Assessing port governance models: process and performance components

This paper develops a conceptual framework that integrates various relevant port performance components in a way that can be used for a comprehensive port evaluation and adjustment of existing port governance models. The paper presents a synthesis of the literature on port governance models and port performance, arguing that the process of change is a dynamic one, and that the performance outcome of a reform process influences the next round of reforms. It also explores the potential for decomposing performance into two different, although related, port performances components, namely efficiency and effectiveness. Bringing into the analysis concepts like the need to integrate users’ satisfaction in port performance assessment, the paper explores the content of each of these components and their relationship. This discussion, along with empirical evidence provided by port authorities, leads to the conclusion that governance decisions, both at firm and government levels, are largely based on a very limited assessment of port performance. The effectiveness of port reform is largely neglected, with user perspectives not being an integral part of an effort to improve performance by the port or as feedback to assess the effectiveness of the governance model imposed by the government's port policy.     

The nexus between port governance and performance

The diversity of port governance models in the world, sometimes even within the same country, has aroused the interest of researchers. This study is based on contingency theory to support the port governance model. The purpose is to understand the port governance model and the relation with port performance. There are three objectives: to analyze the port governance mechanisms; to analyze the port performance factors; and to understand the influence of the governance model mechanisms on port performance. A factorial analysis was used to determine the main components, and the methodology of the structural equation model was used to analyze a survey sample of 105 valid responses from specialists and managers of port user’s companies that operate in the main Portuguese ports. This study demonstrates that port governance model influences directly the port performance. The main contribution of this paper to the literature is providing a set of factors that public managers may decide when changing the characteristics of the port governance models to ensure their performance. It was also observed the approximation of the port expert vision of port governance with models described in literature.     

Revisiting port pricing; a proposal for seven port pricing principles

A review of seven large landlord port authorities around the world reveals a notable diversity of pricing structures. While port authorities increasingly act as commercial undertakings, port pricing often seems to be not driven by commercial considerations. In this paper, we argue that ports can be regarded as “business ecosystems” with multiple users. This provides a valuable perspective on pricing and raises the question of whether ports can be regarded as two-sided markets. We argue this is not the case. The business ecosystem perspective provides a basis for deducing seven pricing principles for port authorities that are detailed in the paper and illustrated with cases these principles. These pricing principles are broadly follow a direct user pays approach; capture value from “non-core” tenants; price aggressively for activities with a high strategic value; differentiate pricing based on price elasticity and connectivity improvements; maximize revenue from long-term lease agreements, price port dues competitively; critically consider differentiation of charges based on environmental performance; and finally use incentives to align interests of terminal operators and shipping lines. We conclude that the ecosystem perspective is central to the understanding of pricing decisions of port authorities and that various pricing issues deserve more attention.     

Book reviews of Maritime Transport. Edited by M ary R. B rooks,K enneth B utton and P eter N ijkamp (Cheltenham UK: Edward Elgar, 2002) [Pp. 553] £150.00. ISBN 1 84064 552 0

Using the extended task-technology fit (TTF) model, this paper investigates how certain factors (e.g. task characteristics, technology (i.e. intranet) characteristics, middle managers’ demographic characteristics, task-technology fit, and perceived usefulness and usage) affect the port middle managers’ job performance. Numerous organizations in the port industry constitute the population of interest. The preliminary results suggest that the majority of middle managers believe that intranet could improve their job performance. The results from the structural equation modelling (SEM) indicate that task characteristics and intranet characteristics significantly justify their variance on task-technology fit. However, demographic variables do not predict task-technology fit. Perceived usefulness is found to be a predictor of intranet usage. Task technology fit, on the other hand, significantly predicts usage and explains the variance on middle managers’ job performance. This study is the first study to investigate the effects of intranet usage and managerial performances in an integrative perspective, taking into account various user acceptance models and users’ demographic characteristics.     

基于嵌入式802.1x协议的多元素绑定技术

嵌入式系统连接的设备数量较多,如果采用传统的用户名加密码的认证方式,存在地址被盗用,非法设备接入和一个帐号多人使用等问题。由于802.1x协议实现简单、易于移植并提供了基于端口的认证方式,同时嵌入式系统所连设备的位置相对固定,在此基础上本文提出了基于802.1x协议的多元素绑定技术的解决方案。在原802.1x协议的认证基础上,对接入设备的MAC(Media Access Con-trol)地址、CAR(Committed Access Rate)参数和端口号等信息绑定后进行统一验证。通过实验证明系统的安全性得到了进一步提高,而且认证效率较高。     

An analysis of the overcapacity problem under the decentralized management system of container ports in Japan

This article is concerned with an analytical summary of how the Japanese container ports have been taking place overcapacity problem in a systematic way. It focuses on institutional aspects of the overcapacity problem from the viewpoint of accounting cost and opportunity cost. The first issue arises due to the port authority's accounting system and insufficient disclosures of financial statements of port business to the port users and taxpayers. The second issue is inherently related to resource allocation between the state government and local governments through the budget system and income distribution programmes. Since a proper allocation of economic resources in the port sector as a whole will depend on investment decisions being taken within a coherent framework for ensuring that costs are passed on to port users, these issues are closely related to each other in reality. Although the budget system is completely controlled by the state government, the local governments have authoritative power over port planning, financing, and management, which is assured by the Ports and Harbours Law. The overcapacity problem appears to be an inevitable result.     

An analysis of the overcapacity problem under the decentralized management system of container ports in Japan

This article is concerned with an analytical summary of how the Japanese container ports have been taking place overcapacity problem in a systematic way. It focuses on institutional aspects of the overcapacity problem from the viewpoint of accounting cost and opportunity cost. The first issue arises due to the port authority's accounting system and insufficient disclosures of financial statements of port business to the port users and taxpayers. The second issue is inherently related to resource allocation between the state government and local governments through the budget system and income distribution programmes. Since a proper allocation of economic resources in the port sector as a whole will depend on investment decisions being taken within a coherent framework for ensuring that costs are passed on to port users, these issues are closely related to each other in reality. Although the budget system is completely controlled by the state government, the local governments have authoritative power over port planning, financing, and management, which is assured by the Ports and Harbours Law. The overcapacity problem appears to be an inevitable result.     

Targeting market opportunity for port growth: a CART-based decision support system

Complex decisions, such as those facing port managers when targeting market opportunities for growth, are multifaceted and follow complex patterns of sequential and iterative decision subsets that are not well captured nor represented by current parametric modelling approaches. Nonetheless, understanding how such decisions are made and the patterns they follow have important implications for policy formulation and execution. This paper uses a classification and regression trees (CART) framework—a non-parametric decision trees modelling approach-and develops a decision support system to assist port managers in making effective decisions about market opportunities they should pursue for growth. The CART-based decision support system reveals the predictive structure and complex patterns that the market opportunity selection process follows. It also advances our knowledge and understanding of the interaction and behaviour of the key decision variables and the decision makers in a port context.     

‘Tool port’ to ‘landlord port’: a game theory approach to analyse gains from governance model transformation

This study investigates potential port users’ surplus and terminal operators’ profits due to transforming port governance from the ‘tool port’ model to the ‘landlord port’ model. Although the landlord port model is one of the most adopted and successful port governance models, many ports still operate under other models. Chittagong Port, the largest port in Bangladesh, currently operates under the tool port model, while the country’s second-largest port, Mongla Port, operates under the service port model. Chittagong Port is currently facing many challenges, including capacity expansion and renovation of port facilities. Therefore, we form four hypothetical situations for port governance model transformation, assuming that Chittagong Port will transform to the landlord port model but that Mongla Port will run under the existing governance model. Estimating a Bertrand game model, we present a cost-benefit analysis for port users and terminal operators (or port authorities) in hypothetical game situations. The results reveal that privatising one of the container terminals under a landlord setting is the most profitable scenario for Chittagong Port Authority, but privatising all terminals of Chittagong Port yields the highest users’ surplus. However, privatising two of the terminals while they cooperate yields the lowest users’ surplus.     

The implications of increased competition among ports for port policy and management

The increased competition faced by ports is more focused than previously on the performance of logistics systems of which the individual terminals in ports are critical hubs. The changes in competitive conditions raise issues about appropriate public port policies and strategies of port managements. This paper argucs that the port industry should (and is) moving in the direction of more harmonized policies based on economic principles. Port policies based on cost recovery from users of port facilities and services need to be adopted as the international standard. The competitive environment favours considerable local autonomy. Port management, in addition to possible direct responsibility for terminal management, needs to focus on activities with economies of scale or scope. Such activities, which span the requirements of terminals and may even warrant inter-port cooperation, enhance the services available for many port users.     

Information Management in Beach Planning

Abstract

This article concerns optimizing the use of environmental information for creative planning. It arose from a detailed study of the status and management of the coastal dunes of New South Wales, Australia, and discusses the way in which ideas for optimizing the management process were developed, and applied to three beach environments on the coast of New South Wales, Australia.

The problem of coastal beach/dune management may be thought of as being similar to a production function in which the inputs are the land resource, the skills and knowledge of managers, finance, and materiel. The outcomes are in the form of experiences, or opportunities for experiences, either passive or active, either consumption values or option values, desired by the coastal user population (which includes the resource managers themselves). The resource manager's task is to manipulate the “production function”; in order that the outputs will best mesh with the expectations of the user population and with the capability of the land resource to deliver on a sustained basis. An aim of the project was to develop a method for the specification of different possible outputs from the production function, in different beach/dune environments, and that could be used to assist in the preparation of advice on appropriate recreational development, allowing decisions to be based on both environmental data and information on the expectations, activities, and amenity preferences of beach users.     

A logistics and supply chain management approach to port performance measurement

Although there is widespread recognition of the potential of ports as logistics centres, widely accepted performance measurements for such centres have yet to be developed. The essence of logistics and supply chain management is an integrative approach to the interaction of different processes and functions within a firm extended to a network of organizations for the purpose of cost reduction and customer satisfaction []. The logistics approach often adopts a cost trade-off analysis between functions, processes and even supply chains []. This approach could be beneficial to port efficiency by directing port strategy towards relevant value-added logistics activities. This paper seeks to show that through conceptualizing ports from a logistics and supply chain management approach, it is possible to suggest a relevant framework of port performance. A proposed framework is tested in a survey of port managers and other international experts.     

基于Inmarsat的数字通信软件CemailFax

CemailFax所必须的最低硬件配置为:一台有串口便携式个人电脑,一台Inmarsat终端。软件采用VC 编程实现,通过ADO数据库实现对用户的管理,通过串口编程实现对Inmarsat终端的控制以及数据传输。CemailFax实现了简单易懂的用户界面,实用的单机多用户机制,以及可以与国际同类软件相匹敌的数据传输速率。CemailFax与国际上同类软件相比,创新之处就在于被拨叫Inmarsat地面站可选和它的中文处理能力。     

A logistics and supply chain management approach to port performance measurement

Although there is widespread recognition of the potential of ports as logistics centres, widely accepted performance measurements for such centres have yet to be developed. The essence of logistics and supply chain management is an integrative approach to the interaction of different processes and functions within a firm extended to a network of organizations for the purpose of cost reduction and customer satisfaction [1]. The logistics approach often adopts a cost trade-off analysis between functions, processes and even supply chains [2]. This approach could be beneficial to port efficiency by directing port strategy towards relevant value-added logistics activities. This paper seeks to show that through conceptualizing ports from a logistics and supply chain management approach, it is possible to suggest a relevant framework of port performance. A proposed framework is tested in a survey of port managers and other international experts.     

Forecasting container throughput based on wavelet transforms within a decomposition-ensemble methodology: a case study of China

To improve predictive accuracy, new hybrid models are proposed for container throughput forecasting based on wavelet transforms and data characteristic analysis (DCA) within a decomposition-ensemble methodology. Because of the complexity and nonlinearity of the time series of container throughputs at ports, the methodology decomposes the original time series into several components, which are rather simpler sub-sequences. Consequently, difficult forecasting tasks are simplified into a number of relatively easier subtasks. In this way, the proposed hybrid models can improve the accuracy of forecasting significantly. In the methodology, four main steps are involved: data decomposition, component reconstruction based on the DCA, individual prediction for each reconstructed component, and ensemble prediction as the final output. An empirical analysis was conducted for illustration and verification purposes by using time series of container throughputs at three main ports in Bohai Rim, China. The results suggest that the proposed hybrid models are able to forecast better than do other benchmark models. Forecasting may facilitate effective real-time decision making for strategic management and policy drafting. Predictions of container throughput can help port managers make tactical and operational decisions, such as operations planning in ports, the scheduling of port equipment, and route optimization.     

Terminal investment timing decisions in a competitive setting with uncertainty using a real option approach

This paper uses a real option approach to analyze terminal investment timing decisions for situations in which a port faces competition from its rivals in an uncertain market. We propose a network model to describe carriers’ cargo routing decisions and competition among rival ports. We then transform this model into a multicommodity flow problem and use the column generation algorithm to solve it. After obtaining a port’s possible future annual revenues and the potential net present value (NPV) for its terminal construction project through the network model, we adopt the expanded NPV rule and transform the investment timing decision into an optimal stopping problem. A least squares Monte Carlo simulation algorithm is proposed to find the investing probabilities for future years. The proposed models are applied to a steel cargo terminal investment case in the Port of Bengbu in Anhui province of China. The impacts on the investing probability and the expanded NPV of changes in the demand volatility, the initial investment and the port discharging rate are analyzed to provide managerial insights for port managers.     

Modeling Coastal and Marine Environmental Risks in Belize: the Marine Integrated Decision Analysis System (MIDAS)

The livelihood of coastal communities is directly linked to the health of intertidal and marine ecosystems. Coastal zones and marine areas are rapidly changing and highly vulnerable to impacts from climate change, accelerating human development, and over-fishing. Quality of life and the benefits of coastal development can be greatly enhanced, and costs minimized, by projecting and comparing alternative policy outcomes before management decisions are made. This article describes the Marine Integrated Decision Analysis System (MIDAS), an interactive decision support tool designed to assist the users and managers of Belize's system of marine management areas (MMAs) in understanding the interactions among various ecological, socioeconomic, and governance conditions in a spatially explicit manner. MIDAS can simulate and visualize the likely effects of alternative management strategies and therefore provides an important tool for evaluating potential scenarios. We developed two MIDAS modules to address specific threats in Belize –spatial risk resulting from mangrove deforestation in coastal areas and the potential effect of an oil spill off the coast of Belize. Workshops conducted in Belize indicate that diverse user groups such as fishers, tourism operators, and public environmental agencies can successfully utilize MIDAS to understand MMA outcomes, and environmental risks.     

Port e-Transformation,customer satisfaction and competitiveness

ABSTRACT

e-Transformation in container ports means port organization-wide innovative transformation encompassing internal and external value chains based on information and communication technology. There is a considerable theoretical literature on the impact of e-Transformation on business performance, but there is very little empirical study on its effectiveness in ports. The objective of this paper is to empirically investigate how e-Transformation in container port management can influence customer satisfaction and port competitiveness. The findings reveal that e-Transformation in container ports can affect customer satisfaction and port competitiveness through e-Workplace, customer relationship management and security, implying that container ports should make every effort to focus on e-transformation in these critical areas. Due to limited empirical studies in this area, the findings have provided an empirical support for the importance of e-Transformation in container terminal management and shed more light on how e-Transformation can affect customer satisfaction and port competitiveness.     

Port performance comparison applying data envelopment analysis (DEA)

The large variety of factors that influence port performance complicates the determination of port efficiency. This paper presents a new approach to the measurement of efficiency. Data envelopment analysis (DEA), as a it is called, has particular applicability in the service sector. Applying mathematical programming techniques. DEA enables relative efficiency ratings ti be derived within a set of analysed units. Thus it does not require the developmentof 'standards' against which efficiency is measured, although such standards can be incorporated in the DEA analysis. The efficiency of units is compared with an 'efficiency envelope' that contains the most efficient units in the group. The DEA approach will be demonstrated by a hypothetical numerical example where the performance of 20 ports are compared. The DEA efficiency ratings can be useful tool for port managers and for researchers, providing a deeper insight into port performance. Weaknesses can be detected, leadungs the way to potential improvements.     

Announcements

The large variety of factors that influence port performance complicates the determination of port efficiency. This paper presents a new approach to the measurement of efficiency. Data envelopment analysis (DEA), as a it is called, has particular applicability in the service sector. Applying mathematical programming techniques. DEA enables relative efficiency ratings ti be derived within a set of analysed units. Thus it does not require the developmentof ‘standards’ against which efficiency is measured, although such standards can be incorporated in the DEA analysis. The efficiency of units is compared with an ‘efficiency envelope’ that contains the most efficient units in the group. The DEA approach will be demonstrated by a hypothetical numerical example where the performance of 20 ports are compared. The DEA efficiency ratings can be useful tool for port managers and for researchers, providing a deeper insight into port performance. Weaknesses can be detected, leadungs the way to potential improvements.