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Article
Publication date: 2 August 2013

Multi‐product maritime inventory routing with optional cargoes : An application to outbound automotive logistics

Saurabh Chandra, Rajiv K. Srivastava and Yogesh Agarwal

The ocean transportation of automobiles is carried out by specialized Roll‐on/Roll‐off ships, which are designed to carry a large number of automobiles at a time. Many of…

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Abstract

Purpose

The ocean transportation of automobiles is carried out by specialized Roll‐on/Roll‐off ships, which are designed to carry a large number of automobiles at a time. Many of these shipping companies have vertically integrated or collaborated with other logistics services providers to offer integrated maritime logistics solution to car manufacturers. The purpose of this study is to develop an optimization model to address the tactical level maritime logistics planning for such a company.

Design/methodology/approach

The problem is formulated as a mixed integer linear program and we propose an iterative combined Ant colony and linear programming‐based solution technique for the same.

Findings

This paper can integrate the maritime transportation planning of internally managed cargoes with the inventory management at the loading and discharging ports to minimize supply‐chain cost and also maximize additional revenue through optional cargoes using same fleet of ships.

Research limitations/implications

The mathematical model does not consider the variability in production and consumption of products across various locations, travel times between different nodes, etc.

Practical implications

The suggested mathematical model to the supply‐chain planning problem and solution technique can be considered in the development of decision support system for operations planning.

Originality/value

This paper extends the maritime inventory routing model by considering simultaneous planning of optional cargoes with internally managed cargoes.

Details

Journal of Advances in Management Research, vol. 10 no. 2
Type: Research Article
DOI: https://doi.org/10.1108/JAMR-05-2013-0035
ISSN: 0972-7981

Keywords

  • Maritime logistics
  • Inventory routing
  • Optional cargoes
  • Outbound automotive logistics
  • Ant colony algorithm
  • Inventory management
  • Optimization techniques

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Article
Publication date: 20 August 2020

Ship routing and scheduling systems: forecasting, upscaling and viability

Said El Noshokaty

The purpose of this paper is to resolve three problems in ship routing and scheduling systems. Problem 1 is the anticipation of the future cargo transport demand when the…

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Abstract

Purpose

The purpose of this paper is to resolve three problems in ship routing and scheduling systems. Problem 1 is the anticipation of the future cargo transport demand when the shipping models are stochastic based on this demand. Problem 2 is the capacity of these models in processing large number of ships and cargoes within a reasonable time. Problem 3 is the viability of tramp shipping when it comes to real problems.

Design/methodology/approach

A commodity-trade forecasting system is developed, an information technology platform is designed and new shipping elements are added to the models to resolve tramp problems of en-route ship bunkering, low-tide port calls and hold-cleaning cost caused by carrying incompatible cargoes.

Findings

More realistic stochastic cargo quantity and freight can now be anticipated, larger number of ships and cargoes are now processed in time and shipping systems are becoming more viable.

Practical implications

More support goes to ship owners to make better shipping decisions.

Originality/value

New norms are established in forecasting, upscaling and viability in ship routing and scheduling systems.

Details

Maritime Business Review, vol. 6 no. 1
Type: Research Article
DOI: https://doi.org/10.1108/MABR-04-2020-0027
ISSN: 2397-3757

Keywords

  • High performance computing (HPC)
  • Commodity trade forecast
  • Dantzig-Wolfe decomposition principle
  • Ship routing and scheduling

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Article
Publication date: 30 June 2016

Advantages and disadvantages from enforcing emission restrictions within emission control areas

Maxim A. Dulebenets

Emissions produced by oceangoing vessels not only negatively affect the environment but also may deteriorate health of living organisms. Several regulations were released…

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Abstract

Purpose

Emissions produced by oceangoing vessels not only negatively affect the environment but also may deteriorate health of living organisms. Several regulations were released by the International Maritime Organization (IMO) to alleviate negative externalities from maritime transportation. Certain polluted areas were designated as “Emission Control Areas” (ECAs). However, IMO did not enforce any restrictions on the actual quantity of emissions that could be produced within ECAs. This paper aims to perform a comprehensive assessment of advantages and disadvantages from introducing restrictions on the emissions produced within ECAs. Two mixed-integer non-linear mathematical programs are presented to model the existing IMO regulations and an alternative policy, which along with the established IMO requirements also enforces restrictions on the quantity of emissions produced within ECAs. A set of linearization techniques are applied to linearize both models, which are further solved using the dynamic secant approximation procedure. Numerical experiments demonstrate that introduction of emission restrictions within ECAs can significantly reduce pollution levels but may incur increasing route service cost for the liner shipping company.

Design/methodology/approach

Two mixed-integer non-linear mathematical programs are presented to model the existing IMO regulations and an alternative policy, which along with the established IMO requirements also enforces restrictions on the quantity of emissions produced within ECAs. A set of linearization techniques are applied to linearize both models, which are further solved using the dynamic secant approximation procedure.

Findings

Numerical experiments were conducted for the French Asia Line 3 route, served by CMA CGM liner shipping company and passing through ECAs with sulfur oxide control. It was found that introduction of emission restrictions reduced the quantity of sulfur dioxide emissions produced by 40.4 per cent. In the meantime, emission restrictions required the liner shipping company to decrease the vessel sailing speed not only at voyage legs within ECAs but also at the adjacent voyage legs, which increased the total vessel turnaround time and in turn increased the total route service cost by 7.8 per cent.

Research limitations/implications

This study does not capture uncertainty in liner shipping operations.

Practical implications

The developed mathematical model can serve as an efficient practical tool for liner shipping companies in developing green vessel schedules, enhancing energy efficiency and improving environmental sustainability.

Originality/value

Researchers and practitioners seek for new mathematical models and environmental policies that may alleviate pollution from oceangoing vessels and improve energy efficiency. This study proposes two novel mathematical models for the green vessel scheduling problem in a liner shipping route with ECAs. The first model is based on the existing IMO regulations, whereas the second one along with the established IMO requirements enforces emission restrictions within ECAs. Extensive numerical experiments are performed to assess advantages and disadvantages from introducing emission restrictions within ECAs.

Details

Maritime Business Review, vol. 1 no. 2
Type: Research Article
DOI: https://doi.org/10.1108/MABR-05-2016-0011
ISSN: 2397-3757

Keywords

  • Environmental regulations
  • Environmental sustainability
  • Emission control areas
  • Emission restrictions
  • Green vessel scheduling
  • Marine transportation

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Article
Publication date: 1 February 2021

Liner shipping network design with sensitive demand

Ali Cheaitou, Sadeque Hamdan and Rim Larbi

This paper aims to examine containership routing and speed optimization for maritime liner services. It focuses on a realistic case in which the transport demand, and…

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Abstract

Purpose

This paper aims to examine containership routing and speed optimization for maritime liner services. It focuses on a realistic case in which the transport demand, and consequently the collected revenue from the visited ports depend on the sailing speed.

Design/methodology/approach

The authors present an integer non-linear programming model for the containership routing and fleet sizing problem, in which the sailing speed of every leg, the ports to be included in the service and their sequence are optimized based on the net line's profit. The authors present a heuristic approach that is based on speed discretization and a genetic algorithm to solve the problem for large size instances. They present an application on a line provided by COSCO in 2017 between Asia and Europe.

Findings

The numerical results show that the proposed heuristic approach provides good quality solutions after a reasonable computation time. In addition, the demand sensitivity has a great impact on the selected route and therefore the profit function. Moreover, the more the demand is sensitive to the sailing speed, the higher the sailing speed value.

Research limitations/implications

The vessel carrying capacity is not considered in an explicit way.

Originality/value

This paper focuses on an important aspect in liner shipping, i.e. demand sensitivity to sailing speed. It brings a novel approach that is important in a context in which sailing speed strategies and market volatility are to be considered together in network design. This perspective has not been addressed previously.

Details

Maritime Business Review, vol. ahead-of-print no. ahead-of-print
Type: Research Article
DOI: https://doi.org/10.1108/MABR-10-2019-0045
ISSN: 2397-3757

Keywords

  • Containership routing
  • Arc dependent sailing speed
  • Optimization
  • Sensitive demand
  • Genetic algorithm
  • Europe–Asia trade

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Book part
Publication date: 14 September 2007

Structure and Operations in the Liner Shipping Industry†

H.E. Haralambides

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Abstract

Details

Handbook of Transport Modelling
Type: Book
DOI: https://doi.org/10.1108/9780857245670-040
ISBN: 978-0-08-045376-7

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Book part
Publication date: 12 January 2012

Container Flows and Empty Container Repositioning

Ada Suk Fung Ng

This chapter explains the impact containerisation has on the various partners of the global supply chain and the challenges companies encounter and the solutions they use…

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Abstract

This chapter explains the impact containerisation has on the various partners of the global supply chain and the challenges companies encounter and the solutions they use in dealing with empty container repositioning.

The phenomenon of imbalanced container flows and its impact on shipping lines, shippers, container haulage companies, port development and the economy are presented. Special attention is given to explain the many solutions companies use to reduce the impact of empty container repositioning, hence tracing out the past research that led to these solutions and pointing to potentially new research directions in the future.

Because of the widespread use of containerisation and the imbalanced container flows that results from globalisation, empty container repositioning will be an ongoing issue for the maritime logistics industry. Many solutions are being used, but there is room for improvement and more research is needed.

Empty container repositioning is an important issue but has not been deemed as such in the literature. This chapter explains the reasons it is important and that its impact is not limited to shipping lines only but affects the whole supply chain.

Details

Maritime Logistics
Type: Book
DOI: https://doi.org/10.1108/9781780523415-003
ISBN: 978-1-78052-340-8

Keywords

  • Container flows
  • empty container repositioning
  • supply chain collaboration
  • containerisation

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Article
Publication date: 24 April 2013

Optimization, risk assessment and resilience in LNG transportation systems

Øyvind Berle, Inge Norstad and Bjorn E. Asbjørnslett

This paper aims to address how to systematically address vulnerability in a maritime transportation system using a formal vulnerability assessment approach, create…

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Abstract

Purpose

This paper aims to address how to systematically address vulnerability in a maritime transportation system using a formal vulnerability assessment approach, create quantitative measures of disruption risk and test the effect of mitigating measures. These quantitative data are prerequisites for cost efficiency calculations, and may be obtained without requiring excessive resources.

Design/methodology/approach

Supply chain simulation using heuristics‐based planning tools offers an approach to quantify the impact of disruption scenarios and mitigating measures. This is used to enrich a risk‐based approach to maritime supply chain vulnerability assessment. Monte Carlo simulation is used to simulate a stochastic nature of disruptions.

Findings

The exemplary assessment of a maritime liquefied natural gas (LNG) transportation system illustrates the potential for providing quantitative data about the cost of disruptions and the effects of mitigating measures, which are foundations for more precise cost efficiency estimates.

Research limitations/implications

This simulation was done on a simplified version of a real transportation system. For resource reasons, several simplifications were made, both with regards to modeling the transportation system and with the implementation of the formal vulnerability assessment framework. Nevertheless, the authors believe the paper serves to illustrate the approach and potential outcome.

Practical implications

Practitioners are provided with an approach to get more precise quantitative data on disruption costs and cost/efficiency of mitigating measures, providing background data for decisions on investing in reduction of supply chain vulnerability.

Originality/value

The combination of risk assessment methods and inventory routing simulation of maritime supply chain problems is a novelty. Quantifying vulnerability, effects of disruptions and effects of mitigating measures in maritime transportation systems contributes to a little‐researched area.

Details

Supply Chain Management: An International Journal, vol. 18 no. 3
Type: Research Article
DOI: https://doi.org/10.1108/SCM-03-2012-0109
ISSN: 1359-8546

Keywords

  • Supply chain risk
  • Maritime transportation
  • LNG
  • Fleet routing and scheduling
  • Monte Carlo simulation
  • Supply chain management
  • Marine transport

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Article
Publication date: 5 October 2015

An integrated shipment planning and storage capacity decision under uncertainty: A simulation study

Nyoman Pujawan, Mansur Maturidi Arief, Benny Tjahjono and Duangpun Kritchanchai

In transportation and distribution systems, the shipment decisions, fleet capacity, and storage capacity are interrelated in a complex way, especially when the authors…

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Abstract

Purpose

In transportation and distribution systems, the shipment decisions, fleet capacity, and storage capacity are interrelated in a complex way, especially when the authors take into account uncertainty of the demand rate and shipment lead time. While shipment planning is tactical or operational in nature, increasing storage capacity often requires top management’s authority. The purpose of this paper is to present a new method to integrate both operational and strategic decision parameters, namely shipment planning and storage capacity decision under uncertainty. The ultimate goal is to provide a near optimal solution that leads to a striking balance between the total logistics costs and product availability, critical in maritime logistics of bulk shipment of commodity items.

Design/methodology/approach

The authors use simulation as research method. The authors develop a simulation model to investigate the effects of various factors on costs and service levels of a distribution system. The model mimics the transportation and distribution problems of bulk cement in a major cement company in Indonesia consisting of a silo at the port of origin, two silos at two ports of destination, and a number of ships that transport the bulk cement. The authors develop a number of “what-if” scenarios by varying the storage capacity at the port of origin as well as at the ports of destinations, number of ships operated, operating hours of ports, and dispatching rules for the ships. Each scenario is evaluated in terms of costs and service level. A full factorial experiment has been conducted and analysis of variance has been used to analyze the results.

Findings

The results suggest that the number of ships deployed, silo capacity, working hours of ports, and the dispatching rules of ships significantly affect both total costs and service level. Interestingly, operating fewer ships enables the company to achieve almost the same service level and gaining substantial cost savings if constraints in other part of the system are alleviated, i.e., storage capacities and working hours of ports are extended.

Practical implications

Cost is a competitive factor for bulk items like cement, and thus the proposed scenarios could be implemented by the company to substantially reduce the transportation and distribution costs. Alleviating storage capacity constraint is obviously an idea that needs to be considered when optimizing shipment planning alone could not give significant improvements.

Originality/value

Existing research has so far focussed on the optimization of shipment planning/scheduling, and considers shipment planning/scheduling as the objective function while treating the storage capacity as constraints. The simulation model enables “what-if” analyses to be performed and has overcome the difficulties and impracticalities of analytical methods especially when the system incorporates stochastic variables exhibited in the case example. The use of efficient frontier analysis for analyzing the simulation results is a novel idea which has been proven to be effective in screening non-dominated solutions. This has provided the authors with near optimal solutions to trade-off logistics costs and service levels (availability), with minimal experimentation times.

Details

International Journal of Physical Distribution & Logistics Management, vol. 45 no. 9/10
Type: Research Article
DOI: https://doi.org/10.1108/IJPDLM-08-2014-0198
ISSN: 0960-0035

Keywords

  • Uncertainty
  • Indonesia
  • Transportation
  • Simulation
  • Efficient frontier
  • Shipment planning
  • Storage capacity

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Article
Publication date: 16 September 2019

The implication of the stochastic gross-profit-per-day objective on the cargo ship profitability, capacity, and speed

Said El Noshokaty

This paper aims to study the implication of the stochastic gross-profit-per-day objective on the ship profitability and the ship capacity and speed.

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Abstract

Purpose

This paper aims to study the implication of the stochastic gross-profit-per-day objective on the ship profitability and the ship capacity and speed.

Design/methodology/approach

The paper has used the mathematical model and the solution methodology given by El Noshokaty, 2013, 2014, 2017a, 2017b, and SOS, 2019.

Findings

The paper finds that if the ship owner follows the rate concept and the cargo demand forecast, he can improve the profitability of his company and be able to select the proper capacities and speeds for the ships used.

Research limitations/implications

The findings are not only useful for the shipping or other cargo transport companies but also for businesses like gas reservoir development, car assembly lines in the industry, cooperative farming and crop harvesting in agriculture, port cargo handling in trade and road paving in construction.

Originality/value

The contribution of this paper lies in notifying the ship owners of the possible profitability improvement and the consequences of building ships of larger capacities and slower speeds.

Details

Maritime Business Review, vol. 4 no. 3
Type: Research Article
DOI: https://doi.org/10.1108/MABR-04-2019-0016
ISSN: 2397-3757

Keywords

  • Stochastic optimization
  • Gross profit-per-day objective
  • Ship capacity
  • Ship profitability
  • Ship speed

Content available
Article
Publication date: 16 October 2017

Semantic transportation planning for food products supply chain ecosystem within difficult geographic zones

Muhammad Ali Memon, Mohamed Hedi Karray, Agnès Letouzey and Bernard Archimède

In difficult geographical zones (mountain, intra-cities areas, etc.), many shippers, from small and medium enterprises to individuals, may demand delivery of different…

Open Access
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Abstract

Purpose

In difficult geographical zones (mountain, intra-cities areas, etc.), many shippers, from small and medium enterprises to individuals, may demand delivery of different food products (fresh, refrigerated, frozen, etc.) in small quantities. On the other side, carrier companies wish to use their vehicles optimally. Taking into account the perishability constraints (short-shelflife, temperature limits, etc.) of the transported food products and environmental constraints (pollution, carbon impact) while consolidating multiple kinds of food products to use vehicles optimally is not achieved by current transportation planning solutions. The purpose of this paper is to present an interoperable solution of a marketplace, formed by shippers and carriers, dedicated to the schedule of food transport orders.

Design/methodology/approach

This transportation planning system named Interoperable-Pathfinder, Order, Vehicle, Environment and Supervisor (I-POVES) is an interoperable multi-agent system, based on the SCEP (supervisor, customer, environment and producer) model (Archimede and Coudert, 2001). Ontologies are developed to create the planning marketplace comprising demands and offers from different sources (multiple shippers and carriers).

Findings

A hierarchy ontology for food products. A transporter system ontology. A global ontology that contains all shared concepts used by local ontologies of both shippers and carriers. I-POVES an interoperable model, which facilitates collaboration between carriers and their shippers through its active agents.

Practical implications

I-POVES is tested on a case study from the TECCAS Poctefa project, comprising transport and food companies from both sides of the Pyrenees (France and Spain).

Originality/value

There has been much work in the literature on the delivery of products, but very few on the delivery of food products. Work related to delivery of food products focuses mostly on timely delivery for avoiding its wastage. In this paper, constraints related to food products and to environment (pollution and carbon impact) of transport resources are taken into account while planning the delivery.

Details

Industrial Management & Data Systems, vol. 117 no. 9
Type: Research Article
DOI: https://doi.org/10.1108/IMDS-10-2016-0459
ISSN: 0263-5577

Keywords

  • Ontology
  • Interoperability
  • Food perishability constraints
  • Multi-agents systems
  • Transportation planning

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