Severity analysis and risk profiling of port logistics barriers in the Industry 4.0 era

Abstract

PurposeGlobal trade depends on more complex, prolonged and larger port systems, where port logistics is a backbone for such operations. Ports are responsible for transferring more than 80 percent of the global trade. Port logistics are prone to being risk-oriented. The study proposes a model to study various port logistics barriers and their associated risks for emerging economies in the Industry 4.0 era.Design/methodology/approachThe study develops a framework by integrating the fuzzy set theory, the evidential reasoning approach and the expected utility theorem for identifying the severity value of port logistics barriers under the Industry 4.0 era for emerging economies and prioritize them based on various perspectives. The study identifies multiple risks associated with the barriers, and intensity-based categorization of the risks is performed for risk profiling.FindingsThe study reveals that poor infrastructure, nonsupportive policy ecosystem, and lack of research and development are the top barriers that need immediate attention. A new approach has been proposed that changes the importance of perspectives, and 192 analytical experiments were done to study the changing behavior of barriers. The study also presents various types of risks associated with the selected barriers.Research limitations/implicationsIn future studies, other barriers can be discovered and studied to develop such models. To cover the entire spectrum of possibilities, belief degrees of the barriers could be used to study the barriers instead of changing the weights.Practical implicationsThis study presents a quantification model to prioritize the barriers based on environmental, economic and operational perspectives. Further, the model helps create scenarios for decision-makers to improve port logistics performance and achieve sustainability. The study identifies various risks associated with port logistics barriers and allows decision-makers to take proactive actions.Originality/valueThis study contributes significantly to the literature on port logistics by developing a framework for determining the severity of the barriers in the Industry 4.0 era for emerging economies. Further, the study pinpoints various risks associated with port logistics, and risk profiling is carried out.