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Shipping Industry Insights

A shipping line is a carrier of goods in containers on international routes, operating a fleet of cargo ships. Modern shipping has evolved with technological advancements, allowing for better efficiency and problem-solving in the industry. The shipping process involves various activities from packing to tracking, and companies must prioritize speed, security, compliance, and customer relationships to succeed.
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0% found this document useful (0 votes)
66 views4 pages

Shipping Industry Insights

A shipping line is a carrier of goods in containers on international routes, operating a fleet of cargo ships. Modern shipping has evolved with technological advancements, allowing for better efficiency and problem-solving in the industry. The shipping process involves various activities from packing to tracking, and companies must prioritize speed, security, compliance, and customer relationships to succeed.
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
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Shipping lines & services.

What is shipment lines?


What is a shipping line? A shipping line is the carrier of goods in containers on international
routes. Shipping lines typically have a fleet of cargo ships, which they use to transport goods
on an international route between two ports. Choosing the right shipping company for your
business.

Modern shipping

Contemporary maritime transportation is bound by geographical constraints, political


regulation, and commercial interests. Modern advances and innovations in shipping
technology have grown the shipping industry since the twentieth century. Many of these
advances include the size of vessels, the size of fleets, specialty purposes for ships within the
fleet, naval architecture and design, and automated ship systems. In terms of commercial
interests, the maritime industry has a high level of contestability for shipping lines. This
means that the ease of entering and leaving the industry is high. The cause of this is due to
the purchase of second hand ships, the return on which can often be covered fairly quickly
for commercial ships. Newer, expensive ships require a larger return on the investment but
pay off quickly. This is because these ships typically cater to a larger, more expensive crowd.
For instance, new cruise ships can often be paid off within ten years due to the
entrepreneurial nature of its intended purpose.

Innovations in the shipping industry are also being utilized by shipping lines to find solutions
to global problems. For example, modern technology and research is being used to analyse
the phenomenon of shipping containers disappearing while at sea. These problems are
being researched in part by government agencies, such as the National Oceanic and
Atmospheric Administration that operates in the Monterey Bay National Marine
Sanctuary. While part of this issue is due to human error as a result of lack of enforcement,
advances in technology and ship design hope to improve the rates at which containers may
be lost at sea.

Liners and tramps


A ship may also be categorized as to how it is operated.
A liner will have a regular run and operate to a schedule. The scheduled operation requires
that such ships are better equipped to deal with causes of potential delay such as bad
weather. They are generally higher powered than tramp ships with better seakeeping
qualities, thus they are significantly more expensive to build. Liners are typically built for
passenger and container operation though past common uses also included mail and
general cargo.
A tramp (trader) has no fixed run but will go wherever a suitable cargo takes it. Thus a ship
and crew may be chartered from the ship owner to fetch a cargo of grain from Canada to
Latvia, the ship may then be required to carry a cargo of coal from Britain to Melanesia. Bulk
carriers and some cruise ships are examples of ships built to operate in this manner.
Best Shipping Companies in India 2023
 Maersk Line India.
 MSC – Mediterranean Shipping Company.
 CMA CGM.
 Hapag-Lloyd.
 Ocean Network Express.
 Yang Ming Marine Transport Corporation.
 OOCL (Orient Overseas Container Line)
 Cochin Shipyard Ltd.

How does shipping business work?

The customer pays the voyage expenses such as fuel, canal tolls, and port charges. The ship
owner pays all vessel operating expenses such as the management expenses, crew costs and
vessel insurance.

What is the concept of shipping company?


A shipping company is a corporation that is engaged in maritime transport. It is usually the
case that shipowners are either involved in maritime or inland waterway transport. It is
interesting to note that not every shipping company has its own ships, but also operates
ship charters.

What is the shipping process in business?


It typically involves the physical movement of goods from the seller to the buyer, or from
one business to another. The shipping process includes various activities such as packing,
labeling, choosing a shipping carrier, tracking packages, and handling returns and exchanges

Who is the father of shipping?


Malcolm Purcell McLean (November 14, 1913 – May 25, 2001) was an American
businessman who invented the modern intermodal shipping container, which revolutionized
transport and international trade in the second half of the twentieth century.

Services To Customers From Shipping Lines

1. Speed. Cargo and vessels have to get moving. Fast. Visibility helps in vessel maintenance.
And a vessel well maintained is a faster vessel.

2. Rates. Contract rates result from market conditions and measured risk. Better vessel
visibility gives guarantees on which risks are relevant for each company.

3. Security. Cargo & people must be totally safe at all times. Safety depends on both
education and crisis management skills and capacities; better vessel visibility assists both.

4. Compliance. There’s an avalanche of marine laws and regulations coming into effect by
2020. Vessel visibility means knowing what’s on-board and knowing you’re complying.

5. Responsiveness. Many customers become increasingly demanding; knowing your vessel


spaces and machinery can shorten a shipping company’s response times.

6. Record. Nothing validates a good business record better than evolution. Seamanship;
prudence; customer service – are all assisted by better vessel visibility.

7. Longevity. There in bad times, there in good times, financially and otherwise. For good
customers relationships are key and nothing maintains these relationships better than
transparency.

8. Risk-aversion. All great shipping companies make the extra effort not to take unnecessary
risks; making their fleets more visible to their own people first, buys time to the companies
themselves to think ahead of every component and vessel need.

9. Reputation. Seamlessly tying your organization to a visual problem-solving mindset


ensures you make the extra effort to build a solid reputation. For innovation is a good word
to be associated with, both during the vessel’s ownership years and in view of its future
sale.

10. Vibes. An organization with visible vessels communicates planning and care for its assets
and crews; this pays off with intangibles such as a happier and more effective crew and a
more responsive headquarters, for a virtuous cycle with exponential effects to
organizational performance.

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