Page 34 - Management 16.2
P. 34
lipp Asen, Vito Bobek, and Tatjana Horvat | The Efficiency of Ports and Airports
Table 1 Comparisons of Ports people employed in this sector, while in Hong
Kong, there are only 83,000 people employed (In-
Item Durban Hong Kong ternational Transport Forum 2014). These jobs
include workers from the port, but also employ-
teu million million ees of agents who work there. This means Hong
Container dwell time – days – days Kong is much more efficient, with fewer peo-
Average turnaround time hours hours ple employed in port-related jobs. They achieve
Total cargo handled (int) . million million much more revenue, handle more cargo, and are
Revenue (in ) million . billion more efficient in container dwell time and av-
Port-related jobs , , erage turnaround time. The port employees in
Hong Kong handled three times more teus and
Opombe kpi from 2018. Based on International Transport more than three times as many tons as Durban
Forum (2014) and China Merchants Ports Holding Com- did. Furthermore, they are five times faster in
pany (2019). turnaround time and 1–2 days faster in container
dwell time. This efficiency could be due to various
is one of the most expensive ones compared to causes like higher automation and merely the size
others. The total port pricing is around 280 usd of the port. Nevertheless, the port in Durban will
per teu compared to Hong Kong, with approxi- play a vital role in the future economic success of
mately 230 usd per teu. The terminal handling South Africa.
charges and cargo dues are the most relevant ones
(International Transport Forum 2014) (figure 2). Airports
Durban’s new airport, King Shaka Airport, was
Another important kpi is container dwell ti- opened in 2010 due to the football world cup in
me, as it describes how long a shipping container South Africa. It has a capacity of 7.5 million pas-
stays at a port terminal. In the Hong Kong port, sengers annually and has a longer runway, mean-
the short dwell time of 1–3 days also helps their ing that now, the giant planes such as the Airbus
efficiency, as the storage yards are already lim- 380 or Boing 747 can land and take off in Durban,
ited (Ducruet, Itoh, and Merk 2014). Durban im- which was not possible at the old one. This means
proved dwell time because systems were in place that Durban is also considered a medium airport,
to allow for prompt clearance and release. The 3– classified with 5–10 million passengers per year.
4 days dwell time in Durban are the fewest in any The airport in Hong Kong was opened in 1998 as
African port, as the average dwell time in African the old airport got too small. It is now considered
ports is around 10–14 days (International Trans- a mega airport that handles more than 30 mil-
port Forum 2014). lion people annually. However, the airport even
exceeds this by far, with around 71.5 million pas-
The next kpi is the average turnaround time sengers per year.
(att). In 2018, ships spent a median time of 23.5
hours in a port. A shorter time in port is a posi- Airports can generate revenue in three signif-
tive indicator that could signal port efficiency and icant areas: aeronautical revenue, non-aeronauti-
trade competitiveness (unctad 2020). Within cal revenue, and non-operating revenue (‘How Do
this kpi, there is a massive difference between Airports Make Money?’ n.d.).
Durban and Hong Kong. Whereas Hong Kong
has a short turnaround time of approximately 10 The revenue development of Durban and Hong
hours, Durban’s average turnaround time is much Kong is visible in figure 3 and figure 4, respec-
higher than 50 hours (Ducruet, Itoh, and Merk tively. It is no surprise that Durban tripled their
2014; International Transport Forum 2014). revenue due to the new airport and the capacity
to handle the most prominent aircraft for inter-
Both ports contribute massively to the econ- national flights. Hong Kong almost doubled their
omy of the country, as the Hong Kong port con- revenue, because it is one of the busiest airports
tributes 1.1 of the gross domestic product in globally, handles many freight aircraft and the
Hong Kong, and the port in Durban contributes numbers of passengers are steadily increasing. In
between 1.5 and 2 of national gross domes- this area, Hong Kong outperforms Durban mas-
tic product (The Official Website of the eThek- sively with € 1.8 billion generated in revenue com-
wini Municipality n.d.; Transport and Housing pared to Durban’s € 35.4 million (Airport Author-
Bureau 2021). Adding to that, they also employ ity Hong Kong 2020; Airports Company South
many people and help to reduce unemployment. Africa 2020). Therefore, it is essential to read the
Port-related jobs in Durban add up to 100,000
78 management 16 (2021) številka 2
Table 1 Comparisons of Ports people employed in this sector, while in Hong
Kong, there are only 83,000 people employed (In-
Item Durban Hong Kong ternational Transport Forum 2014). These jobs
include workers from the port, but also employ-
teu million million ees of agents who work there. This means Hong
Container dwell time – days – days Kong is much more efficient, with fewer peo-
Average turnaround time hours hours ple employed in port-related jobs. They achieve
Total cargo handled (int) . million million much more revenue, handle more cargo, and are
Revenue (in ) million . billion more efficient in container dwell time and av-
Port-related jobs , , erage turnaround time. The port employees in
Hong Kong handled three times more teus and
Opombe kpi from 2018. Based on International Transport more than three times as many tons as Durban
Forum (2014) and China Merchants Ports Holding Com- did. Furthermore, they are five times faster in
pany (2019). turnaround time and 1–2 days faster in container
dwell time. This efficiency could be due to various
is one of the most expensive ones compared to causes like higher automation and merely the size
others. The total port pricing is around 280 usd of the port. Nevertheless, the port in Durban will
per teu compared to Hong Kong, with approxi- play a vital role in the future economic success of
mately 230 usd per teu. The terminal handling South Africa.
charges and cargo dues are the most relevant ones
(International Transport Forum 2014) (figure 2). Airports
Durban’s new airport, King Shaka Airport, was
Another important kpi is container dwell ti- opened in 2010 due to the football world cup in
me, as it describes how long a shipping container South Africa. It has a capacity of 7.5 million pas-
stays at a port terminal. In the Hong Kong port, sengers annually and has a longer runway, mean-
the short dwell time of 1–3 days also helps their ing that now, the giant planes such as the Airbus
efficiency, as the storage yards are already lim- 380 or Boing 747 can land and take off in Durban,
ited (Ducruet, Itoh, and Merk 2014). Durban im- which was not possible at the old one. This means
proved dwell time because systems were in place that Durban is also considered a medium airport,
to allow for prompt clearance and release. The 3– classified with 5–10 million passengers per year.
4 days dwell time in Durban are the fewest in any The airport in Hong Kong was opened in 1998 as
African port, as the average dwell time in African the old airport got too small. It is now considered
ports is around 10–14 days (International Trans- a mega airport that handles more than 30 mil-
port Forum 2014). lion people annually. However, the airport even
exceeds this by far, with around 71.5 million pas-
The next kpi is the average turnaround time sengers per year.
(att). In 2018, ships spent a median time of 23.5
hours in a port. A shorter time in port is a posi- Airports can generate revenue in three signif-
tive indicator that could signal port efficiency and icant areas: aeronautical revenue, non-aeronauti-
trade competitiveness (unctad 2020). Within cal revenue, and non-operating revenue (‘How Do
this kpi, there is a massive difference between Airports Make Money?’ n.d.).
Durban and Hong Kong. Whereas Hong Kong
has a short turnaround time of approximately 10 The revenue development of Durban and Hong
hours, Durban’s average turnaround time is much Kong is visible in figure 3 and figure 4, respec-
higher than 50 hours (Ducruet, Itoh, and Merk tively. It is no surprise that Durban tripled their
2014; International Transport Forum 2014). revenue due to the new airport and the capacity
to handle the most prominent aircraft for inter-
Both ports contribute massively to the econ- national flights. Hong Kong almost doubled their
omy of the country, as the Hong Kong port con- revenue, because it is one of the busiest airports
tributes 1.1 of the gross domestic product in globally, handles many freight aircraft and the
Hong Kong, and the port in Durban contributes numbers of passengers are steadily increasing. In
between 1.5 and 2 of national gross domes- this area, Hong Kong outperforms Durban mas-
tic product (The Official Website of the eThek- sively with € 1.8 billion generated in revenue com-
wini Municipality n.d.; Transport and Housing pared to Durban’s € 35.4 million (Airport Author-
Bureau 2021). Adding to that, they also employ ity Hong Kong 2020; Airports Company South
many people and help to reduce unemployment. Africa 2020). Therefore, it is essential to read the
Port-related jobs in Durban add up to 100,000
78 management 16 (2021) številka 2
