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Company Magazine for the Odfjell Group - March 2005

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Safety Bulletin<br />

Our LTIF is up<br />

By Toralf Sørenes<br />

After three years of steady improvement,<br />

<strong>the</strong> Lost Time Injury Frequency<br />

(LTIF) is increasing again and <strong>the</strong> 2004<br />

figure is above both <strong>the</strong> 2002 and 2003<br />

numbers. The LTIF is one, if not <strong>the</strong><br />

most important safety per<strong>for</strong>mance<br />

indi-cator, and <strong>the</strong> shift certainly gives<br />

cause <strong>for</strong> concern. LTIF is an international<br />

and well-recognised indicator showing<br />

<strong>the</strong> number of cases where at<br />

least one man-day is lost due to accidents<br />

per million working hours. On<br />

<strong>the</strong> ships we count 24 hours of work<br />

per day, but if more than one man-day<br />

is lost, it still only counts <strong>for</strong> one case.<br />

The below graph speaks <strong>for</strong> itself, and<br />

we will not go into fur<strong>the</strong>r details here.<br />

However, we will certainly look thoroughly<br />

into <strong>the</strong> underlying issues with<br />

<strong>the</strong> objective of finding measures we<br />

Industry work group –<br />

Chemical tanker explosions<br />

The unusual high number of explosions<br />

on chemical tankers during <strong>the</strong> last few<br />

years has caused significant concern<br />

throughout our segment of <strong>the</strong> shipping<br />

industry, from <strong>the</strong> top-level regulators<br />

in IMO to <strong>the</strong> crew on board.<br />

Tank cleaning has been ongoing in<br />

several of <strong>the</strong> accidents, and as we<br />

know, two ships on <strong>the</strong> list are <strong>Odfjell</strong><br />

vessels.<br />

In an attempt to find common denominators<br />

and implement effective corrective<br />

measures, an Industry work group<br />

has been established. The group consists<br />

of <strong>the</strong> major stakeholders in <strong>the</strong><br />

industry and includes oil companies<br />

through OCIMF, chemical companies<br />

through CEFIC, ship owners through<br />

ICS, tanker owners through Intertanko<br />

and parcel tanker owners through<br />

IPTA. In addition classification societies<br />

can implement to reverse <strong>the</strong> negative<br />

trend. In <strong>the</strong> meantime we will urge<br />

everybody on all levels to stay focused<br />

on safety and make a joint ef<strong>for</strong>t to get<br />

<strong>the</strong> LTIF back on track.<br />

<strong>Odfjell</strong> Lost Time Injury Frequency<br />

1999-2004<br />

are represented in <strong>the</strong> work group<br />

through IACS. The structure is a steering<br />

committee on top, consisting of<br />

<strong>the</strong> heads of above organizations, a<br />

working group and finally several task<br />

groups. Svend Foyn-Bruun and Toralf<br />

Sørenes represent <strong>Odfjell</strong> in one of <strong>the</strong><br />

task groups. The objective of <strong>the</strong> initiative<br />

is to give an “agreed” industry<br />

advice to IMO and <strong>the</strong> industry within<br />

4-6 months. Improved principles <strong>for</strong><br />

cleaning after carrying flammable<br />

products are included in <strong>Odfjell</strong>'s<br />

revised procedures. It remains to be<br />

seen if <strong>the</strong>se principles will become one<br />

of <strong>the</strong> advices from <strong>the</strong> work group, at<br />

least shorter-term. Ano<strong>the</strong>r central<br />

issue is compliance with rules and<br />

guidance, and also in this respect we<br />

are well under way with our new<br />

marine superintendents in place.<br />

Customer Inspections & Vettings – News<br />

Renewal of P&I<br />

Insurance <strong>2005</strong><br />

On 20 February <strong>2005</strong> our P&I insurances<br />

were renewed. This includes all ships<br />

that <strong>Odfjell</strong> operates, whe<strong>the</strong>r owned,<br />

time chartered or used as feeder ships<br />

on short hauls. Although we have suffered<br />

two major accidents since last<br />

renewal, cargo and crew claims have<br />

improved and we have subsequently<br />

managed to renew our P&I insurance<br />

on a very satisfactory level also this<br />

year. It is important to appreciate that<br />

in addition to being a cost, insurance<br />

premiums are a very important per<strong>for</strong>mance<br />

indicator towards our customers<br />

and <strong>the</strong> environment in which we do<br />

our business. Our clubs, Gard in<br />

Arendal and Britannia in London are<br />

both per<strong>for</strong>ming well service-wise and<br />

<strong>the</strong>y are strongly funded. No ships were<br />

<strong>the</strong>re<strong>for</strong>e transferred between clubs at<br />

this renewal.<br />

An <strong>Odfjell</strong> ship in a Norwegian fjord,<br />

not <strong>the</strong> most common sight.<br />

OCIMF has recently introduced a new<br />

scheme called Tanker Management and<br />

Self Assessment, in short TMSA. Meant<br />

as a complement to ISM, it is designed<br />

to enhance self-regulation and to help<br />

ship operators measure and improve<br />

<strong>the</strong>ir management systems. Keywords<br />

in <strong>the</strong> system are Best Practice, Key<br />

Per<strong>for</strong>mance Indicators or KPIs and<br />

continuous improvement. There are<br />

clear indications that many customers<br />

will make use of <strong>the</strong> system mandatory<br />

in <strong>the</strong> near future. This may shift some<br />

focus from ships to management<br />

systems and it will become more important<br />

that <strong>the</strong> ship is “inspection ready”<br />

at <strong>the</strong> time of an inspection. Lengthy<br />

exchanges to clear out negative observations<br />

could well become a thing of<br />

<strong>the</strong> past which in turn will increase <strong>the</strong><br />

importance of close and effective<br />

superintendence by ship managers.<br />

20 ODFJELL Quarterly <strong>March</strong> <strong>2005</strong>

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