A Disaggregate Analysis of Ocean Carriers' Transit Time Performance

This paper demonstrates that ocean carrier transit time and transit time reliability can differ dramatically among carriers and across major trade lanes, which brings attention to transit time performance as a selection tool for those paying for ocean transit services. Earlier studies reveal that shippers do not place a high value on such considerations when selecting a carrier. The article describes the literature on ocean carrier service characteristics and poses the research questions that are needed for this disaggregate analysis of transit time and transit time reliability. The methodology is given, which is an analysis of covariance and a multiple two-way comparison of transit times among carriers. Various routes are analyzed using the methodology, including LeHavre-New York, where there is a significant difference in transit time reliability among carriers. Also included is the Pusan-Long Beach route, which also shows differences among carriers. The author offers managerial implications, limitations of the study and suggestions for future research, which would include extending the study to determine which components of a shippers' door-to-door time have the greatest impact.