Who are they?
Operating a ship takes a great deal of resources, knowledge and experience. There are cargoes to find, regulations to meet, maintenance schedules to consider, crew to employ and a whole host of other jobs that is all involved in ship operating.
Ship Managers, as an umbrella sector of the industry, take on some or all of those operational activities, leaving a ship owner free to pursue other business aims, such as expanding the business. Whether a ship owner gives the ship management tasks to a separate division within his/her company, or outsources the job to a third party ship manager outside of the company, the services provided will cover the same operational needs.
What do they do?
Activities that a ship manager could cover include repair and maintenance, arranging dry dockings, audit planning, monitoring of flag state compliance, financial accounting, crew management, ship financing, newbuilding contracting and supervision, chartering, insurance, and claims handling.
Third-Party Ship Managers
In at least the last 20 years, the ownership of the world’s merchant fleet has become more varied. Aside from independent ship owners who have their own ship operating ability, investors, banks and hire companies also buy ships but do not have the necessary expert knowledge to operate them.
These ship owners often get the assistance of Third-Party Ship Managers who specialise in ship operation and usually offer a range of different management packages, from crewing only, to full commercial management. Many ship managers also offer other shipping services such as ship broking, ship agency, maritime information technology and other advising functions.
Today, around a quarter of the world’s internationally trading fleet of ships is reliant on services provided by third party managers in whole or part.