Question

In: Operations Management

Explain briefly three (3) approaches in terminal Ownership &management

Explain briefly three (3) approaches in terminal Ownership &management

Solutions

Expert Solution

The three approaches in terminal and ownership and management are based on the public or private provision, ownership of infrastructure, orientation, ownership of superstructure and equipment and dock and labour management. The three approaches in port management and ownership are as follows:

- Service ports- the complete range of services with which the seaport system functions are provided by the port authority in this model. The ownership, maintenance and operation of all the fixed and mobile assets are under the port management. The port authority employs the labour directly and cargo handling activities and performed by them. These ports are responsible for all the cargo handling activities.

- Tool ports- in this model type the port authority woman, maintains and develops the superstructure along with the port infrastructure. This superstructure includes cranes and forklift trucks and other cargo handling equipment. All this equipment is operated by the port authority staff. Other cargo handling onboard vessels are operated by private cargo handling companies which the shipping agents make a contract with.

- Landlord ports- These ports have a mixed-orientation of public and private models. The port authority is the landlord and acts as a regulatory body and the private companies carry out the port operations. This model is commonly followed in the medium-sized and large ports. The landlord or port authority leases the infrastructure to the private companies for which the lease is paid per square meter annually by them. The private port operators provide their own superstructure and maintain it. They purchase their own equipment and install it as per their business requirement.


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