Evaluating the Strategic Benefits of the ITS Implementation at the Värta Port

Abstract: When City of Stockholm wanted to build apartments on land used and controlled by Ports of Stockholm a project was initiated with the purpose of accommodating this request. The project meant that one of the piers at the Värta Port was expanded and the ITS system was implemented at said pier. Since the project was initiated from, what was considered, necessity an extensive evaluation of the economic and strategic consequences was not preformed. This thesis discusses and evaluates the strategical aspects of the ITS implementation at the Värta Port. The strategical benefits of the ITS system is that it enhances the competitive advantage, the location, of Ports of Stockholm through giving them more control over the port since the infrastructure was previously owned by their customer, Tallink Silja. Furthermore, the system creates a safer work environment at the port through better controlled container and truck management and preplanned emergency scenarios.  The system also removes wastes in the logistical process in the port through the added control of entries and exits and a fully digital sorting and storing system. This can provide operational cost reductions to Tallink Silja who is responsible for the operation of the port. Additionally, the system provides added value for the end customer as the reliability of the shipments increase. If these benefits are enough to justify the ITS system cannot be determined in this thesis as it is only the management at Ports of Stockholm that possesses the implicit knowledge required, but there exist substantial strategical benefits to the ITS system.