PORT CENTRIC LOGISTICS

Port Centric Logistics



Port Centric Logistics

Introduction

During the last decade, globalization of economies has led to significant growth in world trade. So transportation, especially maritime, as the infrastructure that serves him playing an increasingly important role in trade and global economic progress of nations. According to Deshmukh (2003), no country can think of economic progress without the development of an efficient transport infrastructure. In particular, when it is required to transport goods and products trade in the most economical way possible. Taking into account international trade freight traffic is carried their loads mainly two modes of transport, air and sea, where about 90% of its volume is transported by sea. In this context, a port first line is a provider of services trade its region of influence, boosting economic development and links with the world (Lee, 2010, Pp. 69).

Ports play a crucial and strategic role in the welfare nation's economic, it is vital that governments, operators port and port authorities focus their efforts focus to promote and enhance the competitiveness and efficiency of its ports. Thus, while the port activity is characterized by its economic importance and impact on shipping, it is warned to provide services on an internationally competitive. On the other hand, in the case of "inputs" intermediate companies supply chain, improving efficiency and productivity of port services become the determinants of competitiveness. For its part, the transportation of containerized cargo has been playing an increasingly important role increasingly prominent in the global transportation has due to various technical and inexpensive advantages over other methods has traditional and more expensive to transport. The intensive use of the container has improved cargo shipping and port operations.

In the same vein, Cullinane, Song, Ji and Wang (2004) points out that compared to normal port operations, the container operations have substantially improved port productivity due for two reasons. To achieve greater transport capacity and economies of scale, companies Shipping and ports are willing to invest in and operate new ships and dedicated systems containers. On the other hand, a more competitive environment has been giving in most of the ports. No longer enjoys the former monopoly position in the handling of the cargo from or going to a region forever captive. The ports should not only concentrate on physically handle the load, but it must also compete (Lee, 2004, Pp. 112).

Discussion

Port Centric Logistics (PCL) - is a conception based on the assumption that distribution centres of companies exporting and importing commodities should be placed as close to container terminals (which ensure the cheapest mean of transportation) as possible.

The PCL concept is based on the British model and it constitutes the first investment of this type to be implemented in continental Europe. Its basic premise is to lower road transport costs by way of placing distribution centres in the closest vicinity of the container terminal. Thanks to this, goods in containers do not have to travel distance from the port to warehouses in order to be unloaded and transported to the distribution ...