Table 2.

1 Maritime logistics versus maritime transportation

Maritime Logistics

Maritime transportation

Concept

The process of planning,

implementing and managing the
movement of goods and
information involved in ocean
carriage.

The process of carrying and

handling cargoes across the
ocean.

Focusing point

Maritime logistics is concerned

with not only individual function
relating to sea transportation, but
also an effective logistics flow as
a systematic entity of the logistics
integration system

Maritime transportation
emphasizes individual functions
relating to sea transportation.
Each function pursues its own
aims or competitiveness.

Managerial function

Sea transportation activities: eg

contracting, shipping, sea
voyage, moving cargo and loading
/unloading.
Additional logistics services: eg
Stripping/stuffing, storage,
warehousing, offering a
distribution center, quality
control, testing, assembly,
packaging, repacking, repairing,
inland connection, and re-use.

Sea transportation activities: eg

contracting, shipping, sea voyage,
moving cargo and
loading/unloading.

Table 2.2 Maritime function and supportive activities of maritime logistics

Main function

Supportive logistics
activities

Shipping

Port/Terminal
operation

Freight forwarding

Moving cargoes between

ports

Shipping reception;
Loading/unloading
cargoes;
Stevedoring;
Connecting to inland
transportation.

Booking vessels; and

preparing for requisite
documents for ocean
carriage and trade, on
behalf of shippers.

Documentation relating
Warehousing
Inventory management;
sea trade; Container
Offering a distribution
Packaging;
tracking and information; centre;
Warehousing.
Intermodal
service.
Testing;
Assembly;
SOURCES Bernal al (2002), Bichou and Gray(2004), Carbone and De Martino (2003), Heaver et al (2000), Murphy and
Repairing
Daley(1992), Nottenboom and Winkelmans(2001), Robinson (2002),
RohInland
et al (2007).
connection.

FIGURE 2.1 Maritime logistics in the whole logistics system

Shipping
Shipping

Port/Terminal
Port/Terminal
Operating
Freight
Freight
Forwarding

Maritime
Maritime
Logistics

Demand
forecasting
Purchasing
Requirements
planning
Production
planning
Manufacturing
inventory
Warehousing
Material handling
Industrial packing
Finished goods
inventory
Distribution
planning
Order processing
Transportation
Customer service

Material
Manageme
nt

Physical
Distribution

+
SOURCES Extended from Coyle et al (1999)

Logistics

FIGURE 2.2 Process of maritime logistics

Forwarding service:

Maritime Logistics
System
Lo
g is
t ic

Freight Forwarders

Arranging payment of freight;

documentation required for
customs clearance or insurance

Shipping Lines
Shipping service:

Port Operators

Ocean

Providing shippers with cargo

Shippers

space of ships;
Offering regular schedules of
sails for maritime carriage

Port Operators :
Shipping reception;

Movemen
t

loading./offloading;
Stevedoring; delivery of goods
via inland transportation

Arranging inventory
Inbound/outbound
Warehousing;
management;
B/L;
repacking
packing;
Container tracking
assembling;
warehousing;
and information;
product mixing,
inland
intermodal service,
etc.
transportation, etc
etc.
Human resource management; information system; administrative skill; finance

M
a
Va riti
m
l
u
e
e
Lo
g
i st
ics

Logistics
Services
Secondary
activity

Ma
Va ritim
lu e
e

Primary
activity

Planning shipping route;

Table 2.3 Measurement of efficiency and effectiveness in transport logistics

Supply chain process

Measurement criteria

Performance indicators

Efficiency-related(Internal facing)

Cost

Total logistics management

costs
Productivity
Return processing cost
Cash-to-cash cycle time
Inventory days of supply
Asset turns

Assets

Efficiency-related(Customer
facing)

Reliability
Flexibility and Responsiveness

SOURCES Lai et al (2002)

Delivery performance
Order fulfillment performance
Perfect order fulfillment
Response Time
Production Flexibility