CMA-CGM Group China-Europe Line Optimization And Dynamic Routing Management Study

Top-ten container-line carriers in the world have more than 40 vessels from China basic ports to European ports per week. The loading capacity is more than 150,000 20-foot containers. Generally, carries not only have their owned vessels, but also share or rent the spaces with their partners. The liner's target is full loading every voyage, not losing any single teu. But the demand is depending on the peak or slack seasons, economy trend up or down. The first priority thing for each carrier is how to optimize the routing and have a dynamic management according to the market demand.Basing on China-Europe trading volume, product origin and consumptive place, seasonality, the thesis finds out the main transportation ports and seasonal demand. It studys CMA-CGM services from China to Europe. It lists out the 13 main lines from China to North Europe, West and East Mediterranean, the sub-services extending from basic ports, and the lines layout and co-operation. Aiming at the routing mapping, it ananlyzes current main and sub service network and evaluate the advantage and disadvantage.Then, under the situation of MEX1 insufficient loading performance, it raises an optimization proposal about adding Nansha Port. The proposal has a detail evaluation according to the cargo volume, cost comparation, terminal operation maneuverability, profit-and-lose analysis, ect. The purpose is to improve the loading factor, increasing income, enlarging service coverage and enhancing the competitive power.Except of routing optimization, it is very important to implement dynamic routing management because the business is affected by seasonal factor, economy trend, government policy and market development. Charter 5 shows in detals about dynamic routing management cases, affective factors, strength and weakness.Through routing optimization and dynamic routing management, on one hand, the unit transportation cost will be cut down, but gain a higher profit. On the other hand, the competitive power will be enhanced due to meeting the market demand. Last, as there is a worldwide network, CMA can provide multiple transportation services to the customers so that the market share will be increased.