Logistics & Port Industry

 Since logistics advanced from 1950s, there were numerous researches focused on this area in different applications. Due to the trend of nationalisation and globalisation in recent decades, the importance of logistics management has been growing in various areas. For industries, logistics helps to optimise the existing production and distribution processes based on the same resources through management techniques for promoting the efficiency and competitiveness of enterprises. The key element in a logistics chain is transportation system, which joints the separated activities

The development of container port is driven by some key factors:
 

• Globalization – international trade
• Containerization
• Technology advancement
• 90% trade by sea
• Cost efficiency
• Customer demand – more and faster

I would suggest two critical success factors:

 facilities and technology. 

 Facilities are to do with the physical movements of containers while technologies are to deal with the intangible management of information.

Ports are trying to integrate vertically or to embrace total logistics. If this trend continues to development, I think the survival of small companies in the future will be in question. Another issue faces by port is concerning with the extent of in-housing or outsourcing of its business activities.  the potential risk for containerization port would be the invention of a replacement for container.

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