Intelligent transport systems in multimodal logistics: A case of role and contribution through wireless vehicular networks in a sea port location

Abstract

The growing complexity of logistics and its importance as a major economic activity has raised the profile of information and communication technology (ICT) as means to improve the levels of visibility, responsiveness and efficiency in supply chains relying in multimodal transport operations. With the use of wireless vehicular networks, Intelligent Transport Systems (ITS) have the potential to shape the future of multimodal logistics. In the absence of sophisticated ICT tools, the potential role and contribution of ITS and in particular wireless vehicular networks play in logistics is investigated in a multimodal case of a port terminal handling bulk material transported by sea, which is unloaded into haulage vehicles. Event flow mapping and network modelling analysis are used to determine the feasibility of ITS to support real-time data traffic related to the exchange of messages, which are representative of the flow of events taking place in multimodal logistics and which can be associated to high-impact capabilities with economic repercussions such as track and trace.

Full text

Intelligent transport systems in multimodal logistics: A case of role and
contribution through wireless vehicular networks in a sea port location
$
Adrian E. Coronado Mondragon
a,
n
, Chandra S. Lalwani
b
, Etienne S. Coronado Mondragon
c
,
Christian E. Coronado Mondragon
d
, Kulwant S. Pawar
e
a
School of Management, Royal Holloway University of London, Egham, Surrey, UK
b
Logistics Institute, The University of Hull, Cottingham Road, Hull, UK
c
Networking and Telecommunications Professional Services, Montre
´
al, Que
´
bec, Canada
d
School of Ocean Technology, Marine Institute, Memorial University of Newfoundland, St John’s, NL, Canada
e
University of Nottingham Business School, Nottingham, UK
article info
Available online 25 November 2011
Keywords:
Multimodal logistics
Sea ports
Road haulage
Intelligent transport systems
Wireless vehicle communications
Dedicated short range communications
(DSRC)
abstract
The growing complexity of logistics and its importance as a major econom ic activity has raised the
profile of information and commu nication technology (ICT) as means to improve the levels of visibility,
responsiveness and efficiency in supply chains relying in multimodal transport operations. With the
use of wireless vehicular networks, Intelligent Transport Systems (ITS) have the potential to shape the
future of multimodal logistics. In the absence of sophisticated ICT tools, the potential role and
contribution of ITS and in particular wireless vehicular networks play in logistics is investigated in a
multimodal case of a port terminal handling bulk material transported by sea, which is unloaded into
haulage vehicles. Event flow mapping and network modelling analysis are used to determine the
feasibility of ITS to support real-time data traffic related to the exchange of messages, which are
representative of the flow of even ts taking place in multimodal logistics and which can be associated to
high-impact capabilities with economic repercussions such as track and trace.
& 2011 Elsevier B.V. All rights reserved.
1. Introduction
Logistics has become a major economic activity comprising the
process of planning, implementing and controlling the efficient,
effective flow and storage of goods, services and related informa-
tion from point of origin to point of consumption for the purpose
of conforming to customer requirements (Council of Logistics
Management, 1998). Multimodal logistics has become an impor-
tant component of logistics worldwide. Hence, in modern deep-
sea and short-sea ports, access to other modes of transportation
including road, rail, pipeline and air is available. The use of
multimodal logistics has been encouraged by government direc-
tives and initiatives aiming at making operations more efficient
and environmentally friendly. For example, in recent years the
European Commission has released a series of calls aiming at the
development of short-sea shipping as a sustainable part of
the logistics chain as European roads suffer from major conges-
tion problems (DFT, 2007). In Northern Europe, the significance of
multimodal logistics can be seen in the growing importance of
short-sea shipping comprising regular liner services and ferries
operating fast, reliable and flexible connections that carry a wide
range of cargos in different types of vessels, including charter
vessels for transport of bulk steel and construction materials,
between terminals in the region as well as Roll On–Roll Off (Ro–
Ro) operations including finished vehicle logistics (DFT, 2007).
The efficient management of multimodal logistics would be
difficult to achieve without the support of sophisticated informa-
tion and communication technology (ICT). There is a need of
developing electronic logistics management systems, and other
applications that can be used to ensure and enhance safety and
security and to simplify administrative and customs procedures
(DFT, 2007).
In recent years, sea ports have consolidated their position as
premier locations for complex logistics networks. For many coun-
tries with some of the most developed economies in the world,
ports represent their main access gates for trade and commerce,
hence ports are ideal transport nodes to investigate the use
of innovative ICT to support multimodal logistics operations.
Contents lists available at SciVerse ScienceDirect
journal homepage: www.elsevier.com/locate/ijpe
Int. J. Production Economics
0925-5273/$ - see front matter & 2011 Elsevier B.V. All rights reserved.
doi:10.1016/j.ijpe.2011.11.006
$
Paper selected from presentations at the 14th International Symposium on
Logistics ‘Global Supply Chains and Inter-Firm Networks’, Istanbul, Turkey, July
5–8, 2009. The selection process has been managed by Dr Robert J. Mason, Cardiff
University Business School, Cardiff CF10 3EU, United Kingdom, masonrj@cf.ac.uk.
n
Corresponding author. Tel.: þ44 1784414348; fax: þ 44 1784 276100.
E-mail addresses: adrian.coronado@rhul.ac.uk (A.E. Coronado Mondragon),
c.s.lalwani@hull.ac.uk (C.S. Lalwani),
etienne.coronado@gmail.com (E.S. Coronado Mondragon),
christian.coronado@mi.mun.ca (C.E. Coronado Mondragon),
kulwant.pawar@nottingham.ac.uk (K.S. Pawar).
Int. J. Production Economics 137 (2012) 165–175

The characteristic of ports to host different modes of transportation
is of significant importance as the combination of specific modes
may account for the majority of freight movements in a region.
According to the European Commission, in 2005 the total volume of
tonnage moved in short-sea shipping was of the order of 591
million tonnes. On the other hand, it is possible that the complexity
of multimodal operations can result in serious inefficiencies in
logistics. Some examples of inefficiencies associated to the use of
road haulage and sea transportation include penalties of thousands
of Euros when a vessel has to spend an extra day docked in order to
get fully discharged, container lorries missing time slots due to
delays for loading a c ontainer on a ship, haulage vehicles remaining
idle or moving discharged goods to the wrong depot/warehouse
within the port.
International logistics requires ICT systems that satisfy a
diversity of needs as it has been agreed that international logistics
is practically mostly multimodal and involves a number of
different players that underline the challenge of implementing
information services that work to serve the needs of the whole
logistics chain (Levi
¨
akangas et al., 2007). ICT has become an
essential part of the rapid and accurate transfer and processing
of enormous volumes of data by international transport firms and
port organisations (Kia et al., 2000). Indeed, logistics and trans-
portation are totally dependent on ICT as Stefansson (2002)
indicates that the flow of information is essential for carrying
out an effective and efficient movement of consignments and
using more advanced technology and data sharing it is possible to
increase the resource utilisation and thus reduce costs. Despite
the wide recognition of the importance of ICT in logistics and
transportation, Ngai et al. (2008) highlights that little empirical
research has been conducted to study the use of information
technology applications to support logistics operations. Further-
more, it is expected that emergent technologies may also have
a significant impact on already complex multimodal logistics.
This is particularly important as Kengpol and Tuominen (2006)
highlight that new technologies have affected the practice and
significance of logistics management. For example, Dullaert et al.
(2009) work on multimodal transportation involving the com-
bined used of road transport and inland navigation recognise the
need for a communications platform to make possible the
integration and sharing of operational information in the supply
chain and to mitigate problems such as low reliability and quality
of mobile data connections. The solution envisaged by them
comprised a real-time decision support system in which intelli-
gent software agents handle communicative tasks, exchange
desired amounts of information among different users using
common exchange protocols, which act as translators between
different systems.
In order to cope with the strategic importance of ports,
significant investments in ICT have been taking place in recent
years. For example, ports are now becoming more technologically
advanced with the adoption of ICT such as GPS systems aboard
gantry cranes, ICT support for quay planning, routing of auto-
mated guided vehicles as well as equipment used for stacking of
containers and invoicing (Neade, 2008). But the attention to ports
using ICT is not recent. For example Kia et al. (2000) investigated
the importance of information technology and its role in improv-
ing cargo handling operational systems. They used a simulation
model to compare the productivity of a container terminal
equipped with electronic devices against a terminal without such
devices. The results of the simulation provided evidence that
helped to explain why container tracking systems are given high
priority among operational computer applications in ports.
ICT technologies including RFID, GPS-enabled devices, Cellular
Networks, 3G and Wi-Fi have provided enhanced levels of
visibility and connectivity for multimodal logistics. For example,
RFID has received significant attention by academics and practi-
tioners and several studies on RFID applications can be found in
the literature with particular emphasis on enhancing track and
trace capabilities. The work from Zhou (2009) highlights that
reasons why track and trace capabilities have become so impor-
tant can be linked to the fact that for many organisations, it is
becoming increasingly critical to know the status of an item
instantaneously, as well as knowing the processes it has gone
through and the history of transactions involved. The instanta-
neous status of an item includes identity, precise location,
physical status and other key features. On the other hand the
use of heterogeneous technologies can represent a burden to
business applications relying on them mainly because of pro-
blems related to reliability, connectivity, limited range, scalability
and security.
An element that has the potential to significantly shape
the future of multimodal logistics and in particular sea port
operations is Intelligent Transport Systems (ITS). In fact ITS
have become the next big initiative for the management of
transportation in Europe and other parts of the world. The
ERTICO research project (2007) encapsulated the concept of ITS
as the use of advanced ICT to achieve a reduction of congestion and
accidents while making transport networks more secure by redu-
cing their impact on the environment. Zomer and Anten (2008)
highlight that ITS relate to important challenges for improved
global supply chain design and operation, including real time
control, based on real-time data, which ultimately affects risk
and resiliency.
Among the various technologies used to support ITS, wireless
vehicle networks represent a fundamental component, which will
influence future transportation and logistics operations. Akaiwa
(1997) states that the growing importance of wireless vehicular
networks can be directly associated to the popularity and growth
of mobile wireless communications, where advancements in
wireless channel modelling techniques and the subsequent devel-
opment of sophisticated digital transmission methods make
possible to provide high data rate communications whilst adher-
ing to stringent Quality of Service (QoS) requirements.
The growing complexity of multimodal logistics operations in
ports and in particular the interdependencies between sea trans-
portation and road haulage represents a strong case for exploring
the efficient use of information and communication technology
(ICT). In particular technologies, which are key components of ITS,
such as wireless vehicular networks, which can impact the supply
chain needs more attention.
In the following sections we review the developments of ITS,
the nature of port operations and the potential effect of ITS on
multimodal operations. The objectives and research methodology
used are discussed followed by the analysis of an industrial case
study used to illustrate the role and contribution of ITS to
multimodal logistics through wireless vehicular networks in the
form of Dedicated Short Range Communication (DSRC). The case
addressed involves examining in detail tipping operations of bulk
material in a port terminal using event flow, mapping and
network simulation to demonstrate the feasibility of wireless
vehicular networks to support data traffic, which is representative
of track and trace capabilities needed in complex multimodal
logistics operations such as those taking place in sea ports.
2. Intelligent transport systems (ITS), wireless vehicular
networks and the potential to affect multimodal operations
In recent years, ITS have emerged as an initiative that will not
only transform transportation by enabling Vehicle-to-Vehicle
(V2V) and Vehicle-to-Infrastructure (V2I) communications but
A.E. Coronado Mondragon et al. / Int. J. Production Economics 137 (2012) 165–175166

also the overall efficiency of logistics operations. In fact, it has
been recognised that in logistics, ITS play an important role in
achieving paperless information flows; however, the crucial role
that ITS play in achieving reliable, flexible, green, sustainable, safe
and secure logistics has not been fully researched (Zomer and
Anten, 2008). Current and upcoming European freight transport
action plans do not fully recognise the unique and crucial role ITS
plays in logistics (Zomer and Anten, 2008), as most of the present
research on ITS has focused on traffic control, incident detection
and accident prevention.
ITS relying on wireless vehicular networks have the potential
to become the platform that overcomes problems related to
technology proliferation like reliability, connectivity, limited
range, scalability and security. This is important as according to
Shanbaq (2007) modern companies are experiencing data over-
load as a consequence of using many disparate new technologies
and are seeking a unified operating picture for situational
awareness.
In recent years academic and practitioners in the field of
transportation have started to address the importance of wireless
vehicular networks. For example, Mobile Adhoc Networks com-
prise the intelligent infrastructure required to enable vehicles
communicate with other vehicles near them as well the infra-
structure to deliver intelligent control and safety applications and
location-based services (Blythe, 2005). Jiang and Delgrossi (2008)
emphasise that vehicular environments impose a set of new
requirements on today’s wireless communication systems. It has
been highlighted that vehicular safety communications applica-
tions cannot tolerate long connection establishment delays before
being enabled to communicate with other vehicles encountered
on the road. Similarly, non-safety applications also demand an
efficient connection setup with roadside stations providing ser-
vices. In the future terminal operators and road haulage compa-
nies will benefit from services available in such networks to make
more efficient handling cargo inside a port.
In the ITS context, Dedicated Short Range Communication
(DSRC) at 5.9 GHz promises to become a reliable wireless vehi-
cular network platform to support road safety needs but also non-
safety applications such as those required in logistics operations.
DSRC is based in the IEEE 802.11p standard, designed to handle
different types of service applications, including the transmission
of both safety and non-safety messages into two modalities: V2V
and V2I.
Regarding the considerations for setting a wireless vehicular
network, in DSRC there are two types of messages transmitted:
Wireless Access for Vehicular Environment (WAVE) Short Mes-
sages (WSM) and IPv6 traffic. WSM messages involves low
latency and critical safety-related messages assuming a real-time
propagation while IPv6 traffic is generally related to commercial
services such as download or streaming of data. To allow Internet
Protocol (IP) traffic, the discovery of IP addresses (WAVE, 2005)is
performed by generating a global IP address with the Media
Access Control (MAC) address and the IP prefix advertised by the
current roadside infrastructure (Farradyne, 2005). A timer value is
assigned to this IP address so when the timer expires, the IP
address is no longer valid. If the vehicle attaches itself to a new
roadside infrastructure, a new IP address based on the new IP
prefix must be generated.
DSRC has been developed to provide high-quality roadside-
vehicle communication services for intelligent highways (Cai and
Lin, 2008). The deployment of this technology could address
several needs including seamless information exchange, security
and integrity of information exchanged or the capacity to forecast
accurate travel times (Nyquist and Bergsten, 2008). It has been
documented that DSCR is a technology that offers better perfor-
mance than cellular and satellite systems for most important
applications found in the market comprising probe data, mileage
user fees, signage, tolls, traffic data and V2V safety (Marousek
et al., 2008).
The hardware components of a DSRC vehicle network operat-
ing at 5.9 GHz, fundamental for developing the logistics capabil-
ities of ITS, include On-Board Units (OBUs), Roadside Units (RSUs)
and Message Switches. Other components include Network Man-
agement Units, Certification Authorities and Map Servers. An On-
Board Unit (OBU) comprises a hardware module installed within
the vehicle, which includes a 5.9 GHz DSRC transceiver, a GPS
location system, a processor for application services and a human
machine interface (HMI). A wide range of applications generated
at the OBU can be formatted as IP traffic and propagated using an
available DSRC service channel. The Road Side Unit (RSU) is
considered to be the gateway between the fixed infrastructure
and vehicles. RSUs comprise a DSRC transceiver, a GPS location
system, an application processor and a router that is attached to
the fixed network. RSUs comprise roadway, toll collection, park-
ing management and commercial vehicle check. The RSU periodi-
cally broadcasts advertisement messages within its radio
transmission range to make neighbouring vehicles aware of its
presence. The function of the message switch is to handle and
parse all the data intended to reach any network element. It also
performs message management and subscription operations
according to the message’s priority for efficient bandwidth
distribution.
Currently DSRC technology is commercially utilised in electro-
nic toll collection (etc) applications (Cai and Lin, 2008). Another
use of DSRC technology includes building-up seamless roadside
communications systems, as it can be used for mobile informa-
tion transmission (Cai and Lin, 2008). Road safety has been seen
as a major use of DSRC. The European Union (EU) has set an
ambitious traffic fatality reduction goal. According to Alexander
and Ippoliti (2007) if the EU concludes that DSRC technology
could contribute significantly to that goal, then it is likely that
financial or legislative incentives might be released to deploy the
necessary infrastructure. Under the sponsorship of national gov-
ernments DSRC can become the next platform to enable ITS
through the exchange of information between vehicles and road
side infrastructure.
Given the wide implications of ITS, in recent times, researchers
and practitioners have started to investigate the economic impli-
cations and benefits of ITS and wireless vehicular networks. Kim
and Kang (2007) state that providing real time traffic information
is a key for effective implementation of ITS. For this reason they
focused on the economic evaluation of recent technological
trends involving DSRC applications for ITS in Korea’s City Bus
Information System (CBIS) and ETC Systems. Regarding the study
of the socio-economic impact of ITS, Juan et al. (2006) introduced
a case study to demonstrate the use of data envelopment analysis
to analyse the socio-economic impact of convoy driving systems
when cost-benefit analysis is the dominant method for evaluating
ITS and other transport engineering projects.
The continuous growth in the adoption of vehicle telematics
and communications solutions can be a major catalyst in widen-
ing the adoption of ITS services based on DSRC wireless vehicular
network technology. At present there are about 700,000 com-
mercial telematics subscribers in Europe and this may reach to
over 1.7 million by 2012 (Marousek et al., 2008). It is expected
that revenue for commercial telematics services will rise to
US$900 million in 2012, from a 2006 level of US$412 million
(Practel, 2008).
Security is also an element that has been evaluated when
considering the deployment of wireless vehicular networks in
locations such as ports. Coronado Mondragon et al. (2009)
addressed the modelling of secure access architectures when
A.E. Coronado Mondragon et al. / Int. J. Production Economics 137 (2012) 165–175 167

investigating the feasibility of using a wireless vehicular network
in a multimodal logistics environment as means of providing
enhanced visibility and connectivity. This is important as the
deployment of next generation wireless vehicular networks
require secure access architectures to provide a high degree of
security.
Sea ports represent sites, which can receive a major impact
from wireless vehicular networks as sea ports carry out complex
logistics operations. Modern sea ports may comprise areas of
several thousand square metres with berths long enough to
receive large vessels carrying all sort of goods. For example, the
Port of Hong Kong—Kwai Tsing Container Terminal—has a berth
length of 5000 m, space for 14 berths and a total area of
1.4 million square metres. The complexity of operations under-
taken at Kwai Tsing Container Terminal has motivated the
adoption of sophisticated ICT solutions to guarantee the high
performance of all operations undertaken in the terminal.
Another element why technology such as DSRC could be
adopted in major port operations is the emerging importance of
portentric operations and logistics. According to Neade (2008)
portcentric is seen as a way to rationalise the supply chain by
driving down the delivery costs per unit. In portcentric operations
it is expected that road hauliers, port/terminal operators and
shipping companies rely on ICT at different levels. However, ports
operate in a multi-faceted environment, which has been rated as
inadequate and characterised by delayed information exchanges
(Nyquist and Bergsten, 2008). Moreover, according to Portcentric
Logistics (2009), ports have traditionally been seen merely as
points at which the transport mode changes from sea to road or
rail. Ports are also viewed as a source of additional cost within the
supply chain, a bit of a ‘black-hole’, which swallows-up cash for
quay rent and other idiosyncratic items like ‘Lo–Lo’ (Lift on–Lift
off) charges (Portcentric Logistics, 2009). In the UK, some ports
are actively encouraging companies to locate distribution centres
at ports rather than in their traditional locations, which tend to be
in geographically central, inland locations. They argue that
current patterns of (inland) distribution centre location ignore
the fact that most of the freight that passes through these
distribution centres first has to go through a port (Mangan
et al., 2008 ). DSCR can affect key facilities in a port such as
electronic logistics management systems, facilities to ensure and
enhance safety and security, facilities to simplify administrative
and customs procedures. Overall, for transport systems in a
sea port wireless vehicle networks such as DSRC have the
potential to become the background infrastructure where differ-
ent multimodal logistics players can exchange data like as shown
in Fig. 1.
The adoption of ITS services running on wireless vehicular
networks such as DSRC has great potential given the inherent
characteristics of the road haulage industry. For example, in
Europe trucking is predominantly short-haul (Practel, 2008) with
most hauliers moving cargo within their own national borders
(InnovITS, 2008). This situation observed in Europe describes
perfectly the use of road haulage around ports (short-haul).
The next section presents the objectives and methodology
followed to test the feasibility of deploying wireless vehicular
networks—DSRC within the working conditions of a modern port.
The results are discussed followed by recommendations and
conclusions.
3. Research methodology
In the previous sections we have provided arguments to
support the idea of deploying an ITS-related wireless vehicular
network in the form of DSRC to assist in multimodal logistics
involving road haulage and sea transportation commonly found in
sea ports. Next, we need to explore how feasible it is for DSRC-
based wireless vehicular networks to support the needs of multi-
modal logistics found in ports. Hence, the objective of this work is
to use a number of tools to test the feasibility of ITS to support
real-time data traffic related to the exchange of messages, which
are representative of the flow of events taking place in multi-
modal logistics and which can be associated to high-impact
capabilities with economic repercussions such as track and trace.
This will assist us to identify the role and contribution of ITS
through wireless vehicular networks to multimodal logistics
taking place in sea port facilities.
In order to meet the objective of this work, the methodology
employed incorporates a case study supported by the use of
process mapping and modelling/simulation. The methodology
employed in case-study research has been thoroughly explained
by
Yin (1994). Generally, the case-study has some longitudinal
dimension since it is conducted over a period of time. A ramifica-
tion of case-study is the site visit, which was also used in this
study. Seaman (1999) provides a detailed description of the use of
a site visit in research. According to her, a site visit is planned to
obtain first-hand information from tours of specific facilities and
services, interviews with individuals or groups, or observations of
specific activities at the site. In addition, the site visit can be used
to obtain reports, brochures, and examples of products or services
made available at the site. Site visits provide the opportunity to
obtain first-hand information about users or activities in a
particular setting. Another benefit is the ability to evolve the data
collection strategies on site, depending on the topics the evaluator
determines are important to probe for additional information
(Seaman, 1999).
Important components of the case study methodology adopted
for this research are the use of process mapping and modelling
and simulation. Process mapping as employed in this work
comprises the use of rich picture techniques as used by Roh
et al. (2007) and a multi-stage information flow mapping. On the
one hand rich picture facilitates the understanding of the role of
sub-systems in port logistics process (Roh et al., 2007), whilst
information flow mapping relates to the characteristics of a
specific business process. Moreover, mapping has been embraced
in ITS research and examples include fulfilling information needs
by mapping information systems into service architectures
(Levi
¨
akangas et al., 2007). These two approaches emphasise
information and material flow, as in value stream mapping. The
use of value stream mapping in logistics/supply chain manage-
ment analysis can be found in Coronado and Lyons (2008).
In this work process mapping is followed by the use of
network modelling to model the elements comprising the topol-
ogy of the wireless network that will be supporting multimodal
operations in a sea port. Modelling and simulation have been
widely used in the analysis of multimodal transportation. Parola
and Sciomachen (2005) acknowledge that discrete event simula-
tion models are commonly used for capturing the synchronisation
processes between the handling resources and the arrivals and
departures of vessels, trains and trucks, since the complexity of
resource allocation rules and the variety of stochastic processes
involved make almost impossible the use of analytical
Fig. 1. DSRC as the platform that can be used to support data exchange among
different users of the port.
A.E. Coronado Mondragon et al. / Int. J. Production Economics 137 (2012) 165–175168

approaches. They address how to face the impact of sea traffic
growth on land infrastructures involving the degree of saturation
of railway lines and the level of congestion of truck gates. In this
work modelling enables the possibility to investigate the most
important characteristic of a wireless vehicular network in multi-
modal logistics: the reliable data transfer between vehicles and
road side units. Network modelling is used to illustrate the
potential of a wireless vehicular network configuration of hand-
ling increased volumes of data traffic with minimum degradation
levels, which is critical to maintain high levels of track and trace
capabilities. Additionally, it is possible to analyse the system
performance when multiple users try to request network access
concurrently.
Considerations for the deployment of wireless vehicular net-
works such as DSRC in multimodal logistics are based on the
recognition that ‘‘logistics, in particular distribution, faces an
static environment as well as dynamic environment, and a
complete logistics distribution system not only needs static data
but also real-time dynamic knowledge to carry on real-time
intelligent scheduling, dynamic routing planning and so on’’ (Liu
et al., 2006). We believe the approach followed in the case
presented in this paper is relevant as research on ITS and wireless
vehicular networks has concentrated mainly on vehicular safety
communications applications and little on investigating multi-
modal logistics. In the particular case of DSRC, the primary goal
has been to enable public safety applications that can save lives
and improve traffic flow (Jiang and Delgrossi, 2008).
Track and trace of haulage operations can have a major impact
on haulage operations in a sea port. In sea ports haulage opera-
tions have their very own particularities, for example, containers/
trailers emphasise eliminating/reducing idle time associated with
loading/ unloading a container box, hence the need to make sure
trucks leave the terminal premises in a short period of time.
Unloading/loading solid bulk material represents a complex
activity that requires dedicated resources in order to complete
the task in the most efficient way. For example, unloading bulk
materials such as coal, fertilizers or biomass requires allocating a
number of haulage vehicles that will move material from the
tipping point to bulk material depots likely to be located within
the geographic confinements of the port. However, because of the
volumes of bulk material transported by vessels (e.g. 50,000 t)
several trucks need to be allocated to an unloading operation. Of
all logistics operations carried out in a port, bulk operations can
receive a major upgrade from the adoption of wireless vehicular
networks as it appears that major technological developments
involving ports have addressed mainly container operations.
The case presented here is based on the operations taking
place in one of the four ports comprising the Humber region in
North East England. These ports handle commodities of a diverse
nature including bulk and forest products, fresh produce and
perishables, general cargo, minerals and ores, steel and other
metals, also Ro–Ro (roll-on/roll-off, e.g. finished vehicles logis-
tics), containers and liquid bulks.
During a period of 10 months several visits to the site
including five interview sessions with managers in the Operations
and ICT departments, as well data collection and access to data
sets took place in order to have a detailed understanding of the
operations carried out on the site, as well as to identify the
information needs of multimodal logistics.
A practical example where a wireless vehicular network could
be deployed is in the allocation of trucks to tipping operations
involving dry bulk materials from a vessel docked in a given berth
(point of discharge) to a number of depots/ warehouses (open or
closed) within the port. The particularities of the use of road
haulage in unloading operations of bulk material carried by small,
medium and large vessels suggest that the adoption of
technologies such as wireless vehicular networks would enable
different applications used by road hauliers, shipping lines and
terminal operators to get and send real-time data from/to haulage
vehicles. In Fig. 2, specific information systems applications such
as daily operation plans or haulage unloading control could use
DSRC to know the exact location of bulk material road hauliers.
The bulk terminal investigated is a deep-water location with
300 m long berth where ships are unloaded or loaded by the
terminal’s mobile quay cranes. Additional bulk handling capabil-
ities are available at the terminal’s enclosed dock with a total
198 m long berth and with the capacity to handle vessels of a
maximum DTW of 38,000. As part of the services available
general quayside warehousing is available representing a total
of 30,000 m
2
of high-quality bulk general purpose warehousing
and extensive open storage.
4. Mapping and information requirements of bulk material
handling
The identification of logistical processes through mapping is a
key activity in the deployment of ITS through DSRC-based wire-
less vehicular network within a port. A mapping activity requires
the involvement of players such as road hauliers and port/
terminal operators. Mapping has the purpose of identifying the
flow of information and the flow of material. But in particular,
mapping the flow of information involves identifying information
needs as well as identifying the capabilities required of informa-
tion exchange between vehicles and RSUs, and the possibility of
updating enterprise systems of different players in the supply
chain with the resulting increase in visibility levels.
The best way to test the feasibility of deploying ITS through
wireless vehicular network technology is to actually get involved
with a port terminal operator and investigate the current state of
the use of ICT to support running multimodal logistics operations.
Fig. 3 shows a rich picture diagram for the tipping of bulk material
using road haulage vehicles.
As a vessel approaches the port, the information regarding
cargo documentation is transmitted to the terminal operator,
which is responsible for selecting the docking berth for the vessel
to be unloaded, checking the availability of cranes and other
tipping equipment and allocating trucks from a group of 20
internal road haulage companies. The terminal operator generates
a spreadsheet with details containing date, contract, day, opera-
tion destination and time. Details are passed to the weighbridge
controller who tells a truck where, of the available sites, to go to
unload its bulk cargo. In case a mistake is identified during
Fig. 2. DSRC becoming the platform that links vehicles and enterprise applications.
A.E. Coronado Mondragon et al. / Int. J. Production Economics 137 (2012) 165–175 169

weighing – taring – a truck is asked to return with its cargo to the
tipping point to solve the error. After returning to the tipping
point, the truck has to go back to the weighbridge to weigh in and
receive unloading instructions.
In Fig. 3 the cycle of loading a truck, weighing – taring –
discharging goods and returning to collect a new load normally
takes 20 min. Materials handled can include coal, animal feed,
fertilisers but also hazardous materials, which demand close track
Fig. 3. Rich picture for tipping of bulk material in port operations.
Fig. 4. Decision flow diagram for tipping bulk material in a port.
A.E. Coronado Mondragon et al. / Int. J. Production Economics 137 (2012) 165–175170

and trace that can be achieved with wireless vehicular networks
and its IP capabilities. Fig. 4 shows a decision flow diagram
representing the logic behind the use of trucks to unload bulk
material, from a vessel to a specific depot within the geographic
confinements of the port.
A multi-layer map of the process associated to the tipping of bulk
material is shown in Fig. 5. Layers included in the representation of
information and material flows include the shipping line, the
terminal operator, which is in charge of tipping operations, the
weighbridge station, which verifies the product moved, the haulage
companies and the depots where material is unloaded.
The current state of ICT capabilities available to the terminal
operator comprises the use of an Excel spreadsheet called ship-
ping plan. For a vessel to be unloaded, this plan shows the agreed
unloading plan with holds emptied and cleaned as well as key
details such as weight and times. Additionally, the shipping plan
requires an extra spreadsheet showing the number of trucks from
haulage companies allocated to an unloading plan as well as
details already mentioned such as date, contract, day, operation
destination and time.
Present haulage operations involve a high degree of manual
intervention as instructions in paper are given to truck drivers
about the various depots they have to take their bulk load. There
are no means available to know if truck drivers are following the
instructions given and delivering their bulk load to the specified
depot. Some customers of certain bulk materials such as biomass
demand constant monitoring of an unloading operation. Given
the conditions mentioned above the whole operation is suscep-
tible to error, as drivers may end up transporting a bulk load to
the incorrect depot/site. In the port operations observed there
were three different open deposits for bulk products and one bulk
covered warehouse. It is evident visibility of moving material is
absent from the current state of operations.
The lack of a technology and support applications that can be
used for real-time track and trace can have several economic
implications. Mistakes associated to the incorrect dumping of bulk
material in wrong sites may result in delays to vessel departures.
Another implication is the inability to provide accurate billing to
customers. A key implication is the need for real-time updates and
accuracy on truck drivers and operators payments (truck drivers
are paid by tonnage moved). Other implications of having ITS
through a wireless vehicle network supporting haulage operations
in a sea port include the possibility to have an accurate register of
haulage traffic entering and moving within the port premises as
well as for highway code enforcement.
Bulk tipping is an operation that can benefit from the cap-
ability to provide real time track and trace hence the challenge to
have a network robust enough to support the data traffic
associated to the continuous exchange of messages between the
haulage vehicles and the road side units within the port. The
information requirements that need to be transmitted to support
tipping operations are depicted in Table 1. The schema repre-
sented in Table 1 constitutes a basic structure, which can be used
to monitor the flow of vehicles moving bulk cargo within the
confinements of the port.
Fig. 5. Multi-layer map associated to the process of tipping bulk material.
Table 1
Road haulage tipping of bulk material requirements.
Notation Description
Dt Date
Ct Contract
Dy Day
Op Operation
Tm Time
Tn Tonnage moved
Od Operator identifier
Ri Road hauler identifier
Cp Current position
A.E. Coronado Mondragon et al. / Int. J. Production Economics 137 (2012) 165–175 171

The identification of requirements is necessary to set guide-
lines regarding the description of information and the size of files
exchanged, the frequency of updates plus the capacity of the
network to handle data traffic. The particularities of the tipping of
bulk material process include: a contract number, which is unique
to the vessel to be unloaded and to the bulk material handled; up-
to six vessels carrying bulk material can be docked and unloaded
at any given time and several haulage vehicles can be allocated to
a contract number involving unloading operations. Limitations
that can take place during the tipping of bulk material include
trucks remaining idle for long periods of time and restricted
monitoring capabilities of material moved.
5. Simulation and application of wireless vehicular networks
in support of bulk materials handling
The purpose of the wireless vehicular network is to enable
data traffic associated with the exchange of messages between
haulage vehicles and road side units as representative of track and
trace capabilities required in the port. The model proposed in this
simulation takes into consideration the IPV6 traffic capabilities of
wireless vehicular networks like DSRC.
The network simulation makes possible to demonstrate the
effects when mobile nodes exchange data with the port server
(hosting an application) through roadside units. Fig. 6 shows
the proposed network superimposed over the map of the port
terminal with the area covered approximately 1.5 miles long by
1 mile wide. It is important to note here that DSRC is expected to
provide coverage over a range of up to 1000 m (NHTSA, 2005).
The proposed network is comprised by four WLAN access points
connected through an IP cloud, which represents the core of the
network. The four routers set in the configuration are of the
WLAN Ethernet type.
The mobile nodes in this case represent haulage trucks used in
the tipping of bulk material. The nodes are of the wireless LAN
workstation type. In an initial trial only one truck was included in
the simulation, and then followed by 10, 20 and 30 trucks. Mobile
nodes use defined trajectories to roam through all four access
points in the network. The network supports reliable data transfer
between haulage vehicles (deploying onboard units—OBU) and
the port server (reliable data transfer between a remote work-
station and the centralised data repository).
A simple tipping configuration consisting of one tipping crane,
one weighbridge location and one open bulk depot has been
considered for the simulation and application of wireless vehi-
cular networks in support of bulk materials handling. Using this
simple configuration it is possible to have up to a maximum of 10
trucks allocated to a tipping operation without experiencing
physical bottlenecks during the process. In this scenario the
tipping of bulk material cycle for a truck is 20 min.
Apart from the network configuration chosen for simulating
data transfers related to the tipping of bulk material, a key
component required relates to the design of an application/
service to estimate the total average response time while con-
sidering the processing time at each tier process. OPNET
s
(2009)
Application Characterisation Environment (ACE
s
) whiteboard
tool was used to assemble the application/service. Within a
simulation networking environment, the ACE
s
whiteboard is a
valuable tool fit to assess the behaviour of different tier processes.
The intention of using an analysis module such as ACE
s
is to
provide the necessary tools to analyse the performance of a whole
communication process by simulating an application tier flow
within the deployed network topology.
For the purpose of the simulation work, it is assumed that the
data that needs to be exchanged between the OBU inside the
haulage vehicle and the RSUs where data flow to/from the port
server is about the same size (bytes) as the records that include
the fields stated in Table 1 (date, contract, days, operation,
Fig. 6. Layout of the simulated DSRC-based network.
A.E. Coronado Mondragon et al. / Int. J. Production Economics 137 (2012) 165–175172

destination, time, tonnage moved, operator identifier, road haul-
ier id and current position). An ACE
s
process lasting 0.455 s is
used to illustrate the potential of the above wireless configuration
of handling increased volumes of data traffic with minimum
degradation levels, which is critical to maintain high levels of
key ITS properties such as track and trace capabilities. Assump-
tions for the simulations included vehicles (trucks/mobile nodes)
travelling at low speeds (30 mph) and which is the speed limit
within the port premises. The results of the associated response
time for 1, 10, 20 and 30 trucks are presented in Fig. 7. Reasons for
an increase in vehicles include serving a large vessel or more
ships docked in short distance from each other.
The application response time shown in Fig. 7 is the round trip
time it takes for a message originated in the vehicle destined to the
application server. The exchange of messages is represented as an
ACE
s
tier process from the origin to the destination and which is
deployed in the network topology as defined in the OPNET
s
Wireless Modeller Suite project editor. Mobile IP protocol was
adopted for the simulations. If one truck is being employed, the
application response time associated equals 1.5 s. If 10 trucks are
allocated within the first five minutes of the simulation time, the
response time goes up to 3.6 s, before stabilising to less than 2 s
after 15 min of simulation time. If 20 trucks happen to be allocated
to a tipping job and running the web service application, the
application response time experienced would be in the order of 4 s,
before stabilising to 2.3 s after 15 min of simulation time. When
the total number of trucks employed increases to 30 trucks the
initial application response time climbs to 4.6 s within the first 5 s
of simulation time and after that it starts to stabilise until it
reaches a response time of 2.7 s.
An important aspect to highlight here is that although the
length of the simulation period was one hour, the results show
that the application response time stabilises in the first 15 min of
starting a job and the difference between running one truck or 30
will be a delay of 1.2 s (see the tails of the graphs shown in Fig. 8).
The results of the simulation of the data traffic for the
proposed network involving trucks allocated to tipping jobs are
shown in Fig. 8. Messages are short in size, have a period of
repetition of 30 s and are not considered stream applications.
The results of the data traffic flow analysis/simulation show
that the traffic associated to a single vehicle is stable at all times
at less than 500 bytes/s. If 10 trucks are doing a job, the expected
data traffic obtained is in the order of 2.5 Kbytes/s. The corre-
sponding data traffic for 20 trucks is 5Kbytes/sec and for 30 trucks
is 7.5 Kbytes/s. In the cases for 10, 20 and 30 trucks it was
possible to observe that there were high volumes of data traffic
levels at the beginning of the simulation but those levels stabi-
lised within the first five minutes.
The results show that ITS through a wireless vehicular network
technology such as DSRC, which has received attention in terms of
being used to reduce traffic accidents and road congestion, has
the potential to be used to support multimodal logistics,
Fig. 7. Application response time for 1, 10, 20 and 30 trucks.
Fig. 9. Increases in bulk tipping cycles from 1 to 30 trucks.Fig. 8. Application traffic flow for 1, 10, 20 and 30 trucks.
A.E. Coronado Mondragon et al. / Int. J. Production Economics 137 (2012) 165–175 173

especially in port site operations that require haulage trucks
allocated to job contracts that can last for many hours or the
time needed to unload a vessel carrying bulk material. The delays
of 2.7 s are adequate, given the size of the area covered.
Although tipping of bulk material is a manual-intensive
activity, still the use of sophisticated information systems can
provide detailed monitoring capabilities to avoid costly mistakes
such as materials taken to the wrong destination, weighbridge
instructing vehicles to return to tipping position because of wrong
instructions or handling of hazardous materials to mention just
three examples.
Demonstrated that a wireless vehicular network might be
capable of handling the data traffic related to increases in the
use of trucks allocated to tipping operations, the main physical
constraint is actually represented by the capacity of the crane
used in the tipping of bulk material and to a lesser degree the
capacity for checking weight (taring) and unloading material. In
the simple bulk tipping configuration considered in this work,
delays start to occur when more than 10 trucks are used in the
unloading operation. In this case delays of two minutes start to
occur for every truck added to the bulk tipping operation. Hence,
for 20 trucks the bulk material cycle reaches 40 min and for 30
trucks the bulk material cycle reaches 60 min. Fig. 9 depicts both
the increase in the cycle of tipping bulk material if the number of
trucks allocated to a tipping operation goes up and the previously
presented response time experienced by the wireless vehicular
network for handling 10, 20 and 30 trucks.
The graph shown in Fig. 9 is relevant as haulage trucks associated
to bulk tipping share the roads with other vehicles. Hence it is
important that the wireless vehicular network is capable of handling
high data traffic levels for the needs of all road users.
6. Further research
Further research work is required for investigating different
ways to optimise the number of elements comprising the wireless
vehicular network used to support multimodal logistics opera-
tions for road haulage and sea transportation. In the meantime
the results of the simulations presented in the paper support the
idea of deploying ITS through wireless vehicular networks such as
DSRC to enable the continuous monitoring of haulage vehicles in
sea port facilities. This might be possible as the wireless vehicle
network is capable of handling the data traffic associated to the
exchange of messages between the haulage vehicles and the road
side infrastructure and which can be associated to track and trace
capabilities.
Future research work will have to consider costs, as they are
an important issue when it comes to evaluate the deployment of
wireless networks. Karnik and Passerini (2005) acknowledge that
corporations have been found to consider wireless installations
based on the lower total cost of ownership (TCO) and return on
investment (ROI) scenarios. They also highlight that immediate
benefits also include data accuracy and increases in user produc-
tivity. In the case presented in this paper, the elimination of costly
penalties associated to delays in vessel departures or mistakes
associated to incorrect billing of customers are key incentives for
the deployment of ITS through wireless vehicular networks. Also
we consider that the government sponsorship will be fundamen-
tal to the wide deployment of ITS/wireless vehicular networks
outside road safety applications.
7. Conclusions
In the near future wireless vehicular networks promise to have
a major impact on how transportation and logistics operations are
run. In order to achieve the role and contribution of ITS the
identification of information and material flows through mapping
is an important step towards defining a methodology to imple-
ment wireless vehicular networks—DSRC. The role and contribu-
tion of ITS through wireless vehicular networks may include the
capability to provide instant real-time tracking and tracing, which
can reveal if goods are delivered/collected to/from the right place,
as well as real-time updates to corporate information systems,
increased security, theft prevention, increased vehicle utilisation,
driver/operator monitoring, etc. representing a change of para-
digm on how the supply chain can be managed. Data traffic is key
to support all of the above. A large scale deployment of ITS
through wireless vehicular networks such as DSRC would allow
ubiquitous access to information. However, prior to large scale
deployments taking place, testbeds will have to be deployed to
run a number of trials and to know what sort of results will be
achieved. In the particular case of wireless vehicular networks
such as DSRC, a challenging scenario to deploy a test bed is
represented by multimodal logistics comprising road and sea
transport. The same methodology used in the analysis of bulk
materials can be applied to other operations involving Ro–Ro and
containers as well as bulk liquids.
To consider ITS through wireless vehicular networks such as
DSRC in tipping operations as discussed in this paper is just one
component of a supply chain characterised by high volumes and
long lead times. However, the same technology has the potential
to impact other types of supply chains such as those with low
volumes and short lead times, which demand even higher levels
of visibility. An example can be the handling of hazardous
materials. In this research, the use of simulation represents an
appropriate method to identify the capability of a wireless
vehicular network to support real-time data traffic related to
the exchange of messages, which are representative of the flow of
events taking place in sea port multimodal logistics. The data
traffic can be related to the schema containing date, contract, day,
operations, destination, time, tonnage move, operator identifier,
road hauler id and current position. The same technology can also
be applied to other multimodal operations such as handling of
containers and Ro–Ro.
The adoption of mobile communications in IP based networks
can have a major impact on improving the efficiency of multi-
modal logistics operations especially at a time where government
agencies are engaged in launching initiatives that will contribute
towards efficient freight transportation and better use of
resources. In recent years and as part of their own ITS initiatives,
the US, Japan and Europe have emphasised the future adoption
and deployment of emerging wireless vehicular technology such
as DSRC to enable vehicle integration with the possibility of
achieving significant reduction in road congestion, traffic acci-
dents and vehicle wear.
Although the deployment of technologies such as Global Posi-
tioning Systems (GPS), cellular networks and Wi-Fi among others
have had a significant impact on track and trace capabilities, the fact
is that multimodal transport needs still can benefit from ITS through
wireless vehicular networks such as DSRC for efficient operations.
DSRC can become the infrastructure where data are exchanged
between interested parties and hence, play a part in the definition of
the role and contribution to ITS in logistics.
Acknowledgements
A.E. Coronado Mondragon and C.S. Lalwani were supported by
the UK’s Engineering and Physical Research Council (EPSRC)
under grant EP/F067119/1.
A.E. Coronado Mondragon et al. / Int. J. Production Economics 137 (2012) 165–175174

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