Abstract
This research aims to evaluate the efficiency of sub-Saharan African Ports and to develop a port continuous improvement framework. The seaports are important to the development of an open economy since they connect the country and promote international trade. An efficient port system enhances the country's global market access leading to increased trade and higher income. It also has a substantial direct and indirect multiplier effect on the entire economy. Contrarily, an inefficient port affects the overall maritime supply chain. The competitiveness of Africa's economies depends significantly on the efficiency of the African ports. Thus, monitoring and comparing the overall efficiency of national port systems have become an essential part of many countries' microeconomic reform programs.
To this end, Data Envelopment Analysis (DEA) is an effective tool for evaluating port efficiencies. This study makes use of three DEA models to evaluate twenty (20) sub-Saharan African Ports over an eight-year period from 2008-2015. The maritime sector is not only complex but dynamic. Regular changes are occurring because of competition. Ports that are not competitive struggle with respect to vessel visits and container throughput productivity. Given the importance of ports to the development of nations in Africa, it is expedient to evaluate the efficiency of these ports. Due to the shortage in data, not much work has been done in this regard especially in using DEA to evaluate port performance in Africa. Ports can only be efficient if they address their inefficiencies. DEA constitutes a powerful management tool for each seaport authority to identify and interpret its weaknesses and strengths in comparison with its direct competitors. This research intends to answer the question regarding which sub-Saharan African container port(s) can serve as a benchmark for other sub-Saharan African Ports. There is a need to establish a standard to which all other ports can aspire and consequently determine what the degree of efficiency for a sub-Saharan African Port should be. Critically, it is necessary to examine what constitutes port efficiency with a view to understanding how inefficient ports can become more efficient. In order to appreciate the drivers of productivity in these ports, it is vital to interrogate stakeholders’ understanding and glean insights into what are considered critical transportation parameters and which of the critical transportation parameters are identified as the most important in a maritime supply chain. It is also pivotal to find out from the maritime stakeholders what are the most important determinants in the selection of Ports. Out of the One hundred (100) questionnaires sent, 51 responses came back with information from the maritime stakeholders on what they consider as important in terms of critical transportation parameters for the selection of ports. The information provided the basis for assessing the implications of the critical transportation parameters on a maritime supply chain. As, international trade is the driving force of world economic growth, this study evaluates the efficiency of twenty sub-Saharan African container ports using three DEA models. The objectives of the study were categorised into areas of focus:
Container Ports in sub-Saharan Africa:
i. To identify the trend in the container throughput productivity of the 20 sub-Saharan African Container ports for eight years.
ii. To determine which of the 20 selected sub-Saharan African container ports is a benchmark.
iii. To evaluate the degree of efficiency of the 20 selected sub-Saharan African container ports.
iv. To analyse causes of problems at the ports that are the bane of inefficiency at the container ports.
v. To analyse the drivers of port productivity.