Third generation ports
The UN conference on trade and development (UNCTAD) classifies ITU into three generations. This classification is not based on countries or their geographical location, but on the following three criteria:
port development policy;
evolution of port activity and prospects for its expansion;
degree of integration of port structures and organizations.
1.Ports of the first generation.
Until 1960, seaports mainly served as a place of collection and transshipment of goods between land and sea modes of transport. Port activities were organized by loading and unloading, warehousing and navigation services of ships. Investments were concentrated on the water part of the infrastructure. Such conditions of activity of ports led to their organizational isolation from transport and trade activity. Typically, these ports have their own information, documentation, and statistics system that is not associated with port user systems.
2.Ports of the second generation.
Seaports of the second generation are objects of the transport system intended for transshipment of goods from one mode of transport to another and cargo processing. Such ports have assumed the functions of industrial and commercial service. As a result, port activities have expanded to include commercial and some other activities (packaging, storage and primary processing). Second-generation ports are not only transport hubs, but also industrial and commercial centers. They have a closer relationship with the municipal authorities, as they depend on the support of the city (energy, water, human resources, communications).
3. Third generation ports.
Managers, managers and operators of third-generation ports have a different approach to their management and development. The port is now seen as a dynamic centre of a complex international production and distribution network. On this basis, managers have changed their management position, moving from passive supply of services and funds to active participation in international trade in General.
In third-generation ports, activities and services are specialized and can be divided into the following main categories.
(a) Traditional port services. Traditional port services, such as cargo handling, remain the main activities. But in the port of the third generation, users are also provided with organizational services, as well as the whole range of services in the field of cargo distribution. All traditional services here are based on the use of modern equipment, electronic information technology and are highly efficient.
b) industrial service ports. There are two types of industrial activity in the third generation ports. This is an industrial and technical service of rolling stock (for example, ship repair, container repair, etc.), which for modern ports is an important factor for achieving high productivity and reducing technical and commercial risk in the operation of technical means of ports. Another type of industrial service refers to cargo. The task of the third generation port is to provide industrial processing of goods or to create the necessary conditions for the establishment of such an industry in the port areas to attract significant quantities of goods.
C) Administrative and commercial services. The effectiveness of port management is determined by two groups of factors: first, documentation and administrative regulations; second, the schedule of work. For port documentation to be effective, it must be simple, comparable to trade and transport documentation and computerized.
d) Logistics services in the field of cargo distribution. In the port of the third generation of all kinds of traditional, industrial and commercial activities are carried out with full regard to organizational considerations. However, there is one new purely organizational type of cargo distribution service that differs from conventional warehousing in three aspects.
First, warehousing is seen by the clientele as a separate function, isolated from transportation, production or consumption. Distribution is an indispensable organizational function in the entire transport process.
Secondly, the port’s activities are characterized by two streams: cargo and information. Warehousing is usually associated with the former and independent of the latter. For warehouse workers, the availability of cargo is important, not information about its origin and destination. For cargo distribution, all this information is as important as the cargo itself.
Third, warehousing is necessary when the rates of production, transportation and consumption do not coincide. Typically, warehousing does not create added value. Therefore, this operation should be minimized. That is why the method of delivery “just in time”is very popular. On the other hand, cargo distribution creates added value. Without this type of activity, the transport chain is not complete and the cargo cannot be delivered properly to the consumer.
e) Warehouse service. Warehousing remains an important function of the physical distribution of goods. Ports are required to provide sufficient storage space near terminals. The layout and equipment must be well adapted to the high demands of the clientele in terms of air conditioning, stacking and fully computerized control systems.
e) port Information service. One of the most important characteristics of third-generation ports as part of the international transport network is the amount of information processed. In the past, the quality of work was determined by the quality of infrastructure and service. At present, in addition to the mentioned quality criteria, the quality of information plays an important role, reliable information and data flow are a prerequisite for the effective operation of international transport corridors. Indeed, third-generation seaports are becoming information service centers for management, management operations, technical and administrative activities. All kinds of information about cargo and rolling stock are required by the port authorities (customs, insurance companies, banks, shipowners, shippers, etc.). On the commercial side, the information service requires the exact location of the cargo, the situation with the rolling stock, the situation in cargo warehouses and other information about the goods and vehicles.