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2022 | Book

Arctic Maritime Logistics

The Potentials and Challenges of the Northern Sea Route

Editors: Prof. Dr. Igor Ilin, Prof. Dr. Tessaleno Devezas, Prof. Dr. Carlos Jahn

Publisher: Springer International Publishing

Book Series: Contributions to Management Science


About this book

The modern shipping industry has reached maturity; market demand and landscape shifts force industry agents to find new pathways to successful development. The Northern Sea Route (NSR) as a new pathway between Europe and Asia brings both opportunities and challenges to global logistics systems. These circumstances make commercial exploitation of the route a subject of intense focus in many countries actively involved in sea transportation.

This book identifies specific problems and provides possible solutions to them by calling on the accumulated knowledge of researchers and practitioners with competencies from diverse areas, including transport and logistics, Arctic studies, IT and digital technologies, socio-economic systems analysis, hydrocarbon production, transport, business modeling, design of information systems and applications, and engineering requirements for IT services. It represents the integrated experience and expertise of researchers from Canada, Germany, Russia, and the Netherlands, including experts from oil and gas enterprises, shipping lines, logistics companies, and IT companies.

Table of Contents

Northern Sea Route Development Concept
The issues of the development of the Northern Sea Route are extremely topical at the present time. Moreover, the active development of digital technologies has accelerated the pace of digitalization of logistics in general and sea freight in particular. In this study, a concept for the development of the NSR is proposed, based on the results of the expedition “Digital ship of the Northern Sea Transit Corridor.” Among the proposed steps, much attention is paid to the creation of infrastructure, namely digital platforms, the concept and requirements for a digital ship system, digital modeling of the project, the integration of all these systems with each other using cloud technologies, big data, etc. In addition, the paper considers the advantages of the NSR, the importance of logistics in the Arctic zone, as well as the role of logistics in the development of the country’s economy.
Stanislav Chuy, Igor Ilin, Carlos Jahn, Tessaleno Devezas
Development of Northern Sea Route and Arctic Maritime Logistics
Since the end of the twentieth century, globalization has had a huge impact on the development of all spheres of human activity in the Arctic. In these conditions, as well as considering the climate change, the discovery of new mineral deposits and the estimated assessment of not yet discovered deposits on the continental shelf and international territories, international competition is intensifying for the opportunity to use the Arctic Ocean as a shipping route and to develop Arctic resources. The article analyzes the risks and problems of economic development of the Arctic and possible scenarios for resolving territorial disputes. Obviously, the resolution of controversial issues requires a global consensus, international cooperation, international trade interaction.
Nikolay Didenko, Djamilia Skripnuk, Ksenia Kikkas, Jerzy Kaźmierczyk
Transport and Logistic Support of Oil-and-Gas Offshore Production in the Arctic Zone
The rich resource potential of the Arctic shelf zone of Russia requires the relevant development of the transport and logistics infrastructure for its fullest implementation. Working conditions in the region are characterized by difficult climatic conditions, a fragile ecosystem, dependence on supplies from the “mainland” zone, limited labor, natural, material and financial resources, a high level of wear and tear of fixed assets of transport hubs and logistics enterprises, and the presence of other risks. The required development of the transport and logistics infrastructure of the Arctic shelf zone assumes an increase in the density of railways and highways, the emergence of new logistics centers and transport hubs. Among other things, it is promising to develop a system of international transport corridors passing through the territory and water area under the jurisdiction of the Russian Federation, as well as a capillary transport infrastructure linking hard-to-reach Arctic settlements. These measures are designed to remove infrastructure restrictions on the growth of hydrocarbon production on the Arctic shelf.
Alexey Fadeev, Anastasia Levina, Manfred Esser, Sofia Kalyazina
Architecture of the Maritime Logistics Ecosystem of the Northern Sea Route: Vision and Gap
Nowadays, the Arctic zone is a major topic of interest of Russian and foreign experts and the media. Long-term interests of many countries of the world, primarily Russia, are connected with the development of the Arctic region. However, the development of the Arctic region cannot be considered complete without the proper level of development of the Northern Sea Route (NSR). One of the most important elements of the development of the Northern Sea Route is its digitalization. The purpose of this article is to form a general vision of the future target architecture of the Northern Sea Route, as well as to conduct a gap analysis that allows to identify the discrepancy between the existing architecture and its target state.
Igor Ilin, Anastasia Levina, Anastasia Gurzhiy, Alexandra Borremans
Smart Port Concept: Strategic Development, Best Practices, Perspectives of Development
Seaports play an important role in the maritime supply chain. In recent years, the need for process optimization and automation solutions has increased, not least due to growing challenges regarding the complexity of processes. This is due to the growth in ship size and space restrictions in ports. The use of new technologies offers opportunities to meet these challenges. Large ports are increasingly implementing automated process solutions to meet these challenges. Science is also developing new approaches to optimize processes and to better connect the maritime supply chain. In the context of the chapter, solution approaches from science and practice are presented to give an insight into the current developments in ports to become smart ports. Different aspects such as the networking of logistics partners, automation and artificial intelligence, processes and environmental aspects are addressed.
Carlos Jahn, Nicole Nellen
Digitalization of Maritime Logistics Systems
Due to the increasing demands on participants of maritime supply chains for short turnaround times, low costs and high quality with a simultaneously growing number of disruptions, for example due to the COVID-19 pandemic or shipping accidents, digitalization is of elementary importance for companies in maritime logistics systems. Nevertheless, the level of digitalization is very heterogeneous due to various factors, such as the size of the company or the field of activity. The aim of this publication is therefore to provide an overview of the state of research in the field of digitalization of maritime logistics systems in order to support the alignment of the level of digitalization.
To achieve this, a structured literature review was conducted and evaluated, particularly with respect to the dependencies of the selected parameters. The analysis shows that increasingly broad-based publications prevail, which provide an overview of the topic without going into detail about the requirements of the individual stakeholders. Furthermore, only rarely are methods explicitly used or technologies investigated that could drive digitalization.
Ann-Kathrin Lange, Michaela Grafelmann
Modern Liner Shipping: Opportunities and Risks of Using the Northern Sea Route
This chapter gives a general idea of the state of liner shipping in the Russian Federation and the prospects for using the NSR for liner shipping. Based on various Russian and foreign publications, the factors influencing the possibility and success of liner shipping in the Arctic are evaluated. The outlook for the transit of goods is not so optimistic, taking into account the fact that the market of linear container transportation is monopolized by a narrow circle of economic entities closely related to global companies and financial and industrial groups. The authors believe that the state of the linear transportation market should be the subject of constant study and control by the proper authorities of the Russian Federation and the wider business community. Taking into account the scale of activities, the combination of new and traditional technologies, the importance of the development of the region, liner shipping in the Arctic region will either become the basis for the development of the maritime transport industry and mutually beneficial international cooperation, or turn out to be another “hot” point of collision of the different sides.
Andrey Nelogov, Igor Rusinov, Abdeljalil Ouami
Digitalization of Global Container Shipping Lines
Digital technologies are currently present in nearly all activities of companies including customer interaction, competition, operations, and innovations. The maritime industry is here no exception. The current challenges force companies that are market leaders in their industry to change their strategies.
This paper covers the digital transformation of global container shipping lines. The proposed approach to the development of a global container shipping line IT-architecture could provide substantial support during the implementation of strategic initiatives based on the suggested Balanced Scorecard reference models and the multi-level matrix by comparing and linking indicators and IT-architecture models. Proposed ideas of virtual testing and experiments for IT-architecture models development correspond to the modern approach to innovation and allow rapid technology deployment and the company strategic resources adjustment in accordance with a changing environment.
Igor Ilin, Svetlana Maydanova, Wolfgang Kersten, Carlos Jahn, Jürgen Weigell
Digital Platforms for Maritime Logistics Ecosystems
The role of digital platforms in different economy areas is increasing every day. For such industries, where the interaction between different ecosystems members is crucial for their economic success, digital platforms both as technological and business tools are indispensable. The research is aimed at analyzing existing digital platforms in the area of supply chain management with a focus on maritime logistics industry. Several existing maritime logistics platforms are described, as well as their categorization based on capability-driven approach is presented.
Igor Ilin, Svetlana Maydanova, Alissa Dubgorn, Manfred Esser
The Role of Data-Driven Logistics in Arctic Shipping
Modern economic conditions are characterized by a large volume of generated data. The challenge for companies is to make the most of their data, providing a competitive advantage. This is also relevant for the field of logistics, in particular logistics in the Arctic. Data analysis in determining the optimal route, reducing environmental impact, predicting shipping conditions, calculating expected arrival times, assessing risks, and determining ways to reduce their impact, and others, helps to make the most correct business decision. Data-Driven Logistics is used to carry out complex calculations to make an optimal decision. Key digital technologies are used for computing, such as Big Data, Blockchain, Robotics, sensor technology, the Internet of Things, Artificial Intelligence/Machine Learning, and 3D Printing. All of this enables Data-Driven Logistics to help add value to Arctic Shipping while keeping in mind the most gentle impact on the fragile environment of the region.
Klara Paardenkooper
Innovations in Self-Organizing Maritime Logistics
Maritime logistics, where competition is fierce, is in dire need of efficient modes of transport. Automated systems are inevitable, ultimately developing themselves into self-organizing logistic systems. This chapter highlights some promising recent innovations in that area. As innovative automated systems, we discuss: (i) autonomous yard tractors, (ii) unmanned cargo aircraft, (iii) truck platooning, (iv) autonomous vessels, and (v) extended gates. To control these systems, we discuss innovative forms of intelligent decision-making, namely: (i) distributed planning, (ii) matching platforms, (iii) cooperation between barges and terminals, (iv) shared services and fair optimization, and (v) gamification in container supply chains. Moreover, we design a unifying framework that classifies automated systems within maritime logistics according to their potential to grow out to self-organizing systems.
Berry Gerrits, Peter Schuur
Maritime Logistics Systems of Europe and Asia
This chapter characterizes the roles of Europe and Asia in global shipping system. By applying various metrics, it identifies the importance of European and Asian ports in the global shipping network and two region’s ports connectivity. This chapter aims to demonstrate how maritime trade between Europe and Asia is logistically organized, discusses the current state of the Northern Sea Route as an alternative route for transporting cargoes between Europe and Asia, and discusses the implications of the Northern Sea Route on the existing Europe-Asia maritime logistics.
Yana Leksyutina, Maria Lagutina
Digitalization of the Northern Sea Route Based on Enterprise Architecture Approach
Development of architectural solutions for the Northern Sea Route requires research and formalization of different activities performed by the whole range of industries, taking into consideration interests of all stakeholders involved. This study focuses on development of key aspects of motivation expansion for the Northern Sea Route based on business architecture design. Stakeholders that are largely engaged in digitalization were identified, classified, and characterized. As a result, the architecture of digital services required for informational support was suggested. Application of services and models presented in this study can potentially facilitate development of integration model for information systems architecture in the business architecture of the Northern Sea Route.
Igor Ilin, Olga Voronova, Alena Ershova, Krasimir Kostenarov
The Northern Sea Route as a Factor of Sustainable Development of the Arctic Zone
The socio-economic development of the Arctic region of the Russian Federation is an object of close attention of the state and the scientific community. The most important factors in the development of the Northern Sea Route (NSR), such as permanent presence in the Arctic, the infrastructure development of the NSR, and cooperation with different countries are considered in this chapter. Geopolitical and transnational factors play strategically important roles in the expansion of maritime traffic in the Arctic zone. These factors include control over the territory rich in natural resources, the high value of the NSR transit factor, because its path connects the northwestern and far eastern regions of Russia. Also an important factor is the potential for growth in transnational transit traffic along the Northern Sea Route between European and Pacific ports. High-quality development of the Arctic territories is impossible without the successful implementation of infrastructure projects. The formation of the Arctic transport system is the most important task for the development of the region. The limited transport system seriously hinders the development of the northern regions. The Northern Sea Route is the basis of the economic stability of the North of Russia and the most important element of the Russian and international transport system. Therefore, it is necessary to follow the key factors, reconstruct the current and develop new paths.
Carlos Jahn, Jürgen Weigell, Anastasia Levina, Viktoria Iliashenko
The Northern Sea Route Development: The Russian Perspective
This study aims to examine what the Russian concept of the Northern Sea Route’s development is and how it evolved during the post-Soviet period. The authors conclude that despite some legal inconsistencies, the lack of a proper infrastructure, and residual environmental problems, the NSR will remain an important priority for the Russian future strategy in the Arctic region. The NSR is viewed by Moscow as an effective instrument to develop the Russian Arctic both domestically and internationally. However, Moscow still faces a dilemma: On the one hand, it wants to keep its control over the NSR and support Russian shipbuilding industry and shipping companies. On the other hand, the Kremlin is willing to open up this passage for international cooperation and integrate it to the global transportation system.
Vasilii Erokhin, Valery Konyshev, Alexander Sergunin, Gao Tianming
Arctic Maritime Logistics
Prof. Dr. Igor Ilin
Prof. Dr. Tessaleno Devezas
Prof. Dr. Carlos Jahn
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