The geography of maritime networks: A critical review

Despite early cartographical and graph-theoretical analyses of maritime flows in the 1940s and 1960s, it is only from the 2000s onwards that maritime network analysis had grown apace, backed by newly available shipping data, increased computational power, and renewed conceptual frameworks to study networks in general. The evolution of maritime network analysis, in geography and other sciences, is marked by a wide diversity of methods and themes, which we classify into three main parts. We first present studies looking at maritime flows in an abstract space, focusing on operational, statistical, or managerial aspects where navigation, graph structure, and firms' strategies are the key concerns. Second, we review researches where maritime flows and networks are markers and vectors of wider geo-economic structures and dynamics, such as regional inequalities and areas of dominance. Lastly, maritime networks have also been considered as integral parts of territories and wider chained systems, such as urban networks, regional networks, and coupled networks. We conclude that network analysis and maritime transport still share many uncovered areas and discuss potential research pathways for future works.     

Global hierarchy of maritime clusters: Stability and reconstruction

In contrast to traditional research that is limited to individual maritime clusters, a holistic perspective is employed in this study to investigate the global hierarchy of maritime clusters. To conceptualize the global hierarchical stability of maritime clusters, Porter's diamond model is used to develop a general analytical framework and both empirical and theoretical analyses are conducted. The results of empirical analyses indicate that the global hierarchy of maritime clusters tends to remain stable. And the following conceptual discussions attribute such stability to historical effects, weakening prerequisite effects, and game effects. Further theoretical analysis reveals that governance restructuring, a novel innovation type, can disrupt the global hierarchical stability of maritime clusters and facilitate the leapfrog development of emerging maritime clusters.     

Time efficiency assessment of ship movements in maritime ports: A case study of two ports based on AIS data

Operational efficiency of a maritime port is an important issue for shipping lines and port authorities. It is desirable to move ships in and out of a maritime port as efficiently as possible. Automatic identification system (AIS) data recording the trajectory of ship movements allow us to assess the operational efficiency as ships move in and out of a port. This study proposes a time efficiency assessment framework that evaluates the amount of time each ship spends in the different areas within a port (i.e., berth, anchorage, and fairway) based on the space-time trajectories of ship movements derived from AIS data. According to the statistical distributions of time spent by different types of ship in each port area, the proposed framework can compare time efficiency across different zones within a port and between different ports. This study uses AIS data of four types of ships (i.e., container, cargo, tanker, and passenger ships) at two selected ports in China, Shanghai Yangshan Port and Xiamen Port, to demonstrate how the proposed approach can effectively assess and compare time efficiency levels of ship movements between the times entering and leaving the vessel traffic service (VTS) lines of a port. This study demonstrates the value of deriving space-time trajectories from AIS data based on the concepts of time geography to assess time efficiency levels of maritime ports and monitor their performance over time, which offer useful information to both shipping lines and port authorities for operations such as efficient scheduling and logistic support.     

The motivations and added values of embarking on postgraduate professional education: Evidences from the maritime industry

There has been recent growth of professional education where academic institutions increasingly offer postgraduate programmes on subjects traditionally emphasizing on apprentice-style/practical learning approach. The motivations behind such growth and the added values of these programmes to students, however, have remained under-researched. Hence, by investigating the maritime industry, this paper attempts to address such deficiency. Through a Likert-style questionnaire survey, it is found that the changing requirements within the maritime industry serve as the core factor in aspiring practitioners to pursue postgraduate maritime degrees, while such programmes are pivotal in human capital management through preparing and re-training maritime professionals to ensure ongoing excellence and provisions of effective services within the ever-changing maritime industry.     

Urban gravity in the global container shipping network

While the spatial and functional relationships between ports and cities have been put in question in the last decades, the continued importance of urbanization and maritime transport in global socio-economic development motivates deeper research on their interaction. The global trade network is often studied at the country level and all transport modes included, concluding that distance remains a strong counterforce to exchange. This article wishes to detect whether the global container shipping network obeys similar properties at the city level. More than 2 million inter-port vessel movements between 1977 and 2016 are assigned to about 9000 ports and 4600 cities to run a gravity model on two different network topologies. Gravitational properties are found, as larger cities connect more with each other but less at distance. The degree of distance effects negatively expanded in 40 years, confirming the “puzzling” or reinforcing effect of distance, yet it varies greatly depending on node aggregation and network topology. We conclude that ports and cities continue to share important interdependencies, but these often rest on a detrimental physical transformation. A discussion is proposed about the underlying operational and theoretical mechanisms at stake. Keywords container shipping; gravity model; maritime trade; port cities; spatial interaction; world city networks.     

Corporate governance,financial management decisions and firm performance: Evidence from the maritime industry

This study investigates the relation between corporate governance with (i) financial management decisions such as earnings management and sub-optimal investment, and (ii) firm performance in maritime firms. The study reveals that important corporate governance measures, such as insider ownership, board size, presence of corporate governance committees, the percentage of directors serving on the boards of other firms and CEO duality, are associated with financial management decisions and firm performance. The associations revealed can potentially assist in mitigating agency problems and improving financial management decisions and performance in maritime firms.     

Container yard template planning under uncertain maritime market

A yard template determines the assignment of spaces in a yard for arriving vessels. Fluctuation of demand for freight transportation brings new challenges for making a robust yard template when facing uncertain maritime market. A model is proposed for yard template planning considering random numbers of containers that will be loaded onto vessels that visit the port periodically. Traffic congestions and multiple schedule cycle times for vessel arrival patterns are also considered. Moreover, a meta-heuristic method is developed for solving the model in large-scale cases. Numerical experiments are conducted to validate effectiveness and efficiency of the model.     

Multi-objective decision support to enhance environmental sustainability in maritime shipping: A review and future directions

This paper aims to examine the potential of multi-objective optimization (MOO) as a decision support to improving sustainability in maritime shipping. We focus on environmental sustainability and the trade-offs involved with economic and operational objectives. Through a systematic approach, we review the literature on environmental sustainability, decision support and multi-objective optimization in maritime shipping. We identify the gaps and directions for future research. It is expected that the next generation of decision support systems for maritime transport will exploit the theoretical development in MOO to facilitate informed decision making in maritime supply chains considering environmental sustainability and the competing objectives.     

A quality function deployment approach to improve maritime supply chain resilience

Being international and involving numerous organizations as the basic nature, maritime supply chains are exposed to various natural and man-made risks. This paper aims to develop an original quality function deployment approach to enhance maritime supply chain resilience, taking both customer requirements and maritime risks into consideration. The empirical analysis is carried out through in-depth studies of three major shipping lines and their respective major shippers. The top three resilience measures are contingency plan, monitoring and maintenance, and supply chain relationship management. The study also unveils the relatively low visibility and integration in maritime supply chains.     

Competition and horizontal integration in maritime freight transport

This paper models competition for freight transport between the road and maritime sectors. Operators offer differentiated services and there are economies of scale in the oligopolistic shipping line sector. Two types of integration between shipping lines are considered: in one of them the liners production processes remain separate (like in an alliance); in another economies of scale are further exploited. Typically maritime freight post-merger goes down. However, it may increase if the merger exploits further economies of scale, they are important and transport services are sufficiently differentiated. An empirical application to the routes Valencia–Antwerp and Valencia–Genoa is undertaken to confirm the predictions of the model. It is shown that, for both types of merger, user surplus increases when transport services are weakly differentiated and economies of scale are sufficiently small. These conditions also guarantee that a merger is socially beneficial.     

Capital structure decisions of globally-listed shipping companies

Debt capital has traditionally been the most important source of external finance in the shipping industry. The access that shipping companies nowadays have to the capital markets provides them with a broader range of financing instruments. As such, this study investigates the determinants of capital structure decisions using a sample of 115 exchange-listed shipping companies. We test whether listed shipping companies follow a target capital structure, and we analyze their adjustment dynamics after deviations from this target leverage ratio. When compared with industrial firms from the G7 countries, shipping companies exhibit higher leverage ratios and higher financial risk. Standard capital structure variables exert a significant impact on the cross-sectional variation of leverage ratios in the shipping industry. Asset tangibility is positively related to corporate leverage, and its economic impact is more pronounced than in other industries. Profitability, asset risk, and operating leverage are all inversely related to leverage. There is only weak evidence for market-timing behavior of shipping companies. Because demand and supply in the maritime industry are closely related to the macroeconomic environment, leverage behaves counter-cyclically. Using different dynamic panel estimators, we further document that the speed of adjustment after deviations from the target leverage ratio is lower during economic recessions. On average, however, the capital structure adjustment speed in the maritime industry is higher compared with the G7 benchmark sample. These findings indicate that there are substantial costs of deviation from the target leverage ratio due to high expected costs of financial distress. Our results have implications for shipping companies’ risk management activities.     

Patterns of maritime supply chains: slot capacity analysis

This paper offers a tool for analysing patterns of maritime supply chains. The study uses empirical data on slot capacity deployed by container shipping lines for analysing ports (as nodes) and routes and shipping lines (as links) that are embedded within the maritime supply chain. The ports of Singapore and Hong Kong are chosen to illustrate the respective transhipment and gateway perspectives. Findings reveal that geographical location and changes in the constitution of players can have reverberations on the maritime supply chain dynamics that traverse the port. Furthermore, evidence from trade route data also shows that maritime supply chain dynamics associated with transhipment and gateway ports could be governed by different levels of scope economies, demand complementarity and market power. The paper illustrates the abundant potential of slot capacity analysis for academic and industry/market research. Thus, future research can be pursued in various contexts and for different applications.     

Determinants of the demand for maritime imports and exports

The main contribution of this research is to offer a theoretical explicative model and provide empirical evidence to the determinant variables which explain the behaviour of maritime imports and exports for a particular economy such as the Spanish one. Until now, maritime transport demand functions have been estimated without taking into account whether they referred to imports or exports. Moreover, the international trade literature has, from a theoretical point of view, formulated and estimated import and export demand functions in general without considering the mode of transport used.     

Ports in multi-level maritime networks: evidence from the Atlantic (1996–2006)

While maritime transport ensures about 90% of world trade volumes, it has not yet attracted as much attention as other transport systems from a graph perspective. As a result, the relative situation and the evolution of seaports within maritime networks are not well understood. This paper wishes verifying to what extent the hub-and-spoke strategies of ports and ocean carriers have modified the structure of a maritime network, based on the Atlantic case. We apply graph measures and clustering methods on liner movements in 1996 and 2006. The methodology also underlines which ports are increasing their position by carriers’ circulation patterns on various scales. This research demonstrates that the polarization of the Atlantic network by few dominant ports occurs in parallel with the increased spatial integration of this area by shipping lines.     

World maritime cities: From which cities do container shipping companies make decisions?

In recent decades, many researchers have devoted themselves to the study of world cities. One of the most important contributions to world city research has come from the Globalisation and World Cities Study Group & Network (GaWC-Loughborough University). GaWC focuses on external relationships between world cities. It has analysed the world city network and the hierarchy between cities in various sectors, but primarily in advanced producer services (accountancy, advertising, banking/finance and law). Previous studies have identified London, New York, Paris and Tokyo as high-level global service centres, followed closely by Chicago, Frankfurt, Hong Kong, Los Angeles, Milan and Singapore. Thus far, however, the maritime sector has been neglected in the identification and analysis of global cities. The main purpose of the present article is to fill this void.The first part of our analysis includes a study of the literature on world cities and an examination of the criteria and methods on which previous research has been based. In part II, we explore the world maritime city network by applying and interpreting the GaWC methods. For a city to be recognised as a world maritime city, it must have a presence of container shipping companies and container terminal operators. As for the city's operational capacity, that is determined by the extent of linkages between those container shipping companies and container terminal operators, on the one hand, and the rest of the world maritime market, on the other hand. The collected empirical evidence shows that Hong Kong, Hamburg, Singapore, Shanghai, Tokyo, New Jersey/New York, Bangkok/Laem Chabang and London are the world's leading maritime cities. Furthermore, analysis of interrelations in these cities between shipping companies and container terminal has indicated Hong Kong, Hamburg and New York to be the main nodes in the world maritime city network.     

Maritime transport policy of Turkey

The purpose of this paper is to review recent aspects of the maritime transport policy of Turkey in an explanatory approach. The decisions taken by the Turkish authorities for Turkish maritime policy are analysed both at international and national levels. The decisions are discussed for the current situation in Turkey.     

Global maritime networks: The case of Maersk

Two contrasting approaches to the provision of maritime services are frequently presented: one based on direct port to port services, the other characterised by a hub and spoke network. We demonstrate there is no contradiction between these two models, that in fact they are complementary. Integrating direct services with a hub structure is necessary for assuring a wider geographical coverage. The complementarity is explained by analysing the world’s largest container shipping line, Maersk, which over the last 30 years has created a global shipping network.     

A novel modeling approach for the fleet deployment problem within a short-term planning horizon

This paper is concerned with model development for a short-term fleet deployment problem of liner shipping operations. We first present a mixed integer nonlinear programming model in which the optimal vessel speeds for different vessel types on different routes are interpreted as their realistic optimal travel times. We then linearize the proposed nonlinear model and obtain a mixed integer linear programming (MILP) model that can be efficiently solved by a standard mixed integer programming solver such as CPLEX. The MILP model determines the optimal route service frequency pattern and take into account the time window constraints of shipping services. Finally, we report our numerical results and performance of CPLEX on randomly generated instances.     

Analysis,modeling, and assessing performances of supply chains served by long-distance freight transport corridors

This article deals with an analysis, modeling, and assessing performances of supply chains served by long-distance intercontinental intermodal rail/road- and sea-shipping freight transport corridor(s). For such a purpose, the supply chains are defined and the methodology for assessing their performances under given conditions is developed. The methodology consists of the analytical models of indicators of the operational, economic, environmental and social performances of particular corridors and corresponding supply chains assumed to be dependent on the infrastructural and technical/technological capabilities. The models of particular indicators have been applied according to “what-if” scenario approach to assessing performances of the long-distance intercontinental inland and maritime freight transport corridors spreading between China and Europe in the scope of the “Silk Road Economic Belt” and “A New Maritime Silk Road” policy initiative. The results prove that the intermodal inland rail/road alternative could act as a serious competitive alternative to its maritime deep-sea counterpart under given conditions. Nevertheless, in order to realize the opportunities, large investments in the inland rail/road infrastructure are required to appropriately connect China with Europe.     

Regional integration and maritime connectivity across the Maghreb seaport system

Models and empirical studies of port system evolution dominantly focus on land-based dynamics. Hence, it is traditionally recognized that such dynamics condition the evolution of ports and their relations as well as wider regional integration processes. The Maghreb region (Algeria, Morocco, and Tunisia), which is currently responsible for no less than one-third of all African port throughputs, offers a fertile ground to test the possibility for regional integration to occur through maritime linkages despite limited trade integration and land-based transport connectivity. Main results highlight the increase of trans-Maghreb maritime connectivity but this occurs mostly at the periphery of the system based on transit flows. Logistical integration versus trade integration is discussed in light of the recent evolution of Maghreb ports and of the region in general.