1 1st Draft on Value Chain Essay

Value adding services in container shipping

1. Introduction: Despite of 10% decreases in world container port throughput in the 2009; in particular 20foot equivalent unit (TEUs) UNCTAD (2010), surely the world trade is depending on sea transport whereby containerisation plays a significant part. According to UNCTAD (2008), more than 90% of the world cargos are through sea transportation. Due to increasing demands in maritime logistics and transportation services, more customers are asking for value-adding transportation services to cope with the stiff competition in the market. The more the manufacturer is saving from value-adding-services on transportation the more competitive is going to be, Fearne (1998). Manufacturers and producers are doing anything possible to minimise costs in their production processes but this is largely depending on efficiency and effectives of maritime transportation and how they can add value to the entire process. Extra services which are regarded as value-added-activities by customers in a maritime transportation sector are what influence them on their choice of whom going to be the shipper. Although there are no agreed parameters on what constitute value-adding-services in container shipping value chain but most of the actors of this sector agreed on: Grouping, warehousing, customs and container control, McKinstry (2004). While Garberg (2001) believed on definition of customer services, information and general services and other transportation cycle activities to be major value-adding-activities that customer might need from transporters. From this end it is clear that, a container shipping company alone cannot deliver extra value-adding-services unless other actors in maritime transportation put their efforts forward, notable port services, customs clearing services and freight forwarders. More details on this later, ports efficiency and effectiveness play a great role in facilitating logistics and value chain process in container shipping-Intermodalism and organisational integration, Panyides & Song (2007) This essay will shade some lights on supply chain of container shipping at the company level; however some of the discussion will be extended to generic supply chain in the container shipping industry. More specifically, discussion on primary adding activities of value chain

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2 1st Draft on Value Chain Essay such as: defining of customer, value adding through core activities and contribution of information technology will be leading on this essay. 2. Back ground of the essay: 2.1 Supply chain management; According to Lysons & Farrignton (2006. p.71), A supply chain is the network of organizations that are involved, through upstream and downstream linkages, in the different processes and activities that produce value in the form of products and services delivered to the ultimate consumer. In other words, a supply chain consists of multiple firms, both upstream (i.e., supply) and downstream (i.e., distribution), and the ultimate consumer. From another point of view, a Supply chain management is the supervision of materials, information, and finances as they move in a process from supplier to manufacturer to wholesaler to retailer to consumer. Supply chain management involves coordinating and integrating these flows both within and among companies, Houliham (1985). Figure: 1 Supply chain management

Source; manikas, 2011 Logistics is perhaps the older concepts than supply chain, it is referred to as a gap between where goods and services are produced (suppliers) and where exactly demanded (customers). According Chow et al (1997. p. 18) logistic is the process of planning,

implementing, and controlling the efficient, effective flow and storage of goods, services, and related information from point of origin to point of consumption for the purpose of conforming to customer requirements." Importantly logistic process is not only including inbound and outbound activities but also external and internal movements of materials. Very often these two terminologies (supply chain and logistics) are confusing and overlapping each other but as general rule, logistic is part and parcel of supply chain Hamad B. Hamad MBA in Maritime Management (00455020) Page 2

3 1st Draft on Value Chain Essay management which goes far beyond logistic to purchasing, sourcing, procurement and uses of information technology to connect and coordinate between suppliers, company and customers, Simatupang & Sridharan (2002). 2.2 Value chain analysis; On the other hand, value chain is firms level activities aimed at increasing shareholders wealth, are all firm specific techniques that can create added advantages over the competitors resulting into profit. Value chains are regarded as sequences of activities that will overweight production cost and making the firm more profitable. According to the Porters value chain framework (1990. p.41 as cited by Normann & Ramirez, 1993) is an interdependent system or network of activities, connected by linkages. Value chain is a liner map of the way in which value is added through a process from raw materials into finished delivered product including continuing service after delivered, Normann & Ramirez (1993). Porter generic value chain model suggest that, a firm value chain consist of two interdependent parties, one is primary which include inbound logistics, operations, outbound logistics, marketing & sales and services while other part is supporting or secondary which include all supporting activities ranging from firm infrastructures, human resources management, technology development and procurement (Figure: 2).

Figure: 2

Porters value chain model

Source: Porter 1990 as cited by Normann & Ramirez, 1993

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4 1st Draft on Value Chain Essay 2.2.1 Primary activities in supply chain: Basically are all activities that designed in creating and delivering a product or services and are unique to every business i.e every business can use its own strategy in doing them; Inbound logistics: is the term used to refer to all activities and coordination between firm and its suppliers, movement of goods and services from outside the company to be used to producing the end product or services. It might include materials handling, warehousing, inventory control, transportation Operation: is actual production which takes place within the firm its self after receiving raw materials from suppliers. Things like machine operating, assembly, packaging, testing and maintenance are good example of operating activities. Outbound logistic; start from where products have been manufactured and they are ready for distribution centres, wholesalers, retailers or customers. Marketing and sales; these are group of activities designed to deliver firms products to ultimate users with best possible prices. It time for company to communicate with is client via its strategy. Services; Mostly is after sale services offered to companys customers. It can be anything from guarantees to after sales trainings.

2.2.2 Support activities; These are those activities designed to help all primary activities in the firms supply chain system and are common to all industry, they include: Procurement: Is the function dealing with sourcing of all required raw material for organisation uses taking into account right price, right time, right quality, right quantity and right materials. Technology development: The use of technology to obtain a competitive advantage within the organisation. This is very important in todays technological driven environment. Technology can be used in production to reduce cost thus add value, or in research and development to develop new products, or via the use of the internet so customers have access to online facilities. Hamad B. Hamad MBA in Maritime Management (00455020) Page 4

5 1st Draft on Value Chain Essay Human resource management: The organisation will have to recruit, train and develop the correct people for the organisation if they are to succeed in their objectives. Staff will have to be motivated and paid the market rate if they are to stay with the organisation and add value to it over their duration of employment. Firm infrastructure: Every organisation needs to ensure that their finances, legal structure and management structure works efficiently and helps drive the organisation forward.

3. Container Shipping Industry Container shipping industry has never been good choice for a manager who needs regular sleep and less stress, Boyd (2010). Container shipping is specialised industry in marine transport to carry containers from point A to point B, containers themselves are in different size and form but mostly used in todays world are 20-Foot Equivalent Unit (TEU-6.09m) and 40 foot Equivalent Unit (FEU- 12.12m) however there are many different sizes of container depending on the needs and some are specialised ones like refrigerated containers. Containers shipping companies are operating under Liner mode in bulk carrier whereby there is a both fixed timetable and place to load and deliver. Up to June 2009, there were approximately 124 million TEU containers with cargo volume capacity of 14 billion tones around the world, UNCTAD (2010. p. 101). 3.1 Container shipping companies business strategy; No matter what, the ultimate goal of any shipping company is making good profit and creating shareholders value, unless company is making profit, it will be eliminated in shipping market. There are two strategies opened to any container shipping, Cost based strategy i.e to provide as low-cost-services as possible in order to have high volume of customers. Likely this strategy will end up in relatively unreliable services and customers that are cost conscious will probably follow this stream. Other strategy choice is differentiation strategy i.e a shipping company try to keep its services quite different from its competitors by offering pure and reliable services but of course at a premium price, Customers who are sensitive to time and quality likely will follow this stream. Hamad B. Hamad MBA in Maritime Management (00455020) Page 5

6 1st Draft on Value Chain Essay 3.2 Supply chain in shipping industry; Although its not the aim of this essay to talk on container shipping industry supply chain, but it worth to shed some light on it. Whatever the strategy a container shipping company may decide to adapt; saving in its operation is what matter most. Saving in shipping operations is highly influenced by companys business strategy and efficiency of value chain system in use. Customers can only be attracted to the shipping company so long they are getting value-adding-services which at the end of the day will create saving in their business and that services received are superior from other shipping company. Mostly value chain system of the container shipping company is based on forth part logistics (4PL). 4PL is extension of third part logistic (3PL) whereby shipping company can outsource business process as much as it cans to give value-adding-services to its customers and hence improve their bottom line. 4PL provides broader logistics/supply chain services, they assemble the resources, capabilities and technology of their own organizations (i.e. their resources) and other organizations (e.g. through agreements) to design, build up and run more comprehensive supply chains Mukhopadhyay & Setaputra (2006. p. 717). Figure: 3 Shipping industry supply chain

Shipment Provide Provide origination, containers and operate routing and vessels capacity procurement Customer sales, Ownership Ownership Shipment routing, of containers, of vessel, Capacity Storage and Operation procurement, Maintenance, of vessel Customer service, Repositioning Billing, Tracking. Source: Adapted from Mergeglobal, 2008

Load

Load and unload shipments

Inland delivery

Terminal control (ownership or lease), Terminal operation, Container handling

Control of trucks, Ownership of railroads, Container handling

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7 1st Draft on Value Chain Essay 3.3 According to MergeGlobal (2008.p.70), value chain of Container shipping can be divided into five steps or stages which create value: 3.3.1 Shipment origination, routing and capacity procurement: This is the first part of the value chain of the shipping industry, it is specifically relating to all activities of receiving goods, setting transportation plans and leasing/ buying ship space. During this part of supply chain system, providers (who are often NVOCCs (Non-Vessel Operating Common Carriers) and container transporters sign transport contracts with their customers, taking responsibility to carry goods (which are stored in container) from point A to point B for customers, in return, agree to pay a certain amount for the service. This part needs relatively low capital investments hence mostly stakeholders of this part are getting super profits. 3.3.2 Provide containers: The second part of the shipping industry value chain is connected to providing container. This part includes the ownership, leasing and repair and maintenance of containers and chases. Container-transporters either own or lease containers. It is estimated that about 45% of containers and chases being leased. 3.3.3 Provide operate vessels: The third part of the shipping industry value chain is linked to all procedures and technicalities of making containers moving across seas by mean of ships. Notable, all activities that are necessary to make ships sail from one port to another, the following activates are more common under this part: providing containers ships, regular maintenance of ships, providing sailors and labour hands to run ships, providing fuel and material to run ships, leasing and using the pilot service at ports, paying navigation and piloting fees. This part has significant amount of capital investments and characterised by low profit margin or some time loss from operation.

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8 1st Draft on Value Chain Essay 3.3.4 Loading and unloading of shipment; The fourth part and perhaps the most important part of shipping industry supply chain is sea port. This part in supply chain is responsible for loading and unloading of all containers at most efficient and practicable manner. Loading and unloading can be at ships to berth and its vice versa but also it can be rearranging those containers to pick-up area. The main port operations are: Piloting the ships to the berths, providing vessel berth, container loading and unloading to / from vessels, moving containers to pick-up space, lifting containers to inland means of transport, checking containers in and out of the port gate. Figure: 4 A typical container terminal system

Source: Liu, 2010 3.3.5 Inland delivery; The fifth and last part of shipping industrys value chain is that one which connected to all delivering of goods to final consumers. This section is made up of all operations to move containers from the exporter to the destination port and from the arrival port and importer 3.4 Actors in container supply chain system; Before open full discussions on factors which influence saving in supply chain or valueadding-activities, lets have a look on who are the important actors in container supply chain: Shipper or exporter: is a person who handing goods which will be transported through containers via carrier or may be an agent working on behalf of owner whom bill of landing Hamad B. Hamad MBA in Maritime Management (00455020) Page 8

9 1st Draft on Value Chain Essay will be issued under his name, is the first person in the whole supply chain to initiate process i.e buying the transport services. Consignee/importer: Is the person who will receive container or a bill of landing with his name. Forwarder: The party performing the task of organizing dispatch of goods including the necessary documentation. A forwarder can act as an agent for the shipper or the consignee. A forwarder has to arrange transport, Customs formalities, and insurance of goods during transport, etc. on behalf of a shipper or consignee Shipping line agent/logistics service provider: a shipping line agent is a corporate body with which the shipping line has an agreement to perform particular functions on behalf of the shipping line at an agreed payment. A shipping line agent is either a part of the shipping lines organization or an independent body. Ship broker: Is the local agent of shipping companies. They act as an intermediary between the shipping companies and the charterer. One ship broker can represent one large shipping company or can represent different smaller shipping companies. Carrier: Carrier that performs the on-carriage from terminal in port of discharge to consignee. For export, a container goes from a shipper through a pre-carrier to the sea

terminal. From the sea terminal the shipping line takes the container to the foreign port from where the on-carrier takes the container to the consignee. For import the roles are reversed. Shipping line/sea carrier: A company transporting goods over sea in a regular service.

Terminal operator/stevedore The terminal operator has to perform the physical handling of the cargo, related to vessels, loading, stowing and discharging vessels. This means that the terminal operator has to load the goods into a vessel. The vessel, into which the goods have to be loaded, is instructed by the liner-agent. Before any loading can take place, the terminal operator has to be informed of the delivery of the goods at his gate. This is the responsibility of the forwarder: he sends the terminal operator a Pre-Arrival, announcing which pre-carrier will deliver the goods at the terminal operator's premises. The receipt of the pre-arrival is a condition for acceptance of the goods. Given the pre-arrival and the load instruction, the goods can be loaded on the vessel if it is present at the quay. Hamad B. Hamad MBA in Maritime Management (00455020) Page 9

10 1st Draft on Value Chain Essay Figure: 5 Global comprehensive supply chain activities in container shipping industry

Source: van Oosterhout (2003) Empty container depot The place designated by the carrier where empty containers are kept in stock and received from or delivered to the container operators or merchants. Customs Customs is a regulatory authority for controlling the import, export and transit of goods. Customs performs both administrative and physical controls and is primarily focused on container and bulk transport. Regulatory authorities Group of organizations not directly involved in the physical process of transporting containers. These organizations have a supervisor role and (continuously) monitor the physical and/or information flow in order to detect unlawful acts that could harm the security, safety and/or reliability of the industry.

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11 1st Draft on Value Chain Essay 4. Value adding activities in container supply chain- at company level; As discussed in 2.2 above, supply chain activities are divided in two, primary and supporting activities; Primary activities: are those activities which are more specific to individual firm and are directly linked to main containers shipping activities like inbound logistics, operations, outbound logistics, marketing and services. More specifically, each container shipping company has its own strategy that is relating to primary activities. The more the company is differentiating its services from others the better the company profitability and branding of its name. e.g. P&O Nedlloyd is charging premium price on all of its services ahead of its competitors because of differentiation on its services which based on high value, quality and timely services. more customised to fit the individual customers needs. For purpose of this essay, primary activities under discussion will be (1) Definitions of customer service. (2) Adding value through shipping activities (3) Adding value through information and (4) economies of scale. Supporting Activities; These are generic functions which are more common to every shipping company although there is a chance that shipping company can differentiate the way they can perform them, but moreover are the same and have little impact to the front line services. For example every shipping company need to have accounting and human resources activities so as to make its activities coordinated. 4.1 Definitions of customers services; Customer services is the process by which organisation delivers its services or products in a way that allows the customer to access them in the most efficient, fair, cost effective, and humanly satisfying and pleasurable manner possible, (Zeithaml el at., 1993). In container shipping business, customers are people buying shipping space and those receiving the services; it can be cargo owner or agency like forwarders. A supply chain starts with the stimulation of customer who initiate the order and need of having space in a container ship. According to (Bowerson & Closs, 1996. P. 66 as cited by Garberg, 2001) there is a direct relationship between supply chain, customer service and value-adding-activities. However, customer services is difficult terminology as every customer has its own specifications on Hamad B. Hamad MBA in Maritime Management (00455020) Page 11

12 1st Draft on Value Chain Essay the same services, thus what add value to one customer might not be to another customer, Peter(2001). Although shipping company has to produce its services in accordance with the customers needs but it should bear in mind of the existing competition in the industry. Therefore, customer service can be in two ways, low cost and differentiating basses. By low cost customer is given as low as possible services compared to competitions but shipping company is maintaining its minimum required rate of return. Company can acquire saving in supply chain by outsourcing some of the inbound logistics, low cost of raw materials and general management efficiency. On other hand customer can pay high price if perceive

that services offered is worth value of money they are paying. According to (Kotler et al., 1999, p. 475 as cited by Rainisto 2003) Customers satisfaction is function of products performance relatively to the buyer expectations. If the products performance falls short of expectations, the customer is dissatisfied. When the products performance matches expectations, the customer is satisfied and finally if the products performance exceeds expectations, the customer is highly satisfied or delighted. Figure: 6 Customer value creation
Benefits perceived from High-quality transportation On-time deliveries Shorter lead-times Reductions in cost of ownership Flexible response Less inventory Lower ordering costs Customer value

Source: Garberg, 2001

Reduced stock-out costs

4.2 Adding value through various supply chain activities; Perhaps more important actor in container supply chain system is seaport, more specifically container terminals, Liu (2010). Port is given task of facilitating transfer of cargos in our case containers from one port to another, Robinson (2002). By improving efficiency of container terminal in supply chain system, obviously will cut down lead-time and improve the cycletime. According to Stopford (2009. p. 225) port charges falls under voyage costs of the

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13 1st Draft on Value Chain Essay ships and is estimated to be 40% of voyage costs or 10% of total running costs of major bulk carrier. Hence any saving from 10% is adding-value-activities and huge saving to company. Mostly big liners they used to run container terminals on outsourced basis, hence they have control of the terminals and can plan the operation beforehand. Ports contribution to container shipping value chain start with the port value chain its self, when this improved by incorporating 3PL and 4PL into its system, surely its benefit will pass through entire container value chain system hence value-adding-services to shipping company and customer. Where they are provided by pot itself or outsourced, the following activities are regarded as essential and must be of high quality, Garberg (2001): Consolidation- bringing the containers from local areas and merging them together with containers with similar destinations for long-distance haulage. Others are transhipment, vessels movement coordination and cross-docking (container pass the terminal without being stored) just to mention few. 4.3 Economies of scale; Containers carriers are increasing its capacity as day goes on to match with increase of business flow and economic of scale reasons, starting from 4,500 TEU in 1996 to 18,000 TEU (to be delivered by 2013) Khamma & Culliane (2000). According to Hsieh (2005. p. 936) these Ultra large ships have the advantage of economies of scale, but whether they successfully getting into service depend on cargo flow, shipping distance, port efficiency and constraints. Economies of scale are derived from fuel saving resulted by fuel efficiency of ocean vessels. Containers freight rate is highly influenced by fuel price and consumption ratio of the vessels, it is estimated that portion of fuel in operating cost of a ships is about 28% to 35% depending on types of vessel, age, speed and cargo capacity (Stopford 2009. p. 225 and Lee & Fransoo , 2010).

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14 1st Draft on Value Chain Essay Fuel consumption, expressed in US dollars per day at sea at various speeds and for three different vessel sizes based on July 2006 bunker price levels
TEUs

knots 5,000 8,000 12,000 18 23,100 29,000 36,500 20 31,800 39,400 48,700 22 43,700 52,200 64,400 24 59,000 69,400 83,600 26 82,800 96,100 114,700 Source: (Germanischer Lloyd, cited Lee & Fransoo , 2010)

Economies of scale due to speed and size of containership

Source: (Germanischer Lloyd, cited Lee & Fransoo , 2010)

From this end, its clear that economies of scale has a significant part in container supply chain and will add-value to final services offered assuming other things constant. 4.4 Adding value through information; Through information technology added-value can be created within the system by connecting customers, suppliers and business together with real-time and online data for decision making purposes. With the help of information technology inbound data can be

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15 1st Draft on Value Chain Essay converted into information to the shipping company which will provide meaningful help in decision making and planning process. Keeping together and real-time in-touch all stakeholders of container value chain and container tracking and monitoring are openly advantages. Containers can now be controlled remotely on its temperature, humidity level and even for security reasons container can be traced throughout its route. Empty containers, perhaps is silent feature of any container shipping, it significantly cost huge amount of money, information technology will help to race and organise how to collect them. Managing empty containers cost a shipping company about 15-20% in its operating costs, Lee & Fransoo (2010), hence any saving on these figures in huge value-addingactivities to the supply chain. 4.5 Other factors that contribute to value-adding-services ; Other factors that contribute to value-adding-services to container shipping are procurement, though this is subsidiary function in value chain but plays significant position in overall costs. Mostly procurements of shipping company are inbound and outbound services which to large extent are outsourced. Container procurement and terminal services are other areas which need to be addressed in order to have value-adding-service in value chain. Proper and efficient management system, company vision and its strategic plans are also adding value to supply chain of the company. 5. Conclusion; Surely without containers, value of goods at super markets would be price twice than the current price, Doyague & Sanchez (1998). In order to provide desirable benefits to customers, container shipping company and industry should manage flow of these boxes to create saving in the operation. Container shipping industry is characterized by outsourcing of its services hence; its supply chain is relatively big enough, there its control is what many shipping managers failed. Likely most of subsidiary activities are to be outsourced while most primary activities have to done by shipping company itself. By adding value to its customers, shipping company attracts many more customers and maximizes its profit. Removing all unnecessary activities or cost adding functions by outsourcing, shipping company gets upper hand position in the market.

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16 1st Draft on Value Chain Essay

6. References; 1. Boyd, T. 2010. Global Port Industry has Passed Stress Test of 2009; Lower Cost and Staying close to the Customers has gained in importance. Press release-25th June. Available at:

http://www.apmterminals.com/uploadedFiles/corporate/Media_Center/Press_Rele ases APT Terminals 2. Chow, G. et al. 1997. "Logistics Performance: Definition and Measurement", International Journal of Physical Distribution & Logistics Management, Vol. 24 Iss: 1, pp.17 28. Available at: http://www.emeraldinsight.com/journals 3. Doyague, M.F. & Sanchez, F. M. 1998. Information technology as a source of competitive advantage in the glass container industry: the case of Spain. International Journal of Materials and Product Technology 1998 - Vol. 13, No.3/4/5/6 pp. 347 - 362'. University of Leon, Faculty of Economics and Business Studies, Campus de Vegazana, 24171 Leon, Spain 4. Fearne, A. 1998. "The evolution of partnerships in the meat supply chain: insights from the British beef industry", Supply Chain Management: An International Journal, Vol. 3 Iss: 4, pp.214 231. Available at: http://www.emeraldinsight.com/journals. 5. Garberg, B., 2001. Value-adding-services in RO-RO-Shipping. MBA thesis. Graduate Business School- Economics and Commercial Law. ISSN 1403-851-X. Gteborg University 6. Houliham, J. B., 1985. International supply chain management: International Executive; Volume 27, Issue 3, pages 1718. Available at:

http://onlinelibrary.wiley.com 7. Hsieh, P. 2005. Shipping Economic analysis for ultra large containership. PhD thesis. Department of Transportation Technology and Management. National Chiao Tung University-Taiwan 8. Khamma, M & Culliane, K. 2000. Economies of scale in large containerships: optimal size and geographical implications. Journal of Transport Geography 8 (2000) 181-195

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17 1st Draft on Value Chain Essay 9. Lee, C & Fransoo, F. C., 2010. Ocean Container Transport: An Underestimated and Critical Link in Global Supply Chain Performance. Department of Industrial Engineering & Logistics Management the Hong Kong University of Science and Technology 10. Liu, Q., 2010. Efficiency Analysis of Container Ports and Terminals. PhD thesis. Centre for Transport Studies. Department of Civil, Environmental and Geomantic Engineering. University College London 11. Lysons, K & Farrington, B. 2006. Purchasing and Supply Chain Management. 7 th Edition. ISBN 978-0273-69438-0. [ON LINE]. Prentice Hall. 12. McKinstry, J., 2004. Container Shipping Strategy: Chartering a course for future profitability. EMBA program. Simon Franser University 13. Mentzer, el at., 2001. Defining Supply Chain Management. Journal of Business and Logistics, Vol. 22, No. 2, 2001. Available:

http://engsci.aau.dk/kurser/F06/Lscm/Lscm/Lesson%201/DEFINING%20SUPPLYCHAI N%20MANAGEMENT.pdf 14. MergeGlobal, 2008. Why challenges facing the world container shipping industry make for more nightmares than they should. Available at: http://

www.americanshipper.com/TF2008. MergeGlobal Value Creation Initiative. 15. Mukhopadhyay, S. K & Setaputra, R., 2006. "The role of 4PL as the reverse logistics integrator: Optimal pricing and return policies", International Journal of Physical Distribution & Logistics Management, Vol. 36 Iss: 9, pp. 716729. Available at: http://www.emeraldinsight.com/journals 16. Normann, R. & Ramirez, R. 1993. From Value Chain to Value Constellation: Designing Interactive Strategy. Harvard Business Review, July/August 1993, Vol. 71, Issue 4. Available http://www1.ximb.ac.in/users/fac/dpdash/dpdash.nsf/pages/BP_Constellation 17. Oosterhout, M. van (2003), Virtual Harbour Container Scanning case presentation, LM lecture, Erasmus University Rotterdam 18. Panyides, P. M. & Song, D., 2007. Port integration in global supply chains: measures and implications for maritime logistics. Accessed on: 30th November. International Journal of Logistics: Research and Application: Vol. 12, No. 2 April 2009, 133-145. Available at: http://www.informaworld.com/smpp/title~content=t713435362 Hamad B. Hamad MBA in Maritime Management (00455020) Page 17 at:

18 1st Draft on Value Chain Essay 19. Peter,J.H.F., 2001. Developments in Global Sea trade and Container Shipping Markets: Their Effects on the Port Industry and Private Sector Involvement. International Journal of Maritime Economics, Volume 3, Number 1, 1 March 2001, pp. 3-26(24). Palgrave Macmillan 20. Rainisto, S.K. 2003. Success factors of place marketing: A study of place marketing practices in northern Europe and the United States. PhD thesis. Department of Industrial Engineering and Management. ISSN 1457-6929. Available at: Internet http://www.tuta.hut.fi/ Helsinki University of Technology 21. Robinson, R. 2002. Ports as elements in Value-driven chain system: the new paradigm. Maritime Policy & Management. Vol. 2009, No. 3, 241-255. 22. Simatupang, T. M. & Sridharan, R., 2002. "The Collaborative Supply Chain", International Journal of Logistics Management, the, Vol. 13 Iss: 1, pp.15 30. Available at: http://www.emeraldinsight.com/journals. 23. Stopford, M. 2009. Maritime Economics. 3rd Edition. Routledge 24. Strandenes, S.P. 2004. Port pricing Structures and ship efficiency. Review of Network Economics Vol.3, Issue 2 June 2004. Centre for International Economics and Shipping, Norwegian School of Economics and Business Administration 25. Talley, W.K., 2000. Ocean Container Shipping: Impacts of a Technological Improvement. Journal of Economic Issues. Vol. 34, No. 4 (Dec., 2000), pp. 933-948. Available at: http://www.jstor.org/stable/4227617 26. UNCTAD (United Nations Conference on Trade and Development), 2010. Review of Maritime Transport. UNCTAD/RMT/2010. ISBN 978-92-1-112810-9. United Nation Publication. 27. World Shipping Council, 2010. World container volume: http://www.worldshipping.org/about-the-industry/containers 28. Zeithaml, V. A, el at., 1993. The nature and determinants of customer expectations of service. Journal of the Academy of Marketing Science. Vol.21, No. 1, p. 1-12. Available at:

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