Maritime Logistics As An Emerging Discipline

Project and Seminar Material for Maritime and Transport

Maritime Logistics As An Emerging Discipline


Abstract


The evolution of maritime logistics as an emerging discipline has resulted, to a large extent, from the increasing and varied demands of shippers and customers and the rapidly changing role of ports in the context of supply and logistics chains. Scholars are becoming increasingly aware of the need to integrate logistics and supply chain management concepts in the maritime transportation chain and operations.

This article aims to provide a review and foundation for understanding the domain of maritime logistics and to assess its potential as an emerging discipline. To do so, a framework for understanding the various aspects of maritime logistics strategy and implementation is developed.

A synthesis of the existing knowledge on maritime logistics is done by integrating diverse explorations forming the basis of this framework. We draw upon the literature on maritime transport and ports and primarily the literature that analyses concepts by adopting an economic or management perspective.


Chapter One


Introduction

1.1 Background to Study

According to Panayides (2006), maritime logistics is a concept that applies the principles of logistics and supply chain management to maritime transport and this includes ports. Gudehus and Kotzab (2012) state that the operative task of maritime logistics is to convey cargo with ships on rivers, channels and seas at minimal possible costs, fuel consumption and emissions. For this purpose, optimal shipping networks and maritime transport chains have to be designed, implemented and operated. Maritime logistics as a concept has evolved following the developments in multimodal and intermodal transport and, in particular, the physical integration of the transport modes that came about following the advent of containerization intermodalism (D’Este 1996; Hayuth 1987). The physical integration of the transport modes created the need for organizational integration that would provide economic benefits (Panayides 2002).

Logistics is that part of the supply chain process that plans, implements and controls the efficient, effective flow and storage of goods, services and related information from the point of origin to the point of consumption in order to meet customers’ requirements. On the other hand, supply chain management encompasses the planning and management of all activities involved in sourcing and procurement, conversion and all logistics management activities. Importantly it also includes coordination and collaboration with channel partners, which can be suppliers, intermediaries, third-party service providers and customers. Hence, maritime logistics would encompass the management of the physical maritime transport flows, the management of the information flows, as well as the management of the interfaces between the various actors in the maritime supply chain from manufacturer to the end consumer, including ports as well as transport intermediaries like freight forwarders. Furthermore, maritime logistics should aim at improving performance (e.g. increase efficiency and reduce cost), improving quality (e.g. service reliability and responsiveness), improving the spectrum of operations and processes and enhancing environmental performance, growth and corporate responsibility.

Converging the above concepts, Nam and Song (2011) state that maritime logistics is concerned with maritime transport (i.e. shipping and ports), traditional logistics functions (e.g. storage, warehousing and offering distribution centre services) and integrated logistics activities (e.g. value-added services, including labelling, assembly and repairing). On the basis of the above, research would fall under a maritime logistics perspective if (i) it applies logistics and/or supply chain theoretical contexts to maritime transport and/or (ii) it adopts a supply chain perspective that includes the sea leg and/or port operations as a unit of analysis


1.2 Statement of Problem

Maritime logistics entails the integration of logistics concepts in maritime transportation and has recently attracted the increasing attention of practitioners and scholars. More and more companies are adopting maritime logistics strategies and tools as a means of increasing their financial and operational performance. Companies across the entire spectrum of the shipping markets (container, tanker and dry bulk) are realizing the need for in-depth and integrated knowledge across the supply chain in order to build close cooperative and partnering relationships with customers and suppliers. For companies, the adoption of logistics concepts brings new opportunities to significantly change the customer interface and improve service quality whilst controlling costs and improving the potential for profit and competitive advantage.

The evolution of maritime logistics as an emerging discipline has resulted, to a large extent, from the increasing and varied demands of shippers and customers and the rapidly changing role of ports in the context of supply and logistics chains. Ports now operate in a new environment focused on logistics and supply chain management, global sourcing, intermodal operations and logistics outsourcing. To fulfil this role, ports must evolve from the traditional functions of facilitating loading and discharging operations, albeit at greater efficiency, to becoming a link in a larger logistics chain, part of a global distribution channel.

Scholars are also becoming increasingly aware of the need to integrate logistics and supply chain management concepts in the maritime transportation chain and operations.

On this basis they are developing new conceptualizations to analyse and apply such concepts not least in the development of efficient maritime routes and networks, in the control of maritime transport costs, in the integration of the sea–land interface, in the management of carrier–port relationships, in improving performance and quality of maritime services in managing risk and in improving environmental performance and corporate social responsibility (CSR) to name but a few.


1.3 Objective of the Study

The objective of this study is to provide an empirical and foundation for understanding the domain of maritime logistics and to assess its potential as an emerging discipline.

The specific objectives are to:

  1. Investigate the job-tasks which are required by the Maritime Education graduates in Maritime logistics in the Nigeria.
  2. Examine the impact of Information Technology on the performance of Maritime Education graduates.
  3. Examine the competencies required by Maritime Education graduates in performing Maritime logistics sector in the Nigeria.
  4. Investigate the lapses in the current curriculum used in the preparation of Maritime Education graduates for the Maritime logistics sector in the Nigeria.

1.4 Research Questions

The following research questions were posed for answers with reference to the Nigeria:

  1. What are the job tasks required by the Maritime Education graduates in Maritime logistics?
  2. To what extent does Information Technology have impacts on the performance of Maritime Education graduates?
  3. What are the competencies required by Maritime Education graduates in performing Maritime logistics sector?
  4. To what extent do the lapses in the current curriculum used in the preparation of Maritime Education graduates affect their job performance in Maritime logistics?

1.5 Research Hypotheses

In view of the research questions above, the following null hypotheses were also formulated based on the Nigeria:

  1. There is no significant difference between the Maritime logistics performed by the Maritime Education graduates and the other Maritime task
  2. There is no significant impact of Information Technology on the performance of Maritime Education graduates.
  3. There is no significant relationship between the competencies required by the Maritime Education graduates and the performance of Maritime logistics.
  4. There is no significant relationship between the lapses in the current curriculum and the preparation of Maritime Education graduates for the Maritime logistics.

1.6 Significance of the Study

The study will also be significant to the students of Maritime Education because it will open their eyes to see that there are some basic skills they suppose to acquire before going to the labour market and they suppose to be practically-oriented. In the absence of facilities/equipment the students should enroll themselves during holidays to equipment themselves.

The study will also help the Maritime Education teacher to acquaint himself with the studies of computer both theoretically and practically because you cannot give what you don’t have. It will also be of significant to the future researcher who will plan to carry out a research work on this same study to dig more into the problems in Maritime Education.


1.7 Scope of the Study

The study scope is limited to assessing the relevance of Maritime logistics as an emerging discipline. The study is further restricted to perspective of Maritime Education graduates on the importance of Maritime logistics as a discipline.


Chapter Five


Summary, Conclusion and Recommendations

5.1 Summary

The study was carried out to determine the Relevance of maritime logistic as an emerging discipline and implications on Maritime Education Curriculum in the Nigeria. In order to achieve the main objective of the study, four (4) specific objectives were raised which included, to identify the Maritime logistics required by the Maritime Education graduates in Maritime logistics. In line with these specific objectives, four (4) research questions were formulated to guide the study which included, what are the Maritime logistics required by the Maritime Education graduates in Maritime logistics? Based on the research questions, four (4) null hypotheses were posited to include, there is no significant difference between the Maritime logistics performed by the Maritime Education graduates and the other Maritime task.


5.2 Conclusion

Based on the findings of the study, it is hereby concluded that Maritime Education graduates in Maritime logistics required computer based knowledge Maritime logistics and also competencies related to computer because almost all of the tasks performed by Maritime Education graduates in Maritime logistics were computerized. These Maritime logistics and competencies were not reflected in the present curriculum of Maritime Education. Since this is the case, the Maritime Education graduates would find it difficult to cope in Maritime logistics because they have not learnt the required skill. This will slow the pace of the work carried out by Maritime Education graduates in Fortune Global Shipping & Logistics Limited since the traditional Maritime logistics with which they are trained is slow, it will affect the graduate Maritime Education graduates in terms of employment opportunity. It was also concluded based on the major findings that the impact of Information Technology was significant on the performance of Maritime Education graduates. If Information Technology had a significant impact on the performance of Maritime Education graduates then something needed to be done to enlighten the Maritime Education graduates on Information Technology like coaching them practically. For if their performance is affected technologically it will lead to low grades which will affect the students psychologically and emotionally and this would further affects their generation and leads to poor perception of the course.

It was concluded that the performance of Maritime Education graduates depended on the correction of the lapses in the curriculum of Maritime Education. If this correction was not effected it will lead to poor performance of Maritime Education graduates, Poor performance of Maritime Education graduates would render them incompetent in the Maritime logistics and as a result of this, the image of Business Education, which Maritime Education is an integral part, will be tarnished which will lead to poor enrolment into Business Education, and Maritime
Education will be affected.


5.3 Recommendations

Based on the major findings and conclusions of the study, the following recommendations are made:
large and growing number of open issues and research challenges are being identified in the various manifestations of maritime logistics and their focus areas. These questions are illustrated in a maritime logistics context by a number of papers that have been contributed by experts in the area in two recently edited volumes on maritime logistics (see Song and Panayides, 2012a, 2012b). The issues highlighted in this article together with the exposition of potential research areas from previous discussions (e.g. Panayides and Song 2012) provide directions for a number of research roadmaps. Key research areas include but are not limited to

  1. The identification of the value created through the application of logistics and supply chain concepts in maritime transport be it in terms of improvements in effectiveness and efficiency but also from strategic value created and competitive advantages that may result.
  2. The empirical determination of factors contributing to maritime logistics integration and the consequent impact of such integration on performance.
  3. The development of new methods and measures for measuring maritime logistics performance and the advancement of knowledge in the area of efficiency, effectiveness and maritime logistics cost reduction.
  4. The empirical examination of the link between logistics strategies and approaches and performance implications.
  5. The identification of maritime logistics strategies for improving service quality and satisfaction of customers with the extended services.
  6. Greater application of maritime logistics concepts to tanker and dry bulk maritime transport.
  7. Demarcation of the challenges posed by the dynamic changes in the context of environmental regulations and CSR and the impact of environmental strategies on maritime logistics performance.
  8. The identification and mapping of risks in maritime logistics together with empirical determination and exposition of risk mitigation strategies.

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