Business Process Simulation Software- Like Arena

Business process simulation programs are powerful and effective tools for cost-benefit analysis of projects involving costs for eminent investment, research to develop the functionality of an existing system, and the measurement of efficiency and effectiveness (Uğurlu et al, 2014). Those programs do not demand huge investment costs and enable organization management to establish advanced planning and identify problems that may happen in the future. In practice, various studies have been carried out on the design and re-design of handling equipment, facilities, information systems and the improvement of logistics control software.

Computer-based instruments such as simulation programs provide the opportunity to mimic port operations and to measure the behavior and performance of the system under various operating conditions and to systematically diversify these experimental factors for the purpose of studying the behavior of the system entirely. Recent simulation modeling advances, software with optimized ease-of-use and, to a greater extent, influential microcomputers indicate that a computerized simulation program of port operation within a container terminal can become a powerful tool for decision- making in areas such as the layout of port facilities and selection of proper equipment.

A model designed by a user is the first requirement in the computer simulation program that provides the behaviors/functions or the key characteristics of the chosen abstract or physical system or process to the user. The computer simulation model could anticipate the advantages and disadvantages of real system behavior. Business process simulation programs are utilized in almost every sector or field, including scientific, engineering, and technological disciplines. In recent decades, Business process simulation programs have been implemented in a broad variety of applications. Currently, the methods are used in the design of new programs, existing systems analysis, training for all sorts of activities, and as an interactional entertainment form (Smith, , 1999).

Port operations and management, as part of the maritime industry, is a costly business so any failure or deficiency in the system may result in high cost. Therefore, business process simulation models have a significant presence in port operations and

management. Many different techniques can be used to identify whether the port is managed efficiently or not as the efficiency of ports can differ between countries and regions. There are many methods to determine port efficiency such as: multi-criteria decision-making methods, analytical modeling methods, and simulation modeling methods.

The most significant aspect of system modeling is to identify and define the criteria of efficiency because port terminals are very sophisticated and can be used for multiple functions. For example, efficiency criteria for a port that handles dry bulk cargo or general cargo can be defined as the number of ships handled per day/week. On the other hand, liquid bulk cargo requires more value-added than general cargo, which makes many vessels pay demurrage and suffer delays due to a lack of port facilities. Efficiency criteria for oil terminals that were designed for handling dangerous and valuable oil products could be focused on safe and fast cargo handling. Hence, analytical methods or simulation techniques to evaluate port efficiency and cargo handling capacity should model a port.

Generally, simulation techniques have been used in the maritime industry for marine accident modeling, shipbuilding process modeling, and evaluating the efficiency of port operations (Goerlandt & Kujala 2011; Hirsch et al., 1998; Kim et al., 2004; Lee et al., 2003). Numerous scholars have carried out studies on port modeling. Bressman et al.

(1978) used a computer simulation to integrate the uncertainty of specific key suppositions into fiscal planning and an investment proposal assessment. The simulation was designed to include annual cash inflows and outflows for the future and to evaluate a project in terms of overall feasibility. A numerical simulation model has been used to determine the impact of randomized waves, and irregular winds and currents on an oil tanker as single point moored. This study separately solved the mooring line dynamics and rigid-body and provided an equation of motions as computer model (Wichers, 1988).

Another approach was developed by Collier (1980), considering the port as an integrated system in his research. In the research, port system elements were specified as cargo arrival or dispatch, cargo storage under proper conditions, terminal handling facilities and vessel handling arrangements. Some supportive facilities are needed to operate these elements efficiently such as engineering, transportation, workforce, resource allocation

and documentation procedures. As a result of this research, rigorous data collection methods required analyzing the port system and, subsequently, designing defined models to test the impact of system parameter variation.

Demirci (2003) examined bottleneck points in overloading conditions by implementing a simulation-modeling solution. According to this study, terminal trucks that are used for loading/unloading generated the most crucial bottleneck points. Therefore, it was necessary to apply an investment strategy to the model for load balancing of the terminal at this point. Consequently, a computer simulation program was used to evaluate improvements by increasing port resources within economic viability. Yeo et al. (2007) applied Awesim simulation modeling to predict the traffic concentration at Busan port that occurred in 2011. In the study, Busan harbor data over a 10-year period (1993-2002) was used. The results of this study highlighted the necessity to reallocate terminal functions in pier number two, expanding the superstructure capacity of the container terminals, and recommended the cancellation of one of the anchorage areas.

Steenken et al. (2004) suggested three simulation models in container terminals:

strategical, operational and tactical simulation. Strategical simulation functions to adjust the layout of a terminal and decide on handling equipment that produces high- performance levels and low operational costs. The main purpose of operational simulation is to examine alternative methods for optimization in a simulation model in real terminal planning and control systems before they are implemented. The third model, tactical simulation, explains the simulation integration into the system of a terminal’s operation, which means that the simulation is undertaken parallel to the real operation of the terminal. Hartmann (2004) explained simulation programs as instruments to assess a container terminal’s dynamic processes that offer analyzing and generating statistics such as average waiting time, average productivity, and average number of box moves in the stacking yard.

Many port managers and researchers have applied an Arena-based simulation models to evaluate terminal operations efficiency and to highlight future development directions of operational management and the terminal configuration. Such simulation models enable the management to analyze a number of pre-defined criteria of port performance such as

productivity to identify potential operational area bottlenecks, specifically the quay cranes, the transportation system and the storage yard.

To simulate port operations for the purpose of measuring performance, a thorough awareness and understanding all the factors involved is required, without this understanding and awareness a business process simulation cannot be created. The port operation department of the selected port has an insufficient understanding of the way that some physical systems operate, so they do not have adequate and sufficient data to create a mathematical model.