Port Logistics City

Running head: Port Logistics City 1
Port Logistics City
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Port Logistics City 2
Table of Contents
Introduction....................................................................................................................................2
Successful Characteristics of Melbourne City............................................................................3
The major challenge for the logistic port city – Melbourne......................................................3
Implementing Logistic Strategy...................................................................................................5
Trans-loading strategy...............................................................................................................5
Cross-docking strategy..............................................................................................................7
Cargo rotation technique..............................................................................................................9
Conclusion and Recommendation..............................................................................................11
References.....................................................................................................................................12

Port Logistics City 3
Introduction
Port logistics city is the most current trending concept within the global market. Due to
the increased and improved level of international system of transport, this involves participating
in the essential role of world trade expansion. The primary function of the port is to Link Sea and
inland transport system. Furthermore, to have effective and efficient port logistics city today
involves not only providing the link between the inland and sea but also constructing midpoints
and logistics hubs within the supply chain system. The most of the activities in the global market
for the port logistics city includes logistics-related events, port-driven duties, value-adding
activities like storage, transportation, assembly, and freight consolidation among others within
and outside the port (Geroliminis and Daganzo, 2015).
Several cities and town have adopted global logistics hubs, thus becoming part of port
logistics cities in the world. These include Rotterdam, Singapore cities which are Dubai logistics.
Also, Melbourne city is one of the largest port city in Australia; this is the logistic port city under
consideration of this study.
Successful Characteristics of Melbourne City
Melbourne City in Australia qualifies to be amongst logistic port city by possessing
several essential features as per global logistics trade. The Melbourne port city deals with general
and containerized cargo thus becoming the busiest city in Australia. Melbourne city connects and
supplies other cities with cargo products through shipment of road and railway transport system.
For these activities to be performed effectively, some changes were to be carried out like the
consolidation of land use. This change promoted groups of transportation and logistics firms to
be working effectively within the port of Melbourne. Through this strategy, productivity cost is

Port Logistics City 4
reduced by having effective and efficient use of unutilized resources. The strategy stimulated
market expansion, opportunity increase, and healthy competition in the market (Hesse, 2018).
The other changes that occurred within the city are sub-urbanization of the shipping
activities, which involves inland shipments. These activities are much affected by traffic
congestion, high rent, and the technology concept employed. All these aspects have contributed
to the rise of containerization value, throughput increase level, and cheaper land for industries.
Inland shipping transport and logistics organization have expanded successfully due to the
growth of Melbourne logistics city port in Australia (D’agostini and Jo, 2019). Despite the
decisive success of the port, many challenges have been witnessed within the logistics of the
Melbourne port.
The major challenge for the logistic port city – Melbourne
The mass movement of freight cargos in and out of the port has generated inefficient
control of the freight system. Ineffective monitoring of the system influences several factors like
time, cost, and transport means which becomes the main challenges if not well measured
(Urbanyi-Popiołek, 2019). The following are three main obstacles facing Melbourne port
logistic City.
The reconfiguration of the freight system in Melbourne's metropolitan is a severe
case. The network controlling and monitoring is affected by the mass movement of in and out
cargo freight from the port. The results are inefficient shipments of the cargos within the city. All
this is due to the population concentration within the east and southeast of Melbourne and west
part which requires freight movement in between and back again to the port using the key freight
passageway (Alavi et al. 2018). Lack of one standard route from east to west, it has increased the