Thesis, Graduate (Master in Management)--University of the Philippines Mindanao, April 2015.

Confidential

Davao City is the main gateway of Mindanao products and by-products to the BIMP-EAGA and the entire ASEAN region and greater Asia. Sea port, such as the International Port of Davao (IPD) is a significant infrastructure for the entry and exit of goods from Mindanao and to the rest of the world and vice versa. Davao Integrated Port and Stevedoring Services Corp. (DIPSSCOR) is one of two cargo handling operators at IPD. DIPSSCOR has been facing a declining container volume throughput since 2011 due to shipper's utilization of their own port, opening of new container terminal in the Davao region like Davao International Container Terminal (DICT), poor port facilities and cargo handling equipment, and congestions. The framework used for the entire strategic plan is an adaptation from David (2005). The analysis of external environment used a conceptual and analytical framework by taking into account the four major factors affecting the industry, namely, the investment, competitor, market, and substitutes. The external factor evaluation (EFE) matrix was also utilized. The analysis for internal environment which includes the five key functional areas of DIPSSCOR utilized the organizational diagnosis and financial analysis. The internal factor evaluation (IFE) matrix was also used in the analysis. To generate the possible strategic options for DIPSSCOR, the strategic position and action evaluation (SPACE) matrix was performed utilizing the data from IFE and EFE matrices which revealed that DIPSSCOR must take an aggressive strategy. These strategies aim to increase domestic market share and modernization of IPD. The quantitative strategic planning matrix (QSPM) was utilized to evaluate the two options for DIPSSCOR. Option two or modernization of IPD was chosen as the core strategy of DIPSSCOR which aims to entirely modernize the operation of IPD. This is a timely response to the major issues of IPD and the government of the Philippines developmental plan of modernizing IPD or Sasa Wharf through public-private partnership (PPP) scheme. Through National Economic Development Authority (NEDA), the government's modernization program for IPD has been approved. The modernization of IPD will inevitably increase the vessel productivity from 13-15 moves/hr to 40-45 moves/hr for vessel operation. These new and additional equipment will reduce vessel port stay and therefore will expedite more the entire vessel and container yard operation. As a result, vessel congestion will be minimized and DIPSSCOR will have full control in the operation and management of the port's equipment and facilities.