Port Planning and

Development
• Port planning and development involve the strategic port planning
process, data collection and forecasting, stakeholder relations
management in ports, and the evaluation of port development plans
and projects.
CHAPTER CONTENTS

1. Strategic Port Planning

2. The Strategic Port Planning Process
3. Stakeholder Involvement in Port Planning and Development
1. Strategic Port Planning
A. Types of port planning
Three different types of port planning by port authorities can be
distinguished:
• Short-term planning involves the current allocation of the port’s
resources and services. The resulting decisions aim to solve practical
problems related to efficient cargo handling, vessel turnaround, and
reasonable utilization of port facilities. Within short-term planning,
can be made between operational and tactical planning. The former
usually refers to a time horizon of one year.
• Medium-term planning involves both financial and strategic planning,
often reported through business plans. The budgeting for the annual
allocation of the port’s resources to specific activities is part of the
financial planning process. Strategic plans, which are usually prepared
every three to five years, aim to allocate port resources to different
activities and meet specific marketing and financial objecti­ves.
• Long-term planning demands a more fundamental and visionary
approach, in most cases embodied in the development of port master
plans or strategic port plans. The output is a physical plan (including
capital budgeting) for the future development of port infrastructure
and other capabilities and capacities with a ten to 30 years planning
horizon.
B. Strategic port planning in a
changing market environment
Strategic port planning in a changing market environment requires a
forward-thinking, adaptive, and holistic approach to ensure long-term
competitiveness, sustainability, and resilience. Ports operate in a
dynamic global landscape influenced by geopolitical shifts,
technological advancements, environmental regulations, and evolving
trade patterns.
• Trade Pattern Shifts: Monitor global and regional trade trends, such
as the shifts in manufacturing hubs.
• Economic Growth Projections: Align port development with the
economic growth of hinterlands and key trading partners.
• Competitor Analysis: Assess the strategies of competing ports to
identify opportunities for differentiation.
• Scalability and Flexibility: Design infrastructure that can adapt to
changing cargo volumes and vessel sizes (e.g., accommodating larger
ships or new cargo types like LNG or hydrogen).
• Intermodal Connectivity: Strengthen rail, road, and inland waterway
connections to enhance hinterland access and reduce congestion.
• Automation and Digitalization: Invest in smart port technologies
(e.g., automated cranes, IoT, and AI-driven logistics systems) to
improve efficiency and reduce operational costs.
2. The Strategic Port Planning
Process
• A typical strategic port planning process consists of four different
building blocks or phases in the development.
A. Formulate a vision
• Strategic port planning should aim to identify strategies and formulate
objectives that will provide the port with a competitive advantage to
attain its vision when translated into programs and activities. Thus,
strategic planning should be focused on the question, “what should
we do differently next period to get closer to our vision?”. Thus, the
starting point (step 1) in the strategic port planning process is
formulating a vision statement for the port. A vision reflects the long-
term objective of a port and, by definition, is very ambitious.
B. Assess the gap between abilities
and ambitions
• The vision as defined in step 1 may lead to identifying a difference
between what the port can do (abilities) and what the port should do
(ambitions). In order to get a complete picture of this gap, a port
should assess its port-specific resources and competencies and
perform an internal appraisal of its organizational strengths and
weaknes­­ses.
C. Create resources to fill the gap

A port can narrow the gap between resources (what it is able to do =

linked to strengths and weaknesses) and the ambitions set out in the
strategic intent (what it should do = linked to opportunities and threats)
by creating new valuable resources. Port management should integrate
the development of new resources into its strategic planning. Each port
is a collecti­on of physical and intangible assets and capabilities:
• Human resources: This includes all employees, managers and
executives who work for the port, as well as the added value they
obtain through our interactions with relevant stakeholders. By using
their skills, knowledge and expertise, they help shape the value
proposition of the port and are crucial for realizing the ambitions
within the port strategy.
• Infrastructure: customer-oriented infrastructure inside and outside
the port.
• Technological resources: These include the technologies and systems
managed by the port authority or in consultation with other parties to
streamline nautical and logistical operations and to create a safe and
sustainable port environment.
3. Stakeholder Involvement in
Port Planning and Development
A. Who are the stakeholders?
In the broad view, stakeholders are described as any individual or group
having an interest in or being affected by the project. The narrow view
only recognizes stakeholders whose relationship is primarily of an
economic/contractual kind.
1. Internal Stakeholders
• Internal stakeholders are individuals or groups within the organization
who are directly involved in the port's operations and management.
• Port Authority/Management
• Employees
• Operational Departments
• Investors
2. External Stakeholders
• External stakeholders are individuals or groups outside the
organization who have an interest in or are affected by the port's
activities.
• Shipping Lines and Carriers
• Regulatory Authorities
• Local Community
Key principles of effective
stakeholder relations management
(SRM)
• Effective Stakeholder Relations Management (SRM) is crucial for the
success of any organization, as it ensures that the interests and needs
of stakeholders are understood, managed, and aligned with
organizational goals.
1. Identify and Prioritize Stakeholders
• Stakeholder Mapping: Identify all relevant stakeholders, both internal
(employees, management) and external (customers, suppliers,
regulators, community groups).
• Prioritization: Categorize stakeholders based on their influence, interest,
and impact on the organization. Focus on those who have the most
significant impact or are most affected by the organization's actions.

2. Understand Stakeholder Needs and Expectations

• Engagement: Regularly engage with stakeholders to understand their
needs, concerns, and expectations.
• Feedback Mechanisms: Implement channels for stakeholders to provide
feedback, such as surveys, focus groups, or direct consultations.