Resources in Technology

Transportation of the Future: Understanding Port Logistics

By Petros J. Katsioloudis

By 2020, even at moderate rates of domestic growth, the international container trade will double from current levels.

which left the Port of Newark New Jersey in April of 1956 and headed for the Port of Houston, Texas. (Maersk, 2009). This was to begin a revolution in shipping large quantities of goods at substantially lower costs than in the past. Today there are major container ports in Long Beach, California, New York, Newark, New Jersey, and Singapore. The U.S. Department of Transportation (DOT) forecasts that by 2020, even at moderate rates of domestic growth, the international container trade will double from current levels (Maritime Transportation System Task Force, 1999). This cargo flow surge has placed significant stress on the U.S. transportation network. Major coastal ports are currently operating near maximum capacity, suffering from bottlenecks and delays in container movements.

The beginning of containerized cargo shipping began with the shipping of a Sea-Land container aboard the SS Ideal-X,

Photo 1. Complex logistics operations pave the way for food aid to Darfur. The provision and delivery of food commodities to this country in need as well as its distribution to recipients is a complex process. USAID is the largest donor of food assistance to Darfur. The typical turn-around time is 14 days from initial discussions with the U.S. Department of Agriculture (USDA) to vessel loading. The Darfur operation is one of the quickest in USAID history.

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Photo Credit: United States Agency for International Development

ransportation is one of the most critical components in civilian and military logistics operation. Freight transportation is a vital component of the economy, an indicator, and a contributor to economic growth and stability. Transportation networks facilitate the movements of goods and people to markets and are essential for the prosperity of a society and the competitiveness of an economy (Denisis, 2009). Efficient transportation generates logistical savings for businesses through economies of scale, production, and distribution flexibilities. The success of business and industry, as well as the military, relies heavily on efficient air and sea transportation systems (Goldsman & Kang, 2002). Even though it can be argued that the most efficient means of civilian transportation and cargo delivery is via air, most military transportation is accomplished by some combination of air, sea, and land methods. A ship for example, although slow, moves a large amount of material at a very low cost (Goldsman & Kang, 2002).

Dealing with large cargo ships and trying to manage thousands of containers to their final destination can cause several kinds of logistical problems. Problems associated with dispatching and routing vehicles and locating items or facilities arise frequently in logistic systems (Bramel & Simchilevi, 1997). According to the American Association of Port Authorities (AAPA), the average dwell time of containers sitting idle in the yard is six to seven days for U.S. ports, compared with only one to two days or even hours in some Asian ports. Therefore a system is necessary to promote stability and organization in the process. Transportation logistics problems have been studied in the operations research and management science literature under different settings including vehicle fleet, truck routing, warehouse management, and facility location. Yet the amount of research that deals specifically with port logistics is limited (Korular, 1999). Most of the existing research is not directly applicable to a container terminal due to its unique characteristics. One of the first detailed analyses of port operations appears in Atkins (1983), who documented landside operations at the ports. Usually when a ship arrives at the terminal, containers are first unloaded from the ship and loaded on vehicles using the quay cranes and then moved to various locations for storage in the yard. These types of vehicles usually travel on a complex network of lanes within the terminal area. Typically, after most or all containers have been discharged from the ship, other containers are loaded. It is well known that speed is the major contributing factor in todays transportation industry; therefore, the main intention of every port is to increase its throughput, or in particular, to reduce ship turnaround times (McKinsey & Company, 1967). Thus, an efficient port is one that allows speedy transshipment to and from the ships (Korular, 1999). Both the carrier and the port benefit from speedy operation. Unfortunately, in many regions around the globe, the ports or terminals are now working at or close to capacity, and there is significant pressure from the political and business sectors to increase terminal throughput and in particular decrease ship turnaround time at the port (Korular, 1999). In most cases this requires the development of methodologies and tools that allow the efficient coordination of activities within the terminal area. Even though the global economic picture has softened substantially in 2008, the volume of worldwide container traffic is significant. The United States remains the worlds largest economy, with one in ten containers originating in the United States or in-bound from other nations around the world (Research and Innovative Technology Administration, 2009).

Photo 2. Port logistics can be complex and challenging. The Elly Maersk is one of the largest container cargo ships in the world. While the Elly Maersk is a super container ship, it is also environmentally friendly, with silicone hull paint that reduces friction and improves fuel economy. The Elly Maersk can carry 11,000 twentyfoot containers. In theory, a ship the size of the Elly Maersk could carry 528 million bananas!

Norfolk, Virginia hosts the largest naval base in the nation and houses one of the largest civilian ports. The need for individuals to deal with port logistics is great, and promoting individuals for such jobs is essential. The first step necessary to feed the pipeline of the port logistics profession is the exposure of young individuals to the world of port logistics and transportation.

Design Initiative for Students

The activity described below will emphasize modeling, simulation, and the application of port logistics to familiarize individuals and promote the exploration of STEM-related careers. The activity will emphasize modeling and simulation of physical systems in the port environments in order to bring real-world problems closer to students who may be interested in pursuing STEM-related careers. The activity will include modeling and simulation of typical port logistics. As a part of this activity, students will simulate port logistic applications according to specifications and under guidance of the instructor, who in this case will serve as the manager of the port authority. To be able to complete this activity, students need to be able to read technical specifications to determine different types of cranes and other transportation vehicles required in a port environment. A week of research on the related topic is suggested. In starting the activity, students will receive an overview and instructions from the port authority, including the number and type of cargo ships

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Photo credit: Maersk Lines

that will be visiting the port. As a second step, they will plan and design a logistics operation plan to be distributed to crane and transportation vehicle operators. Once the plan layouts are made, students will simulate the arrival of a cargo ship and coordinate the different applications under specific time and space constraints. Logistic materials consisting of timers, signs, and communication devices can also be used so that students can better communicate and correspond with each other during the loading and unloading process. Once operation is complete, the students should prepare a report identifying glitches during the operation process and suggesting alternative ways of operation for future applications. Students should use at least one type of port logistics software during the plan layout process. At the end of the activity the instructor should evaluate the operation and specify positive and negative components. Upon the observation of several complex port logistic systems and by using the engineering design process (see Figure 1), students will identify potential problems found on the port site. Following the second step of the engineering design process, students will generate potential ideas and then, using modeling and simulation techniques (M&S), all potential ideas will be analyzed and tested. Depending upon the results, the best idea will be chosen and executed during the port logistics activity. Upon completion of the activity, an evaluation will take place for the students to draw conclusions and identify design flaws they encountered. Activities such as the one described above are easy to correlate with Standards for Technological Literacy: Content

for the Study of Technology, created by the International Technology Education Association in 2000. See Table 1 for correlations with ITEAs technological literacy standards.

Figure 1. The engineering design process begins with stating the problem and ends with presenting the results. This model can be used to solve simple problems around the home or in complex logistics and operations management scenarios. Todays jobs require competent people who can identify problems, select solutions, and deliver results in a timely and efficient manner. Engineering Design Process Model. Adopted from: www.nasa.gov/.../183835main_edc_ flow_k4_540.jpg.

Table 1. Correlation with Standards for Technological Literacy

The Nature of Technology Standard 1: Students will develop an understanding of the characteristics and scope of technology. Standard 2: Students will develop an understanding of the core concepts of technology. Standard 3: Students will develop an understanding of the relationships among technologies and the connections between technology and other fields of study. Technology and Society Standard 4: Students will develop an understanding of the cultural, social, economic, and political effects of technology. Standard 5: Students will develop an understanding of the effects of technology on the environment. Standard 6: Students will develop an understanding of the role of society in the development and use of technology. Design Standard 8: Students will develop an understanding of the attributes of design. Standard 9: Students will develop an understanding of engineering design. Standard 10: Students will develop an understanding of the role of troubleshooting, research and development, invention and innovation, and experimentation in problem solving.

Standard 7: Students will develop an understanding of the influence of technology on history.

Note. Adapted from the International Technology Education Association. (2006). Technological Literacy for All: A Rationale and Structure for the Study of Technology. Reston, VA: Author.

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References
Atkins, W. H. (1983). Modern marine terminal operations and management. The Port of Oakland. Oakland. California. Bish, E.K. (1999). Theoretical analysis and practical algorithms for operational problems in container terminals. Ph.D. dissertation, Northwestern University, Evanston, IL. Retrieved July 11, 2009, from Dissertations & Theses: Full Text. (Publication No. AAT 9953244). Bramel, J. & Simchilevi. (1997). The logic of logistics: Theory, algorithms and applications for logistics management. Springer Series in Operations Research. McKinsey & Company. Inc. (1967). Containerization: The key to low transport. A report by McKinsey, Inc. for the British Transport Docks Board. Denisis, A. (n.d.) An economic feasibility study of short sea shipping including the estimation of externalities with fuzzy logic. Ph.D. dissertation, University of Michigan, Ann Arbor, MI. Retrieved July 12, 2009, from Dissertations & Theses: Full Text. (Publication No. AAT 3354137). Goldsman, D., Pernet, S., & Keebom, K.(2002). Simulation of transportation logistics. Simulation Conference, 2002. Proceedings of the Winter, Vol. 1, 8-11, Dec. 2002, 901904. Retrieved (n.d.) from http://ieeexplore.ieee.org/ stamp/stamp.jsp?arnumber=1172977&isnumber=26360. Maersk Line, (n.d.) 80th anniversary of Maersk Line milestones, Retrieved July 12, 2009, from www. maerskline.com/link/?page=brochure&path=/about_us/ milestones. Maritime Transportation System Task Force. (1999). An assessment of the U.S. Marine Transportation System (MTS): A report to Congress. Washington, DC: U.S. Department of Transportation. Retrieved (n.d.) from www.cmts.gov/index.htm. U.S. Department of Transportation, Research and Innovative Technology Administration, Bureau of Transportation Statistics. (2009). America's U.S. Department of Transportation. Americas container ports: Freight hubs that connect our nation to global markets. Retrieved July 12, 2009, from www.bts.gov/publications/ americas_container_ports/2009/pdf/entire.pdf. Petros J. Katsioloudis, Ph.D is an ambassador to Cyprus for the International Technology Education Association. He is an assistant professor in the Department of Occupational and Technical Studies at Old Dominion University in Norfolk, VA.

Photo 3. Mariners on cargo ships such as the Emma Maersk rely on harbor masters, tugboats, and port logistics operators to get in and out of ports in a timely manner. The ships must be piloted into a harbor and docked for loading and unloading. Specialized cranes load and unload ships very efficiently acccording to a plan.

Summary
Sea shipping is a sustainable transportation mode and an environmentally friendly solution for the capacity and mobility problems of the U.S. freight transportation system (Denisis, 2009). However, combining sea and land transit by utilizing complex port logistics can promote more sustainable freight transportation and, according to the U.S. Maritime Administration (MARAD), is a form of commercial waterborne transportation that does not transit an ocean and utilizes inland and coastal waterways to move commercial freight. However, being able to create an efficient system of transportation that is also friendly to the environment and prevents pollution is a major goal of this activityto enhance understanding of young individuals so they make intelligent and informed career decisions and protect the environment for future generations will remain vital.

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Photo Credit: Maersk Lines.

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September 2009