Exploring Digitalization, Resilience, and Sustainability Challenges in the Cargo Transportation and Logistics Industry Through Topic Modeling and Empirical Evidence in the Aftermath of COVID-19

The COVID-19 pandemic has resulted in unprecedented disruptions, making the planning and management of cargo transportation and logistics challenging. The growth of e-commerce has added considerable pressure to logistics capacities, while the lack of contingency planning and unclear information about the situation has made accessing necessary supplies difficult. In our research, we have developed an approach that combines topic modeling analysis, semistructured expert interviews for empirical data collection, and the concept of a theory of change. This approach aims to identify critical areas of concern, determine short- and long-term mitigation measures for each identified critical area for establishing stability and interpretive mechanisms through digital technologies, and propose practical solutions for establishing resilient supply chains through a robust supply chain framework. Our comprehensive approach provides an accurate assessment of the challenges faced by the industry, highlights the critical areas of concern, and offers practical solutions for the post-COVID-19 cargo transportation and logistics industry.

I. Introduction

The cargo transportation and logistics industry plays a crucial role in facilitating international trade by handling the storage, delivery, and distribution of goods and services, as well as other tasks such as border crossings, port movements, customs clearance, documentation, and administrative duties. In the past, the industry has encountered disruptions caused by conflicts, trade disputes, exchange rate fluctuations, and natural disasters [46], [74], [127], [135]. Companies have responded to these challenges through various strategies, including forming strategic partnerships [23], relocating production to different countries [79], or utilizing currency derivatives [73]. However, the COVID-19 pandemic has had an unprecedented impact on the cargo transportation and logistics industry, unlike any other disruption [36], [124], [144], presenting challenges throughout the entire supply chain (SC). While wider SC studies may include cargo transportation, our research focuses primarily on this industry. Its vital role in global trade, combined with its exposure to different SC touchpoints and dependencies, renders it particularly vulnerable to disruptions. The above studies state how firms respond to disruption, but it is not so evident that the engagement of specific mechanisms with the support of technology that paved the way to changes and to shape the response is very limited. The aim of our research is to understand the impact of the COVID-19 pandemic on the cargo transportation and logistics industry and to understand the interventional strategies that fortify the industry against future disruptions.