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Applying data envelopment analysis to evaluate of operational efficiency of the container terminals

Author

Listed:
  • Shih-Liang Chao

    (Department of Shipping and Transportation Management, National Taiwan Ocean University, Keelung, Taiwan)

  • Hsin-Cheng Kang

    (Department of Shipping and Transportation Management, National Taiwan Ocean University, Keelung, Taiwan)

  • Hsin-Yi Wei Chen

    (Department of Shipping and Transportation Management, National Taiwan Ocean University, Keelung, Taiwan)

Abstract

Container transportation had become an important way for carrying cargos in the world because containers can be transported between ports and delivered to destinations conveniently by intermodal services. Container transportation is not only accomplished by only ships, but also various handling operations at terminals, and other vehicles such as trains and trucks. In the liner shipping industry, container terminals are playing important roles, which are responsible for handling, storage, and loading/unloading containers at shipside. In response to handling the large number containers brought by modern huge ships, most container terminals have been devoting to improve operating efficiency and the capacity of facilities, and enhance the whole service quality, in order to keep their competitiveness in the shipping industry. Therefore, the efficiency of terminal operations is crucial because the results can directly reflect the status of the terminal operation, and indicate the direction for operators to take measures for improvement. This study intended to evaluate the efficiency of container terminals in a same port. The DEA approach was used to measure the efficiency in terms of CCR and BCC models to examine the relative efficiency and the scale efficiency. We defined container terminals in a Taiwanese port as the Decision Making Units (DMUs), and the items used in the models included six input items (number of berths, length of berth, design draft, number of gantry cranes, annual rental, and container terminal area) and five output items (container throughput, number of services, number of vessels in below 5500 TEU, number of vessels in 5500-10000TEU and number of vessels in more than 10,000 TEU) to estimate the efficiency of terminals. The result indicates useful information which is helpful for terminal operators to adjust their input items for reducing waste, and increase the output in an appropriate direction.

Suggested Citation

  • Shih-Liang Chao & Hsin-Cheng Kang & Hsin-Yi Wei Chen, 2019. "Applying data envelopment analysis to evaluate of operational efficiency of the container terminals," Journal of Advances in Technology and Engineering Research, A/Professor Akbar A. Khatibi, vol. 5(4), pages 174-179.
    • Handle: RePEc:apb:jaterr:2019:p:174-179
    DOI: 10.20474/jater-5.4.3
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    References listed on IDEAS

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