Decision-Making for Maritime Networks: Evaluating Corporate and Social Profitability of an Integrated Short Sea Shipping Network in the Upper Tyrrhenian Sea

Abstract

This study applies cost benefit analysis (CBA) approaches to evaluate corporate and social profitability of a coordinated management proposal for a Short Sea Shipping (SSS) network in the upper Tyrrhenian area. The profitability of the maritime network is assessed first for the shipping companies operating therein and then for society as a whole. Corporate profitability analysis reveals a supply system currently over-sized compared to actual demand. The reasons for this must be found in the corporate competition strategies that traditionally characterize the free maritime transport market in the area. Social profitability analysis proves the potential positive impact of services rescheduling and coordination in terms of time savings and emission reduction in port areas and demonstrates the benefits new integrated management policies could yield for achieving higher efficiency and sustainability in SSS Tyrrhenian networks.