WPSF 2011 Global Edition – Global Institute of Logistics

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THE ROLE OF PORT AUTHORITY’S IN GLOBAL LOGISTICS

The first edition of the World Port Strategy Forum brings together the world’s leading Port Authority CEO’s to discuss and debate their changing role in the global supply chain. Port authorities are no longer content to sit back and play the role of the landlord. Competition between ports is fierce, and in some cases the age old reliance on physical location as a Unique Selling Point (USP) is being diminished by greater levels of intermodality in the hinterland.

Kieran Ring
CEO
Global Institute
of Logistics __________________
FORUM MODERATOR

Port authority “Thought Leaders” now see their role in a much broader way and in particular are focussed on the quality of service the shipping lines customer, the beneficial cargo owners and non vessel operating companies receive from the port and its stakeholders as a whole.
Historically ports were measured on their ability to accommodate ships and other modes of transport effectively and efficiently. Contemporary developments in transportation, however, dictate that emphasis has shifted to the ability of ports to fulfil new roles in the logistics era within the context of operating as part of an integrated global supply chain system.

The port is part of a cluster of organizations in which different logistics and transport operators are involved in bringing value to the ports end user, whether it be the shipping line or the beneficial cargo owner.

The role of modern seaports involves integration into the supply chain, and fulfilling this role means greater ability of the port to satisfy customers and achieve its objectives. In this role, the port is considered as part of a cluster of organizations in which different logistics and transport operators are involved in bringing value to the final consumers. In order to be successful, such channels need to achieve a higher degree of coordination and cooperation. The determination of the parameters that encompass the extent of integration of ports/terminals in global supply chains has, therefore, become of great importance for ports. This demand has led to what is termed “Port Centric Logistics”
The Institute traces the origin of Port Centric Logistics back here to South China and the Port of Shenzhen and pinpoints the local port community as the Pioneers in shaping both the business model and best practices that have come to shape port centric logistics globally.
Shenzhen is now embracing a new vision which it is driving through a sister port program which has seen it create formal relationships with 15 of the worlds leading port communities through their respective authorities. Assisted by the Institute, the intention is over time to strengthen these alliances, firstly bilaterally and in the future multilaterally.
The World Port Strategy Forum has been established as a result of these efforts and will provide the platform through which like minded ports from across the world can “Share With, Learn From & Benchmark With Each Other” in pursuit of greater innovation in and better delivery of port related services to the container supply chain.
The format for the meeting is designed to create a flow of conversation around the central theme of THE ROLE OF PORT AUTHORITY’S IN GLOBAL LOGISTICS. Unlike the traditional conference format, the meeting will be held in forum style, where all 25 guest experts will engage with the subject throughout the entire day. The narrative is informed by a keynote address followed by a series of short presentations at strategic intervals throughout the forum.
The presentations given by recognized industry experts act as segues to the next area to be debated. On completion, the subject is discussed and debated in the forum, before delegates are invited to engage. Each subject is supported by a series of talking points which are agreed in advance through local and global research and in particular in coordination with delegates and experts. The talking points provide a roadmap, at end of which we hope to have exhausted the subject from all angles and points of view

SHENZHEN PORT AUTHORITY HOST OF WPSF 2011

Shenzhen, as Special Economics Zone, has got significant achievement in the past 30 years after the economics reform. As one of important parts, Shenzhen port logistics have also got a great development. Shenzhen not only becomes one of the container hub of China, but also becomes one of the biggest ports in the world. Though the global economics is getting complicated, port and shipping market is facing huge challenge, we are still confident in the future of Shenzhen port logistics.

HUANG MIN
Chairman
Shenzhen Transport
Commission
____________
CONFERENCE CHAIRMAN

Shenzhen has been the 4th busiest port in the world for 8 years. It has been China Transportation Hub and Container Hub in South China. HPH Group, China Merchant, Wharf, Maersk and other shipping world famous brands have already invested in Shenzhen.
From the first berth set up in 1980, there are ten port area have been formed, including Shenkou, Chiwan, Mawan, Yantian, DaChanWan, ShaYuCong, XiaDong, DongJiaoTou, FuYong and NeiHe. Total investment is around 60 Billion RMB.
Up to end of 2010, there are 176 berths, within which there are 69 berths with 10,000 tons capacity and 44 container berths. The yearly handling capacity is around 194.9 Million tons and 18.91 million TEU.The throughput of 2010 is 220 million tons, which is 15.59% increase of last year.
Container throughput is 22.5 million TEU, which is 23.1% increase.
The Scale of Shenzhen Port Logistics Industry
Port Logistics Industry includes main port business, supporting services, connected manufacture, financial and information service.
There are 7 port investment companies, including Yantian Port Group, China Merchant, Nanshan Development. And there are 35 port operators. There are 40 international shipping lines calling Shenzhen, 32 ship agencies, 1500 international forwarders. And there are around 50 registered water transportation companies, owning container ships, bulk vessel, gas and passenger transportation.
There are over 100 warehouse operators, 80 companies providing related vessel service, and more than 2000 trucking companies. Up to end of 2010, there are 230 line haul services in Shenzhen, which brings 24353 callings. At the same time, 8 domestic services has been started. From Shenzhen, we connect with more than 300 ports in over 100 countries.
In the past 30 years, Shenzhen Port Logistics have taken great impact on transportation facilities, attracting foreign investment and strenghtened international trade. The modern logistics industry has been developed rapidly, which has created more opportunity for Port Logistics. The modern logistics industry has been formed. Supported by system management of transportation, sea port and air port business, logistics parks and the whole industry development, we could keep a steady and rapid development.
The logistics service has been improved. Up to end of the 11th 5-years plan, there are 14,800 logistics companies, within which there are more than 300 supply chain companies. The supply chain service system has been formed, which is plan-purchase-manufature-delilver-return. The traditional logistics service has been changing to 3 party logistics and supply chain services. Sea, road and air transportation network, logistics park and data management system have been upgraded. Shenzhen will work more closely with HK in Shipping area.
The strategic of logistics adaptation is to develop port supply chain
The competition among ports has been changed to supply chain competition. The supply chain is based on port and shipping industry, including all related service providers. The port should connect with other service providers to extend logistics function and provide There are more and more manufacturers and trading company out-sourcing their logistics service. So There are more and more supply chain companies starting extended services.
The current 7 key logistics parks have been connected with high way and direct/indirect businss relationship with ports. Walmart, Carrerfour, IKEA have set up Distribution Center. DHL, UPS, Maersk Logistics, APL Logistics, COSCO Logistics and other world famous companies have been working with logistics park and providing global services. The logistics parks has been the key base for port supply chain.

Future Development
According to Shenzhen Government transportation strategic,Shenzhen modern logistics development plan is to build up Shenzhen as the global logistics hub, which only has the function to allocate international resources, but also has the ability to operate international commercial business. Shenzhen would like to be the key port in China coastal transportation and take key part in HK, which is as international shipping center. The container throughput will be 28 million TEU in year 2015.
According to ‘Shenzhen Port Plan’, Shenzhen port includes two sides, six districts and three port areas. The two sides refer to east and west port clusters. Six districts are Yantian, Longang, Nanshan, Dachanwan, Big and Small (two)Islands and Bao’an Ports. Three port areas are Yantian, Nanshan and Dachanwan, which mainly handle container business.
Our mission is to build a world class port, a modern port with competitive, environmental friendly, safe and sustainability
Mr. Huang Min
Director General Transport Commission of Shenzhen Municipality
(Ports Administration)

THE AGENDA FOR THE 2011 WORLD PORT STRATEGY FORUM

Meeting Format: A Forum not a Conference
The format for the meeting is designed to create a flow of conversation around the central theme of THE ROLE OF PORT AUTHORITY’S IN GLOBAL LOGISTICS. Unlike the traditional conference format, the meeting will be held in forum style, where all 25 guest experts will engage with the subject throughout the entire day. The narrative is informed by a keynote address followed by a series of short presentations at strategic intervals throughout the forum. The presentations given by recognized industry experts act as segues to the next area to be debated. On completion, the subject is discussed and debated in the forum, before delegates are invited to engage. Each subject is supported by a series of talking points which are agreed in advance through local and global research and in particular in coordination with delegates and experts. The talking points provide a roadmap, at end of which we hope to have exhausted the subject from all angles and points of view.

YANG LEI
China Director
Global Institute of Logistics
China
_____________________
WORLD PORT STRATEGY FORUM
PRODUCER
______________________
Born and now based in Beijing, Mr. Yang Lei (William) was appointed the Institute’s China Director in September 2010.

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LOGISTICS DEVELOPMENT IN SHENZHEN PORT

Global Institute of Logistics research traces the origin of Port Centric Logistics back here to South China and Shenzhen and pinpoints the local port community as the Pioneers in shaping both the business model and best practices that have come to shape port centric logistics globally. It was in Shenzhen port that the age old mantra that the “cargo followed the ship” was challenged and proved that in certain cases the ship would follow the cargo and in these cases logistics is the key driver. A new business model was born.

MA YONGZHI PORT OF SHENZHEN BIOGRAPHY & SLIDES

MA YONGZHI
Deputy Director General
Shenzhen Port Authority
China
_____________________
GLOBAL INSTITUTE OF LOGISTICS
CHINA CHAPTER

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BIOGRAPHY:

In 1987 Ma Yongzhi joined the Chinese Communist Party, and has gone on to become a dedicated and loyal servant to the Chinese people. Throughout his distinguished career in public service he has held a variety of diverse roles, which have given him a wealth of experience that he now brings to his current position of Deputy Director General of Shenzhen Port Authority.He has served as the City Bus Company Engineer, Director and Secretary Municipal Transportation Bureau of Safety Director City Department of Transportation Safety Director, Committee Member, and Deputy Director.

INVESTING IN HINTERLAND CONNECTIVITY : PORT OF ZEEBRUGGE CASE STUDY

The port of Zeebrugge has an ideal location to serve the markets of continental Europe as well as the British Isles. It is a young seaport with modern port equipment suitable for the largest ships. The present structure of the port dates from as recent as 1985. The emergence of the roll-on/roll-off techniques, the containerisation and the increase in the scale of the ships convinced the Belgian government in the seventies to develop the coastal port into a deep sea port. An extensive outer port, a new sea lock with entrance to an inner port gave Zeebrugge new impulses in the years that followed. As a result, total cargo traffic tripled from 14 million tonnes in 1985 to 43.5 million tonnes in 2014.
This cargo needs to be transported free of congestion to the customers in the European Hinterland. In order to safeguard this fluent cargo traffic, the inland connections need to be optimized constantly. The port authority together with the responsible bodies continually see to it that maritime access and connections by road, rail and inland navigation are able to ensure the mobility of the present and the future cargo volumes.

JOACHIM COENS PORT OF ZEEBRUGGE BIOGRAPHY & SLIDES

JOACHIM COENS
Chairman-Managing Director
Port Authority Bruges-Zeebrugge
Belgium
_____________________
CHAIRMAN
GLOBAL INSTITUTE OF LOGISTICS
EUROPE CHAPTER

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BIOBRAPHY:

Mr Joachim Coens was born in Bruges on 6 September 1966; he is married and has two daughters, Sofie and Anna and two sons, Felix and Victor. He is a reserve officer of the Belgian Navy. After his secondary studies in Bruges, he graduated as civil engineer (construction) at the University of Louvain (Belgium) and specialised at the Technical University of Delft (the Netherlands).He started his professional career as supervisor of several harbour building projects in the Middle East (UAE) for the Besix Group and was responsible for project developments in Eastern Europe. Since 1995 he has been alderman for finances and public works of the city of Damme, where he now holds the position of first alderman, responsible for culture and local economy. In May 1995, he was also elected as a Representative in the Flemish Parliament, where he seated in several commissions, mostly with a connotation of Environment, Finances, Culture, Public Works, Mobility and Energy. He resigned from this on 15 March 2001, in order to be appointed as Chairman-Managing Director of the Bruges-Zeebrugge Port Authority.

BUILDING RAIL COMPETENCE IN THE MODERN PORT : THE CASE FOR VIRGINIA

East coast ports from Wilmington, North Carolina north to New York City, notably including facilities at Norfolk, Portsmouth and Newport News on the harbor of Hampton Roads, currently receive extensive intermodal shipping container traffic. Much of the volume is from China and other points in Asia and is bound for the eastern 1/3 of the United States. Most containers are then transferred to railroads, and then transported generally as close as possible to final destinations, where they are then moved onto trucks for the final portion of their journeys.

JERRY A. BRIDGES PORT OF VIRGINIA BIOGRAPHY & SLIDES

JERRY BRIDGES
Executive Director Virginia Port Authority
Virginia
United States of America
_________________
CHAIRMAN
GLOBAL INSTITUTE OF LOGISTICS
NORTH AMERICA CHAPTER

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BIOBRAPHY:

Jerry A. Bridges was appointed Executive Director of the Virginia Port Authority (VPA) by the Board of Commissioners and officially took office on February 5, 2007. Mr. Bridges is responsible for the broad programmatic areas of marketing, development, finance and promotion of Virginia’s marine terminal facilities located in the Hampton Roads harbor – Newport News Marine Terminal, Norfolk International Terminals, Portsmouth Marine Terminal, APMT Virginia, and the Virginia Inland Port located in Warren County, Virginia. The Virginia Port Authority (VPA) stimulates economic activity in the Commonwealth of Virginia by promoting the shipment of cargoes through state-owned terminals. Prior to Mr. Bridges’ arrival at the VPA, he served as Executive Director of the Port of Oakland. He also served as the Area Vice President, Northern California for Marine Terminals Corporation. In addition, Mr. Bridges held various operating positions with Sea Land Services and Roadway Express. Mr. Bridges currently serves on several business, civic, academic and maritime related boards and organizations. Mr. Bridges also served 20 years as an officer in the U.S. Marine Corps in active reserve status and holds a Bachelor of Science Degree in Social Sciences from the Appalachian State University in Boone, North Carolina.

QUALITY SYSTEMS IN PORT COMMUNITY DEVELOPMENT

Spain’s number one container port, Valenciaport is designated global “best-in-class” designation following a review of operating standards within global maritime port communities undertaken by the Global Institute of Logistics. The criteria for the accreditation was that the port community identified demonstrated an exceptional level of maturity and a culture which indicated that stakeholders in the supply chain truly engaged in a collaborative process. Valenciaport demonstrated clear leadership, with a top to bottom emphasis on instilling a culture of integration and co-operation throughout the port community.

RAFAEL AZNAR CEO VALENCIA PORT AUTHORITY BIOGRAPHY & SLIDES

RAFAEL AZNAR
P resident
Port Authority Valencia
Spain
_____________________
FOUNDING CHAIRMAN
GLOBAL INSTITUTE OF LOGISTICS
EUROPE CHAPTER

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BIOBRAPHY:

Rafael Aznar Garrigues is the General Manager of the port of Valencia. Born in Valencia, Rafael studied roads, canals and ports at the Universities of Madrid and Valencia Polytechnic. After graduating in 1974, he continued his education with a Masters in Economics and Business Management (MBA) from the Polytechnic University of Valencia and the PADE-Management Program from IESE Business.
Aside from his main professional duties as the Chairman of the Board of Directors of the Port Authority of Valencia, Chairman of the Board of Directors of the Valencia Intermodal and Logistics Platform (VPI Logistics SA), and President of the Valenciaport Foundation, Rafael holds many positions in academic, civic, business and award organisations.
He is married with seven children.

WINNING NEW BUSINESS FOR THE PORT & ITS COMMUNITY

The Institute accredited Hamburg Port Marketing as “Global Best in Class” The use of marketing as a business development strategy proved to be particularly effective in building the port community at the port of Hamburg. Port of Hamburg Marketing (HHM) was founded in 1985 by Hamburg-based port-related companies including terminal operators and forwarding and logistics companies, as a non-profit organisation offering marketing and market research information for its members. Since then it has grown to a worldwide network, including 24 staff in Hamburg and 39 in its 12 representative offices, promoting the business location of the Port of Hamburg and its greater metropolitan area. Although member companies are competitors, they are represented jointly by the agency which acts as an umbrella brand uniting its members and creating a “spirit” of collaboration.

AXEL MATTERN CEO HAMBURG PORT MARKETING BIOGRAPHY & SLIDES

MR. AXEL MATTERN
CEO
Hamburg Port Marketing Germany
Europe
_____________________
ACCREDITED
GLOBAL INSTITUTE OF LOGISTICS
BEST IN CLASS

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BIOBRAPHY:

Mr. Axel Mattern CEO Hamburg Port Marketing previously worked for the Wallmann company, where he became head of sales in 2002. ‘In my previous role of working for a multi-purpose port goods handling company, I have already enjoyed excellent cooperative relations with Hafen Hamburg Marketing on various different levels. I am now looking forward to contributing my knowledge of port business in this new position, and developing it further in working the market for HHM and advertising Hamburg both nationally and internationally as a prime port location.

NAMIBIA THE LOGISTICS CORRIDOR INITIATIVE

The Walvis Bay Corridor Group (WBCG) was established in 2000 to engage in business development activities to increase cargo for Walvis Bay Port and the corridors linked to it, and to engage in the facilitation of corridor and infrastructure development. The Walvis Bay Corridors are an integrated system of tarred roads and rail networks – accommodating all modes of transport – from the Port of Walvis Bay via the Trans-Kalahari, Trans-Caprivi, Trans-Cunene and Trans-Oranje Corridors providing landlocked SADC countries access to transatlantic markets. Cargo offloaded at the Port of Walvis Bay and then makes its way from the Port along one of the Corridors across Namibia and into neighbouring SADC countries.

ELIAS MWENYO DIRECTOR SALES & SERVICES NAMPORT BIOGRAPHY & SLIDES

ELIAS MWENYO
Director
Port of Walvis Bay Namibia
Africa
_____________________
MEMBER
GLOBAL INSTITUTE OF LOGISTICS
AFRICA CHAPTER

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BIOBRAPHY:

Elias Mwenyo is the Director Business Development at Namports in Namibia, he previously worked with Namibia Breweries & Beverage (Coca Cola).He received his education at the University of Middlesex

E-TECHNOLOGY TO ENABLE VISIBILITY OF CONTAINERS IN THE PORT COMMUNITY

Bao Qifan State-rank Expert, Engineer, Economist SIPG has invented an Etag system which is ratified under ISO18186 to track the movement of containers seamlessly using RFID technology. It will help better fight terrorism, stowaways and food contamination in containers. Initially, 10,000 containers will be sealed with a special e-tag, which can be re-used on the shipping line between Shanghai and Savannah. The e-tag that uses radio frequency identification technology will show a container’s status in the logistics chain, and send warnings if it is opened without authorization. China is the first to mobilize resources such as ports, shipping companies, cargo owners and the Customs and put the technology into use on a commercial shipping line.

BAO QIFAN STATE-RANK EXPERT, ENGINEER, ECONOMIST SIPG BIOGRAPHY & SLIDES

Mr. BAO QUIFAN
Engineer & Economist
Shanghai Int. Port Group
China
_____________________
MEMBER
GLOBAL INSTITUTE OF LOGISTICS
CHINA CHAPTER

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BIOBRAPHY:

Bao Qifan has invented some 140 technologies, winning several awards in international invention exhibitions. Today, Bao’s inventions are used in more than 1,000 Chinese enterprises and more than 20 countries and regions in the world, yielding a total return of some 400 million yuan (US$61 million). In 1996, Bao became the manager of Longwu Port in Shanghai. The port’s business was slow because of its location six hours away from the East China Sea. To attract more business, Bao began to study the feasibility of domestic container transportation. In December 1996, Longwu Port opened China’s first domestic container route. By 2005, the port’s cargo traffic increased from 2.5 million tons to 21.77 million tons.
In 2003, Bao started to study automated port operation. He conducted investigations and studied advanced technologies in world-class ports such as Rotterdam, Netherlands, and Hamburg, Germany. Bao’s innovations in port automation have now been applied to Shanghai’s Waigaoqiao Port. If you have a chance to visit the port, you will find no human cargo handlers there. All handling is done by machines and operation orders are issued from a control center two kilometers away.
For his efforts in automation Bao won a golden award at the Paris International Concours Lépine. After that, he won three more golden awards at the fair, setting a record in its 105-year history.

COMMUNITY OWNED PORTS : PORT OF DOVER CASE STUDY

The Dover People’s Port Trust objective is that the port users, community and the Port establish a new partnership and work in harmony for the improvement of port operations, investment in infrastructure, seafront and town rejuvenation. In this way, the port will be run in the community and national interest and deliver more jobs and money for a community that has been beset by deprivation for too long. The stakeholders are empowered through representation on the Boards of both the Trust and Port Co, which will be reinforced through binding agreements

NEIL WIGGINS CEO INDEPENDENT VESSEL OPERATING PARTNERS BIOGRAPHY & SLIDES

CEO
IVOPS
United Kingdom
_____________________
MEMBER
GLOBAL INSTITUTE OF LOGISTICS
EUROPEAN CHAPTER

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BIOBRAPHY:

Neil Wiggins has ore than 30 years experience in the maritime sector, from deck cadet, through deck officer to container terminal operations, management, design, construction and development, then on to central operations management within a global ship owning and operating company and now owning and running a company supplying operational expertise to owners and operators of container vessels and operations development consultancy and training to container terminal operators. Since 2009 a member of the Hamburg Committee of the Global Institute of Logistics developing and delivering the CTQI (Container Terminal Quality Indicator) to port authorities and terminal operators. July 2011 appointed as Global Director Container Terminal Quality Systems for the Global Institute. Since September 2010, Chairman of Dover People’s Port Trust Ltd. An Industrial Providential Society constituted for mass membership and formed for the purpose of purchasing the Port of Dover for and on behalf of the town and communities of Dover.

RESEARCH THE POTENTIAL FOR A CHAINPORT MODEL BETWEEN SISTER PORTS

The 2011 forum agreed the need for the Institute to research the case for formal cooperation between port authorities and the potential to develop a “Chain Port” model. The ports of Shenzhen, Zeebrugge and Virginia, who are already sister ports agreed to participate formally in the research program.

The 2011 forum established that port authority “Thought Leaders” no longer see their role as been of just that of a landlord, now viewing themselves as “Economic Strategists” on behalf of the port community and the wider economic region. Port Authority CEO’s now focus on the quality of service the shipping line’s customer, the beneficial cargo owners and non vessel operating companies receive from the port and its stakeholders as a whole. They believe that by focussing on overall service level quality by the port community as a whole increase throughput.

THE PORTS OF ZEEBRUGGE, SHENZHEN and VIRGINIA AGREE TERMS OF REFERENCE FOR 2011 -2012 RESEARCH PROGRAM IN TO COLLABORATION BETWEEN MULTIPLE PORTS AND ITS POTENTIAL BENEFITS TO PORTS AND END USERS.

The 2011 forum agreed the need for the Institute to research the case for formal cooperation between port authorities and the potential to develop a “Chain Port” model. The ports of Shenzhen, Zeebrugge and Virginia, who are already sister ports agreed to participate formally in the research program.
The 2012 forum will hear the preliminary outcomes from the research.
CLICK HERE FOR PRESS STATEMENT

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