#1: Crewing and Technical Management

Question 1

What is Ship Management

REV

Answer 1

• functions of taking care of a ship on behalf of
  the ship owner
• Responsible for manning, maintaining, supplying
  and insuring the ship
• Ensuring that the ship is seaworthy
• Vessel available to the operators for the
  maximum amount of time possible.

Question 2

Ship management service provided by

Answer 2

i. A dept within a shipping company, eg. NOL
ii. Its subsidiary eg. NSSPL or
iii. From a ship management company employed by the ship owner (independent ship managers)

Question 3

Departments within a
Ship Management Company

ATOMS

Answer 3

Marine Personnel Department
Technical Department
Safety and Quality Department
Operation Department
Admin., Finance and Human Resource Department

Question 4

Ways to arrange crew for ships

Answer 4

Direct employment of crew by the shipmanagement company.
Employment of crew through a national
organisation.
Employment of crew through a union.
Employment of crew through an agency.
A combination of any of the above.

Question 5

Direct employment

Answer 5

company employs the sea staff directly

Advantages:
 Total loyalty to the company.
 Easier to maintain the standard of the sea staff
and they know the company culture better.

Disadvantage:
 Extra cost to maintain the crew department

Question 6

Employment of personnel through a national organization

Answer 6

All tasks formerly performed by the crew dept are done by the
organization.
Ship manager’s task to decide how he wants the ship to be manned and when he wants the crew to be changed.
Ship manager will have to pay for the services rendered

Advantages:
 Save expenses on the crew dept.
 More efficient manpower planning and distribution

Disadvantage:
 Lack of loyalty or interest on the company’s
performance

Question 7

Employment of personnel
through a Union

Answer 7

The union supplies the whole crew.

The ship manager or owner has little control
over who sails in his ships.

Question 8

Employment of crew through
an agency

Answer 8

Agencies are usually used by ship
managers to provide crew from countries
other than the country of management or
registration of the ship.

Question 9

Responsibilities of a crew department

MERAW

Answer 9

The manning onboard a ship
The establishment of the crew in the company
Recruitment
Arrange joining and signing of crew onboard ships
Welfare of the crew

Question 10

Manning On Board Ships

Answer 10

number, categories and qualifications of crew required to sail depending on country of registry, unions, or additional operational requirement of the ship.

Question 11

Establishment

Answer 11

total number of sea staff required to crew

all the ships in the company’s fleet and will include crew at sea and ashore.

may be based on 100% on the manning scales of all the ships plus allowance for leave, sickness, study leave, training and overlap when changing crew

Question 12

Recruitment

Answer 12

incomplete or incompetent crew is unsafe and in the eyes of the law, unseaworthy

Due to intense competition, shipping lines have to operate with the least cost to have the comparative advantage.

Crew cost and flagging out are some of the areas being used by ship managers to maintain their competitiveness.

Question 13

Choice of Crew

Answer 13

Usually as per the registry of the ship.

To bring down the operating cost, many owners
have opted for open registries which allow foreign
crew.

Foreign crew has its own problems namely:
 Communication problem.
 Religions and custom may vary widely.
 Antipathy between certain races.
 Different food, culture
 Different quality and standard
 Safety maybe compromised if not careful.

Question 14

Arrange joining and signing of crew on board ships

Answer 14

Must be economical and practical.

Max no. of crew at the same time to enjoy larger
discount and repetition of similar effort.

Done close to where crew are engaged to
minimise cost.

Sufficient experience staff remaining to guide the
new staff.

Avoid Arriving too early.
Avoid Arriving too late .
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Question 15

Crew’s Welfare

Answer 15

Crew approach the crew dept for assistance when
they need help.
 The spouses/next of kin also approach the crew
dept for assistance when they need to contact the
crew.
 Send magazine, newspaper
 Send letters on a regular basis
 Bank in money on time
 Make them feel important

Question 16

Whitelist

Answer 16

Flag State Party elect not to accept seafarers with certificates issued by non White List countries for service on its ships

If it does accept such seafarers, they will be required by 1 February 2002 also to have an endorsement, issued by the flag State, to show that their certificate is recognized by the flag State.

ships flying flags of countries that are not on the White List will be increasingly targeted by Port State
Control inspectors

Question 17

Functions of a
Technical Department

cberrmms

Answer 17

Co-ordinate with other depts to ensure that the ship is
run safely, efficiently and cost effectively with
minimum down time

budgets and work plans..

Ensure all ships have appropriate certificates, plans, diagrams and documents

regular inspections

budgetary control for repair, maintenance and supply

Maintenance of records

maintenance and operation of ships and equipment as per government and classification society standard.

adequate spare parts,equipment and services

Question 18

Four Types of Ship Registries

Answer 18

 The traditional or “ closed” registries
 The “open” registries.
 The “off-shore” or “international” registries (second
registers).
 The “dual” or “bareboat” registries

Question 19

Traditional Registries

Answer 19

Apply to strict maritime countries
 Very protective of their vessels being controlled by
state residents and local crew
 Only these vessels are allowed to carry cargo
within the country.
 Operating cost is high
 Receive subsidies from state government
 Example: USA, UK, Japan, Europeans countries.

Question 20

Open Registries

Answer 20

Fastest growing registries
 Provide flexibility in legislation,
 Flexible financing structure,
 Flexible with crew nationality and qualifications,
manning requirements,
 Low/no tax on profit
 Examples: Cyprus, Honduras, Liberia, Malta,
Panama, St. Vincent and Grenadines and Vanuatu.

Question 21

Off-Shore or International Registries
(Second Registers)

Answer 21

Set-up by traditional registries
 To stem the exodus of ships
 Lower operating costs of owners including
employment of foreign seafarers
 Examples: Norwegians, Danish and German
International registries

Question 22

Norwegian International Ship Register

Answer 22

open to foreign shipping companies

Ships registered by Non-Norwegian owner shall be operated by a Norwegian shipping company with its head office in Norway.

Ships are not permitted to carry cargo or passengers between Norwegian ports or to engage in regular scheduled passenger transport between Norwegian and foreign ports.

Question 23

Dual or Bareboat Registries

Answer 23

Allow vessels which are registered in one state in the name of the owner, to have temporarily the right to fly the flag of a second state.
 Flag determines the crew nationality, applicable law
and state responsibility.
 Examples : Germany, Australia, Liberia and
Philippines.

Question 24

What are FOCs?

Answer 24

A flag of convenience ship is one that flies the flag of a country other than the country of ownership AND these flag states do not meet the additional criteria.
Additional criteria:
Ability and willingness of the flag state to enforce
international minimum social standards (mss) on its
vessels on:
 Basic human rights
 Trade union rights
 Freedom of association
 Right to collective bargaining
 Social record determined by the degree of ratification
and enforcement of ILO Conventions and Recommendations.
 Safety and environmental record through Port State
Control (PSC) inspections

ITF believes there should be a “genuine link” between the real owner of a vessel and the flag the vessel flies.