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Efficiency analysis and Ranking of Mediterranean container Ports and terminals

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For a long time, transport in the region was dominated by north-west European ports, but over the past decade there has been consistent progress in ports on the southern and eastern coasts of the Mediterranean, particularly in Morocco, with container handling in Tangier Med. terminals project, and also in Egypt, which has recently started using the private sector's expertise in delivering new capacity and new efficiencies. Studies of the region using DEA have never included the new emerging ports and terminals. The ultimate aim of the study is therefore to reassess the competitive environment of the port industry in the region, including ports from all Mediterranean sub-regions, in order to fully assess the port activities in this region. the region.

Introduction

  • Research Background
  • Research Objectives
  • Method
  • Research Scope
  • Reasons to Use DEA
  • Organization of Chapters

The Mediterranean basin is the gateway to a major international trade route. A third of the world's container traffic is based on the Mediterranean (Die Welt, July 2008), distributing manufactured goods from China and Southeast Asia to Europe and Africa (and to some extent to the East Coast of the Americas) plus intra-Mediterranean trade volume (Figure 1.1). In the second part of the chapter, units from the Mediterranean area and their variables are selected, and data is analyzed to obtain empirical results.

Figure 1.1: container traffic of major maritime trade routes 2007 (M TEU)
Figure 1.1: container traffic of major maritime trade routes 2007 (M TEU)

Literature Review

Theoretical Frame Work

  • Efficiency Measurement
  • Alternative Technics
    • Original Least Squares
    • Corrected Original Least Squares
    • Stochastic Frontier
    • Data Envelopment Analysis

Its weakness is that, firstly, like all parametric methods, it requires a priori specification of the production or cost function, secondly, it is not possible to measure error and other statistical noise (Greene, 1993); and third, it is sensitive to outliers, since the 'best'. Is a parametric and stochastic approach to estimating productive efficiency, its advantages are first that it reveals information about the production technique and distinguishes between the roles of different variables affecting output; second, it considers statistical noise and therefore it is possible to test the validity of certain assumptions and hypotheses; third, it is possible to model the effects of environmental/exogenous variables.

Review of Previous Researches about Seaports

-sectional data of 36 European terminals. plus 4 container terminals in the Far East. number of cranes, the terminal area. and the length of the container berth. total freight traffic in the port in thousand. tonnes, number of passengers boarding/disembarking, vehicles with passengers. 2000) Ports/terminals from different regions. section data of 2 Greek and 4 Portuguese. capital ships, movement of cargo, handled cargo. 2002) Ports/terminals from one country.

Table 2.1: Literature Review
Table 2.1: Literature Review
  • Container Ports and Terminals in the Overall Shipping Market
  • The Operation and Cost Structure of Sea Ports…
  • Structure of Global Container Shipping
  • Functions and Configuration of the Container Port/Terminal
    • Marine Side Interface
    • Transfer System
    • Container Storage System
    • Land Side Interface
  • Technical Change In Ports And Terminals

In a public service port, the port authority owns the land, infrastructure and equipment, all assets of the port, and performs all regulatory and port functions. For this type of port, only the cost of infrastructure falls under the account of the port authority; all other costs are covered by the stevedore. In the process, the planner considers the work schedule for the GCs and the site map, which shows the storage locations of the containers in the site.

The yard configuration problem concerns the assignment of the stacks to one shipping company operating a specified route. All containers to be unloaded at any of the ports on this route should be assigned to the same area to improve loading/unloading time. The purpose of this system is to control the access to the terminal of the trucks transporting or removing the containers.

Another task is to monitor the access gates to the terminal, identifying the truck and container using artificial vision techniques. The priority is to verify the identity of the truck driver, truck, container and chassis. The truck then leaves the terminal, is inspected to ensure the correct container has been picked up, and heads inland.

Figure 3.1: Variations of Functional Roles and Institutional Models across Different  Port Services and Facilities
Figure 3.1: Variations of Functional Roles and Institutional Models across Different Port Services and Facilities

Port Industry in the Mediterranean Region

  • Introduction to the Mediterranean Ports Environment
  • Maritime Traffic in the Mediterranean Sea
    • Extra-Med Traffic
    • Intra-Med Traffic
  • Structure of Container Trade in the Mediterranean
    • In Global Perspective
    • Mediterranean Container Shipping Structure
  • Changing Landscape

The vocation of the Mediterranean serving as a crossroads of the continents has grown more in recent years giving two dominant trends that can currently be observed regarding maritime traffic in the Mediterranean basin. Even with significant port investments, inter-Mediterranean exchanges remain quite low relative to exchanges with Asia and do not change the status of the Mediterranean as a "transit sea" (Bleu Plan Notes N°14 March 2010). However, efforts have been made by the Mediterranean Community to consolidate and promote maritime transport between Mediterranean countries.

We can mention as an example the Regional Transport Action Plan of the European Neighborhood Policy (RTAP) initiated by the EU in cooperation with the countries of the Mediterranean coast outside the EU, which aims to consolidate and intensify cooperation and exchange in the Mediterranean region in relation to maritime transport. The structure of container shipping in the Mediterranean reflects the structure of the liner shipping industry at a worldwide level with hubs, relay centers, ports and gateways. As can be seen from Figure 4.4 these main routes cross the Mediterranean and create opportunities for central ports and, more specifically, for relay centers.

The hub and spoke model adopted by large companies led to a significant structural transformation in the Mediterranean. The establishment of transhipment ports (hubs and relays) has benefited some ports in the area over others, changing the competitive landscape. In response to the growth of long-distance exchanges, the size of ships has increased significantly, prompting countries to strive to equip themselves with adequate port infrastructure; Numerous port design or expansion projects have seen the light of day all along the Mediterranean coast (Figure 4.5), as a result of which the balance of power between northern and southern Mediterranean ports has reversed, with southern ports catching up with European ports in terms of capacity and logistics capacity.

Figure 4.1: Ports in the Mediterranean Basin
Figure 4.1: Ports in the Mediterranean Basin

DEA Methodology and Analysis Results

The Concept of Data Envelopment Analysis (DEA)

  • DEA Super Efficiency Ranking
  • Output Oriented DEA
  • Data and Statistical Analysis
    • Sample Selection
    • Inputs and Outputs
    • Correlation Coefficient among Inputs and Output Factors
  • Analysis Results
    • CCR Model
    • BCC Model
    • Ranking Analysis by Super Efficiency Model

The basic idea is to compare the unit under evaluation (k) with a linear combination of all other units in the sample, i.e. the device itself is excluded. In any case, factors are related to the port's ability to do more with less. In addition to the physical quantity of the cargo handled, the factors related to the ships, such as the ship's call, can be taken into account.

The efficient use of available ground space is related to the number of containers stored in a given terminal area. The degree of correlation between inputs and outputs is an important issue that greatly affects the robustness of the DEA model. No DMUs with inadequate data were detected according to the selected model, confirming the DEA model.

DEA has been applied to analyze the efficiency scores of the designated ports and terminals; .. to calculate the efficiency, two models are used, DEA-CCR and DEA-BCC, DEA is conducted on the 32 Mediterranean ports shown in Table 3. The slack variables in the corresponding models are analyzed to identify improvement directions for the inefficient ports and terminals as shown in Table 7. Slack analysis shows that the amount of output should be increased for an inefficient unit to become generally efficient.

Technical efficiency and unit volume efficiency can be obtained using the DEA-BCC method (in some literature, technical efficiency refers to overall efficiency, while pure technical efficiency refers to technical efficiency, in this study, the terms total and technical efficiency are used). a) Technical analysis and scope efficiency analysis. On the other hand, since the super-efficiency scores of the inefficient container ports are the same as the efficiency indices in the CCR model, the APM Tangier terminal is the most inefficient among the entire units in our sample.

Figure 5.2: Graphical Depiction of DEA-CCR Model
Figure 5.2: Graphical Depiction of DEA-CCR Model

Conclusion

Research Findings

Limitations of the Study

First, the study is only applied to cross-sectional data, which is mainly due to (as mentioned earlier) that some new emerging container terminals are operational only one year before the year of the selected data; which is quite restrictive to assess the evolution trend of the terminals' performance in a permanently changing environment. Second, this study only included ports and terminals from the Mediterranean basin. Therefore, the DEA model does not provide results that reflect the actual position of the studied units in a global industrial and economic environment. But it is also important to take into account the operating environment of each port, such as governance, ownership and management, institutional factors and government policies, market characteristics, or to consider what the GDP per capita is in the country where the port is located, as well as the physical location of the port “if it is in an estuary, close to the city”, which may limit port expansion or access to land and distance from major roads or cargo handling points hinder, if there are other ports in the same country on other sides than the.

Mediterranean Sea and to evaluate the influence of these elements on the characteristics of the port and the performance of the variables. It should also be mentioned that most of the reviewed studies using DEA reflect the multi-output nature of port activity, Ahmed Salem Al-Eraqi, who considered the number of ship calls and cargo throughput in tons, et al (2008), Valentine (2001) ), who used ships, transportation of cargo, cargo handled and container handled, and also Park and De (2004) used cargo throughput, number of ship calls, turnover and consumer satisfaction. It is required to conduct various studies using models with DEA/Window analysis with time series data to make a more complete analysis and get a better assessment of the efficiency of the port.

It is also necessary to involve ports and terminals from other regions of the world in order to provide a better evaluation of the ports in the Mediterranean, which will be useful to assess the position of the entire Mediterranean region in the global hierarchy of the port industry. Kuo, S.G., “Evaluating Port Efficiency in Asia Pacific Region with Recursive Data Envelopment Analysis”, Journal of the Eastern Asia Society for Transportation Studies, Vol. Maria Manuela Gonzalez “Efficiency measurement in the port industry: a review of empirical evidence” Universidad De Las Palmas De Gran Canarias, Discussion Paper Series No.

Future Research on Port and Terminal Efficiency…

Gambar

Figure 1.1: container traffic of major maritime trade routes 2007 (M TEU)
Table 2.1: Literature Review
Figure 3.1: Variations of Functional Roles and Institutional Models across Different  Port Services and Facilities
Figure 3.2: Structure of International Container Shipping
+7

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