The Implication of the Stochastic Gross-Profit-Per-Day Objective on the Cargo Ship Profitability, Capacity, and Speed
- Autores: Said El Noshokaty
- Localización: Journal of maritime research: JMR, ISSN 1697-4840, Vol. 16, Nº. 1, 2019, págs. 49-56
- Idioma: inglés
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Resumen
Ship owners are used to maximizing a deterministic gross-profit objective. This objective may yield agrosser profit if the ship average fixed cost is minimized, which is achieved by building ships of largercapacities. As a result, the ship voyage time tends to prolong due to more cargo handling operations,longer distance due to route restriction, lightening of loads before canals, transshipment operations,and a slower ship speed. Latest research papers recommend a voyage stochastic gross-profit-per-dayobjective to be used instead. This new objective cares not only for the more voyage gross profit the shipis expected to earn but also for the fewer number of days the ship is expected to take to earn this grossprofit. The objective permits the ship owner to earn more gross profit at the year end. And, because theshipping management is not always sure whether the same magnitude of gross profit can be maintainedin the future of such ship voyages, that is why the maximization of the gross-profit-per-day objectiveneeds to have a stochastic formulation based on a stochastic cargo transport demand. This paper studiesthe implication of the new objective on the ship profitability and the ship capacity and speed
