The Role of Technology Management in the Shipping Operations

One of the key areas that technologies have transformed in the shipping operations is the maintenance as well as the general efficiency of the ship – one of the most critical functions of technical management. By 2030 the maintenance of the ship systems will not be imagined without using the modern techniques and methods of diagnostic technologies as well as diagnostic equipment (Mihanović, Ristov, & Belamarić, 2016, p. 40). Even though the maintenance of the vessels demands a sophisticated equipment, the naval industry has used the latest technology to design techniques and methods of maintaining the vessel. As such, the maintenance of the ship systems is and will continue to be more convenient (Praetorius, Hollnagel & Dahlman, 2015, p. 11). Additionally, the ship systems quality will only improve coupled with satisfaction of the seafarers among the other stakeholders involved in the process of maintaining the ship. Therefore, by 2030, the use of modern technology will allow the technical management to attain better efficiency which is imperative for the safe sailing of the ship.

The Dry-Docking Software System

The invention and continuous improvement of the dry-docking software system have enhanced the role of technology management in the shipping operations. The technical management can currently use the technology to facilitate various operations (Hoffmann & Kumar, 2013, p. 4). First, the technology helps the technical management to collect the work items for the drydock from various sources like free-item lists as well as the PMS. Second, it helps them in creating templates for various types of ships or drydocking duties from prior dockings or from scratch. Third, the technology enables the technical management to compare the prices and choose the most suitable yard or supplier combination for a specific project (Hoffmann & Kumar, 2013, p. 5). Additionally, it helps them to re-use different templates as well as groups of work items and establish an electronic knowledge library on the projects involving drydock. Fourth, use of drydocking software system assists the technical management to export the specifications that are sent to the distributors or shipyards and import them again to facilitate comparison of quotations (Wang, Oguz, Jeong, & Zhou, 2018, p. 25). Fifth, it helps in the supervision of the project progress or status including timeframe and budget in the course of the whole drydock time (Wang, Oguz, Jeong, & Zhou, 2018, p. 27). Finally, the technical management can utilize the technology to create a history of the drydock project for re-use in the future as well as export and import excel data to and from the yards and suppliers. It is worth noting that by 2030, there will drydocking systems will improve and be better than they are currently.

Computerized Shipping and Tracking have Improved Supply Chain in Shipping Operations

The invention of web-based software and modern technologies such as the transportation management system (TMS), the technical management have dramatically decreased shipping errors and also simplified the supply chain processes. Technological systems like CRM, TMS, and ERP allow the technical management to consolidate each and every aspect of the supply chain in one place (Robinson, 2015, n.p.). The software helps the management to digitally classify inventory data, manage the tracking and shipping information and also create invoices and bill of ladings with ease. This decreases the amount of time that is spent while tracking, hauling, receiving and compiling order data which significantly saves a lot of time and resources (Zaman et al., 2017, p. 538). Thus, using the above technologies, the technical management is able to order the supply of the necessary stores, lubricating oil, and spares and by 2030 the efficiency in the delivery of these items will improve due to the advancement of technology.

Further, before the technical management goes for the service operator, they will be conscious of the risks of the different architecture model’s performance whether they can be mitigated (Zaman et al., 2017, p. 539). As such, the invention of the RFID technology will continue to revolutionize the delivery of the maintenance equipment. RFID technology can use the right anti-color procedures to read different tags simultaneously which saves time (Zaman et al., 2017, p. 542). This feature allows the technology to the most effective interns of control as well as tracking the shipping elements, in particular during the supply of spare parts which are needed for corrective/preventive maintenance.

Differences in Crew Management due to Technological Changes

Invention of Robots

There is no doubt that by 2030 technology will have evolved more which means that management of crew will considerably change. By 2030, it is projected that some of the functions of the crew will be taken over by robots (Oltedal, & Lützhöft, 2018, p. 155). There will be three types of robots in commercial shipping operations namely:  a mini robot that will be used inspection in harsh environments, for example, identifying and recording pollutants and emissions, a learning robot which is designed to handle an asset and finally a practical robot. These robots will be developed alongside remotes as well as sensors control technologies (Oltedal, & Lützhöft, 2018, p. 156). It is argued that these robots will integrate assets with the other upcoming technologies – for instance, the Internet of Things and big data -this will lessen human integration with processes that are dangerous. Further, the recruitment will change within the shipping industry (Oltedal, & Lützhöft, 2018, p. 158). Research indicates the reduction of the interaction of human beings with machines will be a growing trend in the future – it will open up more opportunities for the utilization of robots.

Changes in Communication – The Connected Ship

The communication system will change from WIFI to 5-G network by 2030. The expansion of communication networks from WIFI to the 5-G connectivity will lead to the birth of the connected ship (Peters, 2016, n.p.). The connected ship will allow the operators to access live 3-D and HD videos as well as live audios from onboard recordings. Additionally, it will eradicate the need for physical on-board appraisals. Currently, there is a hot debate on this issue and one of the studies regarding the topic argues that the changes in communication will facilitate feasibility in autonomous operations as well as ship management operations (Peters, 2016, n.p.). Lastly, it is projected that these improvements from the ship to the shore will enhance the welfare of the crew.

The invention of Sensors – Wireless Monitoring

By the year 2030, there will be the invention of a new generation of sensor technologies. In this regard, there will be no need for visiting remote areas on regular occasions. These sensors will have the capacity to gather information independently and then transmit the data in real time (Pomeroy & Earthy, 2017, p. 45). The capturing odd such data will enable the crew management to upgrade the overall maintenance cycles of vessels – including the condition-based monitoring as well as condition monitoring (Pomeroy & Earthy, 2017, p. 46). For instance, the sensor will have the capacity to notify the owners of the ship if there is any part of the ship that requires maintenance (Pomeroy & Earthy, 2017, p. 47). The wireless networks will be miniaturized and will have self – calibrated features. Most importantly, the cybersecurity will be improved to promote proper operations.

In a nutshell, the situations in GMTT 2030 – which has been dubbed the Technomax – is all about the uptake of technology. The vessel will be made from highly advanced materials like graphene which make it lighter. Moreover, the sensors which are also made of graphene will be able to detect the traces of emissions and pollutants. A 2030 envisioned Technomax container ship will have onboard data analytics machines that will be connected to the decision support systems on the land. These onboard data analytics machines will control the navigation, maintenance as well as communications thus allowing the ship to be smart.

Question 2 - According to Garvin’s Dimensions of Quality, can a Typical Liner Shipping Company Utilize One or More of Garvin’s Dimensions of Quality to Gain Competitive Advantage

Absolutely yes! Garvin engineered the dimensions of quality to help conglomerates achieve competitive advantage. There is no doubt that a typical liner shipping corporation can benefit from the same.

Performance

The primary characteristics of a typical liner shipping sector have been stiff competition which can be ascribed to the technologically and politically induced excess capacity amalgamated with low marginal costs. The competition greatly influences the conditions for entry (Alzaydi, Al-Hajla, Nguyen, & Jayawardhena, 2018, p. 296). The strategic investment in the terminals and ports as well as in the management of logistics influences the conditions of entry. Additionally, it causes competition, growth, and profitability. The capacity of an organization to provide logistics services by engaging in vertical integration strategies via investment in the terminals and ports, as well as the diverse inland transport, can help a company gain competitive advantage – by creating an entry barrier for new companies (Alzaydi, Al-Hajla, Nguyen, & Jayawardhena, 2018, p. 298). In this way, the company is able to provide total logistics services as the customers demand since its services are differentiated from its rivals. Finally, a shipping company with vessels that have higher cruising speed, comfort, better acceleration, the presence of television sets with high-quality sound, color and pictures are what the customer is looking for – such as company will have an advantage compared to its competitors in the market.

Further, a typical liner shipping company can use three sets of actions which include network and fleet, operations and commercial to improve the performance. When coupled, the three aspects improve the earnings of a typical liner by about 20 percent (Glave, Joerss, & Saxon, 2014, n.p). The organization has a huge incentive to act first. Nevertheless, as soon as the entire sector has shifted to a greater productivity level, there is a high probability that the benefits will be passed on to the customer once more via competition (Glave, Joerss, & Saxon, 2014, n.p). Different liners are by now well progressive on the greater productivity journey – the smart lines can outcompete their rivals by being more thorough and quicker in their implementation (Glave, Joerss, & Saxon, 2014, n.p). Thus, improvement in performance is very critical towards ensuring that a typical liner gains a competitive advantage in the shipping industry.

Features

A shipping company can improve the quality of the services it provides to the customer I many ways. For instance, provisions of free drinks to the customers on board can be very critical in helping a company gain competitive advantage (Halwayasia, 2018, n.p.). Moreover, the engineering design of the transporting vessel must have features that warrant security and safety of the cargo, passengers, and crew. A competitive shipping firm gives important to quality as well as the environmental risk evaluations – it must be taking the initiative when it comes to emergency response (Halwayasia, 2018, n.p.). Other features encompass the presence of high-quality crew members and also a fully computerized system of payroll, purchasing, and accounting system.

Reliability

A typical shipping liner company can create and maintain the reliability of the sailing frequency and schedule to gain competitive advantage. A good example of a company that has distinguished itself in terms of reliability is Daily Maersk – which was launched in 2011 by Maersk Line (Zhang & Lam, 2014, 235). The firm guarantees haulage times in the shipping sector which have been affected by a notorious reputation of the unreliability of the schedules. The Daily Maersk offers high-quality services in terms of liner service reliability and frequency. It also assures the customers ‘absolute reliability’ to deliver the consignment after a fixed number of days in the North European ports (Zhang & Lam, 2014, 236). Due to this, a humongous number of shippers are preferring Daily Maersk which have made the company register increased booking and higher profit margins. Additionally, many industry experts have considered Daily Maersk as the most positive coming within the shipping sector in the past years. The company has gained the largest market share and become competitive (Zhang & Lam, 2014, 237). Therefore, a typical shipping liner company should provide reliable services to gain and maintain a competitive advantage.

DHL shipping company has used reliability as a tool to maintain a competitive advantage. By developing a robust relationship with the customer to fathom the views of the customers (Liu & Wen, 2012, p. 2). The idea of maintaining good customer relationship makes the firm to adapt to the specific services and ensure that the needs of the clients are met. It is worth noting that DHL plays the function of a reliable affiliate when the customers require the services of the DHL company. The conglomerate has a good reputation of completing its services optimally as a result of its excellent personal approach (Liu & Wen, 2012, p. 3). For example, research reveals that the customs professionals of DHL ensure that the cargos are delivered to the final destination which maximum reliability (Liu & Wen, 2012, p. 4). Therefore, DHL company maintains the expectation and trust that their customers need – thus is reliable – and this is how it has maintained competitive advantage being the largest logistics firm across the globe.

Perceived Quality

A typical shipping liner firm’s ultimate goal should be to provide services which are regarded as qualitative by the clients. The quality of the services provided is grounded on the perceptions of the customer who evaluates how well the service providers meet his or her expectations (Othelius & Wemmert, 2014,p.  23). A company is supposed to dispense its serves with an aim of satisfying the customer – in the process creating value. The quality of service is therefore measured on the level of customer’s satisfaction (Othelius & Wemmert, 2014, p. 24). Maersk has been delivering excellent services to their customer and has attained commercial excellence and cost leadership (Othelius & Wemmert, 2014, 26). In this way, most customers presume that their services are of high quality and this has made the company to gain competitive advantage

References

Alzaydi, Z.M., Al-Hajla, A., Nguyen, B. and Jayawardhena, C., 2018. A review of service quality and service delivery: Towards a customer co-production and customer-integration approach. Business Process Management Journal, 24(1), pp.295-328.

Bhaskar, P. 2018. What is Crew Management? - Lecture Week 8 Notes

Bhaskar, P. 2018. What is Technical Management? - Lecture Week 8 Notes.

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