Profitability of the Northern Sea Route for liquid bulk shipping under post 2020 sulphur regulations

2020 ◽  
Vol 31 (2) ◽  
pp. 313-332
Author(s):  
Tuomo Keltto ◽  
Su-Han Woo
Keyword(s):  
Spot Market ◽  
The Arctic ◽  
Future Research ◽  
Estimation Model ◽  
Content Type ◽  
Freight Rates ◽  
Northern Sea Route ◽  
Financial Perspective ◽  
The Baltic ◽  
Regulation Compliance

PurposeThe purpose of this study is to evaluate the profitability of the Northern Sea Route (NSR) as a shipping lane from the financial perspective of shipping companies under post 2020 sulphur regulations.Design/methodology/approachThis study develops profit estimation model, and the profitability of the NSR is assessed for a Handymax Medium Range (MR) tanker vessel using scenarios in combination with spot market earning levels, the regulation compliance method and destination ports. The required freight rates are calculated to justify the decision of shipowners to transit a tanker from the Baltic spot market to the NSR navigation.FindingsResults suggest that the required freight rates from the Arctic trade to justify the transit to the NSR are higher than the actual agreed rates in the past, which implies low viability of the NSR as a regular shipping lane. It was also found that the required freight rates are affected by the spot market earning levels, compliance method and duration of the voyage.Research limitations/implicationsThis study takes a new approach on assessing the NSR viability by comprehensively assessing the annual profitability and including the spot market trade as an opportunity cost for the NSR shipping. Despite various scenarios used in this study, a sensitivity analysis would be useful for future research.Practical implicationsThis study suggests how much freight rates a shipping company would need to charge if it were to offer tanker shipping services to four major Asian ports while simultaneously operating at the Baltic Sea during the remainder of the year.Originality/valueThis study adopts a market-oriented approach by incorporating both earnings and costs (including opportunity costs) in the profitability model rather than merely analyzing the total cost of shipping via the NSR. This study also analyzes impact of IMO 2020 Sulphur regulation on the NSR profitability.

Moscow will press Arctic claims with law and military

2017 ◽  
Keyword(s):  
The Arctic ◽  
Competitive Environment ◽  
Resource Base ◽  
Content Type ◽  
Technology Transfers ◽  
Northern Sea Route ◽  
Military Presence ◽  
Territorial Claim ◽  
Defence Sector ◽  
Russian Military

Subject Russia's Arctic strategy. Significance Russia has identified the Arctic as a strategic priority and future resource base, and is working systematically to expand its territorial claim and consolidate control of the Northern Sea Route (NSR). While it seeks cooperation with like-minded Arctic states, it is upgrading its military capacity to defend its interests in what it sees as an increasingly competitive environment as outside players try to make inroads. Impacts NATO states will respond to Moscow's growing military presence by upgrading their Arctic capacity. Russian military expansion will be constrained by procurement delays affecting the defence sector generally. A relaxation in US sanctions would facilitate technology transfers for developing Arctic hydrocarbons deposits.

Brazilian Natura & Co: creating cosmetic powerhouse. Empirical evidence of competence-based synergies in M&A processes

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Andrejs čirjevskis
Keyword(s):  
Value Added ◽  
Annual Reports ◽  
The Arctic ◽  
Future Research ◽  
Content Type ◽  
Acquisition Process ◽  
Cultural Fit ◽  
Governance Systems ◽  
Market Value Added ◽  
The Impact

PurposeThis paper aims to operationalize and to test the ARCTIC (A – Advantage, R – Relatedness, C – Complexity of Competence, T – Time of Integration, I – Implementation Plan, C – Cultural Fit) framework to assess the prerequisites of competence-based synergy in the acquisition process. The current research provides new analyses of recent acquisitions in the global beauty industry where the ARCTIC framework was satisfied and where the ARCTIC model was NOT satisfied by decisive factors to get the acquisition's synergies. It allows readers to contrast two case studies and grasp how the framework works in greater detail.Design/methodology/approachThe current research relies on an extensive archival search that included financial statements, annual reports, internal documents, industry publications and CEO statements to get at a micro-level understanding. This boosts research data and the operationalization of the ARCTIC framework.FindingsThe research identified four steps for investigating whether core competence transfer in an acquisition process would be a source of competence-based synergies. The incorporation of real options into the synergy valuation measures market value-added arising from M&A deals.Originality/valueThe current paper contributes to theoretical and practical issues of global M&As as part of the existing literature of international business and strategic management. The impact on reciprocal synergies of agency problems, external interaction between CEOs in M&A deals, corporate governance systems and an executive compensation theory are promising areas of future research.

Polar Silk Road will reshape trade and geopolitics

2018 ◽  
Keyword(s):  
Climate Change ◽  
Natural Resources ◽  
Silk Road ◽  
The Arctic ◽  
Economic Viability ◽  
Global Supply Chains ◽  
Northern Coast ◽  
Content Type ◽  
Northern Sea Route ◽  
Strait Of Malacca

Subject Shipping in the Arctic between China and Europe. Significance Climate change is leaving Arctic waters navigable for longer periods, opening a new shipping route from East Asia to Europe along Russia's northern coast. Dubbed the ‘Polar Silk Road’ (PSR) in China and 'Northern Sea Route' (NSR) in Russia, it could eventually become an alternative to the main Strait of Malacca and Suez Canal route, altering global supply chains and geopolitics. Impacts The PSR's economic viability is premised on it being a reliable and safe route; that time is still far off. Melting ice will unlock new natural resources and commercial opportunities. The foremost use of the PSR initially will probably be for shipping resources extracted from the Arctic to markets elsewhere.

The Northern Sea Route as a Tool of Arctic Development

2019 ◽  
pp. 21-44
Author(s):  
Ju.V. Zvorykina ◽  
K.S. Teteryatnikov
Keyword(s):  
Economic Development ◽  
Oil And Gas ◽  
The Arctic ◽  
Arctic Zone ◽  
Investment Projects ◽  
Northern Sea Route ◽  
Important Region ◽  
Socio Economic Development ◽  
Asian Pacific ◽  
Simplified Procedure

The article is devoted to the analysis of the role of the Northern Sea Route (NSR) in the socio-economic development of the Arctic zone of Russia. The authors believe that climate change, gradually leading to the melting of polar ice, opens up new opportunities for the development of Arctic resources and navigation in the seas of the Arctic Ocean. Of particular interest to the NSR are non-Arctic countries, critically dependent on the supply of foreign mineral and carbon resources, as well as on the export of their goods to Europe. Among them, China stands out, considering the NSR as the Arctic Blue Economic Corridor as part of the global Silk Road system. The NSR is intended to become an essential tool for further development of the Arctic zone of Russia. Development of port infrastructure and creation of a modern ocean and maritime fleet will accelerate the pace of socio-economic development of this strategically important region. To do this, it is necessary to adopt a federal law on special system of preferences for investors, including foreign ones, implementing their projects in the Arctic. Among such preferences there are preferential profit tax rates, reduction in Mineral Extraction Tax (MET) rates, a declarative procedure for VAT refunds, a simplified procedure for granting land plots and unchanged conditions for the implementation of investment projects. In addition, it is important to make the NSR safe and profitable both in terms of quality of service and of price for the shippers. In particular, the payment for icebreakers’ escort of vessels should be competitive and reasonable. The largest Russian private and state-owned companies should be involved into Arctic projects. It is important to synchronize the Arctic oil and gas projects with nuclear and LNG icebreakers’ construction, as well as with the launch of two logistics hubs in Murmansk and Kamchatka. In this case, year-round NSR navigation will be organized, which will ensure the high competitiveness of Russian products supplied to the Asian Pacific markets.

scholarly journals Advantages and potential challenges of data management in e-maintenance

2019 ◽  
Vol 25 (3) ◽  
pp. 378-396 ◽  
Author(s):  
Arian Razmi-Farooji ◽  
Hanna Kropsu-Vehkaperä ◽  
Janne Härkönen ◽  
Harri Haapasalo
Keyword(s):  
Data Management ◽  
Design Methodology ◽  
Management Practices ◽  
Future Research ◽  
Conceptual Approach ◽  
Content Type ◽  
Different Types ◽  
Maintenance Systems ◽  
Industry Leader ◽  
Practical Implications

Purpose The purpose of this paper is twofold: first, to understand data management challenges in e-maintenance systems from a holistically viewpoint through summarizing the earlier scattered research in the field, and second, to present a conceptual approach for addressing these challenges in practice. Design/methodology/approach The study is realized as a combination of a literature review and by the means of analyzing the practices on an industry leader in manufacturing and maintenance services. Findings This research provides a general understanding over data management challenges in e-maintenance and summarizes their associated proposed solutions. In addition, this paper lists and exemplifies different types and sources of data which can be collected in e-maintenance, across different organizational levels. Analyzing the data management practices of an e-maintenance industry leader provides a conceptual approach to address identified challenges in practice. Research limitations/implications Since this paper is based on studying the practices of a single company, it might be limited to generalize the results. Future research topics can focus on each of mentioned data management challenges and also validate the applicability of presented model in other companies and industries. Practical implications Understanding the e-maintenance-related challenges helps maintenance managers and other involved stakeholders in e-maintenance systems to better solve the challenges. Originality/value The so-far literature on e-maintenance has been studied with narrow focus to data and data management in e-maintenance appears as one of the less studied topics in the literature. This research paper contributes to e-maintenance by highlighting the deficiencies of the discussion surrounding the perspectives of data management in e-maintenance by studying all common data management challenges and listing different types of data which need to be acquired in e-maintenance systems.

Sustainable supply chain management: continuing evolution and future directions

2019 ◽  
Vol 50 (1) ◽  
pp. 122-146 ◽  
Author(s):  
Craig R. Carter ◽  
Marc R. Hatton ◽  
Chao Wu ◽  
Xiangjing Chen
Keyword(s):  
Supply Chain ◽  
Supply Chain Management ◽  
Theory Development ◽  
Future Research ◽  
Sustainable Supply Chain ◽  
Unit Of Analysis ◽  
Chain Management ◽  
Content Type ◽  
Empirical Validity ◽  
Sustainable Supply Chain Management

Purpose The purpose of this paper is to update the work of Carter and Easton (2011), by conducting a systematic review of the sustainable supply chain management (SSCM) literature in the primary logistics and supply chain management journals, during the 2010–2018 timeframe. Design/methodology/approach The authors use a systematic literature review (SLR) methodology which follows the methodology employed by Carter and Easton (2011). An evaluation of this methodology, using the Modified AMSTAR criteria, demonstrates a high level of empirical validity. Findings The field of SSCM continues to evolve with changes in substantive focus, theoretical lenses, unit of analysis, methodology and type of analysis. However, there are still abundant future research opportunities, including investigating under-researched topics such as diversity and human rights/working conditions, employing the group as the unit of analysis and better addressing empirical validity and social desirability bias. Research limitations/implications The findings result in prescriptions and a broad agenda to guide future research in the SSCM arena. The final section of the paper provides additional avenues for future research surrounding theory development and decision making. Originality/value This SLR provides a rigorous, methodologically valid review of the continuing evolution of empirical SSCM research over a 28-year time period.

A benchmarking study of Indian seaports

2019 ◽  
Vol 13 (1) ◽  
pp. 88-102
Author(s):  
Sajeev Abraham George ◽  
Anurag C. Tumma
Keyword(s):  
Financial Performance ◽  
Future Research ◽  
Data Envelopment ◽  
Operational Parameters ◽  
Two Stage ◽  
Content Type ◽  
The Public ◽  
Port Authorities ◽  
Financial Performance Measures ◽  
The Government

Purpose The purpose of this paper is to benchmark the operational and financial performances of the major Indian seaports to help derive useful insights to improve their performance. Design/methodology/approach A two-stage data envelopment analysis (DEA) methodology has been used with the help of data collected on the 13 major seaports of India. The first stage of the DEA captured the operational efficiencies, while the second stage the financial performance. Findings A window analysis over a period of three years revealed that no port was able to score an overall average efficiency of 100 per cent. The study identified the better performing units among their peers in both the stages. The contrasting results of the study with the traditional operational and financial performance measures used by the ports helped to derive useful insights. Research limitations/implications The data used in the study were majorly limited to the available sources in the public domain. Also, the study was limited to the major seaports which are under the Government of India and no comparisons were carried out with other local or international ports. Practical implications There is a need to prioritize investments and improvement efforts where they are most needed, instead of following a generalized approach. Once the benchmark ports are identified, the port authorities and other relevant stakeholders should work in detail on the factors causing inefficiencies, for possible improvements in performance. Originality/value This paper carried out a two-stage DEA that helped to derive useful insights on operational efficiency and financial performance of the India seaports. A combination of the financial and operational parameters, along with a comparison of the DEA results with the traditional measures, provided a different perspective on the Indian seaport performance. Considering the scarcity of research papers reported in the literature on DEA-based benchmarking studies of seaports in the Indian context, it has the potential to attract future research in this field.

A systematic literature review of healthcare supply chain and implications of future research

2019 ◽  
Vol 13 (4) ◽  
pp. 405-435 ◽  
Author(s):  
Anuj Dixit ◽  
Srikanta Routroy ◽  
Sunil Kumar Dubey
Keyword(s):  
Supply Chain ◽  
Literature Review ◽  
Inventory Management ◽  
Cold Chain ◽  
Future Research ◽  
Research Papers ◽  
Content Type ◽  
Drug Manufacturing ◽  
Customer Training

Purpose This paper aims to review the healthcare supply chain (HSC) literature along various areas and to find out the gap in it. Design/methodology/approach In total, 143 research papers were reviewed during 1996-2017. A critical review was carried out in various dimensions such as research methodologies/data collection method (empirical, case study and literature review) and inquiry mode of research methodology (qualitative, quantitative and mixed), country-specific, targeted area, research aim and year of publication. Findings Supply chain (SC) operations, performance measurement, inventory management, lean and agile operation, and use of information technology were well studied and analyzed, however, employee and customer training, tracking and visibility of medicines, cold chain management, human resource practices, risk management and waste management are felt to be important areas but not much attention were made in this direction. Research limitations/implications Mainly drug and vaccine SC were considered in current study of HSC while SC along healthcare equipment and machine, hospitality and drug manufacturing related papers were excluded in this study. Practical implications This literature review has recognized and analyzed various issues relevant to HSC and shows the direction for future research to develop an efficient and effective HSC. Originality/value The insight of various aspects of HSC was explored in general for better and deeper understanding of it for designing of an efficient and competent HSC. The outcomes of the study may form a basis to decide direction of future research.

scholarly journals Using Saildrones to Validate Arctic Sea-Surface Salinity from the SMAP Satellite and from Ocean Models

2021 ◽  
Vol 13 (5) ◽  
pp. 831
Author(s):  
Jorge Vazquez-Cuervo ◽  
Chelle Gentemann ◽  
Wenqing Tang ◽  
Dustin Carroll ◽  
Hong Zhang ◽  
...  
Keyword(s):  
Arctic Ocean ◽  
Sea Surface ◽  
Sea Surface Salinity ◽  
The Arctic ◽  
Future Research ◽  
Surface Salinity ◽  
Cold Temperatures ◽  
Yukon River ◽  
Arctic Sea ◽  
The Arctic Ocean

The Arctic Ocean is one of the most important and challenging regions to observe—it experiences the largest changes from climate warming, and at the same time is one of the most difficult to sample because of sea ice and extreme cold temperatures. Two NASA-sponsored deployments of the Saildrone vehicle provided a unique opportunity for validating sea-surface salinity (SSS) derived from three separate products that use data from the Soil Moisture Active Passive (SMAP) satellite. To examine possible issues in resolving mesoscale-to-submesoscale variability, comparisons were also made with two versions of the Estimating the Circulation and Climate of the Ocean (ECCO) model (Carroll, D; Menmenlis, D; Zhang, H.). The results indicate that the three SMAP products resolve the runoff signal associated with the Yukon River, with high correlation between SMAP products and Saildrone SSS. Spectral slopes, overall, replicate the −2.0 slopes associated with mesoscale-submesoscale variability. Statistically significant spatial coherences exist for all products, with peaks close to 100 km. Based on these encouraging results, future research should focus on improving derivations of satellite-derived SSS in the Arctic Ocean and integrating model results to complement remote sensing observations.

Recent developments in China’s biopharmaceutical industry (2012-2017)

2019 ◽  
Vol 10 (3) ◽  
pp. 686-707
Author(s):  
Marcus Conlé
Keyword(s):  
Product Innovation ◽  
Academic Research ◽  
Domestic Market ◽  
Growth Strategy ◽  
Future Research ◽  
Biopharmaceutical Industry ◽  
Content Type ◽  
Drug Regulator ◽  
Recent Developments ◽  
Product Portfolios

Purpose The paper aims to take stock of China’s recent biopharmaceutical industry development by analyzing product innovation and changes in the firms’ product portfolios during the five-year period between 2012 and 2017. Design/methodology/approach The paper introduces a classification of biopharmaceutical products. By applying the classification to the product data of China’s drug regulator, the CFDA, it becomes possible to trace the developments within the sector by looking at changes in the number of firms within each subgroup and changes in the number of subgroups in which each firm is involved. The classification allows an evaluation of the latest product innovation achievements. Findings The paper demonstrates a mild shakeout of firms in the relatively long-existing domestic market segments, a trend toward more specialized product portfolios and an enduring prevalence of innovation strategies aimed at exploiting relatively unpopulated domestic market niches instead of pioneering entirely new products. Especially the capability of upgrading to second-generation protein therapeutics has become a key criterion for separating the wheat and the chaff in China’s domestic sector. The paper moreover points out the relevance of acquisitions as a corporate growth strategy. Research limitations/implications The research does not consider complementary indicators, product pipelines in particular. Future research should compare patterns across emerging economies. Originality/value The paper is unique in using the CFDA database for systematic academic research on (bio)pharmaceutical innovation and in introducing a biopharmaceutical product classification to trace innovative activities and changes in corporate product portfolios over time.

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