Management of Ships and Shipping Companies the Digital Way: What Is Ahead?

Abstract

As the world moves rapidly toward the fourth industrial revolution, and 5G, we analyzed the status of the international shipping industry, particular in Greece, which together with EU, lagged behind in relation to digital management. Throughout history, mankind has dreamed of automating mechanical processes, and succeeded in producing more goods with less power, based on the economic principle. But the quality of goods (and of human life) was left out of the analysis. We tried to correct this oversight in the Appendix. Not much has changed to this day as in the last 270 years, as robots, and other means, are used now to increase productivity. As we show, the tension now is between humans and machines. This antagonism is not about productivity, since there is no doubt that machines are more productive, but about who is more intelligent. Humans have natural intelligence, but machines have artificial one. Some argue that machines are inferior in many areas, such as medicine, agriculture, finance, management, education, distribution, transportation and maritime management.

Can We Trace and Estimate the Technical Progress in Shipping Industry by Using the Cobb-Douglas Production Function?

“…The reasons for seeking for a "better" fuel oil, are not the same each time. Recently everybody realized, we believe, and par excellence EU, as well USA after Trump administration, that environment is vital; and for us is the fourth factor of production, and we have to include it into production function, and pay the cost to preserve it (Goulielmos, 2020a(Goulielmos, , 2020b. Climate will revenge the un-clever man, who believed that he is more powerful than mother-Nature!…”

“…The 1981-1987 deep dry cargo shipping crisis revealed, as an expensive factor, labor on board for the first time! This caused flagging-out and the birth of the "European dual registries" (Goulielmos, 2020a(Goulielmos, , 2020b. Less labor quantity was in the target of ship designers all along, where in old times (1860) sailing ships had about 55 persons on board!…”

“…Shipping companies improved also their familiarity with computers, and especially with PCs. Recently adopted also digitalization (Goulielmos, 2020a(Goulielmos, , 2020b. Before we proceed, we need to prove the next question.…”

Suggestions from a Marine Economist to Make One’s (Shipping) Company… Digital!

“…The paper is cast in 9 parts as follows, after literature review & methodology. Goulielmos (2020aGoulielmos ( , 2020b dealt with the "digital revolution" & its impact on the management of the sipping companies as well its perspectives. Calderon-Monge & Ribeiro-Soriano (2023) Our first feeling, with digitalization, is the obvious need 3 for a glossary!…”