Re-inventing the wheel
Terminal operations are seeking, once more, to define themselves
Terminal operators today are moving to re-define their role, to come up with an identity that clarifies what they do. At least that is the case in container terminals; bulk terminals have a more clearly defined role.
This is simply because bulk operators interact directly with cargo owners.
Container terminals play a critical role and have an important function in the supply chain yet their actual exposure to the supply chain has been marginal. They have not directly influenced the development of the art of supply chain management nor are they consulted by them. The reason for this is simple. Their customers are the carriers, not the shippers.
They have a very small customer base, but one with a huge amount of business. To gain that business they must first and foremost provide quality of service at competitive (ideally low) prices if they wish to contract with their customers.
They are all too aware that they do not have any unique hold on their customers, competitors are plentiful and near by in most of the major trades.
Clients can shift their transhipment cargo from one day to the next and even the base cargoes can be at risk of competitive offers.
Customer service has meant strong relationships with carrier management, but this falls short of being a key link in the supply chain.
Carriers route their vessels for load and discharge based on the most economic basis and with multiple ports of call, this makes it easy. Shippers often play no role in this decision making. The large ones have contracts that are inclusive of delivery to an inland container depot which can reduce their transportation costs.
The last recession caused terminal operators to re-evaluate their role. They saw an opportunity to invest in inland container depots where they could come into direct contact with the cargo owners. This effectively allows them to play a greater role in the supply chain. They can offer storage, and they can offer warehousing and distribution facilities.
Consider the “gateway concept" and the “transferiums”. This also brings added value which equals added income.
A growing trend to watch.
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