Category Archives: Ports

National Retail Federation’s Jonathan Gold Shares His Views on the Ocean Cargo Supply Chain

It’s not the big ships; it’s the lack of coordination. Ocean carriers need to cooperate more with upstream supply chain service providers.  That’s what the National Retail Federation members think.

While that is only one type of supply chain, I submit it’s a somewhat simpler chain than for instance a manufacturer’s chain. That’s because there aren’t as many intermediate assemblers and manufacturers in retail, and products are all expected for sale promptly.  The problem might be worse for manufacturers since they have some items that they want to buy in large batches since they are willing to inventory them, and others they want just-in-time if possible. Manufacturers might require at least two service and performance levels in their chain

  In an exclusive interview with Supply Chain Management Review’s Patrick Burnson, Jonathan Gold, vice president, supply chain and customs policy for the National Retail Federation shares his views and forecasts on the ocean cargo supply chain.

Source: National Retail Federation’s Jonathan Gold Shares His Views on the Ocean Cargo Supply Chain – Supply Chain 24/7

Terminal partnerships may respond to larger container shipping alliances?

And why shouldn’t port terminals form alliances?  The rationale is the same as for liners: it might save capital expense for the ports and terminals when it isn’t being used.  And the problems are the same: how can we keep an alliance together for long enough for realized gains to  be seen by everyone, at lest enough so they won’t depart the alliances.   It’s a classic cooperative game scenario.  I don’t believe it’s been looked at yet.  One thing you can be sure of:  a pricing scheme will not guarantee stability of any alliance coalition.  There will need to be side payments, or a scheme based on some other algorithm than easily measured price.

I have a paper to be presented at IAME2016 in Hamburg on a similar problem with equipment pools for ports.

   The creation of larger container shipping alliances is proving a headache for terminals as the deal with growing volatility

Source: Could terminal partnerships answer the challenge of larger container shipping alliances? – The Loadstar

The New Panama Canal: A Risky Bet

Outstanding long form research piece on the new Panama Canal locks.  Much of it is business as usual in the world of very large infrastructure projects; I’m reminded of San Francisco Bay Area’s struggles replacing and retrofitting several bridges to meet more resistant earthquake standards.  Cost overruns, failing concrete, poor design– all typical.

But a water shortage making ships lighten up before paying to use new locks that should let them carry full loads through?   And everyone knew in advance that more water would be needed?

Wonderful pictures, too, in this great story. We’ll see how it plays out.

  After a Spanish-led consortium won the right to build locks for bigger ships at a rock-bottom price, internal arguments soon gave way to larger problems.

Source: The New Panama Canal: A Risky Bet – The New York Times