IDEAS home Printed from https://ideas.repec.org/a/eee/transa/v157y2022icp1-23.html
   My bibliography  Save this article

Enhancing resilience through port coalitions in maritime freight networks

Author

Listed:
  • Li, Wenjie
  • Asadabadi, Ali
  • Miller-Hooks, Elise

Abstract

Reliable port services are key to maritime freight transport system performance. These systems are vulnerable to disasters of anthropogenic or natural cause, which can significantly impact port capacity, handling times and overall system performance. To improve resilience of individual ports, strategies involving capacity sharing and protective cross-port investments through coalition formation are proposed. This collaborative port protection and investment approach to improve individual and system-level port resilience is formulated as an Equilibrium Problem with Equilibrium Constraints. That is, the program is bi-level with multiple players in the upper level and a common liner shipping problem in the lower level. Its solution is obtained at a Nash equilibrium wherein no port stakeholder can achieve better performance by unilaterally changing its investment plan. A Stackelberg equilibrium between upper and lower levels infers that best investment decisions are made given competition between ports and the market’s response to improvements. The benefits of regional coalitions in this co-opetitive (competitive and collaborative) environment in terms of port and system resilience, port- and system-level demand fulfilment rates and return on investment are investigated from multiple perspectives, including the perspectives of shippers, port owners and the larger shipping network. With insights gained through study of the proposed coalition policies, this work aims to facilitate port authorities in making decisions on port capacity expansion, infrastructure investment and forming strategic partnerships. Shipping companies may also take into consideration the ability of a port to provide service under disruption events when choosing which ports to include in their service loops.

Suggested Citation

  • Li, Wenjie & Asadabadi, Ali & Miller-Hooks, Elise, 2022. "Enhancing resilience through port coalitions in maritime freight networks," Transportation Research Part A: Policy and Practice, Elsevier, vol. 157(C), pages 1-23.
    • Handle: RePEc:eee:transa:v:157:y:2022:i:c:p:1-23
    DOI: 10.1016/j.tra.2022.01.015
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0965856422000155
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.tra.2022.01.015?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Bell, Michael G.H. & Liu, Xin & Rioult, Jeremy & Angeloudis, Panagiotis, 2013. "A cost-based maritime container assignment model," Transportation Research Part B: Methodological, Elsevier, vol. 58(C), pages 58-70.
    2. Shafieezadeh, Abdollah & Ivey Burden, Lindsay, 2014. "Scenario-based resilience assessment framework for critical infrastructure systems: Case study for seismic resilience of seaports," Reliability Engineering and System Safety, Elsevier, vol. 132(C), pages 207-219.
    3. Wang, Shuaian & Meng, Qiang, 2012. "Robust schedule design for liner shipping services," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 48(6), pages 1093-1106.
    4. Paul M. Carlson, 2000. "Exploiting the Opportunities of Collaborative Decision Making: A Model and Efficient Solution Algorithm for Airline Use," Transportation Science, INFORMS, vol. 34(4), pages 381-393, November.
    5. Yimin Yu & Saif Benjaafar & Yigal Gerchak, 2015. "Capacity Sharing and Cost Allocation among Independent Firms with Congestion," Production and Operations Management, Production and Operations Management Society, vol. 24(8), pages 1285-1310, August.
    6. Hanif D. Sherali & Raymond W. Staats & Antonio A. Trani, 2003. "An Airspace Planning and Collaborative Decision-Making Model: Part I—Probabilistic Conflicts, Workload, and Equity Considerations," Transportation Science, INFORMS, vol. 37(4), pages 434-456, November.
    7. Groothedde, Bas & Ruijgrok, Cees & Tavasszy, Lóri, 2005. "Towards collaborative, intermodal hub networks: A case study in the fast moving consumer goods market," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 41(6), pages 567-583, November.
    8. Kan Chang & Ken Howard & Rick Oiesen & Lara Shisler & Midori Tanino & Michael C. Wambsganss, 2001. "Enhancements to the FAA Ground-Delay Program Under Collaborative Decision Making," Interfaces, INFORMS, vol. 31(1), pages 57-76, February.
    9. Wang, Shuaian & Meng, Qiang, 2012. "Liner ship route schedule design with sea contingency time and port time uncertainty," Transportation Research Part B: Methodological, Elsevier, vol. 46(5), pages 615-633.
    10. Xiao Ruan & Xuehao Feng & Kelvin Pang, 2018. "Development of port service network in OBOR via capacity sharing: an idea from Zhejiang province in China," Maritime Policy & Management, Taylor & Francis Journals, vol. 45(1), pages 105-124, January.
    11. Asadabadi, Ali & Miller-Hooks, Elise, 2018. "Co-opetition in enhancing global port network resiliency: A multi-leader, common-follower game theoretic approach," Transportation Research Part B: Methodological, Elsevier, vol. 108(C), pages 281-298.
    12. Moghaddam, Mohsen & Nof, Shimon Y., 2014. "Combined demand and capacity sharing with best matching decisions in enterprise collaboration," International Journal of Production Economics, Elsevier, vol. 148(C), pages 93-109.
    13. Li, Chen & Qi, Xiangtong & Song, Dongping, 2016. "Real-time schedule recovery in liner shipping service with regular uncertainties and disruption events," Transportation Research Part B: Methodological, Elsevier, vol. 93(PB), pages 762-788.
    14. Asadabadi, Ali & Miller-Hooks, Elise, 2020. "Maritime port network resiliency and reliability through co-opetition," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 137(C).
    15. Panayides, Photis M. & Wiedmer, Robert, 2011. "Strategic alliances in container liner shipping," Research in Transportation Economics, Elsevier, vol. 32(1), pages 25-38.
    16. Mayada Omer & Ali Mostashari & Roshanak Nilchiani & Mo Mansouri, 2012. "A framework for assessing resiliency of maritime transportation systems," Maritime Policy & Management, Taylor & Francis Journals, vol. 39(7), pages 685-703, December.
    17. Jianfeng Zheng & Ziyou Gao & Dong Yang & Zhuo Sun, 2015. "Network Design and Capacity Exchange for Liner Alliances with Fixed and Variable Container Demands," Transportation Science, INFORMS, vol. 49(4), pages 886-899, November.
    18. Richa Agarwal & Özlem Ergun, 2010. "Network Design and Allocation Mechanisms for Carrier Alliances in Liner Shipping," Operations Research, INFORMS, vol. 58(6), pages 1726-1742, December.
    19. Jomon Aliyas Paul & Michael J Maloni, 2010. "Modeling the effects of port disasters," Maritime Economics & Logistics, Palgrave Macmillan;International Association of Maritime Economists (IAME), vol. 12(2), pages 127-146, June.
    20. Asgari, Nasrin & Farahani, Reza Zanjirani & Goh, Mark, 2013. "Network design approach for hub ports-shipping companies competition and cooperation," Transportation Research Part A: Policy and Practice, Elsevier, vol. 48(C), pages 1-18.
    21. Guo, Liquan & Yang, Dong & Yang, Zhongzhen, 2018. "Port integration method in multi-port regions (MPRs) based on the maximal social welfare of the external transport system," Transportation Research Part A: Policy and Practice, Elsevier, vol. 110(C), pages 243-257.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Jiachen Sun & Haiyan Wang & Zhimin Cui, 2023. "Alleviating the Bauxite Maritime Supply Chain Risks through Resilient Strategies: QFD-MCDM with Intuitionistic Fuzzy Decision Approach," Sustainability, MDPI, vol. 15(10), pages 1-21, May.
    2. Adnan Al-Banna & Zaid Ashraf Rana & Mohammed Yaqot & Brenno Menezes, 2023. "Interconnectedness between Supply Chain Resilience, Industry 4.0, and Investment," Logistics, MDPI, vol. 7(3), pages 1-23, August.
    3. Zheng, Shiyuan & Chen, Xirong & Dong, Kangyin & Wang, Kun & Fu, Xiaowen, 2022. "Joint investment on resilience of cross-country transport infrastructure," Transportation Research Part A: Policy and Practice, Elsevier, vol. 166(C), pages 406-423.
    4. Liu, Qing & Yang, Yang & Ng, Adolf K.Y. & Jiang, Changmin, 2023. "An analysis on the resilience of the European port network," Transportation Research Part A: Policy and Practice, Elsevier, vol. 175(C).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Lee, Chung-Yee & Song, Dong-Ping, 2017. "Ocean container transport in global supply chains: Overview and research opportunities," Transportation Research Part B: Methodological, Elsevier, vol. 95(C), pages 442-474.
    2. Zheng, Jianfeng & Qi, Jingwen & Sun, Zhuo & Li, Feng, 2018. "Community structure based global hub location problem in liner shipping," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 118(C), pages 1-19.
    3. Asadabadi, Ali & Miller-Hooks, Elise, 2020. "Maritime port network resiliency and reliability through co-opetition," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 137(C).
    4. Song, Dong-Ping & Li, Dong & Drake, Paul, 2015. "Multi-objective optimization for planning liner shipping service with uncertain port times," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 84(C), pages 1-22.
    5. Asghari, Mohammad & Jaber, Mohamad Y. & Mirzapour Al-e-hashem, S.M.J., 2023. "Coordinating vessel recovery actions: Analysis of disruption management in a liner shipping service," European Journal of Operational Research, Elsevier, vol. 307(2), pages 627-644.
    6. Laure Rousset & César Ducruet, 2020. "Disruptions in Spatial Networks: a Comparative Study of Major Shocks Affecting Ports and Shipping Patterns," Networks and Spatial Economics, Springer, vol. 20(2), pages 423-447, June.
    7. Asadabadi, Ali & Miller-Hooks, Elise, 2018. "Co-opetition in enhancing global port network resiliency: A multi-leader, common-follower game theoretic approach," Transportation Research Part B: Methodological, Elsevier, vol. 108(C), pages 281-298.
    8. Mohammad Ghorbani & Michele Acciaro & Sandra Transchel & Pierre Cariou, 2022. "Strategic alliances in container shipping: A review of the literature and future research agenda," Maritime Economics & Logistics, Palgrave Macmillan;International Association of Maritime Economists (IAME), vol. 24(2), pages 439-465, June.
    9. Zheng, Jianfeng & Sun, Zhuo & Gao, Ziyou, 2015. "Empty container exchange among liner carriers," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 83(C), pages 158-169.
    10. Olumide F. Abioye & Maxim A. Dulebenets & Junayed Pasha & Masoud Kavoosi, 2019. "A Vessel Schedule Recovery Problem at the Liner Shipping Route with Emission Control Areas," Energies, MDPI, vol. 12(12), pages 1-28, June.
    11. Zhang, Abraham & Zheng, Zhichao & Teo, Chung-Piaw, 2022. "Schedule reliability in liner shipping timetable design: A convex programming approach," Transportation Research Part B: Methodological, Elsevier, vol. 155(C), pages 499-525.
    12. Meng, Qiang & Lee, Chung-Yee, 2016. "Liner container assignment model with transit-time-sensitive container shipment demand and its applicationsAuthor-Name: Wang, Shuaian," Transportation Research Part B: Methodological, Elsevier, vol. 90(C), pages 135-155.
    13. Wang, Hua & Wang, Shuaian & Meng, Qiang, 2014. "Simultaneous optimization of schedule coordination and cargo allocation for liner container shipping networks," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 70(C), pages 261-273.
    14. Hamed Hasheminia & Changmin Jiang, 2017. "Strategic trade-off between vessel delay and schedule recovery: an empirical analysis of container liner shipping," Maritime Policy & Management, Taylor & Francis Journals, vol. 44(4), pages 458-473, May.
    15. Sun, Xuting & Chung, Sai-Ho & Choi, Tsan-Ming & Sheu, Jiuh-Biing & Ma, Hoi Lam, 2020. "Combating lead-time uncertainty in global supply chain's shipment-assignment: Is it wise to be risk-averse?," Transportation Research Part B: Methodological, Elsevier, vol. 138(C), pages 406-434.
    16. Dirzka, Christopher & Acciaro, Michele, 2022. "Global shipping network dynamics during the COVID-19 pandemic's initial phases," Journal of Transport Geography, Elsevier, vol. 99(C).
    17. Hossain, Niamat Ullah Ibne & Nur, Farjana & Hosseini, Seyedmohsen & Jaradat, Raed & Marufuzzaman, Mohammad & Puryear, Stephen M., 2019. "A Bayesian network based approach for modeling and assessing resilience: A case study of a full service deep water port," Reliability Engineering and System Safety, Elsevier, vol. 189(C), pages 378-396.
    18. Nguyen Khoi Tran & Hans-Dietrich Haasis & Tobias Buer, 2017. "Container shipping route design incorporating the costs of shipping, inland/feeder transport, inventory and CO2 emission," Maritime Economics & Logistics, Palgrave Macmillan;International Association of Maritime Economists (IAME), vol. 19(4), pages 667-694, December.
    19. Wang, Shuaian & Meng, Qiang, 2015. "Robust bunker management for liner shipping networks," European Journal of Operational Research, Elsevier, vol. 243(3), pages 789-797.
    20. Dongping Song, 2021. "A Literature Review, Container Shipping Supply Chain: Planning Problems and Research Opportunities," Logistics, MDPI, vol. 5(2), pages 1-26, June.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:transa:v:157:y:2022:i:c:p:1-23. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/wps/find/journaldescription.cws_home/547/description#description .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.