GETTING A HANDLE ON MARINE COSTS

Imperial Oil Ltd. has developed a formal monitoring system to increase operational efficiency and to reduce costs. Supported by a systemized method of identifying where and how deficiencies occur, regular port turnaround meetings represent the inter-disciplinary approach and operating level involvement of the new program. A project team of marine, financial and systems experts studied the requirements of such a system and developed a marine operations monitoring plan as the first phase in a comprehensive marine management information and control system. The next phase was the design of a short-term planning tool, with the need for a long term planning model to be assessed when the first two phases were in full operation. A report of deviations occuring both during the previous month and for the year to date is distributed monthly to marine management, terminal personnel and to ship's masters. By being able to keep abreast of overall trends in operations, management can effectively assign priority to development efforts and any necessary investment. Deficiencies involving a particular vessel and terminal are pin pointed precisely, enabling those in the position to correct the situation to respond quickly. The combination of the deviation reports and port turnaround committee activities have already had a positive impact on port turnaround time. Imperial estimates that cost reduction efforts resulted in a savings of $300,000 during 1975 and $100,000 during the first half of 1976, and additional savings are anticipated.

  • Supplemental Notes:
    • This article was developed with the help of W.H. Abel, E.A. Coates, and J.M. McLaughlin, Imperial Oil Limited.
  • Corporate Authors:

    Exxon Corporation

    1251 Avenue of the Americas
    New York, NY  USA  10020
  • Publication Date: 1976-11

Media Info

  • Pagination: p. 5-8
  • Serial:

Subject/Index Terms

Filing Info

  • Accession Number: 00170702
  • Record Type: Publication
  • Source Agency: Exxon Corporation
  • Files: TRIS
  • Created Date: Mar 7 1978 12:00AM