Drivers and barriers in adoption of digitalization in commercial shipping(ship chartering and ship broking)

Abstract

Digitalization of the services industry is much talked about phenomenon in present times. Within the maritime industry too digitalization is catching pace with the other industries. Although digitalization is still in its nascent stages in maritime industry it definitely is gaining pace. Given the size of the industry and the variety of stakeholders who have stakes in the movement of cargo and physical assets such as the vessels, start at some level is required. Technical operations of the vessels are way ahead of the commercial operations of the vessel in adoption of digital solutions. When comparing with other industries, financial industry has widely adopted to algorithmic trading where the role of financial brokers is ceasing, but the commercial shipping industry is still conducting negotiations for the freight rates and that still remains a very humanistic process with prominent role of intermediaries i.e. the shipbrokers.

The purpose of this thesis is to identify the drivers and barriers in adoption of digitalization in commercial shipping operations i.e. Shipbroking and ship chartering. To study this complex issue Systematic literature review and interview analysis has been conducted in qualitative way.

The findings suggest that regardless of the pace of digitalization chartering and ship broking will likely remain human intense processes in the near future. The thesis also suggests the ways in which the major barriers can be overcome if at all.

The research includes theoretical and practical implications and emphasizes on the further studies in this domain.