ABSTRACT

This chapter focuses on areas likely to be affected by privatisation - operating efficiency, opportunities for change and new methods of conducting road freight operations. It aims to consider the development of road freight efficiency in the UK since the late 1970s and early 1980s as a model for Egypt. The ultimate objective of private businesses is to create and increase their profits, either through increasing sales or by reducing costs. The capital costs of road haulage can be defined as all expenditure on the purchase or hire of vehicles, buildings, depots and equipment. In developed countries the road freight industry has reacted to the logistics approach by offering a wider range of services than the traditional operator, who normally provided only transport. Effective logistics and supply chain management systems require efficient intermodal transport. Therefore, the privatised Egyptian road freight sector will need to interact with the ports and maritime sector.