Challenges Facing Melbourne And Rotterdam Ports Assignment

Challenges Facing Melbourne And Rotterdam Ports
CHALLENGES FACING MELBOURNE AND ROTTERDAM PORTS
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Challenges Facing Melbourne And Rotterdam Ports
Introduction
Several challenges face freight industries in the contemporary world. These affect the
operations, performance, and productivity of the ports. This assignment is aimed at looking at
some of the challenges that face Melbourne and Rotterdam port. Melbourne port is
considered to be the largest Australian general cargo and containerized port (Huchzermeyer,
2015). The port was created in 1889, and it is located in Melbourne, Victoria. It is managed
by the Port of Melbourne Corporation which is a statutory corporation that was made by
Victoria State.
This port faces some major challenges. One of the major challenges facing the port is the
inability to accommodate larger ships. In spite of the global growing technologies and
advancements calling for berthing of newer larger ships, the port has proven not to be in a
position to accommodate then (Visaria, 2015). That is threatening the market share of the
poet with the Australian market pushing to introduce bigger ships. The port is in the danger
of becoming obsolete because of the ship size restrictions in the port.
Another major challenge is increased transportation cost which brings down the profit
margins. (Faye, 2016), Says that “the reconfiguration of Melbourne’s metropolitan freight
systems happened and the distribution of the population is not equal causes of empty
container movement and raises inland transportation cost.” Again, most of the people live in
the Eastern and South Eastern parts of Melbourne while the logistics clusters are found in the
west. That increases the freight flow leading to an increase in transportation cost. Another
major challenge is increased inconveniences resulting from mass reliance on trucks which
have fixed destinations. (Shocker, 2015), says that “using mostly trucks which operate on a

Challenges Facing Melbourne And Rotterdam Ports
point to point schedule to delivery freights increases the delivery lead time and significantly
causes transportation bottlenecks and lowers the utilization of vehicles.”
Rotterdam port is regarded as the largest port in Europe which is located in the Rotterdam
City in the Netherlands. Several challenges face this port. One of them is finding skilled
workforce. (Shortell, 2016), said that “one of the main challenges is to find skilled technical
staff in the coming years” as they needed young people as a result of 2,000 vacancies every
year resulting from retirements. Another challenge is reaching sustainability goals. The dam
is responsible for 16% of emission of harmful gases to the environment such as Co2.
However, the port authority aims at becoming the most sustainable world’s port city by
reducing the emission of the gas by a half. Another challenge is “the growing trend of
shipping lines such as Maersk and MSC to form consolidations together to become more
efficient and cost-effective,” (Blaber, 2017) As a result, fewer ships than before have been
arriving in the port, and this implies reduced work for the port. The Chinese geopolitical one
belt one road has also brought major challenges to both dams. The launch of the initiative
meant that most of the ships that were harbored in these ports will no longer be available.
Again, the initiative brought a better alternative method of shipment thus paralysing these
two ports.
Conclusion
Conclusively, there are a lot of universal challenges faxing ports in the modern world. Some
of these are the inability to harbor big ships as well as conforming to sustain sustainability
goals. Others are lack of proper strategies to enhance performance and productivity. Howey,
these challenges can be overcome through strategic planning and implementation.

Challenges Facing Melbourne And Rotterdam Ports
References
Blaber, S., 2017. ‘Fish in hot water”: the challenges facing fish and fisheries research in
tropical estuaries. Journal of Fish Biology, 6(9), pp.15-24.
Faye, M., 2016. The challenges are facing landlocked developing countries. Journal of
Human Development, 5(7), pp.45-67.
Huchzermeyer, M., 2015. Challenges are facing people-driven development in the context of
a robust and delivery-oriented state. Springer Netherlands., 7(9), pp.60-85.
Shocker, A., 2015. Challenges and opportunities facing brand management: An introduction
to the particular issue. Journal of marketing research, 76(98), pp.67-78.
Shortell, S., 2016. Increasing value: a research agenda for addressing the managerial and
organizational challenges facing health care delivery in the United States. Medical
Care Research and Review, 6(8), pp.56-79.
Visaria, L., 2015. From family planning to reproductive health: challenges facing India.
International family planning perspectives, 5(7), pp.47-75.