Container Layout Design (Modelling) to Optimise the Function of Makassar New Port in the Economic Development of Makassar City

As one of Indonesia's main port cities, Makassar strategically connects inter-island and international trade routes. The Makassar New Port is one of the main pillars of the city's economic activity and a gateway for logistics distribution in eastern Indonesia. In the context of global and regional economic development, port management efficiency is one of the key factors that can encourage a region's economic competitiveness [1, 2]. A critical aspect of port management is container layout. An optimal layout speeds up the loading and unloading process, reduces logistics costs, minimizes waiting Time, and increases operational capacity [3]. Today, challenges in port management are increasingly complex, especially with growing trade volumes and the need for efficiency [4].

The New Port of Makassar, designed to handle larger container volumes, requires innovative management strategies to overcome land constraints, optimize distribution flows, and support environmental sustainability. Container layout arrangements play a central role in realizing these objectives. Inefficient layouts can lead to congestion, delays in the distribution of goods, and increased operational costs. Therefore, a technology-based approach and careful planning are required to ensure that the New Port of Makassar can meet current and future needs. 

As a city with rapid economic growth, Makassar requires a port infrastructure that can adapt to the dynamics of this development. The Port is a transit point for goods and an integral part of the city's economic ecosystem [5]. With an organized container layout, the Port can improve operational Time efficiency, support the smooth flow of goods, and positively impact other economic sectors, such as trade, manufacturing industry, and logistics services [6, 7]. In addition, innovative layouts can help reduce environmental impact [8], for example, by minimizing carbon emissions from transport vehicles and reducing noise around the Port. One relevant approach to addressing this challenge is to leverage simulation technology, such as ARENA software, which enables dynamic and realistic modeling and evaluation of various container layout scenarios.

Globally, many modern ports have adopted technology-based management systems, such as the use of terminal operating software (TOS), crane automation, and IoT-based tracking systems. The application of these technologies allows ports to manage container layouts more efficiently, optimize available space, and increase the speed of operational processes. Inspiration from these modern ports can be adapted to the management of Makassar New Port to support the city's vision as a regional logistics and trade hub.

An optimized layout can also help mitigate operational risks, such as accidents, damage to goods, or disruption to the supply chain [9]. With a data-driven approach and analysis, container layouts can be designed to maximize security, ease of access, and process efficiency [10]. For example, grouping containers by type of goods, shipping destination, or level of urgency can reduce search and transport time, thereby increasing overall port productivity. However, the implementation of this strategy is not without challenges in the model validation and verification process, the need for accurate data, and limited human resources in mastering simulation software. Therefore, it is important to develop a simulation framework tailored to the local characteristics of the New Port of Makassar and the logistics context of Eastern Indonesia.

The importance of innovation in container layout is also linked to Indonesia's growing maritime connectivity. As part of the sea toll initiative, Makassar New Port has a vital role in supporting the distribution of goods to and from remote areas. The efficiency of the Port will determine the extent to which the sea highway vision can be realized, including in terms of economic equity and reducing disparities between regions. Thus, adequate container layout arrangements not only have an impact on local efficiency but also on national economic development. Sustainability is also a significant concern in the development of port layouts. The green port concept, which integrates environmentally friendly practices in port operations, is increasingly relevant to be applied in Makassar New Port. A layout designed with sustainability principles in mind can include effective waste management, the use of renewable energy, as well as a reduced carbon footprint. This supports environmental conservation efforts and enhances the Port's image as a modern, future-orientated facility.

The primary foundation of this layout modeling aims to optimize the overall port function. With proper modeling, the New Port of Makassar can integrate more organized logistics flows, improve space usage efficiency, and minimize potential disruptions in operations. The modeling also allows the simulation of various operational scenarios so that strategic decisions can be made based on accurate and relevant data [11]. Thus, layout modeling is essential in supporting modern port management responsive to global challenges [12, 13].

Although there have been many studies using simulation for port optimization, most previous studies are still limited to large international ports or container ports in developed countries. In addition, research on container layout that considers the context of urban development, such as Makassar, is still very limited. This creates an important research gap, namely the need for container layout simulation studies specific to the context of ports in Indonesia, particularly MNP, taking into account operational characteristics and urban development directions.

This study is limited to the analysis of container layout in the MNP container yard, using the ARENA software-based simulation approach. The primary focus is on the impact of layout on service time and operational efficiency, excluding external aspects such as national port policies, financial considerations, or extensive hinterland logistics. This study also does not delve into technical construction aspects or detailed physical port design.

Based on the background and gaps identified, the research questions posed in this study are: What is the appropriate simulation model to represent the container handling system at MNP? Next, what are the alternative optimal container layout scenarios based on the simulation results using ARENA software?

Therefore, this simulation design is expected to provide an innovative container layout at the New Port of Makassar, which is a strategic step to support the city's economic development and enhance its competitiveness at the regional and international levels. By integrating technology, operational efficiency, and sustainability, this port can become a model for other port management in Indonesia.

Makassar New Port (MNP) is in Tallo sub-district, Makassar City, South Sulawesi province. Geographically, the Port is located at coordinates 119º 23'40'' East to 119º 26'30'' East and 05º 05'30'' LS to 05º 06'45'' LS. Sea waters border MNP to the south, north, and west, and PT Industri Kapal Indonesia (Persero) to the East. With its strategic location, the Port is an integral part of international shipping, especially in the Australia-Indonesia Development Area (AIDA) and Brunei, Indonesia, Malaysia, Philippines East Asian Growth Area (BIMP EAGA) transport routes, as well as the Asia Pacific route. The development of MNP is planned through several stages. Phase 1A began in 2015, constructing a 320-metre-long jetty on 22 hectares of land. In phase II, scheduled for completion in 2032 development will focus on industrial and business areas. The progress of the Port's construction to date has reached 98%. MNP is expected to improve logistics flow efficiency in South Sulawesi, speed up the loading and unloading process, and encourage increased exports to attract more industrial investment to the Makassar region.

Figure 2 shows that Makassar New Port will have a 360-meter-long jetty with a container stacking capacity of up to 1.5 million TEUs annually. One of the superior technologies in this Port is the secure pile quay system with the boring method. This technology not only saves Time and costs but also offers better quality. This system is only applied in two places, namely Liverpool and Makassar New Port. The Port will also be connected to the Trans Sulawesi railway network and integrated with the Bonded Zone logistics center. To project future container requirements, container flow data from 2023 to 2024 was used as the basis for the calculation. The projection of container flows until 2032 was carried out using the linear regression method. Based on the calculations, the equations obtained can be seen in Table 1 below.

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Figure 2. Physical progress of Makassar New Port, March 2024

Table 1. Recapitulation of accumulated field area requirements at the diamond terminal from 2023-2032

Based on the results of linear regression calculations on container traffic data for 2023-2024, a projection of container traffic up to 2032 was obtained, amounting to 615,923 TEUs. Referring to the yard space requirement formula that considers dwelling time, space per TEU, and broken stowage, the estimated container yard space requirement for 2032 is 60.83 hectares. This increase reflects the urgency of optimising the layout design of the stacking yard to maintain long-term operational efficiency.

3.1 Container yard layout simulation results

The following are the designs and results of the container layout simulation created in three simulations. From the three simulations, further analysis was conducted using descriptive statistics for each layout.

Figure 3(a) is a layout of existing conditions at the container port of Makassar. Figure 3(b) is Layout 2, which is designed as parallel container blocks separated between loading and unloading blocks or export and unloading blocks. The loading and unloading blocks are located in Blocks A to D, while the unloading blocks are located in Blocks E to H. There is also a Reference Block, which is a block that accommodates special containers, such as containers containing foodstuffs that require further handling. Meanwhile, Figure 3(c) shows a perpendicular layout by rotating the parallel layout perpendicular to the dock.

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Figure 3. (a) Layout 1 (existing) plan Makassar New Port container yard; (b) Layout 2; (c) Layout 3

3.2 Randomised simulation number for arrival vessels

Simulations are carried out by reviewing ship arrival data during the previous four years and conducting simulations. A total of 196 boats were obtained for ships arriving during one month, with a maximum interval between ships of .43 hours. This simulation uses the Excel formula = rand ( ) by limiting it according to the previous ship arrival interval data. The results of the simulation can be seen in Figures 4-6.

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Figure 4. Ship arrival simulation results ship arrival simulation results

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Figure 5. Simulation results of current container load

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Figure 6. Simulation results of container loading and unloading flow

The simulation was conducted by reviewing ship arrival data from the previous four years and simulating ship arrivals for one month, resulting in a total of 196 ship arrivals with a maximum interval between ships of 4.43 hours. This simulation used the Excel formula = rand () with limits based on the previous ship arrival interval data. The following are the simulation results with random number generation for the loading process in one month with 196 ship arrivals. From the results obtained, the data variance is 532.522, the average number of containers is 207, and the standard deviation is 22.88. From the simulation results for the unloading process, the data obtained show a variance of 601,412, an average of 191 containers, and a standard deviation of 24.52.

3.3 Comparison of three layout designs

Simulation using ARENA was conducted for three yard layout packages. Layout 1 (existing), Layout 2 (parallel blocks), and Layout 3 (perpendicular to the dock). The simulation results produced cycle times as shown in Tables 2-4 below.

Table 2. Summary of handling time per layout

Table 3. Time cycle per layout

Table 4. Cycle time statistics per layout

Table 2 provides a summary table of handling times per process for each layout, showing the duration (in seconds) of each stage of container entry and exit handling, including the total processing time.

Table 3 shows the total cycle time per layout, input time, output time, and total cycle time (combination of both) for Layouts 1, 2, and 3. The simulation results indicate that Layout 3 provides the fastest total cycle time for handling, at 217 seconds or 3 minutes 37 seconds per container. Conversely, Layout 2 shows the longest time, reaching 438 seconds (7 minutes 18 seconds), indicating significantly lower efficiency. The cycle time difference between layouts reaches 221 seconds, indicating significant efficiency potential through proper layout design.

Table 4 presents descriptive statistics for the container handling cycle time of the three container yard layout designs. The first average total cycle time is 301.33 seconds (5 minutes 1 second), the fastest layout is Layout 3 with a total cycle time of 217 seconds (3 minutes 37 seconds), and the slowest layout is Layout 2 with a total cycle time of 438 seconds (7 minutes 18 seconds). The difference (range) between layouts indicates an efficiency difference of 221 seconds, or nearly 3 minutes and 41 seconds, between the extreme scenarios.

Statistically, the average cycle time of the three layouts is 301.33 seconds, with a standard deviation of 119.43 seconds. This indicates high variation between layout scenarios and a strong influence of physical design on container service speed. Layout 3 has the lowest time, while Layout 2 shows extreme deviation from the average.

The results of the ship arrival simulation for one month showed a total of 196 arrivals with a maximum interval of 4.43 hours. Using the random number generation approach, an average of 207 loaded and 191 unloaded containers per ship was obtained, with a deviation of around 22–24 containers. This simulation forms the basis for calculating the daily operational load for each yard block.

Furthermore, the simulation of the proportion of containers entering the storage yard shows that an average of 75% of loaded container flows and 11% of unloaded container flows will be processed through the yard, with the remainder processed through truck loss. This information reinforces the assumption of the need for efficient space and time management in the yard area.

3.4 Economic impact and benefit-cost estimates

For the economic impact estimation analysis and cost-benefit analysis, the researcher used general operational cost data per minute of Rp 25,000 (combined RTG, HT, and HMC), because in this study, the Port Authority only provided container traffic data for 2023-2024 and did not provide data related to operational costs. Therefore, the researcher used general rules according to the 2021 Ministry of Transportation regulation.

The assumed operational cost per minute for equipment is Rp 25,000. Every 1-second reduction in cycle time will impact the entire daily container handling cycle. The port handles an average of 1,500 containers per day.

Time difference between Layout 2 and Layout 3:

438–217 = 221 seconds = 3.68 minutes

Time savings per day:

3.68 minutes × 180 = 662.4 minutes

Operational cost savings per day:

662.4 × Rp 25,000 = Rp 16.560.000

Monthly savings (30 days):

Rp 16.560.000 × 30 = Rp 496.800.000

Thus, the implementation of Layout 3 has the potential to deliver operational efficiency of approximately Rp 496 million per month, solely through cycle time optimization without additional heavy equipment costs.