International Journal of Shipping and Transport Logistics (39 papers in press)
The most common type of disruption in the supply chain - evaluation based on the method using Artificial Neural Networks
by Augustyn Lorenc, Malgorzata Kuznar
Abstract: The article focuses on intermodal transport. Developed method was used in article to estimate the most common type of disruptions in supply chain, which turned out to be a cargo theft during road transport, and hence the probability of theft risk appearance, but presented in the article method can be useful to estimate the probability of appearance other types of disruptions in the supply chain. The article presents an outline of a complex method uses ANN for identifying and forecasting disruptions in the supply chain. This method is based on the latest data of disruptions in the supply chain, which allow for appropriate response to supply chain disruptions in order to minimize losses and costs associated with losses The developed model can be used to support decisions about additional cargo insurance for high risk of theft transport cases or the usage of monitoring systems for the location or parameters of the cargo.
Keywords: intermodal transport; supply chain disruption; supply chain resilience; cargo parameters monitoring; risk appearance in transport chain; intermodal transport risk.
Coordination mechanism framework for container dwelling time reduction
by Femi Yulianti, Senator Nur Bahagia, Andi Cakravastia, Rajesri Govindaraju
Abstract: Dwelling time contributed 36.3% to the total time of land transportation in 2017 and is one of the commercial instruments to attract cargo and generate revenue. The government of Indonesia has attempted to reduce dwelling time by improving infrastructure and reforming bureaucracy but so far has paid little attention to straightening out coordination mechanisms between actors. Few studies have been conducted on port management integrated planning and control of all seaport areas and on coordination mechanisms related to dwelling time. This paper seeks to fill this gap with the question: How can coordination mechanisms between actors be conducted to reduce dwelling time? For answering this question, a coordination framework was built as the basis for the development of three coordination mechanism models.
Keywords: container; coordination; dwelling time; port.
Evolution and container traffic prediction of Yangtze River Delta multi-port system (2001-2017)
by Hongxiang Feng, Manel Grifoll, Pengjun Zheng
Abstract: Yangtze River Delta (YRD) region is a port agglomeration with the densest port distribution and highest throughput in China. Since 2003, three mega provincial port groups: Shanghai International Port (Group) CO., LTD. (SIPG), Zhejiang Province Seaport Investment & Operation Group Co. (ZPSIOG) and Jiangsu Port Group Co., Ltd. (JPG) formed in YRD multi-port system. Firstly, this contribution investigates the latest concentration tendency of YRD multi-port system with Concentration-Ratio, Herfindahl-Hirschman-Index and Shift-Share-Analysis. Results show that ZPSIOG is the major winner; SIPG is losing its oligopoly since 2012; SIPG, ZPSIOG and JPG are reaching a tripartite equilibrium in market share. Secondly, the contribution uses ARIMA model, linear regression model and GM (1, 1) model to forecast container throughput of SIPG, ZPSIOG, JPG and YRD. By mean absolute percent error (MAPE) criteria, all models have good or reasonable performance, ARIMA model obtains the best performance with MAPE of 2.37%, 2.41% and 6.54% when time series seem linear, however does not have excellent performance (MAPE is 14.26%) when time series is non-linear. Finally, we compare the indirect and direct method to forecast the YRD container throughput. In this case, the MAPE decreases from 6.54% to 3.85% respectively using the ARIMA model, which supports the out-performance of indirect forecast method. The combination of the analysis of the concentration index and forecasting methods has allowed to gain insight in the evolution and prospects of YRD container multi-port system.
Keywords: concentration; ARIMA; grey system; linear regression; indirect forecast.
International intermodal container shipping network in South Asia: Modelling and policy simulations
by Ryuichi Shibasaki, Tomoya Kawasaki
Abstract: This paper focuses on the international intermodal container cargo shipping network in South Asia. A two-layered network assignment model of international container cargo is applied to this region, for simulating the impact of policies designed to increase the level of international logistics infrastructure. The first simulation, which focuses on the improvements of the road and rail networks around the largest port in this region (Jawaharlal Nehru Port Trust, or JNPT), reveals that Indian west coast ports are very competitive in acquiring cargo both originating from and destined to Delhi. More importantly, these west coast ports face critical capacity constraints for hinterland shipping around JNPT. The second simulation estimates the effect of the recommencement of the international ferry connecting South India and Sri Lanka and suggests that the reduction of cross-border barriers and improving connected rail services are essential for promoting the international ferry service.
Keywords: intermodal transport; global maritime container shipping; network assignment; South Asia; logistics policy simulation.
Solving the Empty Container Problem using Double-Container Trucks to Reduce Vehicle Miles
by Santiago Carvajal, Maged Dessouky
Abstract: This paper proposes a mathematical model for the empty container reuse problem using double-container trucks. The model discretizes time and makes sure demand is met. Several model properties are presented, along with two heuristics that allow the model to be solved. By solving the empty container reuse problem, truck miles can be reduced since less truck trips are needed to satisfy the demand. Furthermore, since double-container trucks can deliver two containers per truck trip, the amount of trucks needed to satisfy the demand is decreased even more, further reducing truck miles. This will in turn make the system more environmental friendly. The model is then tested using the data from the Ports of Los Angeles and Long Beach, and on randomized data sets.
Keywords: container management; empty container problem; integer programming; double-container trucks.
Green Port Performance evaluation under uncertainty: A multiple attribute group decision analysis
by Dan Zhao, Tiantian Bao, Kevin Cullinane, Yuhong Wang
Abstract: This paper aims to assess the performance of a port within the context of its supply chain on the basis of integrating a five-dimensional balanced scorecard with green performance criteria. A multiple attribute group decision making (MAGDM) approach is proposed which encompasses both intuitionistic fuzzy set theory and evidence theory in order to properly represent and aggregate the uncertain information which prevails within any process of such an evaluation. With an empirical application, the evaluation results provide effectively not only the ranking order of all alternative port enterprises, but also the strengths and weaknesses of each one, at the detailed level of individual performance attributes.
Keywords: MAGDM; Green port; Supply chain management; Performance evaluation; Intuitionistic fuzzy set; Evidence theory.
Information Sources Used By Charterers to Select Shipowners
by Sedat Bastug, Durmus Ali Deveci
Abstract: This study aims to identify the information search behaviour of charterers in selecting shipowners within a business-to-business framework. It focuses on charterers information sources and how different factors (individual, organizational, and purchase-related) affect the information search since this construct is a major component of comprehensive theories of organizational buying behaviour. Understanding the buying behaviour of charterers also helps marketers to increase customer satisfaction. The analysis is based on questionnaire responses from 141 firms that have recently chartered vessels. From a principal components analysis, the study identified eight sets of information sources, of which impersonal, emails and reference-based information were the most important. The results show that the business-to-business information sources used by ship charterers vary significantly according to organization size, centralization, type of purchase, purchase complexity and experience. Further analyses revealed a significant relationship between these factors and business-to-business information sources, specifically between the importance of the purchase, perceived risk, formalization, standardization, personal stake, specialization, and use of information resources. Finally, the study revealed a significant relationship between business-to-business information sources and customer satisfaction.
Keywords: Information Sources; Ship Chartering; Business to Business services; Industrial Buying.
Emission Accounting of Shipping Activities In the Era of Big Data
by Yuwei Yin, Jasmine Siu Lee Lam, Nguyen Khoi Tran
Abstract: Maritime transportation has generated a considerable amount of emissions and affected the global atmospheric environment. A key step of effective emission control is to construct reliable models of emission accounting. In recent years, there has been a major innovation in emission accounting, the application of big data, especially the data extracted from Automatic Identification System (AIS). In this paper, a dynamic and comprehensive analysis is developed to depict how emission accounting models have been evolved in this era of big data. In the perspective-based review, we thoroughly investigate the geographical coverage and pollutant types involved in the existing emission studies. In the process-based review, this paper establishes a solid knowledge framework of the two basic modelling concepts: top-down and bottom-up approaches. Furthermore, updated emission modelling methodologies and high resolute data sources are introduced. But the latest models are still subject to various sources of uncertainties. Hence, this paper identifies such unsolved problems and sets up a future research agenda.
Keywords: Emission Accounting; Big Data; Bottom-up model; Top-down model; Ship emission; CO2 emission; Greenhouse gases; Automatic Identification System (AIS) data.
SYMMETRIC AND ASYMMETRIC RELATIONSHIP BETWEEN MARITIME TRANSPORTATION AND FOREIGN TRADE VOLUME
by Dilek Temiz Dinç, Huseyin Karamelikli
Abstract: In this study, the short and the long-run relationship between maritime transportation and foreign trade volume and also the linear and nonlinear characteristics of this relationship were investigated. Linear relations between maritime transportation and foreign trade volume were analyzed by the autoregressive distributed lag model (ARDL), and nonlinear relations were analyzed by the nonlinear autoregressive distributed lag model (NARDL) by using monthly data between 2004 and 2018 in Turkey. According to the results, it was revealed that only the short-run asymmetry and long-run symmetry model was statistically valid and that results should be taken into consideration.
Keywords: symmetric relationship; asymmetric relationship; nonlinear model; maritime transportation; foreign trade volume; economics; logistics.
Evaluating employees perception toward the promotion of safety marketing at ports
by Chia-Hsun Chang, Chi-Chang Lin
Abstract: This research aims to evaluate the effects of safety marketing on employee safety climate, safety attitude, and safety behaviour in the context of logistics operations at ports in Taiwan. Exploratory factor analysis is initially proceeded to identify the key factors of safety marketing and safety climate. Confirmatory factor analysis and Structural Equation Modelling examined the effects between safety marketing and safety climate on employees safety attitude as well as behaviour. Regression analysis determined whether moderating effects of supervisors safety commitment exist on the relationships from both safety marketing and safety climate to safety attitude. Results reveal that safety marketing has a positive effect on safety climate and employees safety attitude, while a non-significant effect on employees safety behaviour. Meanwhile, safety climate has a positive effect on employees safety attitude. Results also show that a higher attitude of supervisors safety commitment will enhance the effects of safety marketing and safety climate on employee safety attitude.
Keywords: Safety marketing; safety climate; ; safety attitude; safety behaviour; supervisor’s commitment.
Logistics Quality Management Practices and Performance of International Distribution Center Operators
by Ching-Chiao Yang, Christina W.Y. Wong, Ting-Yu Liao
Abstract: This study quantitatively examines the enabler and performance outcomes of logistics quality management in the context of international distribution center operators based on absorptive capacity theory. Totally, 110 usable surveys were collected by the questionnaire survey and a two-step structural equation modeling (SEM) approach including confirmatory factor analysis (CFA) was subsequently employed to evaluate the values of logistics quality management. Results of SEM show that logistics information integration is positively related to the implementation of logistics quality management, which in turn has a positive impact on logistics services and organizational performance. Findings also confirm the mediating roles of logistics quality management and logistics service performance in this study.
Keywords: Absorptive capacity theory; Logistics information integration; Logistics quality management; Structural equation modeling.
The Effectiveness of Freight Costs on Trade Potentials Between China and European Union, Middle East, North African Countries Under China-Pakistan Corridor
by Osman Ghanem
Abstract: The study tries to estimate the trade potentials might be raised by comparing the current maritime route of one belt one road initiative and new maritime route in particular with the China-Pakistan corridor as a result of the changing freight costs, shipping period and distance between European Union (EU), Middle East, North African countries (MENA) and China. To estimate trade potentials, qualitative and descriptive statistical methods will be used to compare the real and predicted trade. The results suggest that China and the European Union (EU), Middle East and North African countries (MENA) can increase trade potentials and show that average predicted freight costs, shipping period and distance between china and European Union (EU) are decreased by $1545, 16.3 days and 10084 km respectively, and the average predicted freight costs, shipping period and distance between china and Middle East and North Africa (MENA) are decreased by $1695, 17.2 days and 10477 km respectively.
Keywords: freight cost; trade potential; EU; MENA; China-Pakistan corridor.
Economic Route Selection under the Integrated Operation Mode: Case Study of China Railway Express in Zhengzhou
by Xuefeng Wang, Yangyang Gu, Jiawei Ge, Liming Sun
Abstract: As a derivative and symbol of the Belt & Road Initiative (BRI), local governments in China raced to launch block trains to Europe, so called the China Railway Express (CR Express), isolating the economic potential of Euroasia rail transportation. From a logistic integration perspective, this paper establishes a multi-objective optimization model to find the optimal economical route by improving traditional route selection model, where the influence of the transportation mode and route is considered comprehensively. The genetic algorithm is applied to encode and solve the model. A case study is conducted to evaluate the economic benefit of various modes and route choices from Chinas cities to Lodz in Europe via Alataw. The findings show that the performance of an integrated operation in Zhengzhou is better than that of isolated operation. Compared with the isolated operations in various places, overall logistics time of integrated operation in Zhengzhou decreased by 7.14%, while the overall container logistics cost per unit decreased by 13.64%.
Keywords: CR Express; multi-objective; genetic algorithm; economic route selection; operation mode.
A Methodology to Classify Interventions in Ports Demand Series Changes Applyed to Brazilian Ports
by Francisco Gildemir Ferreira Da Silva
Abstract: The institutional, commercial and economic structure in Brazil has changed so far. In recent decades, Brazilian ports have changed operations or infrastructure through government intervention or exogenous disruption. In addition, Brazilian ports suffered some impacts, essentially, on the dynamics of port demands. The assumptions that economic series follow trends that are interrupted by external or intended interventions are very fruitful today. Some empirical approaches to measure the break point or magnitude of the breakdown in an economic series have been proposed by some economists. Notably the analysis of time series interventions was used in this work. Methodologically, the intervention was classified by measuring magnitude, direction and signal via univariate time series models. Following, the common characteristics of each intervention were compared, summarizing the common characteristics of the interventions. The proposal is important for political decision makers, particularly in a regulated market such as the Brazilian port. Classification can guide models of port demands for policy making to increase port efficiency, making ports more operationally effective. Method results can be used to select and use dummies in policy evaluation, such as increased infrastructure investment or protection of the port backwater area.
Keywords: Intervention Impacts Technique; Port Demand; Time Series Analysis.
A fuzzy AHP approach to evaluating differences between ocean container carriers and their customers
by Ayfer ERGIN
Abstract: The study has investigated ocean container carrier selection criteria in order to determine the differences and similarities between carriers and their customers in the Turkish market. In application, four separate groups have used: carriers, freight forwarders, shippers, and consignees. For the first time, differences in perspective between carriers and their customers are studied in Turkey, eliminating the gap in knowledge about this market. It is also the first study to utilize fuzzy Analytical Hierarchy Process (AHP) method to examine the differences in perceptions between ocean container carriers, freight forwarders, shippers, and consignees. This study contributes to the literature by employing both a new region and an unused method. The studys findings are that the most important sub-criterion for carriers and freight forwarders was low freight; meanwhile, the most important criterion for shippers was determined to be equipment availability. The most important sub-criterion of consignees was on-time notification of the customer.
Keywords: ocean container carriers; freight forwarders; shippers; consignees; fuzzy Analytical Hierarchy Process (AHP); Turkish liner shipping market.
An empirical investigation of green shipping practices, corporate reputation and organizational performance in container shipping
by Kelvin Pang, Lu Chin-Shan, Kuo-Chung Shang, Hsiang-Kai Weng
Abstract: This research examined the effects of green shipping practices on corporate reputation and organizational performance amongst container shipping firms. Structural equation modelling was employed in this study using survey data collected from 130 container shipping firms in Taiwan. Results indicated that green shipping practices are positively associated with organizational performance, and corporate reputation positively influences organizational performance. This research also found that corporate reputation mediates the effects of green shipping practices on organizational performance. This study suggests that container shipping companies could enhance their environmental responsibility to improve their corporate reputation and organizational performance. The implications of the findings are discussed.
Keywords: green shipping; container shipping; corporate reputation; organizational performance.
Analysis of the Effect of Cruise Service Supply Chain Network Properties on Economic Profits
by Ling SUN, Wei Liu, Hanwen Zhang, Yan Jin, Gaoqiang Zhuo
Abstract: The cruise service supply chain (CSSC) is an integrated supply chain dominated by the cruise tourism service. It consists of a series of demand service providers, such as food, accommodation, transportation, travel, shopping, and entertainment. Based on social network theory, we outline the network properties of CSSCs. Using game theory models, we compute the profit distribution in a simplified version of the CSSC network. After studying different cooperation strategies among network members, we find that the overall network profit and profit distribution change with the network properties. When the network range and scale are fixed, the overall profit of the network increases with the relationship persistence, relationship strength, and cooperation between network members, while it decreases when there is top-down exploitation among network members. After evolving rules of the network structure, this paper This paper further refine the research based on the proposed growth path of CSSC, which is exactly from the centralized network to the distributed network and finally to the interconnection network. It is consistent with the decentralized trend of the block chain. Eventually this paper provides recommendations for the development mechanism of each CSSC network growth stage and for enhancing cooperation among network members.
Keywords: cruise service supply chain; profit distribution; network property; centrality; structural hole.
Model and Algorithm for Vessel Scheduling Optimization through the Compound Channel with the Consideration of Tide Height
by Bin Zhang, Zhongyi Zheng
Abstract: To optimize vessel scheduling passing a compound channel with the water depth influenced by the periodic tide, this study establishes the vessel scheduling model through a typical tidal compound channel. In addition, based on the actual tidal data of the channel, a tide height computation function varying with time is obtained. Then a designed genetic algorithm (GA) is utilized to verify the model by the actual vessels' data through the Tianjin port fairway. The test experiment shows that the organization efficiency is better than other methods, including larger draft vessels first (LDF), First Come First Served (FCFS), random scheduling (RS) and manual scheduling. It can take full advantage of the high tide and improve the vessel scheduling efficiency of a compound channel. With minor alterations, the proposed model and designed algorithm can also serve for vessel traffic organization in other compound channels affected by tide water as well.
Keywords: compound tidal channel; tide height computation; optimization; vessel scheduling model; genetic algorithm.
On the Application of Uncertain Three-player Two-stage Game to the Competition among Shipping Alliances
by Thi Minh Hoang Do, Gyei-Kark Park, Kyoung-Hoon Choi, Xiangfeng Yang
Abstract: The financial crisis in 2008 has had a negative impact across all economic sectors, especially the shipping industry. Consequences of which include low freight rate, decreasing demand, overcapacity, historical low profit and even bankruptcy. Most of the top container lines have formed strategic alliances in order to strengthen their market coverage to avoid collapse; however, the fierce competition among such powerful carrier groups and group members is becoming a major concern. The purpose of this paper is to examine the competition from a pricing perspective and capacity expansion among the recently established alliances namely 2M+H, The Alliance and Ocean Alliance. An uncertain competition game model is built using game theory and uncertainty theory and the Nash equilibrium prices and expansion decisions of the three players are found accordingly. The ideas from experts in the field were employed to measure the uncertain future container demand and real data were used to validate the game model. The results from the research suggest that the forecasted container growth rate in Transpacific trade route is 2.65% in the next five-year period. Such a modest demand growth rate, low vessel utilization, high idle ship expenses and high investment cost discourage all alliances from investing in new ships at the same time to prevent further financial loss. Therefore, it is recommended that the number of new ship orders should be reduced at this moment in time and alliances strategic actions should be made to rebalance the shipping industry.
Keywords: container lines; competition; strategic alliances; game theory; uncertainty theory; expansion decisions; three players.
Simulation of Truck Arrivals at Container Terminal Based on the Interactive Truck Appointment System
by Qianqian Shao, Mingxia Huang, Siqi Zhang, Yunfeng Zhang
Abstract: Truck appointment system (TAS) is used to regulate the number of trucks that can enter the terminal. However, because of the limited number of quotas, TAS is incompetent to fully meet all requirements of time window for individual truckers. In order to avoid the limitation of TAS, a simulation-based truck appointment mechanism named interactive appointment system (IAS) was proposed with the purpose of balancing truck arrival peak and reducing truck turnaround time. IAS allows the trucker to get the estimated truck turnaround time over his preferred arrival time interval when making an appointment application. This can assist him to choose a reasonable appointment arrival time. Moreover, a discrete event simulation model was formulated to estimate truck turnaround time, through describing the tri-stage queuing system (gate-parking lot-yard) of terminals, with considering the interference of block occupying brought by ship discharging/loading operations. Results of a series of experiments demonstrate the effectiveness and robustness of IAS on alleviating congestion inside/outside terminal and decreasing truck turnaround time. In addition, how the parking quantity of parking lot influences the efficiency of terminal queuing system was also discussed in this study.
Keywords: container terminal; container logistics; truck appointment system; terminal parking lot; terminal congestion; truck arrival time; truck arrival peak; simulation modelling; queuing model; turnaround time.
Container barge (un)reliability in seaports: A company case study at the port of Antwerp
by Virzhiniia Oganesian, Christa Sys, Thierry Vanelslander, Edwin Van Hassel
Abstract: Inland waterways and ports play an important role in the entire transport system in the Hamburg Le Havre range, and for the seaports of Antwerp and Rotterdam in particular. The high proportion of inland navigation for both ports can be explained by reasons such as an extensive network along with a safe, reliable, sustainable and cost efficient transport. However, despite all these advantages, container barge transportation still faces certain challenges.
A major challenge relates to the unreliability of barge handling in large seaports, affecting overall performance of barge services essentially. This research shows that barge congestion exists, and it examines the causes of the observed phenomena. Next, it also provides an overview of solutions that are being developed in the port of Antwerp to improve and optimize container barge handling. Last, a case study is developed for a company that is located in the near proximity of the port of Antwerp, where the impact of barge handling unreliability is analysed.
Keywords: hinterland transport; inland navigation; inland port; container barge handling; supply chain.
Time Series Forecasting of Domestic Shipping Market: Comparison of Sarimax, Ann-Based Models and Sarimax_Ann Hybrid Model
by Cemile Solak Fiskin, Ozgu Turgut, Sjur Westgaard, A. Güldem Cerit
Abstract: Seaborne transport forecasting has attracted substantial interest over the years because of providing a useful policy tool for decision-makers. Although various forecasting methods have been widely studied, there is still broad debate on accurate forecasting models and preprocessing. The current paper aims to point out these issues, as well as to establish the forecasting model of the domestic cargo volumes using SARIMAX, MLP, LSTM and NARX and SARIMAX-ANN hybrid models. Based on the domestic cargo volumes of Turkey, findings suggest that SARIMA-MLP models can be considered as an appropriate alternative, at least for time series forecasting of shipping. Pre-processed data provides a significant improvement over those obtained with unpreprocessed data, with the accuracy of the models found to be significantly boosted with the Fourier term of decomposition. The results indicate that SARIMAX-MLP, with a mean absolute percentage error (MAPE) of 4.81, outperforms the closest models of SARIMAX, with a MAPE of 6.14 and LSTM with Fourier decomposition with a MAPE of 6.52. Findings have implications for shipping policymakers to plan infrastructure development, and useful for shipowners in accurately formulating shipping demand.
Keywords: time series forecasting; shipping; artificial neural network; ARIMA; machine learning; hybrid model.
A simulated annealing-based approach for a real case study of vehicle routing problem with a heterogeneous fleet and time windows
by Jose Bernal, John Wilmer Escobar, Rodrigo Linfati
Abstract: We propose a meta-heuristic algorithm for addressing a real case of vehicle routing problem with a heterogeneous fleet and time windows. Our proposal consists of generating an initial feasible solution using the solution of a travelling salesman problem and, subsequently, refining it through simulated annealing. In this work, we evaluate the suitability of our development to planning the distribution of a regional distribution center of a food company to customers within the urban perimeter of Cali, Colombia. Following the companys customer satisfaction goals, our primary aim is to route to reach a service level of 95% while reducing operational costs. Our results on our real case study show that our meta-heuristic algorithm finds better routes than current ones, in terms of costs and service levels, in a relatively short time.
Keywords: Vehicle routing; heterogeneous fleet; time windows; meta-heuristic; simulated annealing.
Nash Bargaining of Transportation Rates with Flow Imbalances
by Marcos Singer, Ignacio Pardo, Ricardo Sánchez
Abstract: Consider two points, A and B, which trade products with a flow imbalance. We postulate that shippers at A face an implicit negotiation with the shippers at B regarding who must bear the cost of a vehicle traveling back and forth. Following the Nash bargaining model, we deduce that the ratio (freight rate A-to-B) / (freight rate B-to-A) changes linearly with the ratio (flow B-to-A) / (flow A-to-B). We validate our model with evidence from previous publications and with quarterly data from the Transatlantic, Transpacific and Europe-Asia maritime routes from 2003 to 2012.
Keywords: Transportation rates; Flow imbalances; Nash bargaining; Maritime routes; Backhaul problem.
Firms Operational and Logistics Characteristics and Realisation of Business Analytics Benefits: Evidence from Stock Markets
by L. M. Daphne Yiu, Andy C. L. Yeung, Hugo K. S. Lam, T. C. E. Cheng
Abstract: The idea of big data provides practitioners in the logistics industry with valuable opportunities to improve their operational efficiency and economic performance. In fact, business analytics techniques are increasingly being used in international logistics, shipping, and supply chain management. We examine the impact of business intelligence (BI) system adoption on firms market value and the influences of the operating characteristics and contexts of firms. Specifically, we examine whether the impacts of BI adoption is contingent on industry competitiveness, firms operating cycle, and industry munificence. Using the event study methodology, we analyse 272 manufacturing firms in the United States that adopted BI systems from 2005 to 2014. We find that BI adoption does not have an immediate impact on firms stock returns, but such impact is significantly enhanced for firms in highly competitive industries, and those with short operating cycles and high industry munificence, i.e., high-growth industries, suggesting that firms in fast-changing dynamic environments find BI systems much more useful.
Keywords: business intelligence systems; stock returns; industry competitiveness; operating cycle; industry munificence.
DESIGN FOR SUSTAINABLE SHIP DISMANTLING BASED ON TRIPLE BOTTOM LINE PERSPECTIVE
by Yucel Ozturkoglu, Yigit Kazancoglu, Yesim Deniz Ozkan Ozen
Abstract: While ship dismantling is an important economic sector, especially for developing countries, it has severe impacts on human health and the environment. Therefore, it is essential to adopt sustainable approaches to ship dismantling. Considering the entire life cycle of ships, the sustainability of dismantling activities can be affected by the initial ship design phase. This study therefore investigates the relationship between ship design criteria and triple bottom line sustainability dimensions: human, environment and business. A multi-criteria decision-making method, fuzzy TISM, is used to determine the distinct causal relationships between design criteria and effects on humans, the environment and business. This contributes to the literature regarding designing for sustainable ship dismantling. The study recommendations to management, covering the training of designers, work design, material selection, life cycle assessment, standardization of parts and modular design, top management support and governmental support for design for sustainable ship dismantling practices.
Keywords: Ship Dismantling; Ship Design; Sustainability; Triple Bottom Line.
Sustainable Port Development: The Role of Chinese Seaports in the 21st Century Maritime Silk Road
by Chuanxu Wang, Hercules Haralambides, Le Zhang
Abstract: We develop an evaluation model for the 15 Chinese ports, intended to be the eastern end of Chinas Belt and Road Initiative (BRI). Our aim is to determine those ports respective roles within BRI, so as to also ensure the latters sustainable development. To do this, we introduce the concept of sustainable development capability. We employ principal component analysis and analytic hierarchy process to build an assessment system which evaluates the cooperative sustainability of these ports on the basis of four dimensions: capacity of port operations; (ambient) economic conditions; environmental factors; and human intellect and technology (HIT). Sensitivity- and cluster analysis are used, to classify the 15 ports into four categories (or respective roles): international hub ports; regional hub ports; node ports; and regional gate ports. Our results single out Shanghai as the only international hub port. The ports of Tianjin, Guangzhou, Shenzhen, Dalian, Ningbo and Qingdao come out as regional hubs. The remaining ports are deemed to be able to serve as nodes or regional gate ports, connecting China to MSR. It is hoped that the port system we present and assess here will provide guidance to ports and countries, especially in Europe, leading to the right alliances and partnership agreements among ports, that could turn the Maritime Silk Road into an efficient global transportation system.
Keywords: One Belt-One Road; OBOR; Belt and Road Initiative; BRI; China; Sustainability; Seaports; Principal Component Analysis; Analytic Hierarchy Process; Sensitivity Analysis; Cluster analysis.
A Probabilistic Safety Assessment Framework for Arctic Marine Traffic Using the Evidential Reasoning Approach
by Shuaiyu Yao, Hao Hu, Jian-Bo Yang
Abstract: The global warming has made Arctic marine traffic possible, but the harsh navigation environment threatens its safety and restrains its development. It is necessary to evaluate the safety of Arctic marine traffic environment. The evidential reasoning approach is used to establish a new hierarchical model for the safety evaluation due to its advantages such as being able to deal with uncertainty caused by ignorance or lack of knowledge. The model is based on objective environmental data of safety gathered from the Arctic voyage of a general cargo vessel Tian You and subjective judgements collected from domain experts. The safety evaluation results show that the locations in East Siberian and Laptev Sea have a generally safer environment for marine traffic than the one in Kara Sea. The proposed model validated by sensitivity analysis provides an informative and rigorous basis for decision making of Arctic marine traffic.
Keywords: Safety evaluation; Arctic marine traffic; Expert judgements; Evidential reasoning approach; Multiple criteria decision making.
Integrated dedicated berth allocation and specialised handling equipment assignment in bulk ports
by Dolores Perez, Jian Gang Jin
Abstract: This paper addresses the berth allocation problem in bulk ports to enhance the operation efficiency of a bulk cargo terminal by integrating the berth allocation and handling equipment assignment decisions. Apart from deciding where to berth a bulk carrier, ports must allocate specialised equipment based on the type of cargo the vessel carries. The proposed mathematical optimisation model considers a discrete berth layout and specific transfer rates of handling equipment such as conveyor, pipelines, grab cranes and cement facilities, with the objective of minimising the overall port stay time. The developed optimisation model was tested with data retrieved from real-world bulk ports and it can be efficiently solved by the commercial solver CPLEX. Results show that it successfully assigns vessels to dedicated berths evading congestion. Furthermore, the model properly allocates berth positions and specialised handling equipment reducing the overall turnaround time, thus improving customer service.
Keywords: bulk port; berth allocation; handling equipment assignment; shipping logistics.
Risk in port logistics: risk classification and mitigation framework
by Kee-hung Lai, Markus Vejvar, Venus Y.H. Lun
Abstract: Ports are important nodes in maritime transportation networks. However, port managers face different types of risks in port operations which may disrupt cargo flows in the logistics chain. These risk factors are expected to increase in view of such global issues as climate change and geopolitical changes. An overview of risk classifications and mitigation strategies in port logistics can help academics and practitioners prepare for managing port logistics risks. Consequently, this paper presents a conceptual discussion of port logistics risks and illustrates an exemplary define-measure-analyse-improve-control (DMAIC) implementation framework to highlight potential risk management and mitigation strategies in port operations. Our discussion advances knowledge on the different risk factors with a practical step-by-step approach for addressing the risk in port logistics.
Keywords: port operations; risk classification; risk management; maritime logistics; continuous improvement.
Finding the optimal order of priority for dry port construction: case study in the North of Vietnam
by Viet Linh Dang, Gi-Tae Yeo
Abstract: The development of the Vietnam dry port system is facing many difficulties, especially in matters of calling for investment as well as synchronisation in developing transport infrastructure, such as between rail systems and dry port networks. The purpose of this study is to apply multiple-criteria decision analysis (MCDA) to investigate the determinants in prior implementations of dry port construction, as well as find the order of priority for dry port construction in Northern Vietnam. The results indicate that the possibility of transportation cost reduction is the most important factor, followed by the accessibility to highway road infrastructure and to seaports. Phu Dong dry port is indicated as the first port that should be invested in, thanks to its superiority in terms of geography, its ability to connect with the means of transportation as well as other factors, followed by the dry ports of Huong Canh, Lang Son, and Cao Bang.
Keywords: dry port; multiple-criteria decision analysis; MCDA; fuzzy TOPSIS; fuzzy Delphi; optimal order; Vietnam.
The volatility transmission between crude oil market and tanker freight market
by Lei Dai, Hao Hu, Yu Tao, Seungwon Lee
Abstract: International crude oil and tanker shipping markets interrelate closely. Crude oil prices and tanker freight rates always fluctuate drastically, however the volatility transmission mechanism between the two markets have been ignored. The purpose of this study is to examine volatility transmission effects between the two markets by applying the BEKK-GARCH model on analysing Brent oil prices and Baltic Dirty Tanker Index. The index range was set from 18th January 2007 to 9th November 2015 covering the periods of financial crisis and oil price fall. Results show that volatility is mainly transmitted from crude oil market to tanker freight market from a long-term perspective, but not vice versa. Some bi-directional effects were found in tanker freight market that lagged variances and could affect the current variance in a counterpart market, regardless of the volatility transmission for some certain periods. The findings could help the practitioners better understand the market dynamics.
Keywords: crude oil price; tanker freight; volatility; BEKK-GARCH model.
Special Issue on: Port Sustainability and Resilience
A holistic sustainability framework for oil terminals: the case of China
by Xuemuge Wang, Shaofeng Liu, Jingjing Xu, Michael Roe
Abstract: This research provides a sustainability framework for the Chinese oil terminal sustainability performance evaluation. Due to the lack of existing holistic oil terminal sustainability research and the increasing demand for sustainability pursuits, the developed sustainability framework is expected to act as holistic guidance for port managers to systematically improve oil terminal sustainability performance by showing which indicators and groups should be considered. First, multiple existing sustainability performance indicators from literature are identified to form the theoretical framework. Then, omitted practical or included unpractical indicators are added to/eliminated to finalise a holistic practical developed framework via semi-structured interviews with 34 experts. After a thematic analysis of the interview results, 14 categories and 65 indicators are identified. Convincingly, this research validates and replenishes the existing indicators to enhance reliability and feasibility of the empirical framework. This research contributes to the existing literature a holistic and practical sustainability guidance for Chinese oil terminals.
Keywords: sustainability framework; sustainable indicators; oil terminal; port overproduction; China.
Service recovery and customer satisfaction in container liner shipping industry - an ordered logit approach
by Enna Hirata
Abstract: This paper assesses the responsiveness of service recovery process to customer satisfaction in container liner shipping (CLS) industry. The research deals with real-world business events, conducted using a survey method, in which customers evaluate service recovery scenario and complete a questionnaire with respect to CLS carriers they had recently patronised. Estimated by ordered logit regression method, the results show that timeliness of communication is the most significant service recovery attribute. It also finds that customers in different segments prefer receiving recovery resources in different ways; effective service recovery could help improve customer satisfaction and service recovery paradox exists in the industry. The findings contribute to the understanding of theoretical explanation of service recovery attributes and provide managers with useful guidelines for establishing effective recovery process. Unlike other research, this paper draws on data from actual customers in CLS industry and therefore benefits from increased external validity.
Keywords: container liner shipping; CLS; service recovery; beneficial cargo owners; BCOs; customer satisfaction; freight forwarders; FFWs; service recovery paradox; ordered logit model; survey; recovery attributes; external validity.
Special Issue on: ICALT 2019 Advances in Transportation and Logistics
Evaluation of the tram intelligent system management by an analysis of its key performance indicators for an optimal mixed traffic control in Algeria
by Mouloud KHELF, Salim Boukebbab, Neila Bhouri
Abstract: Evaluating the tram intelligent system management by analyzing its keys performance indicators is the main target of this paper. A deep analysis of its theoretical and real performance is done, to evaluate the trams regularity and the actual timetable. The second important objective is to show how the trams performance can influence the traffic control system. To optimize it, an optimal cycle time applying the Webster method is combined with the optimal tram timetable at the same time. The results indicate that the tram is unwell operated, the offered capacity is higher than the real demand, besides, the theoretical tram performance that is not respected. Therefore, the traffic jam has increased in common intersections. The suggested solutions, prove the possibility to reduce the traffic congestion yet well refining the management of the mixed traffic systems, simultaneously, without using extra infrastructures or technologies. All this exhibits the value of this paper.
Keywords: tram intelligent system; key performance indicators; traffic control; timetable; intersections; traffic congestion.
Special Issue on: Environmental and Social Issues in Modern Transportation Systems
Asset Shortages and Economic Operating System Based on Two-stage Least-squares Regression
by Yang Yang, Shuwen Liu
Abstract: The rapid development of information technology and e-business has promoted financial development but has not addressed chronic asset shortages. Asset shortages are an important factor that affects enterprise operating systems and consequently influences economic growth. Using Chinas provincial panel data from 2001 to 2014 as sample, we use the overlapping generations model, fixed effect model, two-stage least-squares regression, and quantile regression model to explore the impact of asset shortages on economic growth. Empirical results show that asset shortages have been a perennial problem in Chinas provinces, thus having a significantly positive correlation with economic growth. In addition, the moderating effect of asset shortages positively influences the relationship between financial development and economic growth. These findings bear the practical implication that the government should develop information technology to increase the effective supply of sound assets.
Keywords: asset shortages; financial development; economic growth; two-stage least-squares regression.
Design of Reverse Logistics System for B2C E-commerce Based on Management Logic of Internet of Things
by Li WEI, Zhiqiang MA, Ningning LIU
Abstract: In recent years, the B2C e-commerce industry has developed at a surprising high speed in China, but the return rate of e-commerce is also increasing at the same speed, which makes the demand of reverse logistics of B2C e-commerce difficult to meet under the traditional logistics mode. To solve this problem, based on the logic of Internet of Things management, this paper designs and constructs the collaboration system and information interaction system of reverse logistics in B2C e-commerce, builds the basic framework of reverse logistics system in B2C e-commerce, and discusses the possible system bugs. The reverse logistics system designed in this paper will be more suitable for the local government-led business cooperation platform organizations. It can create a regional B2C e-commerce reverse logistics Consortium for local governments, and even play a positive role in promoting the rapid development of the entire B2C e-commerce industry.
Keywords: B2C e-commerce;reverse logistics system framework;Internet of Things;collaborative system design;information interaction system design.
Impact of accessibility of land transportation networks on regional economic resilience: An empirical study of China
by Tao Lyu, Daoqin Tong
Abstract: Regional economic resilience (RER) represents an important topic in regional science. So far, rare studies have incorporated accessibility of transportation networks in examining RER. This study analyzed RER and transportation accessibility from a spatial perspective. Based on an empirical study of Chinas RER, this study shows that while the land transportation has strong positive direct spatial effects on RER, the potential competition among neighbouring prefectures has resulted in varying indirect effects, leading to mixed total effects. Comparing with road transportation, rail transportation is found to have similar direct effects but more significant indirect effects, contributing significantly to medium- and long-distance economic activities. The comparison among three geographical regions suggests that RER is also associated with natural conditions and historical development. Policy implications on regional development planning are also discussed.
Keywords: regional economic resilience; accessibility of land transportation networks; spatial impact; China.
Workforce Optimization for Improving Customer Experience in Urban
Transportation using Heuristic Mathematical Model
by Jie Chen, Wei Shi, Xi Wang, Sanjeevi Pandian, Sathishkumar V E
Abstract: Optimization of the workforce has always been a challenge both in conventional industries, including logistics and in the majority of emerging shared economy systems. As the urban city-scale continues to expand and the urban complex leads to maximum passenger flow volume. In a rapidly changing service environment, customer experiences are important and are influenced by the quality of service provided. In this paper, we propose a Shift Workforce Allocation, using the Heuristic mathematical model (SWA-HMM) for workforce optimization to enhance the customer experience in urban transportation. Furthermore, urban city mobility is a key differentiator for competitiveness which continues to move to have a more dynamic economy and draw greater domestic investment. Subsequently, Workforce Optimization for urban transportation using deep learning is one of the essential artificial intelligence branches that provide the knowledge for a computer system to identify, predict, and make decisions by analyzing the data relevant to the application where it is deployed. The experimental result shows that there is an overall positive customer experience and enhance the performance of urban mobility with better service quality.
Keywords: Workforce optimization; customer experience; urban transportation.