Due to limited access to domain knowledge and domain-relevant benchmark data, the Container Stowage Planning Problem (CSPP) is notably under-researched. In particular, previous models of the CSPP have lacked two key aspects of the problem: lashing forces and paired block stowage. The former may reduce vessel capacity by up to 10%, and the latter is NP-hard. The Representative CSPP (RCSPP), which captures all critical aspects of the problem is formulated. The presented RCSPP incorporates overlooked constraints such as paired block stowage and lashing, along with an innovative method for estimating lashing forces, all while maintaining simplicity. A heuristic method, STOW, has been developed to identify solutions for the RCSPP using a specially designed benchmark suite based on real-world scenarios. STOW algorithm is an advanced search heuristic employing a diverse range of solution modification strategies, each tailored to address specific aspects of stowage optimization. Feasible solutions were successfully identified for all instances within the benchmark suite. Our initial findings emphasize the importance of accurately modeling lashing forces and employing paired block stowage. Results show that removing the lashing constraint can increase the number of containers stowed by over 7% on average, while disabling paired block stowage can result in nearly a 5% increase.
We consider the Tramp Ship Routing and Scheduling Problem (TSRSP) in which we plan routes for a fleet of tramp shipping vessels operating on a combined contract and spot market. Earlier research has been fragmented due to variations in the side constraints studied. Hence we present the first unified model that can handle speed optimization, chartering costs, bunker planning, and hull cleaning. The model is solved by column generation, where the columns represent the possible routes of a vessel, while the master problem keeps track of the binding constraints. The pricing problem is solved efficiently using a time–space graph and several dominance rules. Real-life instances with up to 40 vessels, 35 geographic regions, and four months planning horizon can be solved to optimality in less than half an hour. The optimized routes increase earnings by 7% compared to historical schedules. Furthermore, policy-makers can use the model as a simulation of a rational agent behavior.
Led by the UN’s International Maritime Organization (IMO) and the EU, the shipping industry struggles to reduce its greenhouse gas (GHG) emissions to align with the Paris Agreement. Clean Cargo, the leading voluntary buyer–supplier forum for sustainability in the cargo shipping industry, developed some years ago a methodology to calculate and report the GHG emissions from containerships. The recently introduced carbon emission requirements by the IMO and EU have reinforced the members’ interest in a new Clean Cargo reporting mechanism that enables a more effective and efficient monitoring of the decarbonization progress. A better understanding of the user needs accompanied by due consideration to the regulatory environment and the technological advances are key to build this new framework. This paper builds on the case of the Clean Cargo initiative to (1) identify the stakeholders’ expectations and motivations for voluntary disclosure of environmental information, and (2) discuss the governance challenges of voluntary initiatives. A questionnaire was designed and deployed to investigate the current uses of Clean Cargo data and the information sharing among different stakeholders. Voluntary schemes can speed up the decarbonization process by proposing standards accepted by all actors of the global value chain. Clean Cargo members envision reporting on absolute GHG emissions per shipment as the way forward.
The interest in sustainability in the maritime industry has been on the rise. Attention has shifted from how to develop and comply with environmental regulation and labour standards to a more integrated view on sustainable maritime transport that aims at incorporating sustainability in maritime firm strategies. The liner shipping industry, which has been at the forefront, plays a crucial role in global supply chains, with its commitment to sustainable maritime container transport gaining recognition. In particular, procurement relationships stand out as an area where sustainability can exert the most significant impact. Ocean transport is among the most widely outsourced services globally both by shippers and by freight forwarders. Unlike bulk transport, container ocean transport is always outsourced, as shippers do not use their own vessels. Yet, the selection criteria that logistics firms use regarding sustainability when choosing ocean transport service providers and the role of sustainability in value creation among shippers/freight forwarders and ocean transport providers have been scarcely explored.
This article delves into value creation via quality improvement and sustainability practices in ocean freight transport. Employing a case study of an ocean carrier, alongside interviews and survey data, it explores how liner shipping companies can leverage high-quality and sustainable operations to enhance service for their clients and create logistics value. A novel aspect of this study is the application of sustainable supplier management concepts to maritime logistics, highlighting how shippers’ sustainability requirements in sourcing ocean freight services shape procurement relationships and how shipping companies can employ sustainable procurement strategies for value creation.
This report forms part of the ambitious CBS Maritime research initiative entitled “Competitive Challenges and Strategic Development Potential in Global Maritime Industries” which was launched with the generous support of the Danish Maritime Fund. The competitiveness initiative targets specific maritime industries (including shipping, offshore energy, ports, and maritime service and equipment suppliers) as well as addresses topics that cut across maritime industries (regulation and competitiveness). The topics and narrower research questions addressed in the initiative were developed in close dialogue between CBS Maritime and the maritime industries in Denmark. CBS Maritime is a Business in Society (BiS) Platform at Copenhagen Business School committed to the big question of how to achieve economic and social progress in the maritime industries. CBS Maritime aims to strengthen a maritime focus at CBS and create the foundation for CBS as a stronger partner for the maritime industries, as well as for other universities and business school with a devotion to maritime economics research. The competitiveness initiative comprises a number of PhD projects and five short term mapping projects, the latter aiming at developing key concepts and building up a basic industry knowledge base for further development of CBS Maritime research and teaching. This report attempts to map the opportunities and challenges for the maritime industry in an increasingly accessible Arctic Ocean
Carriers in liner shipping markets frequently make public announcements of general rate increase (GRI) intentions, based on which EU authorities have concerns as to whether this harms market competition. This paper aims to empirically investigate how well the GRI system works from an industrial competition perspective, which will indirectly indicate whether carriers are able to manipulate spot rates following GRI announcements. Taking the Far East–North Europe trade between 2009 and 2013 as an example, the paper first reveals the gradual increase of GRI frequency and size, which reflects carriers’ attempts to restore profitability against overcapacity. However, out of all the GRI events only 28.6% were observed to be successful. Since these GRI successes must be the results of either price collusion (if any) and/or normal rate change by carriers in response to fundamental market developments, the effective collusion, if it exists, is actually lower than 28.6%. Next, we identify eight factors influencing GRI successes. To further assess their impact, we applied an ordered logit regression analysis, which, based on four of the factors involved, yields good predictability for GRI success. The four factors, in sequence of explanation power, are the total capacity of GRI carriers, the idling fleet size, the spot rate level, and the average ship-loading factor. Clearly the latter three factors are market fundamentals, which are unlikely to be influenced by an individual carrier in the short term. In actual fact, the conclusion reached is that there is little evidence that carriers can manipulate and distort spot rates through GRIs.
As ocean space increasingly is used for production purposes, such as for the production of food and feed, renewable energy and resource mining, competition for space becomes a concern. A spatial solution to this is to co-locate activities in a multi-use setting. Next to the direct (financial) costs and benefits of multi-use and the societal cost and benefits, there are other factors, in the realm of legal aspects, insurance, health and safety issues and the overall governance of multi-use, that determine whether multi-use can be implemented successfully. This includes transaction costs that arise when for example non-adequate regulation, governance and insurance schemes are in place. Based on the analysis of five case studies across Europe these combined/collective transaction costs of multi-use are analysed and suggestions how to reduce and/or overcome these transaction costs are presented.
What is the role of the sea in globalized capitalism? In their new book Capitalism and the Sea: The Maritime Factor in the Making of the Modern World, Liam Campling and Alejandro Colás explore this question through a historical and geographical lens. In this book, the authors track the larger history of maritime commerce and pursue new understandings of the role of the sea in the global economy. In doing so, they illuminate the understudied maritime spaces, systems, and flows that underpin the global economy and create the foundations of global material circulation.
This study investigates how the recognition and exploitation of entrepreneurial opportunities influence small business performance via interactions with firm-level innovation capability and learning orientation. We frame the study within the maritime-sector context and seek to contribute to the understanding of how the interplay between opportunity recognition, exploitation, innovation capability and learning orientation affects the entrepreneurial performance of local businesses when there is a technological policy change. The study further frames its arguments from a dynamic capability perspective and tests its arguments with data from 284 local businesses operating in the Port of Tema. Findings reveal that opportunity exploitation and learning orientation as well as their interplay have a positive and significant effect on entrepreneurial performance. The study consequently presents local micro-entrepreneurial reactions to macro-level policy changes within the maritime sector – an issue that has largely remained uninvestigated in the African business literature due to maritime blindness.
In the European Union, Maritime Spatial Planning (MSP) has been regarded as a means of promoting the sustainable growth of the blue economy. Consequently, where the planning outcomes affect the business operations in marine areas, commercial and industry stakeholders should have an important role in the planning process. However, the business perspective in MSP has gained little attention in stakeholder involvement literature. The aim of this study is to elaborate on the business sector's interest and involvement in MSP in the Baltic Sea region. The findings are based on the first-hand experiences of MSP authorities and experts. Furthermore, perspectives from two sea-use sectors, maritime transport and marine tourism, have been investigated using online questionnaires to discover their views. The study focuses on the questions of who to involve and what are the driving forces promoting business sector involvement. Even though MSP is a form of broad-scale planning, the results indicate that all spatial and organizational scales from local to international and from small enterprises to umbrella organizations should be considered when designing approaches to business stakeholder participation. The planning authorities need to consider what are the benefits and challenges of involving different types of business stakeholders. Planners often rely on organizations that represent business stakeholders and individual companies. It is resource effective to interact with representatives as they are considered to have a broad and general knowledge of the respective sector's interests. However, in some cases it is beneficial to also integrate individual companies, especially in local or regional contexts.