Application of Organizational Life Cycle Theory for Port Reform Initiatives in Taiwan

Abstract

Global container port authorities worldwide are competing increasingly to improve the throughput of containers, and to enhance performance improvement, which has resulted in port reform since the 1980s to gain a competitive advantage. Because port reforms in various countries have unique motivations, incentives, and goals, no consensus has been reached regarding the relationship between port governance and related performance. Therefore, various port authorities may adopt diverse models according to their respective operating conditions and constraints. To avoid the indecisive argument of effectiveness when conducting port reform, it may be sound practice to conduct situational analysis by introducing organizational life cycle theory to present the negative factors of a “declining” organization that must urgently be reconstructed and introduced to new revitalization measures. The port reform case in Taiwan demonstrates that organizational life cycle analysis can be employed as an alternative approach to gaining a thorough understanding of the importance of this reform in relation to port personnel.