Abstract

Purpose: Indonesia’s archipelagic geography creates long lead times, high logistics costs, and persistent container dwelling time at major ports. This study develops and evaluates a port-handling model that supports cross-docking to reduce dwelling time and improve inter-island distribution performance. Research design, data and methodology: A multi-level framework is implemented as a discrete-event simulation of Batu Ampar Port (Batam) as a representative domestic container hub. The model integrates material, information, and financial flows and is parameterised using port operational data and national statistics. Scenario experiments compare a baseline storage-oriented system with cross-docking-oriented configurations under demand shocks, route delays, and supply disruptions, supported by expert review and variance-based output analysis. Results: Cross-docking-oriented handling reduces simulated dwelling time and total distribution lead time from major origin ports to surrounding islands while preserving realistic system behaviour. Key bottlenecks concentrate in job-order processing, truck arrivals, and outbound ferry capacity, particularly on routes to Natuna and Anambas. The model is robust to cost-parameter changes but sensitive to capacity and availability shocks. Conclusions: Port handling is a strategic lever in archipelagic logistics. Cross-docking supported by integrated information systems and targeted capacity upgrades on critical routes can improve efficiency and reliability and strengthen domestic maritime connectivity.