ABSTRACT
The growing importance of seaports in global trade makes it crucial that they operate efficiently. The movement of cargo internationally requires several interactions between different parties, turning the transport chain into a complex system. Thus, seaports’ performance is not only affected by internal operations but also by external decisions that go beyond their gates. Any intervention by stakeholders, whether policies or investments, in one part of the system, will affect other parts. To ensure outside policy and investment strategies create value on a system-wide level, a holistic approach needs to be taken when assessing outcomes. In this study, we develop a system dynamics framework that assesses the impact of policy and investment decisions on the container transport chain. Using Jordan’s containerized transport chain as a case study, we build a simulation model that supports decision makers in considering wider implications of different strategies on the transport chain under four scenarios. The framework helps decision makers to understand the elements impacting time to deliver, and to adopt a system thinking approach to assess alternative strategies that will improve the efficiency of their transportation chain, ultimately increasing value to the stakeholders, reducing potential shocks, and making effective use of their capacity.
