A Digitalization Story Hitting the Mark
With its new digital platform, Borusan Lojistik meets the needs of the Turkish logistics industry and smoothens the troublesome operation process.
People are looking for something to hold on to. Everyone is lonely, everyone is worried.” You could imagine these words coming from a sociologist. However, this depiction does not come from a shallow society analysis but from an industry that lacks the bond of trust; that is, the Turkish logistics industry. The truck driver complains about not being able to find a customer while the customer is disappointed in not being able to find a truck driver that will take the commodities from point A to point B safely. Since the truck drivers know that they will return empty-handed from point B, they do not hit the road thinking that “it will not be worth it”. The stakeholders of this industry, which should have been supporting each other are downsizing due to cost and safety concerns.
Some think that this painful status of the industry, which follows traditional business conduct can be fixed through digitalization. Borusan Lojistik is a strong candidate here, determined to solve the problems of the industry through its digital platform. This platform was started in 2011 and the customers have been integrated since the last year. The digital platform that Borusan named eTA brings all stakeholders of the industry together. Just like Yemeksepeti that enables restaurants and customers to meet on a digital platform, eTA brings truck drivers, customers, and logistics companies together.
According to the General Manager of Borusan Lojistik, Mehmet Kalay, there are 200 thousand truck drivers in total. 156 thousand of these drivers are registered on their platform.
“Our starting point was that both parties were worried and lonely. Let us assume that the truck driver arrives at the customer’s place right on time at 3.30 p.m. And the customer says ‘I gave the job to someone else. Sorry!’ That is when Borusan intervenes. We tell the truck driver ‘A promise is a promise; I will pay you the promised amount’. Therefore, Borusan operates as a safety net for the truck driver. We provide reassurance for both parties. Let us say, the truck driver carries a load of 10 tons . And the value of the commodity is 30 thousand Turkish liras. Later on, it turns out that this truck driver is a thief. Again, Borusan intervenes and reimburses the customer.” eTA made 38 thousand runs last month. The new platform of Borusan is now the third biggest digital logistics platform in Europe in terms of turnover and number of runs. They have achieved a five-fold growth in one year. Referring to the traditional business conduct of the industry, Mr. Kalay says: “You cannot continue doing the same things and expect different results. We have continuously developed this digital platform over the years and have grown five times once we made it available to Borusan customers. Our objective is to become number one in Europe as of 2020.”
Alp Börü Business Week / 13 October 2019