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For a long time, port infrastructure development was largely synonymous with concrete, steel, and spatial expansion. What mattered was quay length, crane reach, yard capacity, and draft depth. Whoever could handle the largest ships, transship more containers, and expand their yard capacity had the advantage. This equation no longer holds true today.
Today, the requirements extend beyond purely physical capacity to the ability to coordinate, optimise, and adapt processes in real-time. The focus is shifting from engineering to the interplay of infrastructure and information.
A modern terminal is a tightly networked system of various assets: berths, container handling equipment, and yards operate within a digital framework. Its design determines efficiency. The difference between two terminals with a similar physical layout can be enormous – not due to the quality of the infrastructure, but due to their intelligent control systems.
Every major decision, such as new berths, terminal blocks, or gate expansions, now brings with it digital requirements. What data does the facility generate? How can it be integrated into the Terminal Operating System (TOS)? What interactions are possible at the planning, optimisation, and execution levels? Clear answers are needed here – otherwise, even the most modern physical infrastructure will fall short of its full potential.
The automation solutions urgently needed to handle the increasing volume of containers, such as seamless data exchange at the gate, real-time route planning, and order prioritisation, depend on perfectly coordinated IT systems. At the same time, it is essential to respond to short-term changes such as less predictable ship arrival patterns and more volatile supply chains.
Connectivity, data platforms, integration frameworks, and analytics are becoming fundamental components. Decisions regarding layout, equipment, and capacity can no longer be separated from decisions about data models, interfaces, and system interoperability.
To better understand its development, let's take a step back and look at how each phase redefined the term "infrastructure."
In the early days of maritime trade, cargo was handled piece by piece—bags, crates, barrels—with minimal standardisation. Facilities were simple and labour-intensive: basic quays, warehouses, and manual handling equipment. Efficiency depended on workforce coordination. By today's standards, throughput was low, turnaround times were long, and predictability was limited.
The first major turning point was containerisation in the 1960s and 1970s. Infrastructure had to adapt to standardised containers as quickly as possible. Quays were reinforced, specialised cranes were developed, and dedicated container terminals were built. In this era, size was the deciding factor.
The following two decades saw optimisation: terminals and ships grew larger, and competition intensified. Increased throughput was achieved through deeper shipping channels, longer berths, higher crane productivity, and more efficient port facilities. Initial terminal operating systems (TOS) were deployed, but initially mostly only for tracking and documentation.
From 2000 onward, global supply chains became more interconnected, and just-in-time logistics demanded greater reliability and speed. Port capacities were expanded. However, simply expanding the physical infrastructure was no longer sufficient to keep pace with the growing complexity. This resulted in congestion, inefficiencies, and coordination problems. From the mid-2010s, digitalisation and automation began to take hold. TOS (Terminal Operating Systems) evolved into real-time orchestration platforms that integrate planning, execution, and optimisation.
What distinguishes this phase from previous ones is new technologies and systems that integrate physical facilities. In addition to ever-increasing cargo volumes, greater variability must also be managed.
From a terminal IT perspective, a clear trend is evident: Each phase has increased the dependence on systems. What began with manual coordination evolved into system-supported processes and is now system-controlled execution.
The next phase of port infrastructure development will therefore be defined by how effectively existing and future capacity can be orchestrated. And this orchestration is, at its core, an IT challenge.
Modern container terminals function as a multi-layered system in which three interdependent layers interact:
The physical layer, comprising berths, cranes and other container handling equipment, yards and gates, as well as intermodal connections, continues to form the foundation. It defines the terminal's theoretical capacity: the volume that can be handled under ideal conditions.
Above this lies the operational layer. It translates planning into execution using control systems, automation logic, and process flows. It determines the efficiency of crane movements, equipment, and personnel.
At the very top is the digital layer, comprising the terminal operating system, integration platforms, and analytics tools. It determines where containers are transported, how facilities are allocated, and how bottlenecks are avoided. Physical capacity is converted into actual throughput.
Only when the layers are coordinated can the terminal reach its full potential. Infrastructure decisions must therefore be made taking into account system integration, data flow, and real-time orchestration.
The development of port infrastructure has always been a response to external influences – trade growth, ship sizes, standardisation and regulations, and competitive positioning. What is new today is the multitude of factors acting simultaneously and the speed at which they change investment priorities:
Volume Growth and Volatility
By 2025, global container shipments are set to have exceeded the magic threshold of one billion TEU. (1) Increasing container flows, coupled with unpredictable trade patterns, require terminals to invest in flexible infrastructure, real-time optimisation, and end-to-end visibility.
Impact of ULCVs
The increasing use of ultra-large container ships (ULCVs) is leading to concentrated operational peaks. Docks, storage areas, and gates must therefore be precisely synchronised to convert capacity into actual throughput.
Labour Shortages
Persistent labour shortages and rising personnel costs are accelerating automation, which cannot function without integrated systems, high-quality data, and reliable connectivity.
Rising Customer Expectations
The growing demand for transparency, speed, and predictability necessitates investments in data exchange platforms, APIs, and deeper supply chain integration.
Competitive pressure
Since physical capacity is often easier to replicate, terminals must differentiate themselves through data-driven operational excellence, reliability, and performance consistency.
Sustainability requirements
Increasing regulatory and economic pressure to reduce emissions is driving investments in electrification, energy management, and optimisation. These are only possible with strong data and analytics capabilities.
Resilience requirements
Frequent disruptions are forcing terminals to build an adaptable infrastructure based on real-time data and system reliability.
Automation at Scale
Automation in container terminals doesn't just mean automated or remotely controlled cranes and automated guided vehicles (AGVs). It increasingly involves the intelligent orchestration of processes. The progress lies in how tasks are assigned, prioritised, and continuously adapted throughout operations.
Advanced systems are setting new standards in performance with dynamic task prioritisation, real-time scheduling, and exception handling. Instead of relying on static work queues or predefined processes, terminals are increasingly adopting systems that continuously evaluate operating conditions and reorder tasks based on urgency, constraints, and impact on downstream processes.
For example, container movements are no longer treated equally. A system can prioritise movements related to upcoming ship operations, delayed trucks, or congested storage areas. This ensures that resources—cranes, vehicles, and personnel—are always deployed where they can be most effective. Right at the stack in the yard, dynamic task assignment is used to determine which truck gets its container next based on proximity.
Another improvement lies in exception management. In traditional operations, disruptions often lead to manual intervention, thus slowing down the entire process. More modern systems detect deviations—such as equipment delays, missing containers, or gate congestion—and either resolve them automatically or escalate them with clear recommendations for action. For example, if a container is placed in a different location than intended due to an exception or emergency, modern systems create a virtual slot; the container thus remains traceable. This reduces operational friction and allows operators to focus on critical decisions rather than routine issues.
From an infrastructure perspective, the key question when evaluating automation is: How well are decisions made and implemented across processes?
Two terminals with a similar level of automation can deliver very different performance depending on their complexity, task orchestration and prioritisation capabilities. Therefore, systems that offer modularity and scalability are recommended to address the unique requirements of each terminal.
The phased integration of solutions offers the advantage that it can often be incorporated into existing workflows without significantly, or for an extended period, disrupting ongoing operations.
In "smart ports," intelligence is no longer added to the infrastructure; it's integrated into it. Specifically, this means that IT systems, data platforms, and connectivity are now just as crucial to a terminal's performance as cranes and quays.
Central to this transformation is Internet of Things (IoT)-enabled infrastructure. Sensors in terminal equipment, port facilities, and even individual containers (reefers) continuously generate operational data. This data provides real-time insights into the status of facilities, container locations, energy consumption, and environmental conditions. This transparency is valuable in itself. Integrated into decision-making systems, it unlocks its full potential and transforms processes.
Essential to this are data platforms that enable various systems—terminal operating systems, equipment control systems, gate platforms, and interfaces to external stakeholders—to operate on a common, consistent data foundation.
Building upon these data collections are digital twins, which can be used to simulate scenarios, and AI-powered optimisation, which analyses patterns and translates them into operational adjustments.
The infrastructure of smart ports extends beyond the terminal gate. Port community systems and data exchange platforms connect terminals with shipping companies, freight forwarders, railway companies, and port authorities. This enables better coordination along the supply chain, reduces delays, and improves predictability.
The evolution to a smart port requires a fundamental shift in infrastructure planning and management. Data must be treated as a core asset, with clear responsibilities, quality standards, and governance frameworks. Systems must be designed for interoperability from the outset to avoid the fragmentation that has hampered integration efforts in the past.
Furthermore, real-time capability is essential. Delayed or incomplete data directly impacts operational decisions. This places higher demands on network infrastructure, system performance, and data processing pipelines.
From an IT perspective, the key takeaway is that the boundary between infrastructure and technology is blurring. Decisions regarding sensors, connectivity, data models, and analytics are now infrastructure decisions. They shape how a terminal operates, scales, and positions itself competitively.
To make infrastructure performance measurable, terminals must rely on clearly defined KPIs:
At the berth, crane productivity and vessel turnaround time reveal how effectively the quay infrastructure is used, and the downstream services are performed.
Within the port area, capacity utilisation, berthing time, and throughput rate indicate how efficiently space and equipment are used. However, high utilisation combined with rising rehandles or delays often indicates planning inefficiencies rather than strong performance.
At the gates and intermodal interfaces, truck and train handling times, as well as adherence to schedules, measure how well the terminal is integrated into the supply chain. Delays here are frequently due to integration gaps rather than physical limitations.
The true added value arises from combining these KPIs. The performance of an infrastructure is not defined by individual metrics, but by how smoothly the entire operation runs – from the ship to the yard and into the hinterland – supported by accurate real-time data.
The development of port infrastructure has shifted from a predominantly physical discipline to a systems-driven capability. While the design of the port site and the equipment used still define the theoretical capacity, actual performance is increasingly determined by how well these facilities are coordinated through digital systems.
This development is characterised by key changes: Container volumes and fluctuations in global trade demand are increasingly dynamic operational flexibility. Automation is now reaching areas such as real-time coordination, task prioritisation, and exception handling. A pattern is emerging: The value of infrastructure is unlocked through integration. Data flows, system interoperability, and real-time decision-making are increasingly determining whether investments in physical assets achieve the expected return.
The consequence for IT managers is clear. Infrastructure development is no longer just a matter of engineering and operations—it is a challenge of digital architecture. Greater capacity, efficiency, and competitiveness require coherent systems across the entire terminal infrastructure. In short: Ports are no longer simply being built or expanded. They are being planned, networked, and continuously optimised using data (read more about port automation projects).
Delve deeper into one of our core topics: Smart Port
Breakbulk is cargo shipped as individual pieces rather than inside standard containers or as loose bulk commodities. It includes oversized, heavy, or awkwardly shaped items such as machinery, steel, pipes, or project cargo that must be loaded and secured piece by piece. Because each item is handled separately, breakbulk shipping needs more lifting, lashing, and planning than container shipping, but it is useful when cargo cannot be containerised or must be delivered as single units. (2)
Ultra-large container vessels (ULCVs) are the biggest container ships, typically carrying over 18,000 TEUs (twenty-foot equivalent units), with some exceeding 24,000 TEUs. Measuring 400 meters long and 60 meters wide, they operate on deep-water routes like Asia-Europe, slashing per-container shipping costs through economies of scale. However, they demand specialised mega-ports with giant cranes and enhanced dredging. (3)
References:
(1) https://container-news.com/worldwide-box-traffic-crosses-1-billion-teu-in-2025/
(2) Swift, A.J. (2018). Shipboard Operations. Routledge.
(3) Dong-Ping Song (2021). Container Logistics and Maritime Transport. Routledge.
Note: This article was partly created with the assistance of artificial intelligence to support drafting.