Container logistics in Mercosur: Choice of a transhipment port using the ordinal Copeland method, data envelopment analy
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Container logistics in Mercosur: Choice of a transhipment port using the ordinal Copeland method, data envelopment analysis and probabilistic composition M a´ r c i o A r z u a C a i l l a u x , A n n i b a l P a r r a c h o S a n t ’A n n a , L i d i a A n g u l o M e z a a n d J o a˜ o C a r l o s C o r r e i a B a p t i s t a S o a r e s d e M e l l o Universidade Federal Fluminense, Rua Passo da Patria 156, Nitero´ i, RJ 24210-240, Brazil.
A b s t r a c t This article aims at providing a systematic tool for the selection of the most suitable maritime route for containerized cargoes between different sets of coupled-ports. Possible routes are compared using the Copeland method, data envelopment analysis and probabilistic composition. The variables taken into account are time of transportation and cost at the port terminals, including container storage and operational transhipment costs. Data from a Brazilian shipping company, which has ships in fixed and regular routes along the East Coast of South America, were analysed. The analyses performed demonstrate the feasibility of objectively ranking routes, connecting different locations. This study also serves to expose the differences between the composition approaches. Maritime Economics & Logistics (2011) 13, 355–370. doi:10.1057/mel.2011.20
Keywords: decision aid; transportation; data envelopment analysis; probabilistic preferences; Copeland Method; container transhipment
Introduction The objective of this study is to provide a tool to support a carrier’s choice among different options of routes for containerized cargo between given origin and destination ports. Results are obtained by the Copeland Multi-criteria r 2011 Macmillan Publishers Ltd. 1479-2931 Maritime Economics & Logistics Vol. 13, 4, 355–370 www.palgrave-journals.com/mel/
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Method; by Data Envelopment Analysis (DEA); and by the composition of probabilities of reaching the excellence frontier assuming measurements are subject to error following a Pareto distribution. The study uses data from the Brazilian company Alianc¸a Navegac¸a˜o e Logı´stica Ltda, owned by the German group Hamburg-Sud. The company has been providing maritime transportation around the world for over 50 years. Currently, the company focuses on services involving 11 ports on the East Coast of South America, in which 13 ships are deployed along three fixed and regular routes. All ports belong to Mercosur countries. Mercosur is trade agreement consisting of Brazil, Argentina, Uruguay and Paraguay. The last country has no maritime ports. In several cases, a single maritime route does not link directly the origin and destination ports requested by the customer. The lack of a direct connection is a consequence of the service configuration: the ‘Companhia de Navegac¸a˜o Alianc¸a’ has its ships in three fixed routes. None of these routes include all of the 11 ports served. In such cases, transhipment of cargo from one route to another will be necessary at an intermediary port. There are even cases where cargo transit t
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