New year, new uncertainties … the container shipping industry enters 2019 with question marks. So what else is new? We start every January in a quandary. This time around, the unknowns range from tariffs to vessel fuel regulation. Will the former dampen trade? Will the latter savage budgets? Who knows?
Here’s what we do know: In the face of uncertainty, it’s best to stick with fundamentals. For seaports, that means cost control and operating efficiency. It’s what our customers need from us. How do we achieve both? By refining operations.
Ports and terminals are already improving performance. Night gates, inland depots, appointment systems — these recent advancements accelerate cargo flow. We’ve introduced them all at the Port of Oakland. They help logistics pros manage cost. But it’s time for more. Here’s our Rx for anxiety that results from global trade uncertainty:
- Grow up: Trade volume is growing. Ships are bigger. So, ports must adapt. At Oakland, we’ve raised four cranes 27 feet higher. Our second-largest terminal has doubled its size. This keeps cargo flowing and minimizes costly supply chain delays.
- Get wired: Port technology was once defined by heavy machinery. But we’re talking modern technology. We’ve introduced an online portal. This year we’re upgrading it to give customers a one-stop, global view of the port from their phones. We’re also developing an Intelligent Transportation System that will ease freight haulers past bottlenecks.
- Bring it all together: Supply chains lag when logistics functions such as distribution or transloading are located miles from port. It’s best if they’re close to home. Oakland is doing that. We’ve opened Cool Port and are developing a Seaport Logistics Complex. Both facilitate cargo movement within sight of marine terminals. Cost and wasted time are eliminated when logistics functions come together.
Shippers and carriers have plenty to worry about. Let’s try to give them one less headache.