2005: Evaluating Proposed Capital and Operational Improvements at a Marine Terminal

Marine terminal operations are complex, and evaluating changes is best done using a simulation tool that captures the dynamics and interactions of the system. We have developed a flexible and robust discrete-event simulation of a marine terminal that handles liquid cargo. We used this simulation to investigate proposed changes generated by a Six Sigma project to reduce congestion at the terminal. Our study provided quantitative data to base decisions on the expected operational and financial impact of the proposed changes. The simulation captured the important details of the system and increased the Six Sigma team’s confidence in their recommendations. The modular architecture of the simulation allows for easy application of the simulation to different terminal simply by changing a few data tables. The structure of the simulation makes it easy for nonmodelers to use the tool to perform continuing studies.