Latest developments in the design and operation of logistics and intermodal in the ports hinterland: new challenges and new solutions

Prof. Dr. Hans-Dietrich Haasis [email protected] Institut für Seeverkehrswirtschaft und Logistik Institute of Shipping Economics and Logistics

www.isl.org [email protected] Based on a short overview on the state of the art of transport infrastructure and related bottlenecks within this paper intelligent solutions for the design and operation of logistics and intermodal transport in the ports hinterland will be outlined. They are mainly based on real examples and practical experiences of companies in . The solutions cover four present and future challenges, and focus essentially on the topics security , climate and energy , meso-logistics and knowledge regions as well as control logic and autonomous control of flows . Institut für Seeverkehrswirtschaft und Logistik Institute of Shipping Economics and Logistics For facing these challenges major tasks of the public and the private sector are mentioned.

www.isl.org [email protected] ISL – Institute of Shipping Economics and Logistics

1954 – 2008 Logistics Systems Univ.-Prof. Dr. Hans-Dietrich Haasis more than 50 years of in Maritime Economics and maritime economics and logistics Transport Univ.-Prof. Dr. Manfred Zachcial www.isl.org Information Logistics Dr. Frank Arendt Planning and Simulation

Bremen, , Lübeck 70 employees

Services for you: research & networking, consultancy,

Institut für Seeverkehrswirtschaft und Logistik Institute of Shipping Economics and Logistics planning & simulation, analysis & forecasting, software development, information hub Clients: CEC, Federal Ministries, regional institutions, industry, commerce, LSP, NGOs www.isl.org [email protected] 3 Supply chain event Hinterland Value driven management relations business process planning Safety and security Product (In/Outsourcing) IT support design Logistics centre Transshipment Mesologistics: development optimisation knowledge integration

e.g. Shenyang e.g. Dalian e.g. e.g. Stuttgart

800 700 Port development 600

500 Korridor OSC 2003 Ist-Entwicklung 400 Drewry Prognose 2005 ISL Prognose 2005 Mio. TEU Mio. 300 Drewry Prognose 2001 planning Development 200

100

0 0 1 2 3 4 5 6 7 8 9 0 1 2 3 4 5 6 7 8 9 0 1 2 3 4 5 9 9 9 9 9 9 9 9 9 9 0 0 0 0 0 0 0 0 0 0 1 1 1 1 1 1 9 9 9 9 9 9 9 9 9 9 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 1 1 1 1 1 1 1 1 1 2 2 2 2 2 2 2 2 2 2 2 2 2 2 2 2 of industrial Maritime shipping parcs and

Institut für Seeverkehrswirtschaft und Logistik Institute of Shipping Economics and Logistics Intermodal statistics Supply chain simulation transport logistics regional VAS

www.isl.org [email protected] 4 EIA - Intermodal transport promotion centre, Bremen

since 2005

Promotion and dissemination of best practices Networking and initiation of cooperations and strategic alliances Business models development and controlling Know-how transfer and knowledge management Search for intermodal multiplicators Supporting new products/services Institut für Seeverkehrswirtschaft und Logistik Institute of Shipping Economics and Logistics

www.isl.org [email protected] since 1998 Institut für Seeverkehrswirtschaft und Logistik Institute of Shipping Economics and Logistics

Source: GVZE Bremen www.isl.org [email protected] 6 800

700

600

500 Korridor OSC 2003 Ist-Entwicklung 400 Drewry Prognose 2005 ISL Prognose 2005 Mio. TEU Mio. 300 Drewry Prognose 2001

200

100 Institut für Seeverkehrswirtschaft und Logistik Institute of Shipping Economics and Logistics 0 0 1 2 3 4 5 6 7 8 9 0 1 2 3 4 5 6 7 8 9 0 1 2 3 4 5 9 9 9 9 9 9 9 9 9 9 0 0 0 0 0 0 0 0 0 0 1 1 1 1 1 1 9 9 9 9 9 9 9 9 9 9 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 1 1 1 1 1 1 1 1 1 2 2 2 2 2 2 2 2 2 2 2 2 2 2 2 2

www.isl.org [email protected] 7 Transport statistics NR ports’ modal split Survey(B/Ls) transport statistics

(transport Survey statistics)

NR ports’ cargo traffic

Trade statistics Institut für Seeverkehrswirtschaft und Logistik Institute of Shipping Economics and Logistics Trade by origin/destination (e.g. UN, national statistics) A B

www.isl.org [email protected] Estimating deepsea, shortsea, and transhipment volumes 8 Introducing the Container Traffic Model

The North European Container Traffic Model developed by ISL and Global Insight:

• Differentiates transhipment volumes from hinterland traffic, • Identifies the volumes and modal split of container traffic with the various corresponding hinterland regions of the North range ports, • Assesses the container traffic volumes between the North range ports and corresponding shortsea destinations, • Provides the basis for forecasts of port traffic and

Institut für Seeverkehrswirtschaft und Logistik Institute of Shipping Economics and Logistics hinterland transport volumes.

The Modell was implemented successfully for the years 2003 and 2005 so far!

www.isl.org [email protected] 9 Container Traffic Model

Featured Ports and regions

• 6 Ports within the - Le Havre Range • 32 Hinterland regions:

– 13 European Staates – Germandy (by federal districts) – Poland (two regions) – Denmark (two regions) – France

Institut für Seeverkehrswirtschaft und Logistik Institute of Shipping Economics and Logistics (three regions )

• For all Regions Volumes are identified and split into mode of transport (road/rail/river)

www.isl.org [email protected] Railway Container Hinterland Transport Volumes 2006 Institut für Seeverkehrswirtschaft und Logistik Institute of Shipping Economics and Logistics

www.isl.org [email protected] 11 Market shares by hinterland regions and modal split (ex.: Hamburg) Institut für Seeverkehrswirtschaft und Logistik Institute of Shipping Economics and Logistics

Source: ISL/Global Insight, Containerverkehrsmodell zur Bestimmung der Marktposition des Hafens Hamburg in europäischen www.isl.org Hinterland- und Transhipmentregionen , study for the Hamburg Port Authority, Bremen 2007 [email protected] Mesologistics: Mikro-Makro-Link

Makro-logistics World

M ik r o Meso-logistics – M a k r o - L in k

Regions Institut für Seeverkehrswirtschaft und Logistik Institute of Shipping Economics and Logistics

Mikro-logistics Supply Supply Supply Supply Supply Supply Chain 1 Chain 2 Chain 3 Chain 4 Chain 5 Chain X

www.isl.org [email protected] Meso-logistics

Meso Logistics Pull ? Push ? The performance of supply chains can be Logistics Competence Key Personnal Map improved through co-operation and Bremen- The LogisticsBremen Company communication between various supply chain partners on a regional level. Meso Network Logistics Council Public Logistics analysis operative and strategic Ministries Institutions Economy Science business processes between companies Institutions of Business and institutions in a supply chain region. By Research and • Objectives Companies • Requirements • this, amongst others a regional knowledge working Organisations management is obtained. groups Politics

Terminal References: Operator Terminal infrastructure provider • Bremen – The „Logistics Family“

• MAREDFlow: Regions of Knowledge Pilot Action.

Institut für Seeverkehrswirtschaft und Logistik Institute of Shipping Economics and Logistics Administration/ Government Inland vessel provider • LOGALL: Strategic Logistics Retail business Alliance Hanse-Passage Freight forwarder Industrial business • Start up of new intermodal solutions

www.isl.org [email protected] 14 Communications

Gewerbepark Flughafen Dachser GmbH & Co. KG Air & Sea Freight DHL Global Forwarding Kopf & Lübben GmbH GmbH Unternehmensverband Bremische Häfen e. V. Bremen Nord Egerland Car Terminal GmbH & Co. KG Verein Bremer Gewerbepark Hansalinie und Gesamthafenbetriebsverein Gebr. Stahl Gmbh Umschlagsbetriebe e.V. im Lande Bremen e.V.(GHBV) Hemelinger Hafen Parsiegla GmbH & Co. KG DL Dettmer-Logistics GmbH & Co. KG Hirsch Bremer Reinigung und Recycling GmbH Bremische Häfen Johnson Controls Headliner GmbH Kraft Foods Deutschland GmbH Interessengemeinschaft Schedl Automotive System Service GmbH rechts der mittelständischer Vereinigung Bremer Schiffsmakler Schreiber Baumaschienen GmbH & Beluga Shipping und Schiffsagenten e.V. Unternehmen in den GmbHBremer Rolandmühle Erling GmbH & stadtbremischen Häfen Co. KG Co.Cordes KG Logistik GmbH ISH Diersch & Schröder GmbH & Co. KG Fischereihafen Griepe Container GmbH Hansa Holz Wilhelm Krüger GmbH Am Lunedeich 143 Grundstücksgesellschaft G J.Müller-Weser GmbH & Co KG Bredo Bremerhavener Dock GmbH Rhenus Weserport GmbH Brüssel & Maass Logistik GmbH Bremische Hafenvertretung e. V. Förderverein Pro A22 e. V. Systemführer Columbus Spedition GmbH Deutsche See GmbH & Co. KG Berthold Vollers GmbH Frigolanda Tiefkühlcenter Bremerhaven GmbH Carl Ungewitter Trinidad Lake Asphalt GmbH Frosta AG Hanseatic Lloyd Reederei GmbH & Co. KG Georg Grube GmbH Ipsen Group GmbH & Co. KG Landesverband Verkehrsgewerbe J. H. K. Anlagenbau und Service GmbH & Co. KG Bremen (LVB) e.V. Karl Gross Internationale Spedition GmbH Verein Bremer Spediteure e. V Multibrid Entwicklungsgesellschaft mbH Kühne + Nagel (AG & Co.) KG Nord Ceram Fliesenproduktion und Vetriebs GmbH Lexzau, Scharbau GmbH & Co. KG Würfel Spedition GmbH Peter W. Lampke GmbH & Co.Röhlig KG & Co. Holding GmbH & Co. KG

Allgemeine Arbeitgeberverband Überseehafen und Bremische Häfen von Bremen angrenzende Logistikflächen und Bremerhaven links der Weser Wirtschaftsverband Weser e. V. Addicks & Kreye Container Service GmbH & Co BG Trans Bremer Gütertransporte GmbH Atlantik Hafenbetriebe Geuther & Schnitger Institut für Seeverkehrswirtschaft und Logistik Institute of Shipping Economics and Logistics BHS Spedition & Logistik BLG Coldstore Logistics GmbH BTG Internationale Spedition GmbH BLG Logistics Automobile BLG Cargo Logistics GmbH & Co. KG D. Heinrichs Logistic GmbH Dettmer Logistics GmbH & Co. KG Fischereihafen- Betriebsgesellschaft EUROGATE Container Terminal Bremerhaven GmbH Bremer Reederverein Fiege Net Division der Fiege Deutschland Stiftung mbH GCD Glomb Container Dienst GmbH Heinrich Langhorst Gmbh & Co. KG Heuer Internationale Speditionsgesellschaft bmH Hellmann Worldwide Logistics GmbH & Co. KG MSC Gate Bremerhaven GmbH & Co. KG Kieserling Spedition + Logistik GmbH GVZ Entwicklungsgesellschaft Neutrales Transport Kontor GmbH Bremen mbH Packing Centre GVZ Bremen (PCG) Terminal Bremerhaven GmbH & Co. Roland Umschlaggesellschaft Noske Kaeser GmbH Rhenus Midgard GmbH & Co. KG für komb. Güterverkehr mbH & Co. KG Terratrans Internationale Spedition GmbH Schnellecke Group AG & Co. KG Star Container Service GmbH www.isl.org [email protected] Structure and process modelling are not enough: Knowledge Management

Interface problems within heterogeneous IT- shipping companies Infrastructure terminal operators Missing insight in business processes of port operators partners within the supply chain forwarders Institut für Seeverkehrswirtschaft und Logistik Institute of Shipping Economics and Logistics Missing exchange of information between warehousing companies partners and inside a company logistics service providers Know-how of relevant key actors is not services documented regional authorities No incentive system to think beyond the railway companies www.isl.org existing solutions industry, commerce [email protected] Culture of Communication Region 1 Innovation Design

Monitoring Region Training 2

Regional Adminis- Business tration knowledge management Production and Logistics Network

Science Region

Institut für Seeverkehrswirtschaft und Logistik Institute of Shipping Economics and Logistics 3

Region 4

www.isl.org [email protected] 17 How to secure the chain? Institut für Seeverkehrswirtschaft und Logistik Institute of Shipping Economics and Logistics

www.isl.org [email protected] 18 Certification

• C-TPAT (Customs Trade Partnership Against Terrorism) − voluntary certification in the US trade − US Customs promised to offer accelerated procedures for those parties being certified • Part of the new Customs Code of the European Union, this approach can be found as “Authorised Economic Operator” (AEO) − This status can be achieved from beginning 2008 − Although also the AEO certification is voluntary, it is expected that is will become de-facto mandatory in such a way that it is quite likely that shippers will use only AEOs as their partners − A mutual recognition of AEO and C-TPAT is actually in Institut für Seeverkehrswirtschaft und Logistik Institute of Shipping Economics and Logistics discussion. − Freight forwarders, inland transport operators, etc. are still quite reluctant because the benefits are not obviously at this point of time.

www.isl.org [email protected] Technologies

• Electronic seals − combining the strengths of a high security seal with an RFID transponder − allowing to check the number and status of that seal automatically e.g. when passing a container terminal gate • CSDs (Container Security Devices) − More sophisticated − allowing to register the opening of doors, light falling into the container, detection of special substances, obtaining the actual position, communicating via GSM or satellite • Challenges − Institut für Seeverkehrswirtschaft und Logistik Institute of Shipping Economics and Logistics Standardisation required! − Who is willing to pay for? − Making the use of technologies mandatory?

www.isl.org [email protected] Advance data reporting

• CSI (Container Security initiative) − Customs Cooperation between the US and the rest of the world since 2002 − presence of US Customs forces in all major ports exporting cargo to the US who together with their local colleagues assess the risk of containers and jointly decide on further measures e.g. on X-ray scanning or even opening and cargo inspection − Basis for this risk assessment are IT systems analysing data – primarily from shipping manifests. Data must be provided well before the container is to be loaded − The Advance Manifest System and the related 24-hour- rule require exporters and shipping agents to provide the vessel manifest 24 hours before loading in electronic form • Institut für Seeverkehrswirtschaft und Logistik Institute of Shipping Economics and Logistics From 2009, this method will be also applied for all heading to the EU • For the exporting companies their flexibility of re- scheduling cargo containers, will be quite limited

www.isl.org [email protected] Technologies

• Project CHINOS − funded by European Commission DG Research − using RFIDs and damage documentation along container transport chains − trials in Bremerhaven, Thessaloniki, Graz Freight village and Warsaw railway station Institut für Seeverkehrswirtschaft und Logistik Institute of Shipping Economics and Logistics

www.isl.org [email protected] • Intermodal Global Door-to-door Container Supply Chain Visibility • Funded by the European Commission, DG Research • Duration: 06/2008 – 05/2011 Institut für Seeverkehrswirtschaft und Logistik Institute of Shipping Economics and Logistics

www.isl.org [email protected] 23 INTEGRITY Partners

Terminal and Logistics Providers & Customs Academia & Transport Operators Shippers Authorities Technology Providers

Coordinator Institut für Seeverkehrswirtschaft und Logistik Institute of Shipping Economics and Logistics

www.isl.org [email protected] Motivation

 Strong continuing growth in global container transport

 Increased bottlenecks in European deep sea ports and hinterland connections

 Complex logistics chains with multiple actors

 Information gaps along the chain

 New security regulations (ISPS, EU-COM 2003-0229, 2004-0076, US CSI, US C- Institut für Seeverkehrswirtschaft und Logistik Institute of Shipping Economics and Logistics TPAT)

www.isl.org [email protected] 25 INTEGRITY Corridor

2008 - 2011 Institut für Seeverkehrswirtschaft und Logistik Institute of Shipping Economics and Logistics

Door-to-door: China - Shenzhen – /Felixstowe – European Hinterland Monitoring of 5,000 containers Cooperation with EU/China Customs Project (SSTL)

www.isl.org [email protected] INTEGRITY = Supply Chain Visibility Institut für Seeverkehrswirtschaft und Logistik Institute of Shipping Economics and Logistics

www.isl.org [email protected] 27 INTEGRITY – Example security pipeline Institut für Seeverkehrswirtschaft und Logistik Institute of Shipping Economics and Logistics

www.isl.org [email protected] 28 Energy consumption in transport and logistics Institut für Seeverkehrswirtschaft und Logistik Institute of Shipping Economics and Logistics

www.isl.org [email protected] 29 MOIN-Group Institut für Seeverkehrswirtschaft und Logistik Institute of Shipping Economics and Logistics

www.isl.org [email protected] 30 Technical optimisation Knowledge management  air pressure in wheels  qualification  innovative technologies  motivation  engine optimisation  training  ...  ...

Reduction of energy Optimisation of logistics and of CO2 Use of alternative engines  avoidance of transports emissions  gas, hydrogen, electricity  bundling of cargo  ...  ... Shifts  from road to ... Institut für Seeverkehrswirtschaft und Logistik Institute of Shipping Economics and Logistics  from air to ...  ...

www.isl.org [email protected] 31 Intermodal Supply Chains

• Design of cooperative intermodal solutions • Location planning and process optimisation • Promotion of intermodal transport • Controlling of intermodal interfaces • Simulation and software support • Networking between partners motorways Inland waterways • Communication of best practices railways

• Elaboration of value adding activities and chain design • Developing of business models Institut für Seeverkehrswirtschaft und Logistik Institute of Shipping Economics and Logistics • Performance management for intermodal SC • Knowledge management within the SC • Consultancy in mass customisation for SC www.isl.org [email protected] 32 Institut für Seeverkehrswirtschaft und Logistik Institute of Shipping Economics and Logistics Quelle: http://www. skysails .info/

www.isl.org [email protected] ISL-AMATRAK: Stute Verkehrs-GmbH/Kühne & Nagel CRC University Bremen

Conventional control Multi Agent Autonomous control Technology • Hierarchical structure • Heterarchical structure • Global information • Local information • Central planning and • Decentralised control Advantages / Benefits control • Intelligent objects  Higher flexibility by higher and faster adaptability  Higher robustness and fault tolerance  Higher performance by self-optimisation Institut für Seeverkehrswirtschaft und Logistik Institute of Shipping Economics and Logistics

www.isl.org [email protected] 34 ISL

Innovative Solutions for Logistics Institut für Seeverkehrswirtschaft und Logistik Institute of Shipping Economics and Logistics

www.isl.org [email protected] 35