Paper Info
Title
Centralised horizontal cooperation and profit sharing in a shipping pool
Abstract
Horizontal cooperation in logistics has attracted an increasing amount of attention in both industry and the research community. The most common form of cooperation in the tramp shipping market is the shipping pool, formed by a fleet of ships from different ownerships operated by a centralised administration. This paper studies such a centralised horizontal cooperation, a product tanker pool in Denmark, and addresses the operational challenges, including how to maximise the pool profit and how to allocate it fairly. We apply discrete event simulation and dynamic ship routing and speed optimisation in order to maximise the pool profit in a highly dynamic environment and apply methods derived from cooperative game theory when allocating the total profit. Through a large number of experiments on realistic data, we evaluate the benefit of cooperation under different scenarios, present the results from the profit allocation and analyse the effect of pool size on the total profit and ship utilisation rate.
Year
DOI
Venue
2019
10.1080/01605682.2018.1457481
JOURNAL OF THE OPERATIONAL RESEARCH SOCIETY
Keywords
Field
DocType
Centralised horizontal cooperation,shipping pools,full-shipload routing problem,profit sharing
Profit sharing,Computer science,Profitability index,Industrial organization,Operations management
Journal
Volume
Issue
ISSN
70.0
5.0
0160-5682
Citations 
PageRank 
References 
0
0.34
19
Authors
5
Name
Order
Citations
PageRank
Min Wen11225.94
Rune Larsen2162.21
Stefan Ropke3134755.90
Hanne L. Petersen41015.00
Oli B. G. Madsen581.21