Value-Focused Inland Waterway Infrastructure Investment Decisions

Maritime transportation functions as the backbone of world trade. The U.S. inland waterway system is comprised 12,000 miles navigable waterways that connect and move freight between global supply chain thirty eight States. When investing in infrastructure, we should aim to maximize all benefits associated with investment including flood protection, water supply, hydropower generation, recreation, environmental impact benefits. We formulate an initial qualitative value model for infrastructure decision based on a value-focused thinking approach which allows us holistically evaluate project alternatives. Given limited resources, portfolio optimization formulated total investments while considering budget minimally acceptable benefit constraints. To demonstrate application our developed approach, present case study McClellan Kerr Arkansas River Navigation System.