistic about the future of supply chain management and logistics in South Africa. He emphasizes the growing importance of data-driven decision-making in overcoming the sector’s challenges.

Hewitt serves as an advisor to Ian Bird, the senior executive overseeing transport and logistics at Business for South Africa (B4SA), an alliance of South African business leaders. B4SA collaborates with the National Logistics Crisis Committee, which was established in June 2023 to address the country’s ongoing rail, port, and road issues.

The Will to Find Solutions

Hewitt believes there is enough will and intent from both the government and the private sector to join forces and resolve the challenges the logistics industry faces. “As a country, we need to mobilize additional funding and resources to deliver key tangible outcomes,” he states. “The challenges Unitrans faces are the same for everyone. There are structural, macroeconomic, and infrastructure challenges, but we are a resilient country, and we will find solutions,” he adds.

Unitrans, alongside its holding company KAP Group, actively advises the government, participates in advisory committees, and works within industry associations to guide policy changes that can lead to a more sustainable logistics industry.

The Climate Challenge

Hewitt highlights that a company’s success is no longer defined solely by its financial performance. Environmental, social, and governance (ESG) factors—especially climate change—are increasingly impacting businesses in the logistics and supply chain sectors. He stresses that addressing these concerns is vital for the long-term sustainability of any logistics operation.

“Climate change is the responsibility of business,” Hewitt says. “We operate in an ecosystem with multiple interdependencies, and emissions are an important aspect that must be factored into how we operate.” While technologies like Euro 6 trucks can help reduce emissions, Unitrans goes a step further by utilizing data and technology to track and monitor its vehicles and driver behavior, mitigating fuel consumption and carbon emissions.

Data-Driven Decisions

Unitrans is committed to using data-driven strategies to improve both environmental performance and operational efficiency. “We are a data-driven organization,” explains Hewitt. “We have the tools, skills, and experience to convert data into actionable insights.” By analyzing data, Unitrans can design alternative supply chains and optimize routing, which results in more efficient and cost-effective operations.

Unitrans also integrates data from other industry players to optimize its transport network. Safety and risk management are key aspects of this approach. With in-cab technology and telematics systems, the company can monitor driver behavior in real-time. Technologies like the DriveCam system, provided by Unitrans’ sister company Optix, record data on driver fatigue and unsafe behaviors, allowing for proactive interventions and improved safety standards.

Improved Decision-Making and Cost Efficiency

Hewitt emphasizes that better decision-making, supported by data, can lead to cost savings, improved safety, and ultimately greater efficiency. Unitrans utilizes data to improve demand forecasting and driver behavior, which in turn reduces costs, mitigates risks, and enhances shareholder returns. By ensuring safer, more efficient driving, Unitrans contributes to the broader success of its clients while navigating challenges like fuel price volatility and commodity cycles.

Competition and Enterprise Development

As more smaller players enter the logistics industry, competition has intensified. However, Hewitt notes that smaller companies often struggle to afford the advanced safety and telematics technologies that larger organizations, like Unitrans, invest in. Despite the challenges of competing with these smaller, low-cost operators, Unitrans remains committed to maintaining high service quality.

“We invest in technology and data to make our operations safer and more efficient,” says Hewitt. “Ultimately, we do all of this, not only for our own success but also for our clients’ success.”