Containerisation refers to the transportation of cargo in standardized containers that can be moved between ships, trains and trucks without rehandling the contents. It developed in the 1950s to address issues like long port turnaround times. Factors like security and intermodality led to its growth. Containerisation increased efficiency through standardisation, reduced costs and lead times, allowing just-in-time manufacturing. It transformed global supply chains but also introduced challenges like high capital costs and empty container repositioning. Container security is managed through locks, seals and GPS tracking.

1. Containerisation
Mutumwawashe Dube
Transportation and Logistics Research Consultant
Kaizen Logistics International
Zimbabwe
March 11, 2019

2. Presentation map
Defining Containerisation
The development of
containerisation
Factors leading to the birth
of the ‘Containerisation’
How containerisation changed the supply-
chain playfield
Types of containers
Benefits and Drawbacks Container loading Container handling equipment
Managing Container Security

3. Containerisation
• Transportation of cargo in containers that can be interchanged
between ships, trains, and trucks, with standardized handling
equipment, and without re-handling the contents (intermodal
containers) .
• these containers can be used across different modes of transport –
from ship to rail to truck – without the need to first offload and reload
their cargo.
• The handling system used is completely mechanised, done with cranes,
and special forklift trucks.

4. The Development of the Containerisation
• The development of the ancient containers begun in 1766 when James Brindley designed the box boat 'Starvationer'
with 10 wooden containers, to transport coal in England.
• Industrialisation and standardisation of the shipping container was done in the 1950’s by Malcolm McLean (a ship
owner).
• McLean saw an opportunity to reduce time wasted at sea ports while consignment was being offloaded from
vehicles to the ship (poor turn-around times).
• In order to improve efficiency, McLean worked with engineer Keith Tantlinger to develop the modern container that
could efficiently be carried on trucks or trains and be loaded onto ships as well as being secure on long sea voyages –
(the intermodal container).
• The container design incorporated a locking mechanism on each of the four corners, allowing the container to be
easily secured and lifted using cranes.
• In 1956, international standardisation of shipping containers begun.

5. Factors leading to the birth of the ‘Containerisation’
• Poor turn-around times (TATs) at seaports while offloading and loading
ship.
• Security of consignments – thefts and losses.
• Preservation of consignment and protection from weather elements
over long distances.
• The need to make consignments intermodal, .i.e. to be standardised and
be moved across sea, rail and road transport without being opened.

6. How containerisation changed the supply-chain playfield
• Globalisation – containerisation promoted the growth of international trade.
• Shorter lead times - Speed of shipment has been greatly increased.
• Lower inbound and outbound logistics costs - Containerization greatly reduced the
expense of international trade. (handling and warehousing)
• Intermodal flexibility - Containers were quickly adopted by trucking and rail transport
industries for cargo transport not involving sea transport.
• Increase in material handling efficiency – less manual handling
• Increased reliability - The reliability of containers also made just in time (JIT) possible.
Components (or raw material) suppliers can now deliver components on regular fixed
schedules.

7. Shipment of containers

8. TYPES OF CONTAINERS
General-purpose container (Dry-storage container)
• They are steel build enclosures used for shipping of a wide range of dry
materials, e.g. electronics, furniture items, linen, building materials, etc.
• come in size of 10ft, 20ft, 40ft, 48ft and 53ft.

9. Temperature regulated containers
• Refrigerated ISO containers - always have a carefully controlled low temperature. They
are exclusively used for shipment of perishable substances like fruits and vegetables
over long distances.
• Insulated (or thermal) containers - these are the shipping storage containers that come
with a regulated temperature control allowing them to maintain a higher temperature.
Refrigerated Container Insulated Container

10. Tank Containers
• for transportation of liquid materials, e.g. petrol, diesel, LPG, tar, etc.
• made of strong steel or other anti corrosive materials providing them with long life
and protection to the materials.

11. Flat rack containers
• Is a container with collapsible sides where the sides can be folded so as to make a
flat rack for shipping of wide variety of goods, e.g. drums, crates, machinery, semi-
finished goods, processed timber, etc.
• Folding sides make it easy to ferry when empty.

12. Car carriers
• Car carriers are container storage units made especially for shipment of cars over
long distances, e.g. BE Forward.
• They come with collapsible sides to reduce the risk of cars being damaged or
moving from the spot.

13. Open-top and open-side containers
• Open-top containers are designed for loading of heavy machinery or oversize
pallets. Crane systems can be used to load and unload crates without having to
disassemble the container itself. A convertible top that can be completely removed
so that materials of any height can be shipped easily.
• Open-side containers are provided with doors that can change into completely
open sides providing a much wider room for loading of materials, e.g. using a
forklift Open-top Container Open-side Container

14. Tunnel containers
• Container storage units provided with doors on both ends of the container.
• they are extremely helpful in quick loading and unloading of materials, e.g. using a
forklift

15. Special purpose containers
• Custom made for specialized purposes. (e.g. shipment of weapons and explosive by
the Zimbabwe National Army [ZNA]).
• Their construction and material composition depends on the special purpose they
need to cater for.
• There is special emphasis on security.

16. Advantages of Containerisation
• Standardisation - Containers are a standard transport unit that can be handled anywhere in the world
through specialized modes and equipment (ships, trucks, wagons)
• Flexibility - Containers can be used to carry a wide range of goods such as commodities, manufactured
goods, cars, perishable goods, etc. Discarded containers can also be recycled and reused for other
purposes.
• Costs - Containers lower transport costs due to the advantages of standardisation and economies of
scale.
• Velocity - Enable fast transhipment operations and terminal turnaround times (e.g. from 3 weeks to
about 24 hours).
• Warehousing – a container can act as warehouse for the cargo it contains. There is no need for
transferring goods to a warehouse after receiving the container.
• Security and safety. The contents of the container is unknown to carriers since it can only be opened at

17. Drawbacks of Containerisation
• Site constrains - large consumption of terminal storage space, implying that many intermodal terminals
have been relocated to the urban periphery.
• Operation is capital intensive - Container handling infrastructures and equipment require large capital
investment (giant cranes, warehousing facilities, inland road, rail access).
• Stacking problems - Complexity of arrangement of containers, both on the ground and on modes.
• High costs of repositioning - container takes the same amount of space either full or empty.
• Risk of theft and losses - High value goods and a load unit that can forcefully opened or carried away (on
truck) implied a level of cargo vulnerability between a terminal and the final destination.
• Illicit trade - The container is an instrument used in the illicit trade of goods, drugs and weapons. There
are concerns about the usage of containers for terrorism.

18. Full container load and Less-that-container load
concept• A full container load (FCL) is an ISO standard container that is loaded and unloaded under the risk and
account of one shipper and only one consignee, (e.g. container with packaging machine from Krones,
Germany to Delta Beverages, Zimbabwe).
• FCL is intended to designate a container loaded to its allowable maximum weight or volume, but in
practice on ocean freight does not always mean a full capacity.
• The FCL is preferred because it;
simplifies logistics – no need to offload goods on the way;
tends to have lower freight rates than an equivalent weight of cargo in bulk.
increases security compared to sharing a container with other goods.
• Less-than-container load (LCL) is a shipment that is not large enough to fill a standard cargo container.
• FCL is made up of quantities of material from different shippers or for delivery to different destinations
carried in a single container for efficiency. (e.g. car from BE Forward, Japan.)
• The LCL may be preferred because if its efficiency, thus increases affordability of shipping smaller
consignments (especially by small businesses).

19. Container handling equipment
• These are items of materials-handling equipment required to specifically receive, manoeuver, and
dispatch containers.
• Container lifting equipment exists in many types including;
 Reach stacker,
 Forklift truck,
 Empty container handler,
 Ship-to-shore container crane,
 Rail mounted gantry crane,
 rubber tyre gantry crane,
 Portal slewing crane

20. Container handling equipment
Reach stacker
Forklift truck
Empty container handler
Portal slewing crane
Sea-to-shore container craneRail mounted gantry

21. Managing Container Security
Container security locks
• Container security locks are devices used on containers to prevent intrusions.

22. Managing Container Security
Container security seals
• Container security seals are breakable devices used on containers for detecting
intrusions.
• They are serialised to increase authenticity.
Electronic security sealCable security seal

23. Managing Container Security
Container Tracking with GPS Tracking Devices
• GPS tracking devices is used track the movement
and location of the container.
• Uses satellite service to send location messages for
viewing on a web map.
• Usually mounted at the door of the container.
• The GPS container tracking devices can;
 monitor theft and unauthorised movement of
the container.
 record the opening and closing of the container
door making it easier to identify when someone
accessed goods within the container itself.
GPS Tracker mounted on container door

24. Conclusion