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1 – 10 of 94Jing‐Xin Dong, Jingjing Xu and Dong‐Ping Song
Empty container repositioning is an important issue in the liner shipping industry. Generally stated, two groups of mathematical models have been proposed to tackle this issue…
Abstract
Purpose
Empty container repositioning is an important issue in the liner shipping industry. Generally stated, two groups of mathematical models have been proposed to tackle this issue. The first group aims to derive time‐dependent origin‐destination matrices that specify the number of empty containers to be repositioned at a decision epoch; the second group aims to develop effective state‐feedback control policies consisting of dynamic decision‐making rules. There is, however, a lack of research into the comparison of these two groups, especially with regard to realistic cases subject to uncertainties. The purpose of this paper is to evaluate and compare the performances of some typical repositioning policies from these two groups and to shed light on their relative merits and suitability in various realistic scenarios.
Design/methodology/approach
Based on a literature review, the paper classifies the current empty container repositioning policies into two categories: origin‐destination (OD) based solutions and state‐based dynamic rules. Typical policies are selected from these two categories and then evaluated using a simulation tool. A range of scenarios are designed based on realistic cases considering the stochastic and dynamic nature of liner services. A comprehensive set of simulation experiments are conducted and analysed; and the relative merits and suitability of the repositioning policies are identified.
Findings
Through a carefully designed comparative study, several research findings are obtained with regard to how the performances of different types of empty container repositioning policies are affected by various factors such as structure of service route, uncertainty of daily demands, and parametric optimisation methods.
Originality/value
The study makes a good attempt to analyse the suitability of different empty container repositioning policies in different scenarios. This is an area that has lacked investigation. The research findings can help shipping companies and other relevant stakeholders better understand the relative merits of different empty container repositioning policies and better tackle the challenges in operating the container shipping system.
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Stephanie Finke and Herbert Kotzab
The purpose of this paper is to figure out in which way a hinterland-based inland depot model can help a shipping company in solving the empty container problem at a regional…
Abstract
Purpose
The purpose of this paper is to figure out in which way a hinterland-based inland depot model can help a shipping company in solving the empty container problem at a regional level. The repositioning of empty containers is a very expensive operation that does not generate profits. Consequently, it is very important to provide an efficient empty container management.
Design/methodology/approach
In this paper, the empty container problem is discussed at a regional repositioning level. For solving this problem, a mixed-integer linear optimization model is developed and validated by using the German hinterland as a case.
Findings
The findings show that the hinterland-based solution is able to reduce the total system costs by 40 per cent. In addition, total of truck kilometres could be reduced by more than 30 per cent too.
Research limitations/implications
This research is based on German data only.
Originality/value
This paper closes the gap in empty container repositioning research by looking at the hinterland dimension from a single shipping company point of view.
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Hang Fa Tong and Hong Yan
This paper examines the possible cooperation options in terms of empty container repositioning across alliances for shipping lines based in the Greater China Region (China, Taiwan…
Abstract
Purpose
This paper examines the possible cooperation options in terms of empty container repositioning across alliances for shipping lines based in the Greater China Region (China, Taiwan and Hong Kong SAR), after the three global shipping alliances reformed in April 2017.
Design/methodology/approach
This paper offers a comprehensive review to the latest shipping alliances and introduces a new cooperative dimension among shipping lines based in the Greater China Region which are member of different shipping alliances.
Findings
Cooperation among shipping lines in the Greater China Region in terms of empty container handling is possible in terms of resource sharing among shipping lines across alliances that fosters mega shipping line formation in the future.
Practical implications
Shipping lines should review their current empty container repositioning strategies and explore cooperation among non-alliance members having headquarters in proximity for quick responsiveness in empty container repositioning plan and execution.
Originality/value
This is a research directly analyzing the empty repositioning plan of the major shipping lines and their major service routes, fleet and containers.
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Ahmet Selcuk Basarici and Tanzer Satir
The purpose of this study is to reveal the magnitude of empty container movements (ECM) arising from cargo seasonality by means of long-term datasets of Turkish terminals. Trade…
Abstract
Purpose
The purpose of this study is to reveal the magnitude of empty container movements (ECM) arising from cargo seasonality by means of long-term datasets of Turkish terminals. Trade imbalance is one of the well-known major reasons of ECM. Cargo seasonality apart from some other operational drivers and market effect, i.e. commercial decisions of the ship operators, is the major operational driver in Turkish terminals effecting ECM. Furthermore, this study highlights the significance of market effect, leading to take measures for more effective empty container operations in terms of decision makers leading the ship operators.
Design/methodology/approach
Time series analysis of full container datasets was performed through X-13ARIMA-SEATS methodology, implementing seasonal adjustment.
Findings
The results indicate that 17 of 112 time series in hand, based on a terminal/hinterland, container type and “in and out” foreign trade, exhibit cargo seasonality. Roughly, the amount of ECM originating from cargo seasonality in Turkish terminals represents 10 per cent of total ECM except trade imbalance in those terminals where seasonality is present. This reveals that ECM arising from market effect should not be underestimated.
Research limitations/implications
Reefer container traffic could not be sorted from the datasets.
Originality/value
This paper focuses on one of the major reasons of ECM, cargo seasonality. It brings a novel point of view and interpretations which were not suggested previously about ECM, motivating to overcome inefficiency in container operations.
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Chia-Hsun Chang, Jingjing Xu and Dong-Ping Song
The purpose of this paper is to explore and analyse the risks in container shipping operations from a logistics perspective. In the paper, risks associated with the three flows in…
Abstract
Purpose
The purpose of this paper is to explore and analyse the risks in container shipping operations from a logistics perspective. In the paper, risks associated with the three flows in logistics − information, physical, and payment flow are identified and analysed.
Design/methodology/approach
The use of case study method was first explained and justified. Second, risk identification was started with supporting references, several interviews were then conducted to identify and validate the potential risks in container shipping operations. A questionnaire was deployed to collect related data; and the impacts of the risks were then assessed and ranked using the method of risk mapping.
Findings
The paper has identified a total of 35 risk factors and classified them into different categories. The paper has also revealed that the risks associated with physical flows have more serious risk impacts than the other types of risks; however, one of the risk factors associated with information flow (shippers hiding cargo information) is the most significant one among all the factors.
Originality/value
Although many studies have been conducted on container shipping operational risks, no studies so far have approached this issue from a perspective that inclusively examines all the possible risks and comprehensively evaluates the relative importance of each of them. This study has identified the risks in container shipping operations, and analysed and ranked the level of these risks. The research further “refines” the findings of some previous studies by placing the risk factors addressed therein in a full “risk picture” which was developed systematically.
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Milla Laisi, Olli‐Pekka Hilmola and Mikko Sutela
The purpose of this paper is to understand the changes in Swedish and Finnish companies' traffic flows and evaluate the future prospects.
Abstract
Purpose
The purpose of this paper is to understand the changes in Swedish and Finnish companies' traffic flows and evaluate the future prospects.
Design/methodology/approach
Research was implemented through web‐based questionnaire. Furthermore, numerous second‐hand sources were used to gain knowledge. Research was conducted in three parts: first research was executed in 2006, second in 2009 and the third was realized in 2010.
Findings
The main findings support previous studies arguing that the traffic between Europe and China will continue to grow in the future. However, contrary to earlier studies, the balance will change from eastbound to westbound traffic. The future prospects to Russian traffic are stated as a slight increase in demand: however, the balance is shifting from eastbound to westbound transport, and it is noted that the transport flows from Russia to Europe might increase in the near future.
Research limitations/implications
Empirical data were gathered from two North European countries, Sweden and Finland. To follow the development in the market, and in order to make more general conclusions, research should be extended to include other countries. Furthermore, economic downturn's influences on traffic flows and its development could be analyzed in a year's time.
Practical implications
The research aggregates data from three surveys and evaluates the companies' standpoints. The study results could be used to evaluate the companies' development trends in Finland and Sweden. In addition, the research provides valuable data for the business world, as well as for academia, by adducing the market actors' outlook.
Originality/value
The paper contributes actor‐level data to the subject, which previously has been scrutinized mainly via second‐hand data and literature analyses.
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As the Chinese economy has grown rapidly and as its container throughputs has demonstrated a stark increase in recent decades, companies worldwide have developed stronger…
Abstract
As the Chinese economy has grown rapidly and as its container throughputs has demonstrated a stark increase in recent decades, companies worldwide have developed stronger financial connections with supply chain entities in China, a huge “Production Factory” in the world. This global economic trend arouses significant attention to distinct preference of individual entities in supply chain. The primary goal of the study is to establish statistical understanding on factors of logistics service preferences of each supply chain of each supply chain entity in China, especially Shandong Province. Ultimately, the study aims i) to establish the solid framework for proper evaluation of logistics services in supply chains, ii) to enhance the preferences of logistics services as a differentiating feature on behalf of entities. The study utilizes a holistic approach in analyzing logistics service attributes which affect overall logistics entities in an effort to overcome the limitations of previous studies which failed to provide integrating viewpoint of supply chain entities. In this study, AHP (Analytic Hierarchy Process) method is used as an analysis tool which allows an in-depth examination of the differences between factors and evaluations of customers regarding the logistics service attributes. The results clearly show distinctive service preferences for each four supply chain entities in Shandong Province of China such as 3PLs (forwarder, carrier, and warehouse), Customs (airport, seaport, and bonded area), Market channels (wholesaler, retailer, and e-retailer), and Manufacturers regarding the logistics service attributes.
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Jason Monios and Rickard Bergqvist
This paper aims to examine a strategic alliance between a large shipper and a freight forwarder to provide an intermodal service to and from the port of Gothenburg. The supply…
Abstract
Purpose
This paper aims to examine a strategic alliance between a large shipper and a freight forwarder to provide an intermodal service to and from the port of Gothenburg. The supply chain literature discusses various models of supply chain collaboration and integration. When applied to logistics, each has been shown to exhibit different levels of success depending on particular factors.
Design/methodology/approach
The methodology is a single in-depth case paper based on action research, interviews and document analysis.
Findings
According to this innovative model, a new entity is not set up but an open-book basis is established, long-term contracts with other parties are signed, risks and profits are shared and the shipper makes several investments specific to the service. Thus, the benefits of a joint venture are obtained without needing to establish a new organisation, thereby sacrificing flexibility and independence.
Research limitations/implications
A limitation of this study is that it is based on a single case of best practice; it may be difficult to replicate the high levels of trust in other situations. Nevertheless, the evident success of this “virtual joint venture” suggests that some elements are transferable to other cases, and the model may be refined through additional case analysis.
Practical implications
Results indicate several advantages of this “virtual joint venture” model, including risk sharing, knowledge development, long-term service stability and diversification of activities, which all contribute to facilitating the shift of a large customer from road haulage to intermodal transport. Potential challenges mainly relate to contractual complexity.
Originality/value
This paper identifies an innovative business model for logistics integration that can be used in future in other cases to make modal shift more attractive and successful, which is a key aim of government policy in many countries.
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