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The Tulsa Port of Catoosa

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Christopher Tan

on 8 December 2013

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Transcript of The Tulsa Port of Catoosa

Improving upon the truck, rail, and air infrastructure systems will contribute to an increased utilization of the waterway transportation system.
Researched the Tulsa Port of Catoosa through:
- Site visits
- Meetings with employees of the
- Interviewed managers of port
based companies
- Feedback gained through survey
Methods chosen to give our team a 360-degree view

Researched several other port’s with characteristics similar to those of the Port of Catoosa:
- The Port of Memphis
- The Port of Metropolitan St. Louis
- The Jefferson River Port
- The Port of Guntersville

The Tulsa Port of Catoosa
Drafted the survey
Met with members of the Port’s senior management team to receive feedback
Finalized the survey
Sent survey out via email
- Managers of all 66 companies based
at the Port
- Survey was sent on three separate
occasions over a two-week period
Analyzed responses
- Followed up with companies who
shared information pertinent to our
specific research goal

Received survey responses from 37 managers from 28 different companies
- Representing 43% of companies
based at the Port
Not able to collect the appropriate amount of data to prove our hypothesis
- Faced many difficulties in finding
accurate numerical data
S.W.O.T. Analysis lead to Recommendations

Efficient Land Use
Short Term
Mid Term
Long Term
Developing the remaining 300 acres
- Tenant must use
waterways, railways and
other port services
Additional revenue from new tenants
Short term leasing strategy
- Five years or less
- Great opportunities for
short term project
Less harm for shutting down
Lease terms which favor waterway users:
- Terms and pricing already favorable for tenants
Fees? Or discounts?

Incentivizing the waterway
Lack of container capabilities at the Port
Interest from Management and Tenants
Cost effectiveness?
- Price structuring

Containers Continued
Methods of storage
- Internal -> Eastern shore
- External -> BNSF shipping yard

To facilitate cluster development:
Lease the remaining land to manufacturing companies or related and supporting companies
Exception - Economic value added companies
Evaluate expiring leases
Benefits of developing into a manufacturing cluster:
Increase productivity with which companies can compete
Increase talent pool
Lowering search and transaction costs
Suppliers of the industry will price more aggressively
Increase bargaining power of tenants
Grow complementary industries
Increase waterway utilization
Make sourcing of inputs more efficient
Better facilitation of knowledge spillover
Easier to meet the needs of tenants
Increase awareness of the Port
Easier to get funding to improve infrastructure
Clusters of Industries
First characterized by Alfred Marshall in 1890
Expanded further by Michael Porter
Geographic concentrations of interconnected companies, specialized suppliers, service providers, and associated institutions in a particular field that are present in a nation or region
Proven to be able to stimulate economic growth
Silicon Valley, Detroit's automotive industry, Wall Street, California's wine industry, Las Vegas, etc.
Optimize waterway utilization by targeting:

1. Agriculture
2. Manufacturing

as well as related and supporting industries
Increasing Port User Knowledge
Conclude that companies based at the are not as knowledgeable about the port’s transportation opportunities as they could be
Many companies voiced that they would be open to trying new modes of transportation if they had more information/assistance

Create a guide with current information such as:
- Service offerings
- Pricing
- Contact information
- Companies that partner with the Port
(trucking companies, 3PLs, etc.)
- Any other helpful information
One-on-one time with managers based at the
Short presentation every few months

Bring on a marketing team to help promote the Port of Catoosa as a vital part of Tulsa’s community by:
Gaining regional awareness
Increasing media appearances
Advertising the Port’s amenities and services

Seek Out Third Party Logistics Provider (3PL)
Knowledge sharing of waterway and railway transportation expertise
Increase the percentage of waterway users significantly
Inexperienced companies to learn new ways of transporting their goods

“the roll-on roll-off is well designed and well built, and it is the best I have ever seen.”

Continue to Improve Railway Infrastructure
Most conservative option first
Additional Engine?
- Higher guarantee of switches?
- Multiple additional benefits
Laying of additional track
- Memphis and Louisville
- Lease incentives?

Easing Congestion
Resuming control of rail operations
- Increased revenue through additional charges
- Infrastructure repairs and upgrades
Advisory Board
- Council of heavy rail users
- Mediator between user base and service provider
- Further reduction in headaches for management

Management Options
Utilize Airway Transportation
We recommend that the Port utilize their proximity to the Tulsa International Airport
- In 2012, nine of the world's thirty busiest airports in terms of cargo were located in the United
opportunity for the port to expand
- Would put the Port on the map as one of the few quadra-modal global logistics centers in the nation.
Increase awareness of the Port of Catoosa
Appeal to prospective tenants and Port users who value flexibility in their supply chain logistics

Memphis, Tennessee and Louisville, Kentucky are great examples of a ports that have utilizes their airport in an effort to extend their services
- There are several similarities between Memphis, Louisville and
Airports located within a 15-minute drive from the port
Runway are at least 10,000 feet long allowing for the same types of aircrafts with the same cargo capabilities

We recommend:
Third party logistics will help to increase airways usage
Putting an unloading station near the airport

Plans for New Dock
New opportunities due to $6.4 million matching TIGER Grant
Current capacity - 200 tons per hook, 400 tons total
Increasing the weight capacity to 800 tons would be beneficial to the manufacturing companies

Be able to accommodate two 75 feet wide barges
Add an additional crane to ease loading/unloading
Full transcript