Ism Code Course

ISM Course Module 01 Foreword The International Safety Management (ISM) became mandatory for passenger ships, bulk carriers, oil tankers, gas carriers, chemical tankers and fast cargo ships on 1 July 1998. It enters into force for all other vessels and mobile offshore drilling units of 500 gt and more on 1 July 2002. Are your company and ships going to be affected? If they are, how will you ensure that they are ISM certificated by the mandatory date? How will you ensure that your Company's Safety Management System (SMS) is relevant and effective? The modules that follow are designed to assist you with:1. understanding the requirements of the ISM Code; 2. documenting your SMS - policy and procedures; 3. Maintaining your SMS. Introduction If you are reading this, you are probably thinking about getting your office and/or ships certified to the requirements of the ISM Code. If this is correct, you should first get a thorough understanding of the ISM Code so that you will be able to plan, structure and document your safety management system (SMS). Your personnel in the office and aboard ship must know how to comply with the system. Who is going to train them? You? A consultant? If you are going to train your personnel to comply with the SMS and conduct internal audits, then you should know the Code like you do the back of the palm of your hand. Classification Society requirements as well as local and international shipping regulations, codes and guidelines have been in force for many years to assist ship owners in building, maintaining and operating their ships to high standards. Despite this, shipping accidents have occurred and analysis shows that about 80% of shipping accidents are caused by human error. Of this 80%, 75% to 90% may be attributed to poor management or lack of a management system. There is need to address the human factor in shipping and this is the intention of the Code. For many years, prior to the 1980's, the standard of seamanship aboard ships and in the office had been deteriorating. In 1982, the International Chamber of Shipping (ICS) and the International Shipping Federation (ISF) developed a voluntary scheme relating to safe management practices in shipping and the Code of Management Practice in Safe Ship Operations was born. The loss of the "Herald of Free Enterprise" in 1987, and other vessels that followed, resulted in the refinement of the Code which in 1994 became the Annex to Chapter IX of SOLAS.   At this point you should get a copy of "International Safety Management Code (ISM Code)" and read it in conjunction with the guidance notes that follow. Commitment The ISM Code consists of 13 clauses which must be complied with for ISM certification. The Code provides an international standard for the safe management of ships and for pollution prevention. It is expressed in broad terms and may therefore be applied to all types of ships.

Top management (the boss) must be committed to safety and environmental-protection if the company's safety management system (SMS) is to succeed. If the boss is not committed, the person(s) responsible for ISM may find it difficult to obtain adequate resources such as personnel, office space, equipment and time. Also, for the SMS to be successful, company personnel, both aboard ship and in the office ashore must believe in safety and environmental protection. They must be competent and motivated and be ready to cooperate with the person or persons responsible for implementing the SMS as well as with each other. The Company The Code often makes reference to the "Company". What or who is the "Company"? In general terms, the "Company" is any person, persons or organization who is responsible for the operation of the ship and who on taking over responsibility for the ship also takes on all the duties and responsibilities imposed by the Code. The word "Company" includes the owner, manager and bareboat charterer. The identity of the Company may be ascertained from the ship's certificate of registry, charter party, correspondence from the owner to the flag administration informing them of the change in responsibility, or correspondence from the entity who has taken over responsibility for the ship confirming to the flag administration confirming his acceptance of the responsibilities placed on him by the ISM Code. The Company will in all probability want to implement its own SMS aboard ship and the Safety Management Manuals (SMM) may also indicate the identity of the Company. Logbook entries may sometimes reveal the identity of the Company. Objectives The objectives of the ISM Code include:1. safety at sea; 2. safety of limb; 3. safety of life; and 4. Safety of property including the marine environment. Consequently, the safety management objectives of the company should include:1. safe practices in ship operation; 2. safeguards against all identified risks; 3. Continuous improvement of safety management skills of all personnel in the company. Thus, all possible risks relating to safety and environmental-protection associated with the ships and the office should be identified and controls to minimize, if not eliminate, the risks should be established. Also, the SMS should take into consideration all mandatory rules and regulations such as flag state requirements, international requirements, classification society requirements, all relevant codes, guidelines and standards recommended by the IMO and maritime industry organizations. Functional requirements for a safety management system Under Clause 1.4 of the ISM Code a Company should develop, implement and maintain a SMS which includes:1. a safety and environmental pollution policy i.e. a statement from the boss declaring his commitment towards safety of life and property and protection of the environment against pollution; 2. descriptions of how the various tasks in the office and aboard ship are to be carried out with a view of eliminating or minimizing risk to life, limb and the environment; 3. Identification of the responsibility and authority of each person who is part of the SMS. Such identification should show clearly the lines of communication between all persons involved in the safety management system, ashore and aboard ship; 4. the method of reporting accidents and non-conformities as required by the ISM Code; 5. how to prepare for and respond to emergency situations; and

6. How to prepare for, conduct and report internal audits and management reviews. 2. Safety and environmental protection policy Clause 2 of the Code requires the Company to define and document a policy that describes how the following will be achieved:1. safe practices in ship operation and a safe working environment; 2. safeguards against all identified risks; and 3. Continuously improvement of the safety management skills of all Company employees. This is in fact the boss's policy that sums up his attitude towards safety and environmental protection. The designated person (DP) should consider how this policy should be implemented and what should be done to ensure that all employees understand and follow it. 3. Company responsibilities and authority Usually, the owner of a ship can be identified by his name in the certificate of registry. However, when the ship is under management or under a bareboat charter, the entity who is responsible for the ship cannot always be easily identified. Under Clause 3 the owner is responsible for reporting to the Flag Administration the name and details of the person or organization who has taken over responsible for the operation of the ship. The owner will be held responsible if the change is not reported and he should therefore adopt a procedure for ensuring that the change is reported as required. Clause 3 also requires the company to define and document the authority and interrelation of all personnel who manage, perform and verify SMS-related work. This is often achieved through the provision in the Safety Management Manual (SMM) of an organizational chart and a narrative section. The organizational chart should clearly show how the Designated Person Ashore (DP) provides a link between the ship and top management in the office. The same clause makes the Company responsible for ensuring that the DP (his functions will be discussed later in this module) is given adequate resources (e.g. personnel, money, office space and equipment) for him to carry out his job with safety. 4. Designated person Clause 4 requires the Company to designate one or more persons to ensure the safe operation of each ship in the fleet and act as a link between the office and ship. Such a person is known as the Designated Person(s) (DP). He should have direct access to the boss and his job should include monitoring the safety and pollution prevention aspects of each ship and ensuring that adequate resources and shore-based support are supplied, as and when needed. 5. Master's responsibility and authority Clause 5 requires the master's responsibility regarding the following to be clearly defined and documented:1. Implementing the safety and environmental protection policy of the Company. 2. Motivating the crew in the observation of the safety and environmental protection policy. 3. Issuing orders in a clear, simple manner. 4. Verifying that specified requirements are observed. 5. Reviewing the SMS and reporting its deficiencies to the office. Later, we will deal with documenting the SMS. Such a document, also known as the Company's Safety Management Manual (SMM) should be carried aboard ship and should contain a statement emphasizing the master's authority. The document should also contain a statement similar to the following:-

"The master may exercise his overriding authority and responsibility to make decisions with respect to safety and pollution prevention, if human life, property or the marine environment is at risk. He may request the Company for assistance if he needs it." 6. Resources and personnel Under Clause 6 the master should:1. be properly qualified for command i.e. he should be appropriately certificated and have experience and/or good knowledge of the ship he is to command; 2. know the Company's SMS well i.e. he should be given an opportunity to study the Company's SMS before taking over command of the ship; and 3. be given all necessary support to do his job safely i.e. he should be provided with an adequate number of competent crew, shipboard equipment, fuel, lubricants, fresh water, a staunch and seaworthy ship and backing from the office. All

the

seamen

employed

aboard

ship

should

be

qualified,

certificated

and

medically

fit.

Personnel, new to the ship, and personnel given new assignments aboard ship, should be made familiar with their SMS-related duties. Instructions must be given prior to sailing (e.g. the boat and fire station and duties of each member of the ship's complement) should be identified, documented and given. All personnel (shipboard and shore-based) involved in the Company's SMS should have a good understanding of the relevant rules, regulations, codes and guidelines. There should be procedures for identifying training needs of all company personnel i.e. how is the need identified? Who identifies the need? How often is the need assessed? Who is responsible for ensuring that the required training is received? The clause also requires ship's personnel to receive SMS-related information in a language they understand. (The information may be written in a language the crew can understand or somebody reliable may translate it). The crew must be able to communicate effectively in the execution of their SMS-related duties. 7. Development of plans for shipboard operations Clause 7 of the Code requires the Company to:1. establish plans and instructions relating to safety and pollution prevention for key shipboard operations; and 2. Assign the various tasks involved to qualified personnel. This clause is the shortest in the Code but possibly the one that requires the greatest amount of documentation. Key shipboard operations should be identified and procedures for each operation should be written. If there are many ships in the fleet, each of a different type and each with different equipment, then the job of writing procedures could become a mammoth one. Also, the various tasks that the job involves must be assigned to qualified personnel. This is possibly best left to the ship to assign the jobs to shipboard personnel and to document the necessary procedures. You may wish to note that procedures for key shipboard operations often require a separate manual. Key shipboard operations include: preparing for sea;

                 

navigational safety including correction of chart and nautical publications as well as passage planning; bunkering operations; oil transfers in port; securing containers; assessing stability condition; leaving the berth; navigation with pilot on board; navigation in areas of high traffic density; navigation in restricted visibility; navigation in the vicinity of ice; extra ship communications; embarking passengers; cargo operations; picking up pilot; anchoring; heavy weather operations; change over from light to heavy oil and vice versa; Changeover of lighting plants.

The list is not exhaustive. A Company should brainstorm for what they consider to be "key activities". They should add to the list those operations that they consider to be important and delete those items that they consider to be unimportant.

Quiz 1 We have now covered nearly half the clauses in the ISM Code. Before you proceed to the remaining clauses you should take the test that follows. Without referring to the Code book or our guidance notes, indicate which you consider to be the most appropriate answer by clicking the option in the left hand column.  Questions 1. Company means a) the office building, the ships, top management and all the staff b) the owner or any person or organization who has assumed the responsibility for the ship c) the owner, the manager, the operator or the charterer d) All the above e) None of the above   2. The Safety and Environmental-Protection Policy a) should incorporate the Drug and Alcohol Policy b) should describe how the objectives given in 1.2 of the Code will be achieved c) should be understood and followed by Company's personnel as well as persons having business with the Company d) All the above e) None of the above   3. The designated person a) ensures the safe operation of each ship b) provides a link between the Company and persons on board c) should have access to the highest management d) All the above e) None of the above   4. The master is responsible for a) defining and documenting the safety and environmental-protection policy aboard ship b) motivating crew in the observance of the Safety and Environmental-Protection Policy c) reviewing the SMS and reporting its deficiencies to the flag administration d) All the above e) None of the above   5. The Company has a duty to ensure that a) the master is properly qualified for command b) newly hired persons are familiar with the Company's SMS c) training needs are assessed d) All the above e) None of the above   6. Shipboard personnel should a) possess certificates issued by their own administration b) hold valid medical certificates c) be able to show evidence that they are free of drug and alcohol abuse d) All the above e) None of the above 7. Plans for key shipboard operations should include a) survival craft drills  b) fire drills c) piracy and terrorist drills d) All the above e) None of the above

Answers for Quiz 1 1. Company means the owner or any person or organization who has assumed the responsibility for the ship 2. The Safety and Environmental-Protection Policy should describe how the objectives given in 1.2 of the Code will be achieved 3. The designated person All the above 4. The master is responsible for All the above 5. The Company has a duty to ensure that All the above   6. Shipboard personnel should hold valid medical certificates 7. Plans for key shipboard operations should include none of the above  

8. Emergency preparedness Despite having taken all precautions, emergency situations can arise and accidents could follow. It is better to be prepared than to be sorry. Under ISM Clause 8, procedures for identifying potential emergencies which could involve the ships should be documented. Possible emergencies should be identified and procedures for responding to each one should be defined and documented. Emergency situations could include: collision;  stranding/grounding;  abandon ship;  man over-board;  search and rescue;  fire;  rescue from enclosed spaces;  shifting of cargo;  terrorism/piracy;  main engine failure;  steering gear failure;  helicopter operations; and  Oil spillage. The list is not comprehensive and all the emergency situations on it may not be relevant for a particular ship. A brain storming session could be held to decide which emergencies should be omitted for a particular ship and which emergencies should be added to the list. Thereafter, draw up a programme of drills and exercises to prepare for emergencies. The first emergency be the first drill instead drills and exercises should be conducted in accordance with the programme. The office also should be able to respond to emergencies involving the ships in the fleet. The list of possible emergency situations for which the office should carry out drills and exercises should be drawn from the above list. Again, a programme of drills and exercises for the office to practice with or without the participation of one or more company vessels should be drawn up. A room in the office may need to be identified as the emergency operations room and be equipped accordingly. Contingency plans for the office may include: the composition and duties of persons forming the emergency team;  procedures for mobilizing the emergency team;  procedures to follow in case of each of the emergency situations identified;  procedures for establishing and maintaining contact between the ship and the office;  procedures for the use of communication equipment;  the use of ship's plans, stability data, navigational charts, navigational information, etc.;  lists of contacts whom may need to be contacted in case of an emergency;  procedures for dealing with the media; and  Procedures for dealing with the relevant next of kin.

9. Reports and analysis of non-conformities, accidents and hazardous occurrences “Non-conformity" may be defined as "an observed situation where objective evidence indicates the nonfulfillment of a specified requirement.”

An "accident" may be defined as "an incident involving injury or loss of life or damage to property or damage to the environment.” A "hazardous occurrence" may be defined as "a situation that could have led to an accident if allowed to develop further. A hazardous occurrence is also known as a near miss situation.” SMS documentation should include procedures for reporting non-conformities, accidents and hazardous situations to the office for analysis with the objective of improving safety and pollution prevention and not for attaching blame.” The whole point of reporting such situations is for corrective action to be taken so that the incidence does not happen again.   10. Maintenance of the ship and equipment The Code was introduced primarily to deal with the human element in shipping. However, it must be realized that safety and pollution prevention cannot be achieved by addressing the software alone - consideration must be given to the hardware i.e. the ship and its equipment. Clause 10 of the Code requires procedures to be documented and followed to ensure that the Company’s ships are maintained as required by relevant local rules and regulations, international rules and regulations, requirements of the relevant classification society as well as any special requirement that the Company may have. Inspections of the ship and its equipment must be carried out by the person or persons identified in the procedures at intervals stipulated by regulation or the appropriate manual or procedures. Any non-conformity and its cause (if known) must be reported to the person identified in the relevant procedure. Corrective action should be prescribed and taken and records of all these activities should be maintained. Some shipboard equipment and technical systems may fail suddenly and result in hazardous situations. These are known as critical equipment or systems and include the main propulsion machinery, navigation light system, cargo hoses and steering system. Critical equipment and systems aboard each ship in the fleet should be identified and action to promote the reliability of each item or system should be specified. Regular testing of stand-by arrangements and equipment or technical systems that are not in continuous us should be specified in procedures. Examples include daily testing of the steering system, navigation light system, and engine room telegraph. 11. Documentation Documents that are used to describe and implement the SMS are commonly known as Safety Management Manuals (SMM). They may be kept in any form that suits the Company. Each ship should carry all the documents relevant to it. Policies and procedures may change with management, trading pattern of the ship, ship type, technology and competence of crews. Consequently, documents and data pertaining to the SMS may need to be amended or changed to keep them relevant and up-to-date. Procedures that specify how document change is initiated, who initiates the change, who reviews and authorizes the change and who issues the new document must be maintained. The procedures should also specify how the change is effected and what happens to the superceded document, if any. Valid documents must be available at all relevant locations. For example, if the ship is fitted with a Mark II

gyro compass it must carry a Mark II manual and not a Mark III, IV or V manual even though they are later issues. The manual should be stored near the gyro compass and not at a distance. Procedures should identify what is to be done to obsolete documents to prevent inadvertent use. 12. Company verification, review and evaluation Internal audits should be conducted periodically to verify whether safety and pollution prevention activities comply with the Company's SMS. Internal audits should be conducted in accordance with Company’s procedures by trained personnel who are independent of the area being audited except where this is impracticable because of the small size of the Company. The Company should evaluate the efficiency of the SMS and review the SMS in accordance with documented procedures. The results of the audits and reviews should be made known to personnel in affected areas. Timely corrective action should be taken by management on deficiencies found. 13. Certification, verification and control The office must hold a valid Document of Compliance (DOC) appropriate for the type or types of ships that are operated before the ships can be audited for Safety Management Certificates (SMCs). A DOC is issued to the shore-based office following a satisfactory audit by the flag Administration or a recognized organization (RO) on behalf of the flag Administration. The DOC is evidence that the Company is capable of complying with the requirements of the ISM Code. A copy of the DOC should be placed on board ship so that it may be produced by the master for verification if required to do so by the relevant authority. The flag Administration or RO may issue either a Full Term or an Interim DOC. A Full Term DOC has a validity period of five years, subject to annual audits conducted within three months before or after the anniversary date. An Interim DOC may be issued to a newly established Company or to a Company that requires the type(s) of a newly acquired ship(s) to be added to the existing DOC. An Interim DOC has a validity period of not more than twelve months. A Safety Management Certificate (SMC) is issued to a ship following satisfactory verification of compliance with the Code. A ship can be audited for issuance of a full term SMC only if objective evidence can be shown that the Company's SMS has been operating effectively aboard ship for at least three months. A Full Term SMC has a validity of five years subject to at least one intermediate verification audit held between the second and third anniversary dates. An Interim SMC may be issued to a new ship on delivery or when a ship, new to the Company, is taken into management. An Interim SMC has a validity of six months which, under special circumstances, may be extended by the Administration up to a maximum of six months.

Quiz 2   1. To prepare for emergencies, the Company should a) establish programmes for drills and exercises to prepare for emergency actions b) be able to respond to hazards, accidents and emergency situations involving its ships c) establish procedures to identify, describe and respond to potential emergency shipboard situations d) All the above e) None of the above   2. The SMS should include procedures ensuring that non-conformities, accidents and hazardous situations are reported to: a) the Managing Director/President/Chairman b) Designated person ashore c) the Company d) All the above e) None of the above   3. The Company should ensure that a) all non-conformities are reported b) appropriate corrective action is taken for a non-conformity report c) inspections are held at appropriate intervals d) All the above e) None of the above   4. The Company should ensure that a) ship’s personnel have access to all safety documents b) changes to documents are reviewed by the DP and approved by top management c) out of date documents are promptly removed d) All the above e) None of the above   5. The Company should carry out internal safety audits to ensure a) the DOC and SMC remain valid b) there is not an excessive number of non-conformities c) that top management receive appropriate feedback regarding the SMS d) All the above e) None of the above   6. An Interim SMC a) is valid for a maximum period of six months b) must be issued before a full term SMC can be issued c) is issued to a newly built ship or a new ship taken into management d) All the above e) None of the above   7. A DOC can be issued by a) the flag Administration and no one else b) the flag Administration or a RO on behalf of the flag Administration c) all classification societies d) All the above e) None of the above Result   1. To prepare for emergencies, the Company should All the above

2. The SMS should include procedures ensuring that non-conformities, accidents and hazardous situations are reported to the Company 3. The Company should ensure that All the above 4. The Company should ensure that out of date documents are promptly removed 5. The Company should carry out internal safety audits to ensure none of the above 6. An Interim SMC All of the above 7. A DOC can be issued by the flag Administration or a RO on behalf of the flag Administration  

Instructions We explained the requirements of the ISM Code in the previous module and trust that you now understand what the Code requires. If any portion is unclear, please read ISM Code again. If you understand the requirements of the Code, you may wish to document your Safety Management System (SMS) now and the aim of this module is to help you to formulate your Safety Policy Manual (SPM) or Safety Management Manual (SMM). 1. before you begin, make sure that the boss is committed and that office and shipboard personnel show signs of commitment and cooperation. 2. Plan how the SMS is to be documented, i.e. who is going to document it, what resources are needed, when are you going to start, when are you going to finish, when will each stage be completed. The table that follows shows how the planning may be done.

Schedule Month 1 Form project team.

Month 2 Complete SMM.

Decide on documentation. Train team members, office staff and some seagoing staff.

Complete procedures.

Distribute SMM to ship and office personnel for proof reading and feedback.

Month 4 Receive back SMM and correct as required. Distribute SMM to office and ship personnel.

Train internal auditor(s). Explain contents of SMM. Begin work on procedures manual. Continue to work on procedures. Collate work instructions.

Draft policies for Safety Management Manual (SMM).

Month 1

Month 3

Month 2 Distribute procedures to affected person(s) if not already done so.

Month 3 Internal audits of office and ships.

Month 4 Have office audited for DOC and ships for SMC.

Take corrective action. Carry out management review. Arrange for third party auditor.

The above schedule is meant to guide you in planning the documentation and certification processes. The process is to be completed in 8 months but you may find that your schedule takes more than one year. Better safe than sorry - BEGIN NOW. 3. The project team should include key personnel, some of who could be management staff. The boss should appoint the Project Leader as well as the members of the team. (The boss should also get involved to show his commitment to safety.)

4. Make all personnel, shore-based and ship-based, aware of the ISM Code and the Company's SMS. This may be achieved as follows: Circulate the boss's speech at Company functions; (This ensures that staff are made aware of the Company's intentions and are not kept in the dark.)  explain to the staff why the company has taken such action;  ensure that the staff understand the action during on-site visits by the management; and  Provide training to persons who are most likely to be affected. 5. Involve shore-based and shipboard personnel in the project right from the start. (If a person is involved in the project at a later stage, he may not have a sense of ownership for the project and may not be as committed.) 6. Company should encourage:  feedback on the project;  persons who show interest and commitment in the project to play greater roles in the development of the SMS; 7. The Project Team should: Determine what is to be done for documenting the SMS; (An established Company is likely to have a number of policies, procedures and work instructions. These policies, procedures and instructions need be written in the document. The existing policies, procedures and work instructions should be compared with the requirements of the ISM Code in order to ascertain which of this need to be written down.)  assess the resources (e.g. personnel, budget, office space, office equipment, and staff required, to carry out and complete the project on time;  assess the time needed to complete the project;  draw up a schedule for the project;  decide the format of the documents, type of heading, numbering of sections, paragraphs, etc.;  Decide the number of levels of documentation. We suggest a three-tiered documentation system as follows :-

ISM CODE

THREE-TIERED DOCUMENTATION SYSTEM

  

decide the means of storage, e.g. computer hard disk, paper, etc; decide the format of the documented policies and procedures; allocate responsibilities for writing specific policies/procedures;

8. Make it clear to the project team members that the documented system should be:  well defined  easy to use  accurate  written with the user in mind 9. Choose a format for policies, procedures and instructions to suit your needs. We are providing you a format which is from ISO 10013 - "Guidelines for developing quality manuals." We will also provide you a sample Policy Manual which may be used as a skeleton around which the Policy Manual may be built. 10. The purpose of the Policy Manual or Safety Management Manual (SMM) is to: communicate the Company's policies relating to safety and environmental protection;  describe and implement an effective safety and environmental protection system;  provide a documented base for auditing the system and to introduce corrective and preventive action for known deficiencies; 11. A SMM may include the following: Title, scope and field of application - The title and scope of the SMM should define the organization to which the manual applies. To avoid confusion, the manual may identify the areas which it does not cover. For example, the ISM coverage for a company that operates ships and also runs a ship agency arm could have a disclaimer to the effect that the SMS of the Company covers the operation of a fleet of container vessels employed in the Foreign-Going Trade but does not cover the activities of the agency arm of the Company.

  

A Tables of Content (TOC) - The table of contents of a SMM should show the titles of the sections it contains. The numbering or coding system of sections, the sub-sections, pages, figures, exhibits, diagrams, tables, etc should be clear and logical. Introductory pages - These should provide general information about the Company and the quality manual itself. The minimum information about the organization should be its name, site, location and means of communication. Additional information about the organization, such as its line of business, a brief description of its background, history or size.

12. The information about the quality manual itself should include:  the current issue or unique identification, date of issue, or unique number and identification of amended contents;  A brief description of how the SMM is revised and maintained, who reviews its content and how often, who is authorized to change the SMM, and who is authorized to approve it; (This information may also be given under the system element concerned. A method for determining the history of any change in procedure may be included, if appropriate)  a brief description of the documented procedures used to identify the status and to control the distribution of the SMM, whether or not it contains confidential information, whether it is used only for the organization’s internal purposes, or whether it can be made available externally;  Evidence of approval by those responsible for authorization of the contents of the SMM. Note: We have no intention of dictating to you which format you should choose but are providing the format that follows as a guide for documenting your SMS. 13. Example of a format for a section of a Safety Management Manual.

Organization Issued By

Subject / Title Authorized By

Date Of Issued

Section No.

Number

Revision

Page x Of y

Policy/Procedure No: Scope: State why the Policy or Procedure is included, the area it covers and the exclusions, if any. Responsibility: State the person or unit responsible for implementing the Policy or Procedure and achieving its purpose. Details: The actions and methods to achieve the requirement of the system element. List, step by step, what is to be done. Use references, where appropriate. Keep the list in logical sequence. Consider the use of flow charts. Documents: Identify documents associated with producing the Policy or Procedure. Records: Identify documents generated as a result of using the Policy or Procedure and state where these are retained and for how long. NOTE: If you decide to use this format, you need not use all the items included. For example, you may not need a Section Number unless you are documenting a Procedure and wish to make it easier to find it.

FRIENDSHIP SHIP MANAGEMENT PTE LTD

REPUBLIC OF THE MARTIAN ISLANDS

SAFETY MANAGEMENT MANUAL (SMM)

Controlled Copy: No 3 Authorized by:

Mr. John Tan

Issued by:

Mr. Patrict Lim

On:

14 August 2000

Safety Management Manual Company Policies Contents and Revisions

No. PM-001 PM-002 PM-003 PM-004 PM-005 PM-006 PM-007 PM-008 PM-009 PM-010 PM-011 PM-012

Revision 0 0 0 0 0 0 0 0 0 0 0 0

Section 1.0 2.0 3.0 4.0 5.0 6.0 7.0 8.0 9.0 10.0 11.0 12.0

Approved by: Mr. John Tan On: 2 January 2001 Issue Number: 0

Contents The Company Safety and Environmental Policy Company Responsibilities and Authorities Designated Person Masters’ Responsibilities and Authorities Resources and Personnel Development of Plans for Shipboard Operations Emergency Preparedness Reports and Analysis of Non-Conformities Accidents and Hazardous Occurrences Maintenance of the Ship & Equipment Documentation Company Verification, Review and Evaluation

Star Shipping, Inc. Issued by:

1.0

1.0 The Company Date of issue: Authorized by: 1 Jan 2001

Section No: 1 Revision: 0

PM-001 Page 1 of 2

The Company Star Shipping, Inc. was established on 4 July 1984. The organisation consists of skilled and experienced managers, technicians, engineers and ship's officers as well as specialists in safety management systems, commercial management, ship finance, personnel management and insurance. Star Shipping, Inc. owns/manages container vessels. The Company operate these vessels for profit for themselves and their share holders but not at the expense of safety. The Head Office is located at:201 Broadwell Street Suite 101-105, Brownsville 20908 Republic of Korasia We may be contacted as follows:Telephone: +009 1 456 7123, 456 7334, 456 2113, 456 3131 and 4567007 Telefax : +009 1 466 7771 and 466 8080 E-mail : mailto:[email protected]

1.1

Definitions 1.1.1

Organisation means the International Maritime Organisation (IMO).

1.1.2

Administration means the Government of the State whose flag the ship is entitled to fly.

1.1.3

Code means the International Management Code for the Safe Operation of Ships and for Pollution Prevention - International Safety Management (ISM) Code.

1.1.4

Safety Management System (SMS) means the policy, procedures, instructions, responsibilities, authorities, lines of communication between ship and shore and audit systems, all documented to ensure conformity with the Code

Star Shipping, Inc. Issued by: DP

1.0 The Company Authorized by: Date of issue: President 1 Jan 2001

Section No: 1 Revision: 0

PM–001 Page 2 of 2

1.1.5

Hazardous Occurrence means a situation which could have led to an accident or pollution incident, sometimes called a “near miss”

1.1.6

Designated Person (DP) means the person who has been given the responsibilities contained under Section 4 of this manual and who has direct access to the President of Star Shipping. The DP is responsible for monitoring the SMS.

1.1.7

Non-Conformity means a deviation from the requirements specified in the Code or SMS, or an error, or any identified lack of a plan or instruction for a key shipboard operation, which could endanger the safety of people, the ship, its cargo and/or the environment.

1.1.8

Verification means an investigation to confirm that an activity is performed in accordance with specified requirements. Verification differs from inspection in the sense that verification is an investigation confirming that, for example, a specified inspection is performed.

1.1.9

The Company means the Owner of the ship or any other person or Organization who has assumed responsibility for the operation of the ship such as the manager or bareboat charterer.

Star Shipping, Inc. Issued by: DP

2.0

2.0 Safety and Environmental-Protection Policy Date of issue: 1 Jan 2001 Authorized by: President

Section No: 2

PM-002

Revision: 0

Page 1 of 1

Safety and Environmental Policy

The policy of Star Shipping, Inc. is to provide healthy and safe working conditions, and to maintain a safe and pollution-free operating practice that complies with national and international regulations and relevant standards, codes and guidelines. The Company Safety Management Manual describes the Company's management system for the safe operation of ships and for pollution prevention. Its contents conform to the requirements of the ISM Code. The objectives of the Company are to: • provide for safe practices in ship operation and a safe working environment. • establish safeguards against all identified risks. • Continuously improve the safety management skills of personnel ashore and aboard ship. These objectives will be achieved by: • maintaining high standards of safety consciousness and protection of the environment through relevant training. • motivating the staff and promoting their participation in safety and environment protection. • informing all members of staff of any existing or potential hazards that may endanger them, persons in the vicinity, the ship or the environment. • ensuring that documented Company procedures are strictly followed. • taking into consideration all mandatory and relevant rules, regulations, codes and guidelines and standards. All employees are expected to comply with Safety and Pollution Prevention Regulations and Procedures at all times, and to take the necessary precautions in the interests of human life, limb, property and the marine environment.

Signed President Date: 1 January 2001

Star Shipping, Inc. Issued by: DP

3.0 Company Responsibilities and Authority Authorized by: Date of issue: President 1 Jan 2001

Section No: 3

PM-003

Revision: 0

Page 1 of 4

3.0 Company Responsibilities and Authority 3.1 Shore-Based Organigram The organisation of the Company SMS for shore-based personnel is as follows:-

PRESIDENT

Designated Person

VICE PRESIDENT Admin., Fin., P’nel

VP (Technical)

Operations Manager

3.2

Personnel Manager

Technical Supdt.

VP (Fleet Management)

Marine Supdt.

Chartering Manager

Shipboard Organisation The organisation of our shipboard SMS is as follows:-

MASTER

Chief Mate

Chief Engineer

Supporting Mates

Supporting Engineers Supporting Deck crew

Supporting E.R. crew

Star Shipping, Inc. Issued by: DP

3.3

3.0 Company Responsibilities and Authority Authorized by: Date of issue: President 1 Jan 2001

Section No: 3

PM-003

Revision: 0

Page 2 of 4

Job Descriptions – Shore Based Personnel The job descriptions that follow are for shore based personnel who are directly involved in the Company's SMS.

3.3.1

President The President leads the SMS team. He is responsible for the success and efficient running of the SMS. He authorises Company’s policies and procedures and sanctions resources required for the SMS. He is responsible for ensuring that adequate resources and shore-based support are provided to enable the DP to carry out his SMS-related duties and responsibilities. During his absence, the Vice-President (Administration, Finance and Personnel) acts on his behalf in matters relating to safety and environmental-protection...

3.3.2

Vice-President (Administration, Finance and Personnel) 

Assumes SMS-duties of the President during his absence.

Responsible to the President for:-

3.3.3



administration of the affairs of the Company;



the financial affairs of the Company; and



recruitment of appropriately qualified staff for the ships and the office;



ensuring that ship staff are adequately qualified and medically, physically and mentally fit;



evaluating office staff and providing them training in the areas of their weakness;



reviewing evaluation reports of sea staff and arranging for them to be trained in their areas of weakness; and,



Maintaining records of all members of staff.

Vice-President (Fleet Management) Responsible to the President for:  

day to day operation of Company’s fleet; cargo operations relating to Company’s vessels; ensuring all marine shipboard safety and environmental policies are carried out in accordance with international regulations and Company procedures;

Star Shipping, Inc. Issued by: DP

    3.3.3

4.0 Company Responsibilities and Authority Authorized by: Date of issue: President 1 Jan 2001

Section No: 3

PM-003

Revision: 0

Page 3 of 4

ensuring that the ships are manned in accordance with regulations; ensuring that that ships' crews are suitably trained and experienced to STCW requirements; investigating accident reports; preparation and review of ship/shore contingency plans covering emergency situations

Vice-President (Technical) Responsible to the President for:       

3.3.4

ensuring that relevant Company procedures are followed aboard each vessel in the fleet so that each vessel is operated in compliance with Company policy; shipboard training; emergency preparedness; inspection of vessel and its equipment; maintenance and repair of vessels dry-docking of vessels ensuring that vessels in the fleet are seaworthy and surveyed in time; ensuring that the statutory certificates of all vessels are valid

Technical Superintendents Responsible to the Vice-President (Technical) for:    

3.3.5

ensuring that company policy and procedures are followed aboard each vessel for which he has been assigned responsibility; ensuring that the performance standard of each vessel meet company or charterer’s requirements; inspecting each vessel for which he is responsible at intervals not less than that laid down in company procedures; ensuring that each vessel under his responsibility is repaired/maintained according to flag state, classification society, owner’s and charterer’s requirements; and Ensuring that budget guidelines are followed.

Marine Superintendent He is the Company’s Designated Person ashore and reports on SMS-related matters to the VicePresident. His functions as DP are included under MP-004 He is responsible to the Vice-President (Technical) for: control of relevant Rules, Regulations, Codes and Guidelines; • conducting internal audits of the SMS; • participating in management review meetings; • liaising with the VP (Fleet Management) and VP (Technical) on training requirements; • Dealing with all NCNs relating to shipboard and shore based operations.

Star Shipping, Inc. Issued by: DP

3.3.6

4.0 Company Responsibilities and Authority Authorized by: Date of issue: President 1 Jan 2001

Section No: 3

PM-003

Revision: 0

Page 4 of 4

Master His functions are described under PM-005

3.3.7

Chief Mate, Chief Engineer, supporting officers and crew Their functions are dealt with under PM-006.

Star Shipping, Inc. Issued by: DP

4. Designated Person Authorized by: Date of issue: President 1 Jan 2001

Section No: 4 Revision: 0

PM-004 Page 1 of 1

4.0 Designated Person The Marine Superintendent is the Company’s Designated Person. He is reports to the VicePresident (Technical) on matters relating to safety and environmental-protection. Hew reports To the President or his nominated stand-in on matters which require the attention of the highest Level of management. The Designated Person is responsible for:     



monitoring the SMS and reporting to the President if remedial action or changes to the system are needed; monitoring the safety and pollution prevention aspects of each vessel in the fleet; ensuring that adequate resources and shore-based support are applied, as and when required; training internal auditors; drawing up the year’s audit schedule; appointing internal auditors; and Liaising with external auditors for office and ship audits.

Star Shipping, Inc. Issued by: DP

5.0

5.

Master’s Responsibility and Authority Authorized by: Date of issue: President 1 Jan 2001

Section No: 5

PM-005

Revision: 0

Page 1 of 1

Masters’ Responsibility and Authority The Shipmaster has complete authority and responsibility for taking all necessary actions in the interests of safety, pollution prevention and the efficient operation of his ship. He may deviate from documented procedures if human life, limb, property or the environments are at risk. He may request the Company for help if he deems it necessary. In all matters, which affect or may affect safety of life, limb, property or the environment, the Master shall report directly to the DP. The Master is responsible for:          

implementing Star Line’s safety and environmental-policy; motiving the crew in carrying out the Company’s safety and environmental-protection policy; reviewing safety and pollution prevention activities and reporting defects to the Company; issuing orders in a clear and concise manner; ensuring that matters relating to safe operations and pollution prevention risk are carried out as required; reporting non-conformities, accidents and hazardous occurrences to the office; assigning SMS-related duties and responsibilities to all shipboard personnel; liaising with the DP for arreinging shipboard audits; evaluating and reviewing the SMS aboard ship and reporting any deficiencies to the office; and Ensuring that data and records relevant to the SMS are available.

Star Shipping, Inc. Issued by: DP

6.0

6. Resources and Personnel Authorized by: Date of issue: President 1 Jan 2001

Section No: 6 Revision: 0

PM-006 Page 1 of 1

Resources and Personnel

Star Shipping give a newly appointed master, or one who is new to a vessel, reasonable opportunity to make himself familiar with the ship he is to command and with the Company’s SMS. The Company ensures that all their masters are given the necessary support to enable them to perform their duties with safety. Star Shipping, Inc. ensures that their masters, ship officers and crew are adequately experienced and that their qualifications meet flag state requirements. The Company also take reasonable precautions to ascertain that the certificates and discharge books of the master and crew are genuine. The Company have appointed a panel of medical practitioners who examine all persons about to join ship for mental, medical and physical fitness for duty at sea. The Company ensures that each ship is manned, as a minimum, in accordance with national minimum manning scale requirements. The Company ensures through suitable instructions/checklists/information packs 1 that shipboard personnel are aware of their individual responsibility for safe ship operation and overall protection of the environment. Certain essential instructions 2associated with the S.M.S. have been defined on board each ship. These are provided to joining crew before sailing. The Company continually identifies training requirements for shore and sea-going personnel in support of the SMS. If a weakness relating to safety and/or environmental-protection is detected in an employee, he/she will not be assigned any task where the weakness will put life, limb, property or the marine environment at risk until he/she has received appropriate training. The Company have established procedures which ensure that all shipboard personnel receive relevant SMS information in languages they understand and that individuals are able to communicate effectively in the execution of their duties.

1 2

delete whichever is not applicable State what these are aboard your ship.

Star Shipping, Inc. Issued by: DP

7.0

7.0 Development of Plans for Shipboard Operations Authorized by: Date of issue: President 1 Jan 2001

Section No: 7

PM-007

Revision: 0

Page 1 of 1

Development of Plans for Shipboard Operations Star Shipping, Inc. has developed procedures for key operations aboard their ships. The procedures take into consideration the competence of the officers and crew. The trade route of the ship, the cargo carried, the ship’s machinery and equipment and the ship type. Star Shipping has identified a need for the following procedures:                    

Shipboard Organisation and responsibilities Vessel inspections by master and senior officers Fitness for duties and avoidance of fatigue Operational and maintenance instructions for equipment Checklists for seaworthiness Checklists for cargo worthiness Preparation for sailing Passage planning Navigation with pilot on board Navigation in constricted waters Navigation in congested waters Navigation in bad weather Navigation in restricted visibility Discharge into the sea of oily water from bilge spaces. Cargo residues, noxious liquid substances and garbage Testing of engines, steering gear, navigation and communication equipment Cargo handling and care Preparations for arrival Anchoring Picking up pilot Mooring Maintenance

The above list is not exhaustive. Vessels in the Star Shipping fleet have different engines, equipment and characteristics all of which call for variations in procedures and instructions. The master and personnel aboard each ship should therefore suggest to the DP amendments to existing procedures and instructions, omission of certain procedures and instructions and addition to existing procedures and instructions.

Star Shipping, Inc. Issued by: DP

8.0 Emergency Preparedness Authorized by: Date of issue: 1 Jan 2001 President

Section No: 8 Revision: 0

PM-008 Page 1 of 2

8.0 Emergency Preparedness The Company has prepared specific contingency plans to deal with potential shipboard emergencies. These plans have been developed to cover both ship and shore response to any incident and ensure that the Company responds to an emergency in a co-ordinated, prompt and effective manner. 8.1 Shore-based contingency plans Star Shipping maintains and emergency operations room in the office and maintain contingency plans which include:

the composition and duties of persons acting within the contingency plan;



procedures for mobilising the Company’s emergency response team;



procedures to follow in response to different types of accidents or potential hazards



Procedures for establishing and maintaining contact between ship and shore management (see IMO resolution A.648/16).



availability of detailed information of individual ships in the fleet covering stability, general arrangement, tank plans, safety equipment, anti-pollution equipment etc.;



formalised checklists appropriate to the type of emergency which will assist systematic communication between ship and shore;



details of third party organisations that need to be advised/consulted or mobilised to assist;



reporting methods for ship and shore-based management (see IMO Assembly Res A.648(16));



procedures for notifying next of kin on a priority basis;



procedures for issuing information bulletins to the media;



Back up arrangements in terms of resources and personnel for a protracted emergency.

Contingency plan exercises involving a ship and the office will be carried out at intervals not exceeding 6 months. 8.2 Shipboard contingency plans We also maintain shipboard contingency plans which include: the allocation of duties and responsibilities aboard ship;  actions for regaining control of the situation;  methods of communication to be used aboard ship;  procedures for requesting for assistance from third parties;  procedures for notifying the relevant authorities;  procedures for notifying the Company;  maintaining communication between ship and shore; and  Procedures for dealing with the media. 8.3 Emergency actions Star Shipping maintains contingency plans for emergency situations that include:

main engine failure;



steering gear failure;



electrical power failure;



collision;

Star Shipping, Inc. Issued by: DP

8.0 Emergency Preparedness Authorized by: Date of issue: President 1 Jan 2001



grounding;



stranding;



structural failure;



shifting of cargo;



fire;



jettisoning of containers;



flooding;



abandon ship;



man-over-board/search and rescue;



entry into enclosed spaces;



serious injury to personnel;



piracy;



helicopter operations; and



Heavy weather damage.

Section No: 8 Revision: 0

PM-008 Page 1 of 2

The list is not exhaustive and ship’s personnel may suggest the addition, omission or amendment of procedures and/or work instructions. 8.4 Emergency drills Vessels in the Star Shipping fleet shall practice drills at intervals required by the SOLAS Convention or stipulated in the procedures manual. The effectiveness of drills shall be assessed and records of all drills shall be maintained. 8.5 Additional drills The Company shall identify any additional potential shipboard emergency situation through regular reviews, inspections, safety meetings, change of trading patterns/cargoes etc. Consequently, additions may be made to existing procedures and instructions.

Star Shipping, Inc.

Issued by: DP

9.0

9.0 Reports and analysis of nonconformities, accidents and hazardous occurrences Authorized by: Date of issue: 1 Jan 2001 President

Section No: 9

PM-009

Revision: 0

Page 1 of 1

Reports and Analysis of Non-Conformities, Accidents and Hazardous Occurrences Star Shipping maintains procedures for reporting and analysing all non-conformities, accidents and hazardous occurrences on board ship. All non-conformities, accidents and hazardous occurrences on board are reported by means of nonconformity notes (NCNs) through the master to the DP. The DP reviews the reports and causes them to be investigated and analysed with the objective of improving safety and pollution prevention. The DP agrees with the master or appropriate head of department on the appropriate corrective action and time frame for rectifying the defect. When the agreed time limit has been reached or corrective action has been taken, whichever earlier, the DP or attending technical superintendent checks the corrective action for effectiveness. If the corrective action is satisfactory and further action is not required, the DP or superintendent closes-out the NCN. If the corrective action is not satisfactory or if preventive action is required, The NC is kept open until such time as no further action is required. The results of analyses may be used to: • •

initiate general corrective action to other fleet ships initiate amendments to the SMS to prevent recurrence

The Master is responsible for reviewing the ship‘s SMS and notifying the DP of any discrepancies or deficiencies which may affect safety or anti-pollution capability.

Star Shipping, Inc. Issued by: DP

10.0

10.0 Maintenance of the Ship and Equipment Authorized by: Date of issue: President 1 Jan 2001

Section No: 10

PM-010

Revision: 0

Page 1 of 1

Maintenance of the Ship and Equipment Star Shipping maintains procedures and instructions to ensure that each ship in the fleet and all machinery and equipment on board are maintained in accordance with relevant rules and regulations, company’s requirements and manufacturer’s instructions. The Company maintain documented procedures to ensure that all relevant statutory surveys are carried out to programmed schedules in accordance with international and national requirements. All class surveys are carried out to schedules agreed with Class. Records are maintained for each ship in the fleet detailing routine and unscheduled maintenance carried out by the crew or third party contractors. Original certificates issued by third party surveyors will be kept on board ship with copies sent to the office for filing. Maintenance and survey records for each ship will be kept on board and/or in Company archives for a period of at least 10 years. The Company has identified equipment and systems for each ship which, if they should they fail, result in a hazardous situation. The Company has procedures that detail the frequency of testing of such equipment and systems and recording the results. Systems identified for programmed testing include: bow and stern trusted systems and their controls;  stand-by generators;  Emergency steering gear systems.  Fire pumps;  Fire detection and alarm systems;  Emergency shut down systems;  Bilge, ballast systems;  mooring systems;  engine room telegraphs;  navigation lights; and  Radar and arpa sets. The list is not exhaustive and ship’s personnel should suggest to the DP items which they feel should be included in the list.

Star Shipping, Inc. Issued by: DP

11.0

11.0 Documentation Authorized by: Date of issue: President 1 Jan 2001

Section No: 11 Revision: 0

PM-011 Page 1 of 1

Documentation The Company has established procedures for controlling the issue all SMS-related documents and data. Changes to controlled documentation will be identified in the document. Records of all SMS activities will be kept aboard ship or ashore, as defined in procedures. Ashore in the office, the DP is responsible for issuing controlled documents to ships and relevant departments ashore. Obsolete documents are promptly removed. The DP reviews all amendments to the SMS prior to issue.

Aboard ship, the Master is responsible for the issue of controlled documents. He is also responsible for ensuring that obsolete documents are removed to avoid inadvertent use.

Star Shipping, Inc. Issued by: DP

12.0

12.0 Company Verification, Review and Evaluation Authorized by: Date of issue: President 1 Jan 2001

Section No: 12

PM-012

Revision: 0

Page 1 of 1

Company Verification, Review and Evaluation 12.1

The Company conducts internal safety audits, ashore and on the ships, in accordance with documented procedures to verify that safety and pollution prevention activities meet the requirements of the SMS.

12.2.

Internal audits are carried out by trained auditors in accordance with Company procedures. They are programmed so that audits of the office. And all the ships are completed within an audit cycle of 12 months.

12.3.

The Company ensure that internal auditors are independent of the areas they audit.

12.4.

The results of audits are brought to the attention of personnel having responsibility for a department or the ship.

12.5.

Deficiencies arising from the audits are reviewed and followed up to verify that the corrective action taken is effective and having its desired effect.

12.6.

The Company carries out management reviews and evaluation of the SMS at intervals laid down in Company procedures. The shore-based management review committee 3 comprises:-

12.7



President – Chairman of Team



Technical Director



Marine Superintendent



Operations Manager



Designated Person



President’s Secretary – Recording Secretary



Senior ships’ officers on leave and any other person that the President wishes to invite

The shipboard management review committee may comprise:

Master



Chief Engineer



Chief Mate



Safety Officer as recording secretary

The composition of the management review team is shown as an example. The Company concerned may decide the size of the team and choose the members. Top management, however, should chair the meeting. 3



Bosun



Fitter

As a general rule, the shore-based management review meeting addresses:

analysis of accidents, hazardous occurrences and non-conformities;



internal audit findings



overall efficiency of the SMS and recommendations relating to changes/amendments of policies and procedures



the results of external audits, as required



changes in the Company’s organisational structure



new plans, instructions or procedures



effectiveness of training provided



changes in relevant legislation, conventions etc

The shipboard management review addresses:

analysis of accidents, hazardous occurrences and non-conformities



internal audit findings



overall efficiency of the shipboard SMS and recommendations for changes/amendments to policies



effectiveness of training provided



Changes in relevant legislation, conventions etc.