A simulation approach to the evaluation of operational costs and performance in liner shipping operations

  • Authors:
  • Aldo A. McLean;William E. Biles

  • Affiliations:
  • University of Louisville, Louisville, KY;University of Louisville, Louisville, KY

  • Venue:
  • Proceedings of the 40th Conference on Winter Simulation
  • Year:
  • 2008

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Abstract

This paper presents a simulation model of the operation of a liner shipping network that considers multiple service routes and schedules. The objective is to evaluate the operational costs and performance associated with liner shipping, as well as the impact of individual service schedules on the overall system. The approach proposes a discrete-event simulation model where shipping activities, container ship operations, and intermodal container movements are considered. The model allows for direct and transshipment operations of container cargo, and the evaluation of fuel consumption and other logistics metrics. The model is used to evaluate a liner shipping network consisting of four service routes, up to 64 container ships, and up to 20 ports with diverse physical characteristics and cost components. The results show the contribution of service routes, ports, container ships, and containers to the cost and performance of the system.