Marine PM: The Definitive Guide

Whenever a marine company hires a new manager to lead project management and digital transformation, you are given about four weeks to familiarize yourself with the new system. You have to be able to understand the people in charge of different departments of the Marine Industry, as well as what they are capable of doing and what their policies are.

Every aspect of the Marine Industry must be familiar for these marine managers.

Human Resource Marine Industry Department

No matter what sort of marine company you are running, or even you are in the US Maritime Administration, there has to be a human resources department. This group is in charge of hiring and training employees, as well as giving them benefits and making sure their work is legal. The NMMA helps to develop this discipline.

Main Role & Responsibility

The HR Department aligns the marine company’s overall workforce strength to yearly plans and talent management. It introduces effective training plans (IDP), workforce management, employee and company compliance/laws, and regulations. Lastly, it maintains employment data and records, benefits administration, and workers’ compensation.

Planning & Recruitment Section

When hiring new marine workers, the Human Resources department has to make sure that they are offering employees the best possible benefits while doing so in a legal manner. Their goals when recruiting are:

• To formulate, recommend, and interpret rules, policies, and procedures such as the HR employee manual.

• Identify legal requirements and government regulations affecting human resource functions and advise the HR administration for effective implementation.

• Remain responsible for manpower demand analysis and on time supply of manpower.

• To make service level agreements with each department and update policies and procedures.

• To get the best employees by recruiting through appropriate modes in conjunction with service level agreements.

• Offer the best package/compensation of competitive wages and benefits to employees in line with company grading structure.

• Set appraisal policy to be linked with individual employee targets which contribute overall to the Department’s KPIs.

• To advise and facilitate for effective employee engagement to each department, effectively keeping attrition rate at the minimum level.

• To keep the departmental cost at a minimum level (overall cost including manpower).

Personal Section

After recruiting workers, the HR department also has to maintain their working pleasantries. Their objectives are:

• To release salaries and other benefits to employees on time.

• To maintain the human resources database of employees, salaries, wage adjustments, and wage rates.

• Set up the administration of the company’s benefits and award program.

• To control Insurance – employee related (i.e. medical, life, workmen compensation, etc. [policy, tender document, claim and reimbursement management]).

• Provide assistance to employees, supervisors, and managers about employee performance, discipline, supervision, and grievances in line with labor law and marine industry policies.

• To investigate complaints and recommendations of employees and then take appropriate action. 

Training & Development Section

When training new employees, the HR department aims to do so in the most efficient way possible by focusing on the goals of:

• Maintain responsibility for training development, career development, and sustaining high-performing employees.

• To manage and optimize the training budget because it results in maximum efficiency.

• To prepare skill gap analysis and a training plan to minimize the gap in conjunction with a Performance Appraisal Report.

General Administration Marine Industry Department

The GA Department is an important component to ensure the efficient performance of all departments’ employees in the company and this section has been produced in order to introduce to SRM the GA sections responsibilities include the housing, transporting & entertainment.

Main Roles & Responsibilities

The GA Department provides services and the required necessities to external and internal customers; it supports all departments in the company and establishes policies and procedures based on marine company rules for proper and organized flow for raising efficiency.

Administration & Planning Section

To ensure that the company has employees working to the best of their abilities and knowledge, the GA department has to focus on the following goals:

• To plan, organize service for ship owners and also other departments.

• Establish and maintain administrative policies and procedures, asset controls, archive and also document control.

• To complete tenancy renewal formalities with sub-contractors.

• Manage and also organize property documents including the tenancy agreement and also the assets list.

• To prepare the annual budget of GA and also set budget controls to achieve cost-saving targets.

• Supervise writing, editing, and arrangement for production of newsletters, in-house magazines, reports, brochures, advertisements, translations of letters, publication of diaries, and also calendars.

• Disseminate received information to concerned marine industry departments.

• Physically verify at the end of each quarter and liaise with internal and also external auditors for asset verifications.

Housing, Catering & Transportation Section

Efficiency is also increased by utilizing the best forms of transportation and catering for marine employees. This is also accomplished by:

• Plan, organize and coordinate the functions of transportation.

• To hire and supervise cars and buses; to set and monitor transpiration policies.

• Coordinate routine maintenance and maintain related records.

• Monitor vehicle registrations, renewal, and traffic violations along with vehicle accident claims.

• To complete the tenancy agreement with sub-contractors and maintain or keep records for other incomes.

• Plan, organize and maintain hygiene dormitory, canteen, and the health club.

• Maintain comprehensive records covering all aspects of the company’s residential properties.

• To manage and maintain office facilities, furniture, and office environment; to keep the properties in excellent condition.

• Plan, organize and provide best services of catering to marine industry employees, ship-owners, and guests.

Hospitality & Entertainment Section

The GA department is also responsible for ensuring that various company events are made known to the company.

• Ship-owner/Guest and VIP Protocol.
• Promote and publicize company events, celebrations, parties, and ceremonies.
• To provide support (entertainment facility, transportation, and accommodation) to marine ship owners in a related department.

Internal Audit Marine Industry Department

The Internal Review helps an organization accomplish its destinations by utilizing an orderly, restrained way to deal with assessing and enhance the adequacy of risk.

Main Roles

This department has a wide range of roles, including making sure the leadership of the organization is effective and adequate and approving the execution of responsibilities of other marine departments.

• Reviewing the reliability and integrity of financial and operational information and the means to identify, measure, classify and report such information.

• Reviewing the system established to ensure compliance with those marine policies, procedures, laws, and regulations which could have a significant impact on the organization.

• Checking the means of safeguarding assets and as appropriate verifying the existence of such assets.

• Reviewing the effectiveness, efficiency, and economy with which resources are employed.

• Reviewing the marine operations or programs to ascertain whether results are consistent with established objectives and goals and whether operations or programs are being carried out as planned.

• Performing consulting and advisory services related to governance, risk management, and control as appropriate for the organization.

Main Responsibilities

These objectives are just as crucial for the work of this department as the roles listed above.

• Providing data intermittently to AC on the inner review action’s motivation, specialist, obligation and execution in respect to its plan.

• Providing information about relevant risk exposures and control issues, including fraud risk, governance issues, and other matters needed or requested by the AC and BOD.

• Evaluating specific operations at the request of the AC, BOD, or Top management as appropriate and reporting the result.

• Providing information periodically to AC on the status and results of the annual audit plan and the sufficiency of the department resources.

• Review application and general controls of IT system to ensure the reliability and integrity of information.

• Provide reasonable assurance regarding the reliability of financial report and the preparation of financial statements in accordance with internationally accepted accounting principles.

• Reviewing compliance with marine laws and regulations including Corporate Governance and CMA rules.

Corporate Strategy & Planning Marine Industry Department

A corporate strategy department functions as a coordinating body, developing and implementing strategies that satisfy the objectives of individual departments as well as promoting overall corporate goals.

Main Roles & Responsibilities

This department establishes business plans that are centered around the goals of expanding, diversifying, and implementing new ideas. The corporate strategy and planning department seeks to make sure the marine company is carrying out its vision to the best of its ability.

• To map out and implement a strategy to achieve vision and goals.

• To formulate long/mid-term business plan based on a strategy.

• External/Internal Environment Scanning, SWOT Analysis, and Financial Forecast.

• To develop new opportunities to expand business areas.

• To conduct feasibility studies and also execute business expansion and diversification.

• Prepare agenda to be discussed and shared in the weekly meeting of top management.

• To follow up on decisions made in the meeting and implement them in practice.

• Prepare reports for management’s decision making as required.

• To set-up policies and keep the archive updated, aligning operational manuals.

• Maintain and supervise the “Manual of Authority”/governance policies.

• To set-up, the plan and supervision of subsidiary marine companies, if any.

HSSE Marine Industry Department

SRM is responsible to ensure that safety precautions, security level, health & environment conditions during the ship stay in the marine yard for repair.

Safety induction to be given for new employed SRM and this section has been produced in order to introduce the HSSE responsibilities for SRM.

Main Roles & Responsibilities

The HSSE Department seeks to provide necessary HSSE information, HSSE planning and strategy for HSSE efficiency; it minimizes incidents and accidents by strengthening HSSE policy and control and establishes proper process and procedure for enhancing efficiency. 

Health & Safety Section

No matter what a company focuses on, safety comes first. This department seeks to implement the best safety procedures by carrying out the following goals:

• To develop and also implement health and safety procedures.
• Safety control onboard and for marine yard facilities and also managing safety equipment.
• Health and safety control onboard and for marine yard facilities and also gas free tests.
• To provide HSSE training because of demands from the HSSE training manual.
• To implement and also maintain ISO 9001:2008 and OHSAS 18001:2007.
• Managing occupational health in all marine company facilities such dormitory and also management housing.
• To provide Health & Safety training as per HSSE training manual.

Firefighting & Rescue Section

When it comes to marine companies, firefighting and rescue are crucial elements of safety. These options are pursued by:

• Managing and operating the clinic, rescue, and also firefighting equipment.
• To prepare company marine environmental policy.
• Fire prevention, extinguishing, and also emergency response.
• Coordination with Civil Defense.

Security Section

In addition to safety, security is absolutely necessary for a marine company. This department seeks to effectively carry out the following.

• Managing the security policy of the marine company.
• To carry out security tasks for protecting the marine company and also other assets outside of the marine industry.
• Operating marine guard security team.
• To issue and control passes for visitors/guest/ship-owners, meeting the marine security standards and also the requirements of IPA, ISPS codes and SOLAS.
• To co-ordinate with govt. authorities for security issues such as coast guard and also the Marine Navy.

Environment Section

In addition to employee and company safety, environmental safety is also crucial for this department.

• Develop and also implement the marine environmental policies and procedures.
• To establish and also maintain the marine environmental management system to be in line with ISO 14001/2004.
• To co-ordinate with govt. authorities for marine environmental issues and also necessary licenses.
• Coordinate and also oversee the compliance of marine environmental requirements.

QA/QC Marine Industry Department

SRM is responsible to ensure the quality standards of the repair activities onboard the ship and this section has been produced in order to introduce the QA/QC responsibilities for SRM.

Main Roles & Responsibilities

To provide necessary quality information related to quality planning & control, to conduct education of efficient and appropriate quality control, to supervise the technical aspects, the inspection progress and quality of marine projects.

Quality Assurance Section

No matter the marine company, the product created has to meet certain standards. This department makes sure the quality is of the highest regard.

• Quality plan and marine company standard control.
• ISO 9000, 14000 series certifying and managing.
• To provide technical support and development in quality control.
• NDT services and control.
• To prepare different quality certificates as per business needs.

Quality Control Section

In addition to quality assurance, this department also takes the necessary steps to control the quality of the work.

• Quality control for marine repair and new construction work such as steel structure, machinery, outfitting, piping, and electric work.
• Inspection, testing, and measurement report control coordinate with the ship’s marine surveyor and representative for inspection, testing, and surveying.
• To manage re-inspection ratio of each marine production department.

Information Technology Marine Industry Department

The IT Department is providing technical support to a business or an organization’s employees and train non-technical workers on the business’s information systems & this section has been produced in order to introduce for SRM the IT department responsibilities.

Main Roles & Responsibilities

In modern society, technology is present in every marine company, no matter the department. This IT department has the following objectives:

• To manage IT help desk and provide services to ship-owners as requested by SRM.
• To operate and maintain business information systems and hardware.
• Carry out network stabilization, QA response, security, and backup management.
• To execute IT Infrastructure investment projects and budgets.
• Operate, maintain, and improve business information systems.
• To adjust and control IT projects related with information system software.

Finance Marine Industry Department

A Part of the marine company business is to manage its money & produce the company financial statements.

Main Roles & Responsibilities

The Finance Department, in addition to creating the strategy, directs and coordinates the marine company’s financial planning and accounting practices. It does this to achieve company financial objectives while complying with international regulation standards, IFRS, and all laws related to finance to update related policies and procedures. 

Accounts Section

More than just making money and profits, the financial department also has to make sure that the reported numbers are accurate and organized.

• Maintenance of financial books of accounts compliant with approved Policy, procedures, and also statutory laws.

• To prepare accounts to highest standards furthermore in line with relevant IFRS and IAS.

• Production of annual, as well as periodical management accounts.

• Recording of invoices for both direct and Indirect revenues generated.

• Registering receipts and also expenditure from all marine departments.

• Processing of payments to marine suppliers/service providers/others as a result of approved procedures.

• Processing all cash transactions due to accurate record keeping.

• Compliance with financial in addition to tax regulations.

• Satisfying the external auditors and also getting the statutory audit completed within a prescribed time frame.

• Facilitate the internal audit of financial records, as well as data.

• Implement and also utilize the IT system for Financial Accounting.

• Provide prompt information to marine customers, suppliers, and also others.

• Reconciliation and confirmation of marine customer, suppliers, and also other accounts.

Finance Section

The financial department is also responsible for investing and relationship building, goals that are achieved by:

• Maintain bank accounts, cash balances, periodical bank and cash reconciliations, cash management, and forecasting.

• Build up relations with local and international banks.

• Investing funds on secure deposits at best rates of return.

• Monitor financial risk and manage it to an acceptable level.

Contract & Procurement Marine Industry Department

SRM is responsible for tracking well the marine materials & service providers that required for his project repair activities.

Main Role & Responsibility

The C&P Department focuses on the timely purchase of goods and services, reduces the lead time, gets involved in the early discussion of projects, and establish related policy and procedures.

Contract & Procurement Section

The C&P department aims to make sure that there are arrangements in place for the marine work to be carried out.

• To set standard terms and conditions for contracts and agreements (approved by the legal department).

• To issue a contract for marine services and outsourcing ad set-up, mobilizing lead time.

• Find, evaluate, and register a reliable marine supplier in the vendor list (20% supplies should be local).

• To establish long/short term contracts for marine service and manpower sub-contractors in coordination with production.

• To submit the contract, invoice, and other supporting documents to finance so as to process payments on time.

• Prepare material budget, set proper cost-saving measures in each purchase of goods and services, and budget control to achieve annual cost saving targets.

• To handle the secretariat of the tender committee and to provide all related supporting documents. 

Logistics Section

In addition to contract management, this department is also in charge of figuring out how the work is carried out.

• Transportation of marine materials from supplier to the company and customs clearance of materials (i.e. road, sea, and air freight).

• To manage taxes and invoices of materials including inspection of materials.

• Coordinate with government entities for obtaining of licenses such as import/export permits, customs duty, marine environmental permits, etc.

Material Management Marine Industry Department

The material management department  is important to the marine industry to supply of proper quality of materials is essential for ship repair projects and the avoidance of material wastage helps in controlling the cost of the marine projects.

Main Roles

Even more than ensuring the products are quality, a company has to make sure that the products are maintained and handled in a responsible manner. This is where the Material Management department comes into play.

• To manage marine industry warehouses, provide the materials to end-user departments, maintain the minimum stock level of GSI items, manage inventory ledgers, and reconcile inventory periodically.

• To maintain marine warehouses, sub-warehouses, and outside storage areas.

• Material control.

• Inspection and receiving materials from the marine supplier as per LPO and making GRN.

• To provide marine materials to end user department with requested lot volume and quantities for smooth operation.

• Set processes and forms for movement of inventory, such as materials.

• Transfer and issuance to a project, the return of surplus materials, and transfer of material from one marine project to another.

• To check stock levels and issue the POR of GSI Materials.

• Use FIFO (First in First Out) method to issue materials from the warehouse.

• To manage and sell out scrap or useless materials (periodic investigation required).

• Update location of materials in ERP system.

Main Responsibilities

Also, the Material Management department must focus on the following goals:

• Manage OFE (Owner Furnished Equipment) materials.

• To manage all receiving, issuance, and consumption through ERP system.

• Optimize space utilization within and outside warehouses and minimize inventory level.

• To close project reporting as and when the marine project is delivered.

• To close monthly reporting on all materials (direct & indirect) consumed during the month.

• Inventory reconciliation at the end of each quarter along with aging analysis, fast and slow-moving inventories.

• Liaison with the internal and external auditor for inventory reconciliation, aging analysis, etc.

• Prepare and provide consumer reports to marine estimators/invoicers for billing purposes before delivery of marine projects.

• To manage inventory ledger.

• To use ERP system to generate all above-mentioned reports.

Marketing Marine Industry Department

SRM will start to handle the marine projects after receiving firm booking order from the marketing department.

Main Roles & Responsibilities

The Marketing Department carries out sales activity, promoting, estimation of projects, and preparation of quotation, invoicing, project management for the purpose of maximizing marine industry business.

Planning Section

In the marketing department, the work begins with a plan. Coming up with a strategy is crucial to establishing a solid marketing department.

• To set marketing strategy and conduct market analysis/issuing marketing reports.
• Preparation of business expansion such as marine offshore repair.
• To manage external advertisement/website.

Marketing Section (Area Wise)

Once a plan is in place, the implementation of a marketing strategy is necessary for establishing the company in a more prominent way.

• The promotion of the marine industry, market development, enlargement, and strengthening.
• Contacting clients and maintaining a relationship with them.
• Determining client qualifications and credibility.
• Setting up the company’s marketing policy in terms of price, discounts, credit period, quality, delivery, etc.
• Submitting offers to clients.
• Preparing offers for damaged vessels/issuing order confirmations and concluding contracts.
• Preparing pre-qualification documents.
• Settling payments and bank guarantees.
• Performing advertising, branding activities, and documentary films related to company business.
• To communicate with media for press releases, supplements, interviews, etc. …and manage the company’s corporate gifts.
• Controlling regional and international marine agents and preparing the long-term contract with them. 

Estimation Section

Once a marketing plan is put to use, the department is in charge of determining just how effective the strategy was.

• The reception and review of marine docking indents and repair/conversion specifications from clients.
• The collection of all information and data from relevant departments to prepare quotation/offer.
• Analysis of marine repair/conversion specification.
• Preparing quotation including work volume, quantity, time duration, and price.
• Setting the unit price of each detailed work order (tariffs) with coordination of production and concerned department.
• Analyzing the cost structure such as marine labor, materials, and overhead cost.
• Updating tariffs, quotations, bills, and other documents in coordination with production (same standard man-hour with estimation and production).
• To share marine project details with relevant department to plan for ship-repair/conversion.

Hull or Steel Marine Industry Department

The marine industry profit achieved mainly from the steel repairs and this lead to keep steel department on the top of the marine production divisions.

Main Roles & Responsibilities

For marine companies, the hull or steel department is critical because of how dependent on these materials the company is. The responsibilities include:

• Hull processing shop operating (steel processing).
• Raw marine steel material control (arranging, cutting, and also distribution).
• Minimize wastage of raw material.
• Steel marking on curves and also various shapes.
• Conversion vessel marking control.
• Hull steel structure repair.
• New steel structure processing (block fabrication/erection).

Blasting & Painting Marine Industry Department

The blasting and painting also are very important to the marine industry and it is the second department in the production organization, also it is profit achieves to the marine industry.

Main Roles & Responsibilities

In terms of production for the marine company, blasting and painting is almost as important a department as steel because they are required to:

• Grit blasting or power tooling on steel structure.
• Outfitting/piping before painting.
• Painting by spray on hull steel structure or outfitting and also piping.
• Touch-up carrying on paint damage parts.
• High-pressure washing by water for removal of dust, rust, and also salt.
• Arranging control of various paint equipment.
• Grit supplying to blasting machine.
• Marine Ship’s general cleaning/dock cleaning.
• Tank cleaning for hot work (hull, outfitting, piping, etc.).
• Tank/hold cleaning for painting (before/after).

Mechanical Marine Industry Department

The repairs of marine ship types of machinery & equipment it is carried out according to the running hour’s maintenance plan or inspection plan of classification society and at operation problem case or operation failure.   This section has been produced in order to introduce the mechanical department responsibilities to SRM.

Main Roles & Responsibilities

Building the product is important, but so is making sure that the products operate properly, which is where the mechanical department comes into play.

• M/Engine and aux. engine system overhaul, repair, and also measurement.
• Aux. machinery system and cargo pump repair, and also sea trial.
• Main or aux. boiler overhaul, cleaning, and also repair.
• Various heat-exchanger repairs in E/R.
• Various engine parts machining in the marine workshop.
• Boring for rudder, stern tube, and also other engine parts.
• Welding, boring repair work for the ship propulsion system.
• Steering gear and rudder system overhaul and repair/propulsion system overhaul and also repair.
• Deck machinery repair/hydraulic system repair of various deck machinery.

Electrical Marine Industry Department

The repairs of marine ship electrical equipment’s, automation system, instrumentation items & navigation equipment’s it is carried out according to the maker’s maintenance plan or inspection plan of marine classification society and at operation problem case or also operation failure.

Main Roles & Responsibilities

The electrical department is similar to the mechanical department in the sense that both are necessary for the smooth operations of the products.

• Various motor and generator overhaul and repair.
• Electric panel such as M.S.B., local panel, start panel, etc.
• Power cable, lighting, switch, battery work, and sea trial.
• Radio, navigation, communication equipment repair, and calibration.
• Instrument equipment and maneuvering system calibration and repair.

Piping Marine Industry Department

The pipework it is carried out for damaged pipes on the ship pipeline systems or for adding a completely new pipeline system to the existing one or modify some of the pipelines.

Main Roles & Responsibilities

The piping department is responsible for both establishing and maintaining the pipes of the product.

• Marine Ship’s pipe repair (in the engine room, ballast tank, cargo tank, deck, accommodation, etc.).
• New and conversion of ship’s pipe processing.
• Insulation work on E/R and deck piping. 

Production Control or Production Planning Unit Marine Industry Department

The production control department is for monitoring the performance of marine industry production team & control the marine repair work of the sub-contractor onboard the ship.

Main Roles & Responsibilities

Without the production control department, there would be no way of ensuring that the work that goes into developing these products is efficient and effective.

• To publish marine ship repair program with the docking-undocking plan.
• Load curve control for production.
• Direct and In-direct man-hour (M/H) control (Plan & Result).
• Establish measure of productivity of manpower.
• Marine Sub-contractor control of work completion.
• Marine Ships repair/conversion progress control.
• Provide reports of delivered/in-progress projects.

Production Support Marine Industry Department

This department is to support the marine industry in it is operation & provide the ship with all general services are required.

Main Roles & Responsibilities

Also, the main responsibility of the Production Support Department is to ensure that the desired facilities are available at an optimum cost within safety guidelines. Furthermore, it supports on time all necessary things for the production side such as all facilities, utilities, heavy transportation, production equipment, and tools.

Facility Management Section

Beyond the manufacturing of the product, the ship industry also has to be in working order for the company’s best interests. This department focuses on the following:

• Control assets and also do periodically preventive maintenance of facilities (superstructure, buildings, etc.).
• Set preventive maintenance philosophy and manuals for either superstructures or facilities.
• Develop cost saving and cost control methods; set up standards for consumption and also compare them with the budget.
• Operation for plants because of marine environmental safety (environmental facilities, gas plants, Air compressors, Substations).
• The operation for drydock pumps in addition to dock gates.
• Supply all utility (power, water, gas, etc.) supporting temporary utility, electric, and also piping to work locations.
• Maintenance of all facilities, buildings, as well as civil contractures.
• Implementing different maintenance system and work orders – routine, planned, preventive, and breakdown maintenance, additionally.

Rigging & Lifting Section

Specifically, this department has to ensure that the various methods of production in the marine industry are effective, including rigging.

• The operation for Heavy lift & Transportation equipment, jib cranes, and tower cranes.

Scaffolding Section

Scaffolding is another responsibility of this department, in terms of both production and ship repair work.

• Installation and also the dismantlement of scaffolding for all kinds of repair work.
• To manage and also maintain scaffolding materials.

Dock Master Section

This department is also in charge of ensuring the best possible quality for the docks in the shipyard.

• Movement of ships for production.
• The arrangement of ships to dock and quay.
• The arrangement of dock keel block and dock item work.

There are definitely more departments than one would necessarily expect to be present in a marine company, but it just goes to show you that companies are very deep and there is also a great deal that goes into them. Even a marine and shipyard company has a lot to concern themselves with.