Container Shipping Network Efficiency Comparison in

0 downloads 0 Views 1MB Size Report
stay at number 16 with US$ 888.5 million (World Bank, 2014). Even in ... We use th stination (O/D) da ng brief yet com tworks. Description of Tw ... k, Tanjung Perak ..... BPS. (2011). National Statistics Yearbook 2011 of Indonesia. Jakarta: Biro ... Port Service”, Promet – Traffic & Transportation, Vol. 23, No. 1, pp. 59-69.
The Asian Journal of Shipping and Logistics 33(2) (2017) 079-084

Contents lists available at ScienceDirect

The Asian Journal of Shipping and Logistics Journal homepage: www.elsevier.com/locate/ajsl

Container Shipping Network Efficiency Comparison in Indonesia: Nusantara Pendulum and Sea Tollway*

Hafida FAHMIASARIa , Danang PARIKESITb a b

Master Student, Delft University of Technology, Netherlands, E-mail:[email protected] (First Author) Professor, Universitas Gadjah Mada, Indonesia, E-mail:[email protected] (Corresponding Author)

ARTICLE INFO

ABSTRACT

Article history:

The disparity of the trading activities in Indonesia has triggered Indonesia Port Corporation to come up with the plan of Nusantara Pendulum, the future network of container shipping in Indonesia. The Sea Tollway plan is the modification of Nusantara Pendulum that is also envisioned by Indonesia President for Indonesia future backbone container plan. Both networks were designed to increase Indonesia container shipping flow from west to east and vice versa like a pendulum, thus results the reduced transport cost. This paper depicts the comparison of network efficiency analysis between these networks: Nusantara Pendulum, Sea Tollway, and the existing network. Two main methods that are used are Nagurney-Qiang and Jenelius-Peterson-Mattson. Mainly, these two methods use the efficiency calculation by considering parameters of demand (goods flow) between each region and maritime transportation cost. It is concluded afterward that: 1) Sea Tollway is 8% more efficient than Nusantara Pendulum; 2) Sea Tollway and Nusantara Pendulum are ten times more efficient than current network; 3) Eastern ports in Indonesia (Bitung and Sorong) urgently requisite a development.

Received 30 November 2016 Received in revised form 31 May 2017 Accepted 10 June 2017 Keywords: Sea Tollway Nusantara Pendulum Network Efficiency Port Network Indonesia Port

Copyright © 2017 The Korean Association of Shipping and Logistics, Inc. Production and hosting by Elsevier B.V. T h i s i s a n o p e n a c c e s s a r t i c l e u n d e r t h e C C B Y - N C - N D l i c e n s e (http://creativecommons.org/licenses/by-nc-nd/4.0/).

1. Introduction Indonesia, as one of the biggest country in Asia-Pacific, is affected by the rapid growth of market phenomenon in Asia-Pacific. This archipelago country has evolved to be one of the highest GDP country in the world:

stay at number 16 with US$ 888.5 million (World Bank, 2014). Even in world economic crisis 2008-2009, Indonesia kept its record in the number of 4.7% in real GDP growth (IMF, 2015). Meanwhile, the world had only

* This work was supported by LPDP Conference Grant 2016 http://dx.doi.org/10.1016/j.ajsl.2017.06.005 2092-5212/© 2017 The Korean Association of Shipping and Logistics, Inc. Production and hosting by Elsevier B.V. Peer review under responsibility of the Korean Association of Shipping and Logistics, Inc.

80

Contaainer Shipping Networrk Efficiency Comparisson in Indonesia: Nusa antara Pendulum and Sea S Tollway

2.8 % of economic growth (IMF, 2015). This numberr is caused by thee massive foreign direcct investment andd the enormous nattion consumption,, which is triggered byy our huge populattion. The T tremendous ecconomic growth inn Indonesia is nott supported by thee deccent infrastructurees of transportattion, in this casse, the maritimee tran nsportation infrasttructure. The lackk of those facilitties results in thee disp parity of trading activities a in Indonnesia (The Asia Foundation, F 2008).. Traade atmosphere is still centred in thhe western part off Indonesia. It alsoo trig ggered the high loggistics cost inside tthe country. Indonesia I Port Coorporation (Pelindoo II) tried to dimiinish this problem m witth its visionary plaan, Nusantara Penndulum, the future hub port networkk of container c shippingg backbone. It willl swing the contain ner from Belawann in North Sumatera to Sorong in Weest Papua, then will w return to thee orig ginal point in the west, w as much as ppendulum works. On O the other hand,, the President of Inndonesia initiatedd Sea Tollway program as thee odification of Nuusantara Pendulum m by replacing Sorong S Port withh mo Bittung Port as the eastern hub in Indonnesia (BAPPENAS S, 2015). We W have two puurposes in this ppaper: (1) to porrtray the networkk effiiciency inside the network of Nusanntara Pendulum, and a (2) to examinee the importance of raanking among the network compon nents in Nusantaraa ndulum. We use thhe demand, ocean freight cost, and number n of Origin-Pen Destination (O/D) daata for deriving thhe result. We belieeve this study willl brin ng brief yet com mprehensive undeerstanding to com mpare these bothh nettworks.

m nations of th he world by 20255 and six major nations by in the ten major 2050.

Fig. 2. Nusan ntara Pendulum Nettwork Plan Source: Authhor’s own illustratio on based on RPJMN N 2015-2019

2. Description D of Tw wo Maritime Netw work Plans Nusantara N Penduluum plan (see Figgure 1) will conneect the West-Eastt corrridors in Indonesiia. Under the proggram, this plan will use six seaportss — Belawan, Batam m, Tanjung Priokk, Tanjung Perak k, Makassar, andd Sorrong — as the maain gateways. As defined as its nam me “pendulum,” itt willl move like a pendulum, from one pport to another and the schedule forr smaaller vessels will be b built around thhe mother ships. The T main objectivee of the t network is to reduce r the cost of domestic transporrtation by buildingg a national n backbonee container (Indonnesia Port Corporration, 2012). Thee ideal scheme of netw work will use unifoorm vessel size of 3,000 3 TEUs.

Fig. 3. Plan of Economic Corridoors in Indonesia Source: Miniistry of Coordinatorr of Economic Affaairs of Indonesia, 20 013

w their Indonesiaa economic corridors will includde six regions with different rolles in future devellopment: Sumatra economic corrido or (center of natural resources r productiion and processingg and as nation’ss reserves energy), Jav va economic corridor (driver for naational industry an nd service provision), Kalimantan K econo omic corridor (centter for national miining and reserves eneergy production an nd processing), Suulawesi economicc corridor (center for production and processing p of natuural agricultural plantation, ng), Bali-Nusa Teenggara economicc corridor fishery, oil & gas, and minin (tourism gaateway and natio onal food supporrt), Papua-Maluku u Islands economic co orridor (center forr food, fishery, ennergy, and nationaal mining developmen nt) (Coordinating Ministry M for Econoomic Affairs, 2011 1). 3. Empirica al Methodology 3.1. Networkk Efficiency

Fig.. 1. Nusantara Penddulum Network Plan n Sou urce: Pelindo II, 20113

On O the other handd, Sea Tollway pllan, presented in Figure F 2, replacess Sorrong in the easterrn side with Bitunng (North Sulaweesi) (BAPPENAS,, 201 15). The connectioon flow through T Tanjung Priok, Taanjung Perak, andd Maakassar. Batam port is not used anyymore in this mod dification network.. Thee form of this netw work is intended tto serve economic corridor plan thatt hass been initiated by b the Ministry oof Economic Affaairs Coordination,, und der the plan of MP P3EI (Master Plan for the Acceleratiion and Expansionn of Indonesia’s I Econoomic Developmentt). MP3EI (see Fig gure 3) is intendedd to encourage e rapid, balanced, b equitablee, and sustainable economic growth.. Thrrough those acceleeration measures, IIndonesia will be able a to place itselff

Network efficiency is the ratio of useful w work performed by y several nks in a process of operations (L Latora & interconnectted nodes and lin Marchiori, 2001). 2 To assess the t performance/effficiency of the neetwork, it is imperativ ve that appropriatee measures be devvised since only when w the performancee of a network can n be quantifiably measured can thee network be appropriaately managed (Naagurney & Qiang, 2007). Several methods m were disscussed to assess the efficiency of o certain networks. Efficiency E analysiis of the networkk vulnerability haave been introduced for f bank (Giocoli, 2014), large scaale structure and dynamics d network (Caaldarelli & Vespiignani, 2007), riskk financial (Eboliic, 2001), and transpo ortation (Nagurney y & Qiang, 20077) (Jenelius, Peterrsen, and Mattson, 20 006). This researcch uses Nagurneyy and Qiang Meth hod (NQ) since it conssists the parameterrs that represent m maritime transport network, either by geographically g and d transport cost wise. Network efficiency e

81

Coontainer Shipping Netw work Efficiency Compaarison in Indonesia: Nusantara N Pendulum an nd Sea Tollway

measurement m in thiis research capturred behaviour, flows (demands), annd occean freight costss and applicationss of network com mponent importancce id dentification and vulnerability. Figgure 4 displays network n componennt where w 1, 2, and 3 arre nodes. Links arre indicated by a and a b. In the furtheer simulation, nodes are a for the ports, and the links are for the connectioon beetween two ports.

quation (3)) also determined the importance i Nagurneey-Qiang (see eq value, which is being the thiird method in this research. The imp portance of d by calculaating the differencce between link in nettwork G will be defined initial netw work efficiency and the networkk efficiency after removing component g. οఌ ఌሺீǡௗሻିఌሺீ ீି௚ǡௗሻ ‫ܫ‬ሺ݃ሻ ൌ ቚ ቚ ൌ ቚ ቚ (3) ఌሺீି௚ ௚ǡௗሻ



Where I(g) I is the importaance of component g, İ(G,d) is initial network efficiency,, and İ(G-g,d) iss network efficieency after g com mponent is removed. At A the end of ourr calculation, we also compared th he network efficiency of both these netw works with the exissting connection. nalysis and Resullt 4. Data An Fig. 4. Componnent of network

3..2. Measurement of o Network Efficienncy to Capture Flo ows Behavior and Costs C The flow on netw work is an importaant indicator, as aree the induced costts, an nd the behavior off users of the netw work(s) (Nagurney & Qiang, 2007). It is written in the following equatiion (1): the firstt method, networrk effficiency measurem ment, which captuures flows, behavio or, and costs. ߝൌ

೏ σೢ‫א‬ೈ ೢ ഊೢ

௡ೢ

(11)

Where İ is netwoork efficiency, dw is demand in Orig gin-Destination (O OD) D pair w, Ȝw is minimum cost in paath w, and nw is nu umber of O-D pairrs in nside the network. Equation showss us that the efficieency of network iss proportional to thhe su um of ratio betweeen demands in O-D D pair w to minim mum cost in path w w, bu ut inversely propoortional to the num mber of O-D pair w. w Equation (1) wiill bee called as NQ meethod in further callculation. As these two pllans of Pendulum Nusantara and Seea Tollway has noot beeen implemented yet, several assuumptions were maade to simplify thhe caalculation. Three main assumptionns are the port infrastructure, poort op perations degree, and a synchronization of main trunk to the feeder portts. Th he first assumptioon simulates the uused ports in Indo onesia has uniform m drraft and can serrve uniform 30000 TEU sized veessel. The seconnd asssumption simulaates that the usedd ports provide handling containeer prroductivity. The final f assumption aallows the swift integration i betweeen th he main containerr trunk to the sm maller or so-calleed feeder ports iin In ndonesia.

The dataa that we used in this study were foollowing the variab bles inside the NQ an nd JPM method: demand, ocean ffreight cost, and number n of origin-desttination ports. Deemand data will bbe depicted in th he term of TEU/year by using Transp portation Ministryy data of origin-d destination goods flow w matrix (port to port p data); ocean freight cost data were w taken from five big b shipping comp panies in Indonesiaa in the year of 2013. 4.1. Analyssis of Network Effi ficiency Nusantaara Pendulum network efficiency will be analyzeed by NQ method, an nd the importancee value of its linkss and nodes will be analyzed by two meethods: JPM and NQ N methods (equuation (2) and (3))). Figure 5 represents the simulation off network efficiency analysis of Seaa Tollway. The simulaation of Nusantaraa Pendulum is reppresented by Figurre 6. Table 1 and Tab ble 2 show the id dentification of neetwork componen nts in both networks.

Fig. 5. Simulation of Sea Tollwaay Network Plan Table 1 des in Sea Tollway nnetwork Identificatioon of links and nod Link

Pair

Ports

(1,2), (2,1)

(Kuala Tanjungg—Tanjung Priok), (Tanjung Priokk—Kuala Tanjung)

w2, w7

(2,3), (3,2)

(Tanjung Priokk—Tanjung Perak), (T Tanjung Perakk—Tanjung Priok)

W3, w6

(4,4), (4,3)

(Tanjung Perakk—Makassar), (Mak kassar— T Tanjung Perak)

W4, w5

(4,5), (5,4)

(Makassar—Soorong), (Sorong—Maakassar)

w1, w8

3..3. Important Valuues and Ranking off Links The second methhod, the importancce value of networrk components, alsso beecomes the indicaator of the networkk performance (Jeenelius, Petersen, & Mattsson, M 2006). It derives the rank oof importance of liink or node after iits reemoval calculationn in the network. In this measurem ment, they proposeed diistinct link importtance indicators ddepending upon whether w the removal off the link will causse the network to bbecome disconnectted or not. ‫ܫ‬ଷ ሺ݇ሻ ൌ

σೢ‫א‬ೈ ೈ ௨ೢ ሺீି௞ሻ σೢ ೢ‫א‬ೈ ௗೢ

(22)

Where uw(G-k) iss the unsatisfied ddemand for O-D pair p w after link k is reemoved; and dw iss the total demandd that exists insidee the network. I3 is th he third condition of importance valuue in Jenelius, Pettersen, and Mattsoon caalculation, and is not considered aas the cubic num mber. In the furtheer caalculation, equatioon (2) will be called as JPM method.

Fig. 6. Simulation n of Nusantara Penddulum Network Plaan

82

Contaainer Shipping Networrk Efficiency Comparisson in Indonesia: Nusa antara Pendulum and Sea S Tollway

Tab ble 2 Iden ntification of links and nodes in Nusanntara Pendulum netw work Link w1, w10

P Pair (1,2 2), (2,1)

Table 3 Identificationn of links and nodess in Nusantara Penddulum network

Ports

Link

Pair

Ports

w1, w2

(1,4), (4,1)

(Belawan—Battam), (Batam—Belaw wan)

w3, w4

(2,4), (4,2)

(Padang—Tanjunng Priok), (Tanjung Priok— P Padang)

(Belaawan—Batam), (Batam—Belawan)

w2, w9

(2,3), (3,2)

(Batam m—Tanjung Priok), (Tanjung ( Priok— Batam)

w5, w6

(3,4), (4,3)

(Palembang—Tanjuung Priok), (Tanjung g Priok— P Palembang)

w3, w8

(3,4 4), (4,3)

P (Tanjung (Tanjuung Priok—Tanjung Perak), Perak—Tanjung Priok)

w7, w8

(7,5), (5,7)

(Tanjung Perakk—Makassar, Makasssar— Tannjung Perak)

(5,10), (10,5)

(Makassar—Sorrong, Sorong—Makaassar)

(4,5), (5,4)

(Tanjjung Perak—Makasssar, Makassar— Tanjung Peraak)

w9, w10

w4, w7

w11, w12

(6,8), (8,6)

(Tanjung Perak—B Banjarmasin), (Banjarrmasin— Tannjung Perak)

w13, w14

(6,9), (9,6)

(Tanjung Priok—B Balikpapan), (Balikp papan— Taanjung Priok)

w15, w16

(6,11), (11,6)

(Tanjung Priok—A Ambon), (Ambon—T Tanjung Priok)

w17, w18

(6,12), (12,6)

(Tanjung Priok—Jayapura, Jayapura— —Tanjung Priok)

w5, w6

(5,6 6), (6,5)

(Makaassar—Bitung), (Bitu ung—Makassar)

work efficiency inn To give solid coomparison, we alsoo analyze the netw the current situation (denoted ( with Figuure 7, Figure 8, an nd Table 3).

Table 4 Identificationn of links and nodess in Nusantara Penddulum network

F 7. The current nnetwork (green line) Fig. Sou urce: Pelindo II, 20112

İ of existingg connection

İ of o Sea Tollway

İ of Nusantara Pen ndulum

279 TE EU/US$

2731 TEU/US$

2512 TEU/US$

In more detailed network k components off both Sea Tollw way and Nusantara Pendulum P network k, the importancee of links and nodes were analyzed wiith JPM and NQ methods m (equationn (2) and (3)). Thee result of links importtance in NQ meth hod for two netw works is shown in Table 5. The importaance of nodes afterrward is presentedd in Table 7. Both metthods of NQ and JPM J result link a as the most important link in the Sea Tollway network k. This link connnects Kuala Tanjjung and Tanjung Priiok. Link d in thiss connection has thhe least importantt value in both metho ods. It connects the t eastern part oof Indonesia: Maakassar— Bitung. Thee importance valu ue in NQ method gives a larger vaalue than JPM method d. The samee result from botth methods also occurs in the an nalysis of Nusantara Pendulum P network k efficiency. Bothh methods consid der link d (Tanjung Peerak—Makassar) as a the most importtant link in the netw work. Table 5 Importance of o links in Sea Tollw way and Nusantara Pendulum network k by NQ method

F 8. Simulation oof Current Network Fig. k

It I presents fact thaat both of networkk plans, Sea Tollw way and Nusantaraa Pen ndulum, have veryy efficient networrk than the existin ng. Both networkss are outperforming the t current netw work with almost ten times moree effiicient. Head-to-heead comparison beetween Sea Tollw way and Nusantaraa Pen ndulum network concluded c that Seaa Tollway has thee higher efficiencyy thaan Nusantara Penddulum. NQ methood (equation (1)) is used to derivee nettwork efficiency. The T result of threee networks efficien ncy is presented inn Tab ble 4. The efficienncy (İ) of the exiisting network is 279 TEU/US$. Itt rep presents that 1 US$$ flows 279 TEUs.. Meanwhile, the two t networks flow w mo ore than 2500 TEU Us in each US doollar. Thus, it show ws how these twoo plaans are more efficieent than the existinng network.

Link a b c d

Sea Tollway Impoortance Value 0.88 0.85 0.87 0

Raanking 1 3 2 4

Link a b c d e

Nusantara Pendulum m IImportance Value Ranking 0.88 4 0.90 3 0.91 2 0.93 1 0.87 5

Table 6 o links in Sea Tollw way and Nusantara Pendulum network k by JPM Importance of method Link a b c d

Sea Tollway Impoortance Value 0.47 0.22 0.30 0.01

Raanking 1 3 2 4

Link a b c d e

Nusantara Pendulum m IImportance Value Ranking 0.06 4 0.15 3 0.33 2 0.45 1 0 5

Container Shipping Network Efficiency Comparison in Indonesia: Nusantara Pendulum and Sea Tollway

Table 7 Importance of nodes in Sea Tollway and Nusantara Pendulum network Node 1 2 3 4 5

Sea Tollway Importance Value 0.878 0.890 0.879 0.81 0.8

Ranking 3 1 2 4 5

Link 1 2 3 4 5 6

Nusantara Pendulum Importance Value Ranking 0.89 3 0.94 1 0.88 2 0.83 4 0.87 5 0.86 6

The most important node in Sea Tollway is Tanjung Priok. The least important node is node 5: Bitung. On the other hand, Nusantara Pendulum has the most important node in Batam, which is denoted with node 2. Node 6 (Sorong) becomes the least important node in this network. Clearly, the low volume of eastern Indonesia inside the whole trade results in Bitung and Sorong to be the least important in the first and second network.

5. Conclusion Sea Tollway results 8% more efficient network than Nusantara Pendulum. Nevertheless, both networks outperform the existing network up to almost 10 times. Those values are caused by the more ports in the existing one that triggered the value of efficiency become lower since the number of O-D ports is inversely proportional to the value of efficiency by NQ method. Point-to-point concept in the current condition also decreases the value of efficiency. Since more number of port pairs in the calculation reduce the value of network efficiency. On the other hand, Sea Tollway and Nusantara Pendulum provide less port pairs inside the calculation, thus increase the network efficiency. The importance calculation of links shows that JPM and NQ method provide the same results. However, NQ method results in higher value than JPM. The eastern Indonesia’s ports such as Bitung in Sea Tollway and Sorong in Nusantara Pendulum receive the least value of importance. Eastern connections such as Makassar—Bitung and Makassar—Sorong are measured as the least important in Sea Tollway and Nusantara Pendulum correspondingly. The less trade activity followed by the low demand support this result. Moreover, the ocean freight cost to the eastern side is very expensive, which cannot cope with economies of scale of the vessels (Fahmiasari, 2015). Thus, it results in many empty containers return to the western side of Indonesia. Contradictory to the eastern side, both western ports: Tanjung Priok and Batam, considered as the most important node in Sea Tollway and Nusantara Pendulum respectively. Dominant trade flow in the western side (80%) results in the previous finding. Added by the value of link’ importance, the Sea Tollway analysis identifies connection from Kuala Tanjung to Batam to be the most important. Nonetheless, the Nusantara Pendulum analysis presents different finding that Tanjung Perak— Makassar connection becomes the most links inside the network. 5.1. Discussion and Implications

83

The result of this paper is one feasible way to examine the feasibility of Nusantara Pendulum and Sea Tollway networks. In addition, these plans will support the consolidation of six economic corridors in Indonesia. Both Sea Tollway and Nusantara Pendulum plan are feasible to be applied in Indonesia. It depends on which one the government want to focus on by defining Bitung or Sorong as the eastern main port. Several points that should be noted to support the feasibility of Sea Tollway or Nusantara Pendulum are: port connection should have the proper hinterland connection to the centre of industries; port facilities should be upgraded to serve uniform vessel in one route from West to East of Indonesia; stakeholders ranges from government, shipping companies, freight forwarders, and industries should have one and clear vision regarding to this liner shipping concept; industries in the eastern Indonesia should be developed to avoid empty return containers to western Indonesia. 5.2. Conclusion, Limitations, and Future Research Currently, there are only few researches regarding Sea Tollway. Thus, we use several assumptions in terms of port infrastructure, operational degree, and shipping business climate in Indonesia. In all previous exercises, we assume that all ports have infrastructure and operational capacity to accommodate uniform vessels. In fact, several ports, especially in the Eastern area, lack the minimum draft of required vessel. From business perspective, certain shipping companies needs to agree to shift their schedules to pendulum liner service. In the reality, these two assumptions are still some big issues that should be tackled by the government. Future research should quantify the transport cost with Value of Time factor. The hinterland transport cost need to be calculated from the port to the industrial center. Further, it’s possible to use the end customer transport cost. The demand flow data are recommended to use the origindestination between ports, which is not easily obtained in Indonesia. Finally, the integration to the Special Economic Zones (KEK) in the economic corridors also will be a fruitful finding. Nevertheless, we believe this paper is the initial research to plan better container network in Indonesia.

Acknowledgement The research was sponsored by Netherlands Engineering Consulting Fund (NEDECO). Additionally, the conference in Kaohsiung was sponsored by Indonesia Endowment for Education (LPDP).

References BAHAGIA, S.N. (2013). “National Logistics System: Current State Program and Implementation Plan”. Presented at the Indonesian Embassy of Netherlands, Den Haag. BAPPENAS. (2015), “Inter-island Sea Tollway Development for Long Term Planning 2015-2019 and Its Implementation in 2014”, Jakarta: BAPPENAS.

Being the least important port or link inside these networks should warn the government of Indonesia to develop these ports and connections. The improved importance value will be realized when there is more demand among these connections. Thus, this research urges the government of Indonesia to focus highly on developing the eastern part of Indonesia.

BARABASI, A.L. & ALBERT, R. (1999). “Emergence of scaling in random networks, Science, Vol. 286, No. 5439, pp. 509-512. BAZARAA, M., and JARVIS, J. (1990). Transportation, Assignment, and Transhipment Problems. New York: Wiley.

84

Container Shipping Network Efficiency Comparison in Indonesia: Nusantara Pendulum and Sea Tollway

BPS. (2011). National Statistics Yearbook 2011 of Indonesia. Jakarta: Biro

Edition, Harlow: Pearson.

Pusat Statistik. MINISTRY OF INDUSTRY AND TRADE OF REPUBLIC OF COORDINATING MINISTRY OF ECONOMIC AFFAIRS (2011), “Masterplan Acceleration and Expansion of Indonesia Economic Development

INDONESIA. (2002). Reforming Indonesia’s Port, Jakarta: Ministry of Industry and Trade of Republic Indonesia.

2011-2025”, Jakarta: Coordinating Ministry for Economic Affairs. NAGURNEY, A., & QIANG, Q. (2007), “A Transportation Network DEN BERG, R. V., & DE LANGEN, P. W. (2011), “Hinterland strategies of

Efficiency Measure that Captures Flows, Behaviour, and Costs with

port authorities: A case study of the port of Barcelona”, Research in

Applications

Transportation Economics, Vol. 33, No. 1, pp. 6-14.

Vulnerability.” POMS 18th Annual Conference (pp. 1-22), Dallas: POMS.

EXPERT TEAM OF NATIONAL LOGISTICS SYSTEM. (2012). Blueprint of National Logistics System Development, Jakarta: Coordinating Ministry for

to

Network

Component

Importance

Identification

and

RAY, D. (2008). Reformasi Sektor Pelabuhan Indonesia dan UU Pelayaran Tahun 2008. USAID.

Economic Affairs of Republic of Indonesia. RODRIGUE, J.P. et al. (2009). The Geography of Transport Systems, FAHMIASARI, H. (2015, March 27), “Pendulum Nusantara Network Efficiency”, State of Logistics Indonesia 2015, pp. 20-33. IMF. (2015), World Economic Outlook 2015: Adjusting to Lower Commodity Prices, Washington: IMF. INDONESIA PORT CORPORATION. (2012). Annual Report of Indonesia Port Corporation, Jakarta: Indonesia Port Corporation II. INDONESIA PORT CORPORATION. (2012), Transporting Light to the Nation, Jakarta: IPC.

Hofstra

University,

Department

of

Global

Studies

&

Geography,

http://people.hofstra.edu/geotrans. STRENG, Martijn. (2011). The Consequences of Megaships, Rotterdam: Erasmus University of Rotterdam. TAHA, H.A. (1997). Operations Research: An Introduction-Sixth Edition, New Jersey: Prentice-Hall, Upper Saddle River. WIEGMANS, B. W., MASUREL, E., & NIJKAMP, P. (1999), “Intermodal Freight Terminals: An Analysis of the Terminal Market,” Transportation Planning and Technology, Vol. 23, No. 2, pp. 229-252.

JENELIUS, E., PETERSEN, T. K., & MATTSON, L. G. (2006), “Road network vulnerability: Identifying important links and exposed regions”, Transportation Research Arena, Vol. 12, No. 40, pp. 2-7. JUGOVIC, A., HESS.A., & JUGOVIC, T.P. (2006). “Traffic Demand for Port Service”, Promet – Traffic & Transportation, Vol. 23, No. 1, pp. 59-69 LATORA, V., & MARCHIORI, M. (2001), “Efficient Behaviour of SmallWorld Networks,” Physical Review Letters, Vol. 87, No. 19, pp. 1-4.

WILLIAMS, J. (1989). Style: Ten Lessons in Clarity and Grace (3rd ed.), Glenview, IL: Scott, Foresman. WORLD BANK. (2014), “Data Indonesia”, Retrieved from World Bank Data website: http://data.worldbank.org/country/indonesia. WORLD BANK INSTITUTE. (2000), Privatization and Regulation of Transport Infrastructure: Guidelines for Policymakers and Regulators. Washington, D.C.: The World Bank.

MARTIN, C. (2001). Logistics and Supply Chain Management Fourth