Quarterly September 2007 - Odfjell

Agency Performance ProjectBy Tore VaageneTransportation ofchemicals at searequires, in additionto high qualityships, good operationalproceduresand skilled crew,also first-class portagents.Over the years we have seen that inan increasing number of port calls, theservices provided by our agents are notat an adequate level for meeting ourfuture demands as to back office structure,port agency ICT structure as wellas port agency finance structure. Manyagents perform their duties based ontradition and in accordance with whatthey regard as their long-term experience.There is no doubt that, in a traditionof trust and good working relationship,the service level provided by manyagents has not been questioned or challengedproperly.Today our “List of Agents” covers approximate690 different ports in morethan 100 countries. Our network of portagents consists of a mixture of small independentagencies and some of theworld’s largest marine service providers,e.g. Inchcape Shipping Services and BarwilUnitor. In 2006, Odfjell Seachem andOdfjell Asia together recorded nearly3,700 port calls in 490 different portsworldwide. Average number of berthsper port call is approximate 2.5, givingnot less than 9,250 berth calls per year.The purpose of the Agency PerformanceProject, which started in July 2007 andis expected to last for 1-2 years, is toensure that Odfjell Seachem developsthe best and most cost efficient agencystructure. Combined with other efforts,the project will contribute to improveOdfjell Seachem’s operational performance,which in turn will reduce time inport, improve customer satisfaction andincrease profitability. The project teamincludes members from Bergen, Singaporeand Rotterdam.The first phase of the project waslaunched some weeks ago when wesent an information letter to all our portagents, to establish an “as-is” overviewof our current port agency structure.So far we have issued four differentsurveys, to gather information from theOdfjell organization on how our currentagency network is performing. Thishas provided valuable information andfeedback from our captains, ship operators,D/A desk, marine accountants anddemurrage desk. The surveys measure,amongst others:• Adherence to the Odfjell SeachemAgency Instruction• The physical presence of the agent in port• Are all documents/vouchers presentedin a correct manner?• Correct tendering of NOR• Availability during and after office hours• Level of service and pro-activeness• Communication• Pre-arrival information• Port stay service• Problem solvingVessel in portThe second phase of the project will beto identify and define Odfjell Seachem’sfuture requirements as to port agencyback office capacity, ICT structure as wellas finance structure, and to find optimalsolutions for port service agreements.During this fall we will invite severalpotential service providers to Bergen topresent their organisation and capabilities.Based on the findings of the surveys,we will make our conclusions andbenchmark our findings against OdfjellSeachem’s expectations and demandson our future service providers.Odfjell Quarterly September 2007 31