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Terminal market has rapidly crashed and market rates have taken a sharp plunge. The substantial throughput decrease resulted from the world economic downturn has been a finishing blow to the terminal operators in Busan. Every terminal operator is taking cost saving as its first priority and accelerating structural reform and downsizing. Under the desperate situation, the need of effective cost analysis would be highly required to effectively control operation cost and to develop new services to satisfy the different needs of the customers. Furthermore, terminal operators could reduce unnecessary activities and concentrate their resource on the more cost-effective process through the operation cost analysis. In order to suggest a new framework of the cost control of container terminals, this paper seeks to analyze terminal costs based on ABC approach by processing actual data.

A Study on the Cost Analysis for the Container Terminal Services based on ABC Approach