Improving Small Port Process - Transport Challenges at the Port - Case Study Example

RESEARCH SKILLS Question 1a Problem situation analysis Transport Challenges at the Port Container transportation has come to be appreciated as the most reliable and effective way by which goods can be moved from one destination to another, especially where the distance is quite great (Chen 2012, p. 76). This means of transport is very safe and secure, giving transporters the ability to move their goods from one country to another with maximum assurance of the safety of goods in transit. For effective function at the port, transportation within the port has been an area of great concern among port managers. In correcting some of these problems, prior planning is needed so that all the goods in transit can be taken to their destinations in the most effective way. The planning process ensures that the goods are specially packed, all the terminals checked and other logistics in the entire process taken into consideration (Doukidis 2005, p. 74). Often, an interconnection exists between all the terminals involved and other special points that are needed to ensure safe transport of the items in transit as shown. Fig 1. Schematic container-transport chain (Alessandri et al. 2009, p. 59) According to the flow diagram above, the flow of unladen containers begin at special depots where various empty containers belonging to particular carriers are carefully stacked. When the containers leave the empty depot, the containers are them taken by special trucks to places where cargo is arranged in them using systematically. These points may belong to the actual producers of those goods or could be terminals designated for container goods packaging. Correcting the Problem The need for proper planning in container logistics So far it is evident that container transportation has become the most effective way of cargo transport especially for people working across borders of countries. For effective container operations at the sea ports, it is important that effective prior planning be put into place in order to avoid unnecessary inconveniences (Kim, & Park 2004, p. 751). The effective planning process ensures that container terminals are effectively managed and all cargo handled in the most professional way (Christopher & Peck 2003, p. 65).The pipe flow approach has five main yards, first is the shared reefer yard, meant for exports and imports. It also has a shared dangerous yard as well as an empty yard that is also shared where the capacities of the containers are carefully considered (Imai, Sasaki, Nishimura, & Papadimitiou. 2006, p. 379). In this yard, the containers are supposed to stay awaiting customs clearance processes, after which the customer is allowed to take the containers. Question 1 b. Hard systems modeling Many solutions have been suggested as essential in correcting the transportation challenge at the ports. One of the methods or approaches thought important and effective in solving this challenge is the use of hard systems modeling. System or systems modeling refers to the kind of interdisciplinary study that uses models in the process of conceptualizing and constructing systems in the business or information technology development (Pidd 2004, p. 41). One of the commonly known kinds of systems modeling especially in business management is function modeling. This technique comprises of certain sub-techniques like IDEFO and the commonly known Functional Flow Block Diagram (Kim 2005, p. 217). In streamlining the functions at the container terminals, a hard systems modeling approach is deemed effective because it offers tangible analysis and solutions to the perceived problems and challenges affecting the entire process. Hard methods often give emphasis to systems that have well defined goals and clear objectives. In this process, they are often significant in the process of establishing solutions aimed at achieving certain defined goals (Lee & Hsu. 2007, p. 296). Usefulness of hard systems modeling in this problem context The hard systems approach fits well as the best approach in handling the prevailing challenges at the small ports in the most effective way. According to the foregone discussion, it is evident that a hard systems approach is effective in facilitating the problem solving process in clearly defined problems. This means that this system can effectively be used in getting effective solutions to challenges affecting container logistics. As identified earlier, the main challenge affecting efficiency at the seaports and container terminals is planning. The pipe flow approach has been proposed as a strategy that can be utilized in the process of achieving this objective. However, the need to have a reliable a clearly defined system by which programs and strategies are managed is imperative in order to achieve the stated objectives and make the entire process smooth and devoid of challenges (Legato, Mary &Trunfio. 2010, p. 543). In order to manage smooth movements of containers and their respective cargo within the yards as stipulated in the pipe flow approach, it is important that effective coordination of all the stages be in place. One of the key features of the hard systems modeling approach is that it gives room for various machine based approaches a systems approach that is hardware dominant. It is imperative to note that in the proposed pipe flow approach, emphasis is placed on the use of machines that can enhance efficiency and effectiveness of machines and other kinds of infrastructure at the seaports and container terminals (Lee & Hsu 2007, p. 303). However, machines cannot work on their own without being operated by people. For this reason, the hard systems approach is useful in defining how tasks are to be shared at the different stages stipulated in the pipe flow systems to streamlining work processes in terminals and seaports (Mohanty 2008, p. 82). The effectiveness of this systems can only be noticed when proper control and coordination is observed in all the five stages outlined. In such a way, customers stand to benefit from improved services that ensure that they receive their containers in time in order to enhance their businesses (Seiler 2012, p. 45). Question 2a How supply chain managers seek to enhance collaboration in container logistics. Supply chain management is a very essential aspect of container logistics in order to ensure all the actors involved in the industry achieve their goals. In order to meet this important objective, it is important that an effective supply chain collaboration be set in place (Seo, Dinwoodie& Roe 2014, p. 19). In this perspective, collaboration in the supply chain describes a situation where two or many firms work and cooperate in their plans in order to effectively manage and execute various operations in the supply chain. The presence of such a kind of cooperation in the industry improves performance and creates value for all the different stakeholders and final users or end customers. It is important to realize that effective collaboration in supply chain starts with clients and goes all the way to creation and distribution of finished goods, manufacturing process, procurement of raw materials to the service and material suppliers (Seo, Dinwoodie& Roe 2014, p. 21). Practitioners in container logistics has often expressed increasing interests in the supply chain collaboration process that includes such aspects as efficient consumer response, which ensures that customer feedback is taken into consideration as soon as it arises, collaborative transportation management (Alessandri et al. 2009, p. 65), which ensures that customers orders are worked on in time. Rationale for creating supply chain collaborations Managers in the respective supply chains often try to ensure that they consolidate their efforts to harmonize operations for their common gains. Part of these efforts ensures that supply chains have effective vendor management systems as well as collaboration when it comes to issue of transportation management. Besides the above mentioned merits arising from the collaboration efforts by supply chain managers, other advantages brought about by these collaborations include reductions in costs, enhancements of revenue as well as operational flexibility. Supply chain collaborations enhance efficient and effective service performance in order to effectively work with uncertainties in the market like demand fluctuations. In a highly globalised market place, it is often important to engage in such collaborations in order to create competitive advantages for the particular companies offering services in container logistics. Supply chain managers have realized that by creating collaborations, they crate and command a substantial market share that can give them an effective market position. Supply chain managers have acknowledge d the fact that by developing effective collaborations, they can effectively measure and assess their collaborative practice and internal levels to get necessary assistance especially for benchmarking purposes (Neef 2004, p. 57). In conclusion, supply chain managers need to understand that these kinds of collaboration makes it easy for effective information sharing, alignment of incentives, joint decision-making as well as having quality in the kind of information being shared. Generally, higher levels of supply chain collaboration can only be achieved based on the quality of information being shared. Across the world, the idea of supply chain collaboration is fast becoming dominant and complex such that mangers cannot afford to lose on the chance. Question 2b Integrating the new model of collaboration in maritime logistics In modern times, sea transport has risen to become an important activity that facilitates global business activities from one continent to another. In this perspective, it has become evident that sea transport is very significant as far as globalised economies are concerned. Shipping makes it easy and cost effective to transport bulky goods from one country to another, especially where the sea or ocean acts as the main boundary. Countries are able to transport petroleum products, minerals and many other goods that cannot be transported by air or road where large water bodies exist. The need for managing exports and important from one country or continent to another has introduced a very important concept of maritime logistics as shown below. Fig 2. Proposed Pile flow model for import and export logistics processes (Hartmann 2004, p. 172). Maritime logistics, as applied in sea transport deal with all the issues pertaining maritime transport; for instance, moving of cargo, shipping, loading and unloading among others. Maritime logistics is also concerned with different aspects of traditional approaches in achieving sea transport (Lee, Wang, & Miao 2008, 126). The traditional logistics activities are often characterized by stuffing/stripping as well as inventory and storage management. Additionally, maritime logistics also many kinds of integrated logistics like effective quality control, distribution centers management as well as assembly and packaging of goods. All these functions are often coordinated effectively and efficiently by integrating the principles for supply chain management and logistics to various aspects of maritime transport. Conceptual model of Supply chain collaboration in maritime logistics Just like the case of container logistics, supply chain collaboration can also be applied in the case of maritime logistics. It is important to realize that the concept of collaboration in both cases is often to enhance the quality of services and improve the kind of utility that customers derive from the process. In this perspective, it is evident that the advantages associated with supply chain collaboration in container logistics can also be applied to maritime logistics. The following diagram illustrates how this form of collaboration can be achieved. Fig 3. Interoganizational systems for supply chain collaboration (Seiler 2012, p. 68). Supply chain collaboration in maritime logistics concentrates much on the process of developing joint relationships between companies and other actors involved in the form of transport. In the past, individual organizations have seemed to pursue their own ambitions and profits instead of creating an environment that can achieve these benefits for all the players involved. Additionally, this approach seemed to disregard the benefits of managing an effective supply chain in such a way that adversarial attitudes could easily have been pervaded. Question 3 Sustainability issues in smaller ports Ports are very important points of entry and exit into and out of a country, which requires proper management and care. Ports allow ships to enter and leave a country, something that is beneficial for export and import of goods. Depending on the volume of items being shipped, a port can be classified as being small or big. In most cases, big ports are those that have many large ships anchoring and leaving, with much bigger volumes of goods being transported through these avenues. Research and studies about marine sustainability has often featured certain scientific impacts, processes as well as other available initiatives geared towards environmental sustainability in a way that enables port managers have a focus on ways of developing resources to enhance processes in large ports (Kuznetsov 2014, p. 56). In the same way, there has been acute shortage of research into similar ways and approaches that can enhance similar processes and functions in smaller ports, something that makes most of them unable to manage the increasing functions because of the globalisation process happening globally. Managing sustainability issues at the port It has become a common observation that maritime activities instead of shipping or port operations seem to have received less attention especially when it comes to investigations towards understanding how to enhance their effectiveness (He, Chang, Mi, & Yan 2010, p. 147). Popular methodologies and strategies that concentrate on establishing effective models that enhance efficiency and effectiveness and their competitiveness have limited their relevance to the smaller ports. In the same way, creation and deployment of various qualitative methods like case studies that often investigate the management processes and functions as well as the levels of engagement by stakeholders has also been hugely neglected in small ports. Kuznetsov et al (2015), have noted that very many attempts have been made in the process of integrating various aspects of sustainable business management in the routine activities of organizations. In the same way, one of the major observations has been an increasing awareness for various environmentally-friendly concerns. Kuznetsov et al (2015) have realized various influence groups from external sources that seem to have a greater say on the way small organizations operate. These influence groups that determine work practices in small and large organizations include like environmental groups, legislators, suppliers and financial institutions among many others. In this perspective when excessive attention is given to one of these factors it establishes an obvious panacea, which many organizations use for their commercial and political ambitions, something that derails their efforts towards accepting change. The effectiveness of the Green Bulls eye template in port management One of the most surprising things is that business processes that concern effective management of maritime operations in small ports have not been given emphasis when it comes to their management. This means that without change of strategy and approach, it will be very difficult for these kinds of ports to manage the expanding maritime activities relating to sea transport. This observation seems to have prompted Kuznetsov et al (2015) to examine some of the challenges and shortcomings that can be responsible for this development and how it can be changed in order to improve the functioning of these ports. These authors and researchers have given emphasis on the processes surrounding environmental management in these small ports in great depth (Ku, Lee, Chew & Tan. 2010, p. 539); in this perspective, any manager of small ports can develop some important clues and hints of how to enhance effectiveness and efficiency in these small ports. In their research, Kuznetsov et al (2015) notes that for a very long time effective business processes are yet to be established, which can enhance the process of sustainable environmental management in the small ports. In this case, some of the issues of great importance to stakeholders include tactical, strategic and operational levels of these important issues. Therefore, it is important to acknowledge the fact that the findings from the research by Kuznetsov et al (2015) are effective in improving small port process and functions in different ways. By carefully implementing the recommendations in this research, a small port manager should be better placed to improve work practices in the port, thus enhance their competitiveness and market position in this globalised business environment in maritime logistics. Bibliography Alessandri, A., C. et al. 2009. “Management of Logistics Operations in Intermodal Terminals by Using Dynamic Modeling and Nonlinear Programming.” Maritime Economics & Logistics. Vol 11, no. 1, 58–76. Chen, L. 2012. Foundations of intelligent systems 20th International Symposium, ISMIS 2012, Macau, China, December 4-7, 2012 : Proceedings. Springer, Berlin. Christopher, M., & Peck, H. 2003. Marketing logistics (2nd ed.). Butterworth/Heinemann, Amsterdam. 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