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Ship Management > #2 Supply and Purchasing > Flashcards

#2 Supply and Purchasing Flashcards

1
Q

Functions of Supply and Purchasing Department

A

sufficient equipment and stores.
economically and practically.
Shortage of any item will hinder the progress of the
voyage, cause hazard to ship, or cargo.
Avoid excessive supply.

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2
Q

reasons for supply

A

Necessity
* meet statutory requirement

Efficiency
* efficient operation

Under owner’s account (unless required for a
particular voyage -> charterer’s account)

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3
Q

Certificates, documents and publications required to be
carried on board different types of Singapore Ships

A

Certificate of Registry
Official Logbook
Deck Log Book and Engine Log Book
International Tonnage Certificate
International Load Line Certificate
Cargo Ship Safety Construction Certificate
Cargo Ship Safety Equipment Certificate
Cargo Ship Safety Radio Certificate
Certificate of Class
Minimum Safe Manning Document
ISM DOC
ISM SMC
International Ship Security Certificate (ISSC)
International Oil Pollution Prevention (IOPP) Certificate
International Air Pollution Prevention (IAPP) Certificate
International Sewage Pollution Prevention (ISPP) Certificate
Oil Record Book
Garbage Record Book
Articles of Agreement consisting of Forms Marine 68A, 68B, 68C and 68D
Maritime Labour Certificate (MLC)
Declaration of Maritime Labour Compliance (DMLC)
Certificates for Masters, Officers or Ratings
Certificates of Endorsement (COE)
Order of Druggist (Medical Supplies Certificate)
Ship Sanitation Control Certificate/Ship Sanitation Control Exemption Certificate

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4
Q

basic ways to supply food for the crew

A
  1. Crew paid an allowance for food. Owner only
    supplies cooking equipment, refrigerators and store rooms
  2. Chief steward/cook paid by owner to supply crew’s food.
  3. Owner supplies the food directly. Owner budget the cost per head per day.
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5
Q

Information required prior to supplying to ships

A

current inventory
consumption

the max. and min. stock required.

when major storing should take place and amount to purchase.

world prices and availability of stores.

type, specification & cost.

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6
Q

Factors to consider when supplying equipment
and stores to ships in practice

A

Ensure sufficient equipment and
stores.

supplied economically.

Right quantity purchased at lowest
price.

shelf life.

storage space

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7
Q

Company Competitiveness

A

Know more about your company
Strategic Analysis of your company
SWOT
Porter’s Five Forces
Michael Porter’s Theory on Industry Analysis

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8
Q

Broad environment (General Environment)

STEEP

A

affect the whole industry

Social
Technological
Economical
Educational
Political

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9
Q

Competitive environment (Specific Environment)

BNRSS

A

specific
forces which affect companies differently

Suppliers
Buyers
Substitutes
New entrants
Rivalry

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10
Q

Porter’s Five Forces

A

analyzing a company’s competitive environment

number and power of a company’s competitive rivals,
potential new market entrants,
suppliers,
customers, and
substitute products

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11
Q

Michael Porter’s Theory on Industry Analysis

A

rivalry
 power of suppliers
 power of buyers
 threat of new entrants
 threats of substitutes

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12
Q

Growth of ship management companies

FORCE M

A

Difficult to finance
Cut operating cost.
Increase in open registers.
Increased complexity of ship management
Economies of scale

Access to new sources of manpower.

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13
Q

Singapore Registry of Ships (SRS)

A

Largest merchant fleet in Asia.
5th largest merchant fleet in the world.
As of end 2005, there were more than 3,200 ships
under the Singapore flag, totaling 33 million GT

Adoption of International Standard
Good Safety Record
Responsible Administration NON-FOC flag

Exemption of profits from income tax
No restriction on crew nationality
Recognition of foreign COC
Stable and Political Environment
No restriction on trading areas

Choice of Classification Societies
Treatment of Vessel Sales Proceeds as Capital Gains. Shipping companies owning SRS ships are assured of upfront certainty that vessel sales will be treated as capital gains, from 2005 for a period of 5 years.

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14
Q

International Safety
Management (ISM) Code

A

falling standards of seamanship

Lack of care and investment by some ship
owners/ managers.

Response to pressure by society as a result of the loss of life and environmental pollution

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15
Q

ISM

A

2 Parts
(Part A – Implementation Clause 1-12,
Part B – Certification Clause 13-16)

16 sections

based on the concept & requirements of ISO 9002.

Chapter IX of SOLAS

Code requires that all companies who manage ships develop,
implement, and maintain a Safety Management System

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16
Q

Objective of ISM

A

To ensure safety at sea,
Prevent human injury or loss of life and
Avoid damage to the marine environment and property

17
Q

Phase I (ISM)

A

Came into force on 1 st July 1998
Applicable to passenger ships including high speed craft
Tankers
Bulk Carriers
Cargo high speed craft of 500 GT and above

18
Q

Phase II (ISM)

A

Came into force on 1st July 2002
 Applicable to all other vessels of 500 GT and above which
were not covered under Phase I
 General Cargo ships, survey vessels, container ships,
ocean tugs, mobile offshore drilling units, reefer ships, car
carriers, livestock carriers, cement carriers and woodchip
carriers.

19
Q

Requirements (ISM)

A

Establishment of Safety Management System (SMS)
 SMS to be set up in the company
 SMS set out procedures to manage the safety and pollution prevention aspects of ships, both ashore and on board.
International Safety Management (ISM) Code
Company able to follow the set procedures to check that it complies and continues to comply
Company to provide necessary resources and shore-based support to implement SMS
Company to designate a person(s) ashore (DPA) having direct access to the highest level of management

Certification
Company must produce objective evidence to show that the SMS has been in operation for at least 3 months on board at least one ship of each type.
Administration to verify that the company has properly developed and implemented a SMS which complies with ISM Code.
Thereafter Document of Compliance (DOC) will be issued.
Validity of DOC is 5 years subject to annual verification.

An initial verification of compliance by way of an
external audit on board the ship will be carried out.
A Safety Management Certificate (SMC) will then
be issued to each ship operated by the company.
Validity of SMC is 5 years with one intermediate
verification.

20
Q

Document of compliance

A

complying with the requirements of the ISM Code by the Administration

21
Q

Safety Management Certificate (SMC)

A

operates in accordance with the approved Safety
Management System (SMS).

22
Q

Major non-conformity

A

serious threat to the safety
requires immediate corrective action
lack of effective and systematic implementation of a requirement of this Code

23
Q

Non – Conformity (NC)

A

non-fulfilment of a specified requirement.

24
Q

Corrective Action (CA)

A

action taken to prevent any event or incident which does not comply with the Company Safety Management System (SMS)

may lead to an accident and hazardous situations

25
Q

DESIGNATED PERSON ASHORE (DPA)

A

direct access to the highest level of
management.

To ensure the safe operation of each ship.
To provide the link between the company and those on board.
Have access to the highest level of management.
Monitor the safety and pollution prevention aspects of the operation of each ship.
Ensure adequate resources and shored based
support are applied as required.
Contactable 24 hrs.

26
Q

Observation

A

statement of fact made during a safety management audit and substantiated by objective evidence

27
Q

Safety Management System (SMS)

A

structured and documented system
implement effectively the Company’s Safety and Environmental Protection Policy
provide for safe practices

form of a manual, a set of procedures, fleet instructions, circular letters or asset of reference documents

Ship Management (8 decks)

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