TheShippingKPIStandardv16APPROVED Distributionversion

Shipping KPI
The Shipping KPI Standard
KPI Definitions
V 1.6
2010-03-15
• Accidental releases of substances as def by MARPOL • Lost Time Sickness Frequency

• Ballast water discharge violations • Navigational deficiencies
• Budget performance • Navigational Incidents
• Cargo damage ratio • No of violations of MARPOL Annex 1-6
• Cadets per vessel • NOx efficiency
• CO2 efficiency • Officers experience rate
• Condition of class • Officer retention rate
• Contained spills • Operational cargo incidents
• Crew disciplinary frequency • Operational deficiencies
• Crew planning • Passenger injury ratio
• Drydocking planning performance • Port state control deficiency ratio
• Environmental deficiencies • Port state control detention
• Failure of critical equipment and systems • Safety deficiencies
• Fire and Explosions • Security deficiencies
• Flawless port state control performance • SOx efficiency
• HR deficiencies • Training days per officer
• Lost Time Injury Frequency • Vessel availability
The Shipping KPI Standard v1.6 - 2010-03-15

KPI Name:
Ballast water management violations
KPI Definition:
This KPI expresses the company’s ability to adhere to applicable rules and regulations related
to management of ballast water, basically the number of times where prevailing regulations
regarding management of ballast water have been violated and recorded by an external party.
KPI References:
No external reference is made for this KPI.
Time Period for data capture and expression of KPI Value and Rating:
PI Values captured and KPI Value expressed on a quarterly basis.
When expressing the KPI Value and Rating for 2009/Q1 the time period for the PI Values’
capture should be the first quarter of 2009; 2009-01-01 to 2009-03-31.
Vessel/Fleet measurement:
This KPI is to be expressed on a vessel level.
Each vessel should have its unique KPI Value and Rating on this KPI.
PIs Used:
Number of ballast water management violations
KPI Value Formula:

KPI Rating Formula: KPIValue − KPI Average

KPI Rating = 50 ∗ (1 − )
2σ
KPI Average is the average KPI Value for all relevant vessels in the database.
σ is the standard deviation for the KPI Values of the relevant vessels in the database.
KPI Value Calculation Example:

Number of ballast water management violations: 2
=2
KPI Rating Calculation Example:

KPI Average: 1,98
σ: 0,2
2 − 1,98
50 ∗ (1 − ) = 47,5
0,4

Misc:
Sustainability is a key issue within transport. The company should strive towards 100%
compliance to applicable rules and regulations related to ballast water.

KPI Name:
Budget performance
KPI Definition:
This KPI expresses the company’s ability to effectively plan the ship’s operating costs (e.g.
predictable costs, good budgeting). Basically the overall costs deviation (management,
purchasing, operation, M&R, crewing) vs. budgets. The cost deviation is adjusted for agreed
additional expenditure. The KPI expresses last years’ performance.
As the KPI expresses deviations both positive and negative, the KPI Value is always
converted to a positive value.
KPI References:
Time Period for Data Capture:

PI Values should be captured for the previous fiscal year.
The actual costs for the full fiscal year cannot be obtained before the completion of that fiscal
year. To be able to compare the budget with the actual costs for the same fiscal year, a one
year lagging is required for all PI Values.
When expressing the KPI Values and Ratings for all quarters in 2009 the time period for the
PI Values’ capture should be 2008-01-01 to 2008-12-31. All quarters in 2009 will be assigned
the same KPI Value.
PIs Used:
Last year’s running cost budget
Last year’s actual running costs and accruals
Last year’s Authorized Additional Expenses (AAE)
KPI Value Formula:

|| Last year's running cost budget - (Last year's actual running costs and accruals - AAE) ||
∗100%
Last year's running cost budget

KPI Rating = 50 ∗ (1 − )
2σ

Last year’s running cost budget: 1,20M USD
Last year’s actual running costs and accruals: 1,50M USD
Last year’s Authorized Additional Expenses (AAE): 0,25M USD
|| 1,2 − (1,5 − 0,25) ||
∗ 100% = 4,17%
1,2
KPI Average: 5%
σ: 1,5%
4,17 − 5
50 ∗ (1 − ) = 63,8
3
Misc:
As the result from the complete fiscal year expenses is required to compare them to the
budget costs, the concept of expressing KPI Values on basis of the previous fiscal year is
introduced. It can be argued that this is an inaccurate expression of performance as the results
from the previous year do not necessarily reflect the actual performance in the actual year.
This is an understandable view but as the budgets are made for a full fiscal year, simply
dividing the budget by four (to get the quarterly budget) is also inaccurate if it where to be
used to compare to the actual costs for each quarter. If the company have implemented
‘accrual budgeting’ and do interim book closure quarterly, it would give meaning to do this
quarterly, but at this can not be anticipated for all companies the most generally applicable
method is to use the full fiscal year and last years budget compared with last years actual cost,
from the accounts. In this way we have a proxy for this year’s performance with a time lag. If
unexpected circumstances occur giving large deviation in the KPI this should be explained, or
may be accounted for in the AAE to avoid penalizing the company for factors not under
control of the company, as the intention is to measure the company’s ability to budget, plan
and perform according to budget.

KPI Name:
Cargo damage ratio during sea voyage
KPI Definition:
This KPI expresses the company’s ability to run a reliable operation with respect to keeping
the cargo undamaged during the voyage.
The KPI is a ratio between the total quantity of damaged or lost cargo (during the actual sea
voyage) relative to the total quantity of cargo transported. By defining the KPI as a ratio,
benchmarking is feasible even between different vessel sizes.
KPI References:
PIs Used:
Number of damaged or lost cargo units during voyage
Number of cargo units transported
KPI Value Formula: Number of damaged or lost cargo units during voyage
KPI Rating = 50 ∗ (1 − )
2σ

Number of damaged or lost cargo units during voyage: 4
Number of cargo units transported: 150000
4
= 0,000026 = 26,7 ∗ 10 −6
150000

KPI Average: 30ppm
σ: 5ppm
26,7 − 30
50 ∗ (1 − ) = 83
5
Misc:
One of the main objectives for any company is to ensure that the vessel arrives at the port of
discharge with the cargo in the same shape as when loaded at the port of loading. The issue of
timeliness is more under the responsibility of the commercial operator is not measured in this
KPI.
Due to the different nature of different vessel types, this KPI is not suitable for comparison
across vessel types. A contaminated tank on a VLCC will result in a much bigger
contaminated cargo volume as opposed to a damaged single container on a container carrier.
Even though both incidents are single incidents, the VLCC’s performance will come off much
worse on this KPI than the container carrier. As such this KPI do not take into account the
severity (impact on environment, earnings, reputation, etc..) of damage, only the volume or
amount of cargo damaged.
During the definition phase of this KPI we contemplated about only counting the number of
incidents instead of registering the actual volume/quantity of damaged cargo but it was
decided that we would lose valuable information about the severity (volume vise) if only the
number of incidents were counted.

KPI Name:
Cadets per vessel
KPI Definition:
This KPI expresses the company’s efforts to take on new cadets.
The KPI shows the ratio between the total number of cadets under training with the Ship
Management company over the total number of vessels under technical management (vessels
for which the Ship Manager holds the DOC). Basically the average number of cadets per
vessel under technical management.
KPI References:
InterManager has defined an objective for it’s members to hold at least one cadet per vessel
under technical management.

This KPI is to be expressed on a fleet level.
All vessels which are defined as part of the same (internal) fleet should be assigned the same
PI Values, hence the same KPI Value and Rating on this KPI.
PIs Used:
Number of cadets under training with the ship manager
Number of vessels under technical management (DOC)
KPI Value Formula:Numberof cadets under training with theship manager

Numberof vesselsunder technical management(DOC)
KPI Rating Formula: KPI Value − KPI Average
KPI Rating = 50 ∗ (1 + )
2σ

Number of cadets under training with the ship manager: 123
Number of vessels under technical management (DOC): 134
123
= 0,9
134

KPI Average: 1.15
σ: 0.3
0,9 − 1,15
50 ∗ (1 + ) = 29,2
0,6
Misc:
This KPI is in line with the objective of InterManager members to hold at least one cadet per
vessel under technical management.
We know that there is an issue when it comes to training vessels. What has been argued is that
if a ship manager decides to invest in training vessels, the effort should be rewarded by a very
positive KPI Value on this KPI.

KPI Name:
CO2 efficiency
KPI Definition:
This KPI expresses the energy efficiency of the vessel by comparing emitted mass of CO2 to
the vessel’s total transport work. The expression gives the emitted mass of CO2 per ton cargo
transported one mile.
As the PI Value ’Emitted Mass CO2’ is to be given in tons, the figure is multiplied by 1
million to get the KPI value in g/transport work (tonmile, passengermile, TEUmile, etc).
KPI References:
IMO’s Energy Efficiency Operating Index.

PIs Used:
Emitted mass of CO2
Transport work
KPI Value Formula: Emitted mass of CO2 *10 6

Transport work
KPI Rating = 50 ∗ (1 − )
2σ

Emitted mass of CO2: 103500 ton
Transport work: 20710647000 tonmile
103500 *10 6
= 4,98 g / tonmile
20710647000

KPI Average: 5,1
σ: 0.32
4,98 − 5,1
50 ∗ (1 − ) = 59,4
0,64
Misc:
Sustainability is a key issue within transport. The company should strive contributing by
whichever means available to secure the highest possible energy efficiency on the vessel.
The issue of energy efficiency is complicated by the fact that there are several influencing
factors. The commercial operator is responsible for utilization of the vessel’s capacity hereby
affecting the transport work. The other main factor regarding transport work is the market
itself. The vessel’s attributes such as hull design, engine type (and to some extent age) as well
as the load factor for each voyage are all influencing the quantity of emitted mass of CO2.

KPI Name:
Condition of class
KPI Definition:
This KPI expresses the company’s ability to avoid conditions of class.
The KPI counts the total number of conditions of class issued by class (ref. IACS). All
categories of conditions of class are weighted equally.
KPI References:
IACS

Each vessel which is being reported should have its unique KPI Value and Rating on this KPI.
PIs Used:
Number of conditions of class
KPI Value Formula:


KPI Rating = 50 ∗ (1 − )
2σ

=1

KPI Average: 0,7
σ: 0,2
1 − 0,7
50 ∗ (1 − ) = 12,5
0,4

Misc:
Condition of class is an indication/confirmation that the vessel is no longer 100% adherent to
the class requirement. Even though far from being in danger of loosing its class any condition
of class is something to be taken serious and to be avoided where possible.
Condition of class is not measured as a ratio because the potential denominator (total no of
inspections where CoCs can be stated) is said to be relatively low for all vessels. Counting the
total number of condition instead of calculating the ratio allows the indicator to express
accumulated performance or severity. Simply measuring the frequency looses this
information, and was therefore not pursued.

KPI Name:
Contained spills
KPI Definition:
This KPI expresses the company’s ability to avoid spills, not the ability to contain them.
The KPI counts the total number of contained spills. Contained spills should cover liquid
spills including (but not limited to) cargo and bunkers contained on the vessel. Contained
spills in secure areas as engine rooms are not counted, only spills that could have a potential
environmental impact if not contained.
Total number of spills on deckwhere nothing goes overboard of bulk liquids which could have
had an environmental impact.
KPI References:

PIs Used:
Number of contained spills of bulk liquid
KPI Value Formula:


KPI Rating = 50 ∗ (1 − )
2σ

=6

KPI Average: 4,8
σ: 3
6 − 4,8
50 ∗ (1 − ) = 40
6
Misc:
Sustainability is a key issue within transport. The company should strive towards zero
accidental releases of substances defined as dangerous to the environment even though the
incident’s impact in this case is reduced as the spill is contained onboard the vessel.
The KPI is complementary to the KPI ‘Accidental releases of substances as def by

MARPOL’. Some spills are contained but still represent an incident that should be recorded.
No denominator has been proven necessary for benchmarking purposes.

KPI Name:
Crew disciplinary frequency
KPI Definition:
This KPI expresses the ability of the management to maintain discipline.
The KPI counts the total number of breaches of code of conduct made by the vessel's crew
such as substance abuse, criminal offences and AWOLs. As the number of crew on different
vessels varies significantly, total exposure hours onboard the vessel is used as a denominator
to enable benchmarking.
If one incident caused by the same crew breaches several categories, each breach should be
counted individually.
The term ’Crew’ refers to any person being part of the vessel’s complement. (e.g. officers,
ratings, cadets, superintendents).
KPI References:

PI Values should be captured for a one year rolling time period.
The KPI Value is to be expressed on a quarterly basis.
capture should be from 2008-04-01 to 2009-03-31.
PIs Used:
A: Number of absconded crew
B: Number of charges of criminal offences
C: Number of cases where drugs or alcohol is abused
D: Number of dismissed crew
E: Number of logged warnings
F: Total Exposure hours
KPI Value Formula: (A + B + C + D + E) * (24 * 365)

F

KPI Rating = 50 ∗ (1 − )
2σ


A: Number of absconded crew: 0
B: Number of charges of criminal offences: 0
C: Number of cases where drugs or alcohol is abused: 0
D: Number of dismissed crew: 0
E: Number of logged warnings: 1
F: Total Exposure hours: 90000
(0 + 0 + 0 + 0 + 1) * (24 * 365)
= 0,0973
90000
KPI Average: 0,15
σ: 0,05
0,0973 − 0,15
50 ∗ (1 − ) = 76.4
0,1
Misc:
Any breach of code of conduct by the crew is a potential liability and should be avoided
whenever possible.
It could be argued that logged warnings are in fact a positive measure against crew
misbehavior but it was decided that the warning would in any case be proof of something not
being in accordance with the code of conduct.
The question of charges that are subsequently dismissed is avoided; as such the indicator is
not 100% accurate in historical perspective. It was decided not to update the indicator in case
a charge is dismissed, as this would difficult to capture. The main reason for maintaining
measurement of charges are that this is still a valid proxy for the conformance with code of
conduct and to a certain extent expresses the company culture in this respect.

KPI Name:
Crew planning
KPI Definition:
This KPI expresses the company’s ability to relieve crew on time as well as avoiding
violations of rest hour’s regulations. The KPI counts the number of breaches to prevailing
regulations or agreements.
KPI References:

PIs Used:
A: Number of crew not relieved on time
B: Number of violation of rest hours
KPI Value Formula: A + B

KPI Rating = 50 ∗ (1 − )
2σ

Number of crew not relieved on time: 1
Number of violation of rest hours: 4
1+ 4 = 5

KPI Average: 4
σ: 2
5−4
50 ∗ (1 − ) = 37,5
4

Misc:
A motivated and alert crew is vital to the overall operation of the vessel. Crew being relieved
on time as well as getting the required rest is (in addition to other factors not related to crew
planning) essential for their motivation and alertness, and therefore also to the performance
and safety of the vessel.
This KPI can be said to be a proxy KPI as what we want to express is the crew’s motivation
and alertness. These issues are however very difficult to quantify and the result was that
measuring the company’s ability in crew planning was selected as the best alternative
available. This indicates that we believe that there is a close correlation between the crew
planning, work predictability and motivation.

KPI Name:
Drydocking planning performance
KPI Definition:
This KPI expresses the company’s ability to plan the drydocking operation (e.g. predictable
costs, good budgeting and scheduling). Basically it expresses the overall costs and duration
deviation during the drydocking vs. the plan.
As the KPI expresses deviations both positive and negative, the KPI Value is always
converted to a positive value.
KPI References:

PI Values should be captured when the drydocking occurs. If the drydocking ended on 2009-
01-24 the quarter for which to report this PI Value should be 2009/Q1.
The KPI Value should be expressed in the quarter which the drydocking ended.
If no drydocking has been performed during a specific quarter, the KPI Value and Rating for
that quarter will be set to ‘No drydocking has taken place’
PIs Used:
Agreed drydocking duration
Actual drydocking duration
Agreed drydocking costs
Actual drydocking costs
KPI Value Formula:

|| Actual drydocking duration - Agreed drydocking duration || || Actual drydocking costs - Agreed drydocking costs ||
∗100% + ∗100%
Agreed drydocking duration Agreed drydocking costs

KPI Rating = 50 ∗ (1 − )
2σ

Agreed drydocking duration: 14 days
Actual drydocking duration: 16 days
Agreed drydocking costs: 4M USD
Actual drydocking costs: 3,9M USD
|| 16 − 14 || || 3,9 − 4 ||
* 100 + * 100 = 16,8%
14 4
KPI Average: 10
σ: 8
16,8 − 10
50 ∗ (1 − ) = 28,8
16
Misc:
A potential disturbance is that if in general time deviations are larger than cost deviations, this
will be dominant. We may have to revert to this when statistical material is available and there
may be a need to introduce weighting in the formula.

KPI Name:
Environmental deficiencies
KPI Definition:
This KPI expresses the company’s environmental performance by measuring environmental
related deficiencies recorded during external inspections and audits.
The KPI counts the number of environment related deficiencies including any sub standard
act, practice or condition of an environmental consequence (local regulations and MARPOL)
such as failure in the Oily Water Separator, recorded during external inspections and audits.
The number of deficiencies is expressed relative to the total number of external inspections
and audits.
KPI References:

PIs Used:
Number of environmental related deficiencies
Number of recorded external inspections
KPI Value Formula: Number of environmental related deficiencies

Number of recordedexternalinspections

KPI Rating = 50 ∗ (1 − )
2σ

Number of environmental related deficiencies: 13
Number of recorded external inspections: 3
13
= 4,33
3

KPI Average: 6
σ: 4
4,33 − 6
50 ∗ (1 − ) = 60,4
8
Misc:
This KPI is part of a range of KPIs related to deficiencies that are identified during external
inspections. The deficiencies are categorized depending on their nature.
The total number of recorded external inspection is used as a denominator in all these KPIs
(related to deficiencies) to enable benchmarking between vessels that are subject to an uneven
number of external inspection.

KPI Name:
Failure of critical equipment and systems
KPI Definition:
This KPI expresses the company’s ability to avoid failures to critical equipment and systems
where such failures result in whole or partial unavailability.
The KPI counts the number of failures to equipment and systems in the critical list (as
required by the ISM code 10.3 and defined in the company’s Safety and Environmental
Management System) resulting in whole or partial unavailability.
KPI References:
ISM code 10.3

PIs Used:
Number of failures of critical equipment and systems
KPI Value Formula:


KPI Rating = 50 ∗ (1 − )
2σ

Number of failures of critical equipment and systems: 3
=3

KPI Average: 1,5
σ: 0,8
3 − 1,5
50 ∗ (1 − ) = 3,1
1,6
Misc:
One of the main responsibilities of the ship manager is to ensure that the vessel and its critical
equipment and sub-systems are operational at all times (excluding planned unavailability as
agreed with the client).
As the vessels’ critical lists may vary in size it could be argued that e.g. the number of items
on the list could be used as a denominator for benchmarking purposes. In any case, a failure to
a critical equipment or system is a serious matter, regardless of the number of items in the
vessel’s critical list and the KPI ’Failure to critical equipment and systems is kept without a
denominator.

KPI Name:
Fire and Explosions
KPI Definition:
This KPI expresses the company’s ability to avoid fire and explosions onboard the vessel.
The KPI counts the number of fire and explosion incidents.
KPI References:

PIs Used:
A: Number of fire incidents
B: Number of explosion incidents

KPI Rating = 50 ∗ (1 − )
2σ

Number of fire incidents: 1
Number of explosion incidents: 0
1+ 0 = 1

KPI Average: 0,3
σ: 0,1
1 − 0,3
50 ∗ (1 − ) = −125
0,2
Misc:
Fire and explosion incidents are serious threats to the crew, the vessel and its operation and
should be accounted for. In cases where the incident is due to an external cause which the
company can not be accountable for, this indicator will penalize somewhat unfair. Even so it
was decided to keep the indicator as is. This means that the indicator carries some inherent
measure of the trade and area in which the vessel operates, as this influence the likelihood for
such an incident.
In this calculation example the average and standard deviation is much smaller than the KPI
Value. This indicates that there are few fires among the vessels. When first a vessel has a fire
incident the KPI Rating plunge down, this indicate that for this type of indicators where very
rare occurrences are detected we must evaluate if we should use another rating parameter, not
2σ, maybe 6σ (even this would give KPI Value = -8,3) or maybe even look into different
distributions, not the normal distribution. This is under evaluation and will be followed up as
soon as adequate statistical material is available.

KPI Name:
Flawless Port State Control performance
KPI Definition:
This KPI expresses the company’s Port State Control Performance.
The KPI counts the number of times where Port State Control Inspections are conducted
without any deficiency being reported and divides this number by the total number of Port
State Control Inspections conducted during the same period.
KPI References:

PIs Used:
Number of PSC inspections resulting in zero deficiencies
Number of PSC inspections
KPI Value Formula: Numberof PSC inspections resultingin zero deficiencies

Numberof PSC inspections

KPI Rating = 50 ∗ (1 + )
2σ

Number of PSC inspections resulting in zero deficiencies: 2
Number of PSC inspections: 4
2
= 0,5
4

KPI Average: 0,4
σ: 0,2
0,5 − 0,4
50 ∗ (1 + ) = 62,5
0,4
Misc:
This KPI is one of three KPIs related to Port State Control Inspections. The three areas
covered are;
’Port state control deficiency ratio’ which measures the ratio of the total number of issued
deficiencies during port state control inspection against the total number of port state control
inspections conducted,
’Port state control detention’ which measures the total number of port state control inspections
resulting in a detention and this specific KPI,
’Flawless port state control performance’ which measures the percentage of port state control
inspections resulting in zero deficiencies .
It could be argued that this specific KPI is overlapping with the KPI ’Port State Control
deficiency ratio’. We recognize this view and the latter KPI is kept only as an internal KPI
hence not part of any SPI.

KPI Name:
HR deficiencies
KPI Definition:
This KPI expresses the company’s HR related performance measured by number of
deficiencies recorded during external inspections and audits.
The KPI counts the number of HR related deficiencies including any sub standard act,
practice or condition (such as lack of compliance to rest hours), recorded during external
inspections and audits. The number of deficiencies is then made relative to the total number of
external inspections and audits.
KPI References:

PIs Used:
Number of HR related deficiencies
KPI Value Formula: Numberof HR relateddeficiencies

Numberof recordedexternalinspections

KPI Rating = 50 ∗ (1 − )
2σ

Number of HR related deficiencies: 3
3
= 1,5
2

KPI Average: 2
σ: 1
1,5 − 2
50 ∗ (1 − ) = 62,5
2
Misc:
inspections and audits. The deficiencies are categorized depending on their nature.
The total number of recorded external inspections and audits is used as a denominator in all
these KPIs (related to deficiencies) to enable benchmarking between vessels that are subject
to an uneven number of external inspections and audits.

KPI Name:
Lost Time Injury Frequency
KPI Definition:
This KPI expresses the company’s ability to safeguard crew against injuries and fatalities.
The KPI counts the number of Lost Time Injuries (LTI) among the crew per million exposure
hours. Exposure hours are 24 hours per day while serving onboard. Note that injuries during
spare-time on board are also included. LTI is the sum of Fatalities, Permanent Total
Disabilities, Permanent Partial Disabilities and Lost Workday Cases.
The term ’crew’ refers to any person being part of the vessel’s complement. (e.g. officers,
ratings, cadets, superintendents). The same complement is also used as basis for calculating
the Total Exposure Hours.
KPI References:
(OCIMF). Marine Injury Reporting Guidelines

capture should be 2008-04-01 to 2009-03-31.
PIs Used:
F: Number of fatalities due to injuries
LWC: Number of Lost workday cases
PTD: Number of Permanent total disabilities
PPD: Number of permanent partial disabilities
TEH: Total exposure hours
KPI Value Formula: F + LWC + PTD + PPD

TEH *10 −6

KPI Rating = 50 ∗ (1 − )
2σ

F: Number of fatalities due to injuries: 0
LWC: Number of Lost workday cases: 1
PTD: Number of Permanent total disabilities: 0
PPD: Number of permanent partial disabilities: 0
TEH: Total exposure hours: 87600 (crew of ten for one year)
0 +1+ 0 + 0
= 11,14
87600 * 10 −6
KPI Average: 10
σ: 4
11,14 − 10
50 ∗ (1 − ) = 42,9
8
Misc:
LTIF expresses the number of Lost time Injuries per million exposure hours, and is an
expression of the frequency of injuries onboard the vessel. The LTIF does not reflect the
severities of injures.

KPI Name:
Lost Time Sickness Frequency
KPI Definition:
This KPI expresses the company’s ability to safeguard crew against sickness and fatalities
while serving onboard.
The KPI counts the cases of sick crew and any fatality due to sickness. Exposure hours are 24
hours per day while serving onboard.
The term ’crew’ refers to any person being part of the vessel’s complement. (e.g. officers,
ratings, cadets, superintendents). The same complement is also used as basis for calculating
the Total Exposure Hours.
KPI References:
OCIMF. In the sense that this KPI is based on the same principle as OCIMF’s Lost Time
Injury Frequency.

PIs Used:
A: Number of cases where a crew member is sick for more than 24 hours
B: Number of fatalities due to sickness
TEH: Total Exposure Hours
KPI Value Formula: A+ B

TEH * 10 −6

KPI Rating = 50 ∗ (1 − )
2σ

Number of cases where a crew member is sick for more than 24 hours: 2
Number of fatalities due to sickness: 0
TEH: Total exposure hours: 87600 (crew of 10 for 1 y)
2+0
= 22,8
87600 * 10 −6
KPI Average:
σ:
1 − 0,5
50 ∗ (1 − ) = 49,7
0,4
Misc:
LTSF expresses the number of Lost time Sickness cases per million exposure hours, and is an
expression of the likelihood for sickness onboard the vessel. The LTSF do not distinguish on
severity of sickness and do not measure the level of severity of sickness, it only expresses the
likelihood for becoming ill and do not give any categorization of the disease most likely to
occur.
LTSF expresses the number of lost time Sickness cases per million exposure hours, and is an
expression of the frequency of sickness onboard the vessel. The LTSF does not reflect the
severities of the sickness

KPI Name:
Navigational deficiencies
KPI Definition:
This KPI expresses the company’s ability to avoid navigational related deficiencies recorded
during external inspections and audits.
The KPI counts the number of navigational related deficiencies including any sub standard
act, practice or condition (such as a mal functioning radar), recorded during external
external inspections.
KPI References:

PIs Used:
Number of navigational related deficiencies
KPI Value Formula: Number of navigational related deficiencies


KPI Rating = 50 ∗ (1 − )
2σ

Number of navigational related deficiencies: 4
4
=2
2

KPI Average: 2,2
σ: 1
2 − 2,2
50 ∗ (1 − ) = 55
2
Misc:

KPI Name:
Navigational incidents
KPI Definition:
This KPI expresses the company’s navigational performance.
The KPI counts any navigational incident resulting in a collision, allision or grounding. All
incidents are counted regardless of the cause of the incident.Value parameters are used to
weight collisions and groundings twice that of allisions.
KPI References:

PIs Used:
A: Number of collisions
B: Number of allisions
C: Number of groundings
KPI Value Formula: ( X * A) + (Y * B) + (Z * C)

Value parameters:
X=2
Y=1
Z=2

KPI Rating = 50 ∗ (1 − )
2σ

Number of collisions: 0
Number of allisions: 1
Number of groundings: 0
(2 * 0) + (1 *1) + (2 * 0) = 1

KPI Average: 1,6
σ: 0,3
1 − 1,6
50 ∗ (1 − ) = 100
0,6
Misc:
It could be argued that the responsibility of the incident should be taken into account. At the
moment any incident is counted, regardless of whether the ship manager (represented by the
captain) is held liable for the incident. As the question of liability can take months and even
years to solve a decision was made to count all incidents regardless of liability issues. In this
respect this indicator is also influenced by the trade and area in which the vessel operates, as
the trade area have a bearing on the likelihood of incidents, congested waters, narrow
passages severe weather etc. In other words the indicator is not purely expressing the
navigational performance of the manager.

KPI Name:
NOx efficiency
KPI Definition:
This KPI expresses the amount of NOx emitted relative to the transport work performed.
As the PI Value ’Emitted Mass NOx’ is to be given in tons, the number is multiplied by 1
KPI References:
The Norwegian Toll and Avgiftsdirektoratet (The Norwegian Customs and Tax department).
Document (only available in norwegian):
http://www.toll.no/templates_TAD/Article.aspx?id=120627&epslanguage=NO&parentid=10
5536

PIs Used:
Emitted Mass of NOx
Transport work
KPI Value Formula: Emittedmassof NOx*106

Transportwork

KPI Rating = 50 ∗ (1 − )
2σ

Emitted Mass of NOx: 4000 ton
4000 * 10 6
= 0,193 g / tonmile
20710647000

KPI Average: 0,2
σ: 0,09
0,193 − 0,2
50 ∗ (1 − ) = 51,9
0,18
Misc:
The issue of NOx efficiency is complicated by the fact that there are several influencing
factors driving the fuel consumption. The commercial operator is responsible for utilization of
the vessel’s capacity thereby affecting the transport work. The other main factor regarding
transport work is the market itself. The vessel’s attributes such as hull design, engine type
(and to some extent age) as well as the load factor for each voyage are all influencing the
NOx efficiency through the amount of fuel burned.

KPI Name:
Officers experience rate
KPI Definition:
This KPI expresses the onboard level of experience at the time of reporting.
The KPI compares the number of officer months onboard vessels with the same technical
manager with the number of officers onboard the vessel, in other words the average period of
employment with the same manager.
KPI References:

PIs Used:
Number of officer months onboard
Number of officers onboard
KPI Value Formula: Number of officer months onboard


KPI Rating = 50 ∗ (1 + )
2σ

Number of officer months onboard: 30
Number of officers onboard: 10
30
=3
10

KPI Average: 5
σ: 3
3−5
50 ∗ (1 + ) = 33,3
6
Misc:
The importance of having experienced officers onboard should not be underestimated. This
indicator measure employment length and is a proxy for competence. It does not measure
competence but we believe that if there is a sound culture with in the company there is a
correlation between the employment length and competence both about procedures and on
technical equipment and systems.

KPI Name:
Officer retention rate
KPI Definition:
This KPI expresses the company’s ability to retain officers within the organization.
Data is captured by analyzing the employment database four years back in time (to identify
the number of officers which have been under contract), two years back in time (to identify
the number of officers who are no longer ‘employed’ by the organization) and finally
calculating the average number of officers employed.
KPI References:
INTERTANKO (interpreted by including higher level of details in definitions)

PI Values captured for a four year rolling time period and KPI Value expressed on a quarterly
basis.
PIs Used:
S: Number of officer terminations from whatever cause
UT: Number of unavoidable officer terminations
BT: Number of beneficial officer terminations
AE: Average number of officers employed
KPI Value Formula: S − (UT + BT )

100 − ∗ 100
AE

KPI Rating = 50 ∗ (1 + )
2σ

Number of officer terminations from whatever cause: 23
Number of unavoidable officer terminations: 5
Number of beneficial officer terminations: 1
Average number of officers employed: 250
23 − (5 + 1)
100 − ∗ 100 = 93,2%
250
KPI Average: 87
σ: 11
93,2 − 87
50 ∗ (1 + ) = 64,1
22
Misc:
The formula is defined by INTERTANKO Officer Retention Formula. (Corrected) Version 2
Dated 12th March 2008.
Source: The formula is modeled upon the Abelson adjusted turnover rate “Abelson M (1996)
Turnover cultures and turnover audits” in Human Resources Management. The formula was
adjusted by INTERTANKO to create a retention rate formula, as opposed to a turnover rate
formula.
The formula has some limitations as the beneficial termination is a subjective term. The
formula is also influenced by acquisitions/sale of vessels. In case the fleet is increased the
number of officers will increase and the indicator will improve, and the other way if the fleet
is reduced the indicator will deteriorate. This effect is to some extent filtered by using the
average number of officers employed in the reporting period.
As officer employment is more contract based in ship management we had to make some
clarifications on what ‘termination’ in this context actually means. These clarifications are not
part of INTERTANKO’s Officer Retention Formula.

KPI Name:
Operational cargo incidents
KPI Definition:
This KPI expresses the company’s ability to contribute to incidents-free loading and
unloading operations.
The KPI represents a ratio between the total quantity of damaged or lost cargo (during cargo
operations) relative to the number of cargo operations taking place during the same period.
This is a damage/loss frequency per cargo operation. By defining the KPI as a ratio,
benchmarking is feasible even between different vessel sizes.
KPI References:

PIs Used:
Number of damaged or lost cargo units injured during cargo operations
Number of cargo operations
KPI Value Formula: Numberof damagedor lost cargounits duringcargooperations

Numberof cargooperations

KPI Rating = 50 ∗ (1 − )
2σ

Number of damaged or lost cargo units during cargo operations: 1
Number of cargo operations: 20
1
= 0,05
20

KPI Average: 0,1
σ: 0,03
0,05 − 0,1
50 ∗ (1 − ) = 91,7
0,06
Misc:
Damage to cargo during cargo operation may not solely be the responsibility of the manager
and operator but also due to the port and port cargo handling equipment. Therefore this
indicator also includes some inherent performance of the port of call, and as such the
influence of the trade patterns may distort the KPI.

KPI Name:
Operational deficiencies
KPI Definition:
This KPI expresses the company’s ability to avoid operational related deficiencies recorded
The KPI counts the number of operational related deficiencies including any sub standard act,
practice or condition (not including HR, security, safety and environmental deficiencies)
recorded during external inspections and audits. The number of deficiencies is then made
relative to the total number of external inspections.
KPI References:

PIs Used:
Number of operational related deficiencies
KPI Value Formula: Numberof operational relateddeficiencies

KPI Rating = 50 ∗ (1 − )
2σ

Number of operational related deficiencies: 1
1
= 0,2
5

KPI Average: 0,55
σ: 0,3
0,2 − 0,55
50 ∗ (1 − ) = 79,2
0,6
Misc:
inspections. The deficiencies are categorized depending on their nature. This specific KPI
(Operational deficiencies) is a KPI that will cover all deficiencies that are not easily related to
one of the other more specific KPIs within this range.

KPI Name:
Passenger injury ratio
KPI Definition:
This KPI expresses the company’s ability to safeguard all passengers while onboard.
The KPI represents a ratio between the number of injured (including fatalities) passengers
reported during embarkation, disembarkation and voyage relative to the total number of
passengers carried in the reporting period. By defining the KPI as a ratio, benchmarking is
feasible even between different vessel sizes.
KPI References:

PIs Used:
Number of passengers injured
Number of passengers transported
KPI Value Formula: Number of passengers injured


KPI Rating = 50 ∗ (1 − )
2σ

Number of passengers injured: 5
Number of passengers transported: 100000
5
= 0,00005 = 50 ppm
100000

KPI Average: 35 ppm

σ: 12 ppm
50 − 35
50 ∗ (1 − ) = 18,75
24
Misc:
One of the main objectives for any ship manager in the passenger industry (cruise or RoPax)
is to ensure the passengers’ safety. The KPI is an expression of the likelihood of experiencing
an injury while being onboard this vessel. It is not cumulative in the sense that the likelihood
increases with voyage length as this is not accounted for. The indicator does not take into
account the severity of injury, only the likelihood for each passenger.

KPI Name:
Port state control deficiency ratio
KPI Definition:
This KPI expresses the company’s ability to avoid deficiencies issued during Port State
Control Inspections.
The KPI represents a ratio between the number of reported deficiencies relative to the number
of Port State Control Inspections, as such the average number of deficiencies per inspection.
By defining the KPI as a ratio, benchmarking is feasible even between vessels being subject
to an uneven number of Port State Control Inspections.
KPI References:

PIs Used:
Number of PSC deficiencies
KPI Value Formula: Numberof PSC deficiencies

Numberof PSC inspections

KPI Rating = 50 ∗ (1 − )
2σ

Number of PSC deficiencies: 12
Number of PSC inspections: 4
12
=3
4

KPI Average: 5
σ: 2
3−5
50 ∗ (1 − ) = 75
4
Misc:
covered are; ’Flawless port state control performance’ which measures the percentage of port
state controls resulting in zero deficiencies, ’Port state control detention’ which measures the
total number of port state control inspections resulting in a detention and this specific KPI,
’Port state control deficiency ratio’, which measures the ratio of the total number of issued
deficiencies during port state control inspection relative to the total number of port state
control inspections conducted.
It could be argued that this specific KPI is overlapping with the KPI ’Flawless port state
control performance’. We recognize this view and this specific KPI is kept only as an internal
KPI hence not part of any SPI.

KPI Name:
Port state control detention
KPI Definition:
This KPI expresses the company’s Code 30 performance during Port State Control
Inspections
The KPI counts the number of Port State Control Inspections resulting in a detention.
KPI References:

PIs Used:
Number of PSC inspections resulting in a detention
KPI Value Formula:


KPI Rating = 50 ∗ (1 − )
2σ

Number of PSC inspections resulting in a detention: 1
=1

KPI Average: 0,05
σ: 0,015
1 − 0,05
50 ∗ (1 − ) = −1533
0,03
Misc:

covered are;
’Flawless port state control performance’ which measures the percentage of port state controls
resulting in zero deficiencies,
’Port state control deficiency ratio’ which measures the ratio of the total number of issued
deficiencies during port state control inspection against the total number of port state control
inspections conducted and this specific KPI,
’Port state control detention’ which measures the total number of port state control inspections
resulting in a detention.
In this calculation example the average and standard deviation is much smaller than the KPI
Value. This indicates that there are few PSC detentions. When first a vessel has a PSC
detentions the KPI Rating plunge down, this indicate that for this type of indicators where
very rare occurrences are detected we must evaluate if we should use another rating
parameter, not 2σ, maybe 6σ (even this would give KPI Value = -477) or maybe even look
into different distributions, not the normal distribution. This is under evaluation and will be
followed up as soon as adequate statistical material is available.
This may also indicate that the period for which data is captured may be increased to allow for
more occurrences.

KPI Name:
Releases of substances as def by MARPOL Annex 1-6
KPI Definition:
This KPI expresses the company’s ability to avoid releases of substances as defined by
MARPOL (Annex1-6). This is done by counting (and aggregating) the number of (severe)
spills of liquid and releases of substances. A severe spill is a spill above one barrel (42 US
gallons or 159 liters).
KPI References:
MARPOL. All occurrences of release of substances as defined by MARPOL (Annex 1-6)
when released should be counted.
PIs Used:
A: Number of releases of substances covered by MARPOL, to the environment
B: Number of severe spills of bulk liquid

KPI Rating = 50 ∗ (1 − )
2σ

Number of releases of substances covered by MARPOL, to the environment: 1
Number of severe spills of bulk liquid: 0
1+ 0 = 1

KPI Average: 1,1
σ: 0,2
1 − 1,1
50 ∗ (1 − ) = 62,5
0,4

Misc:
Sustainability is a key issue within transport. The company should strive towards zero
accidental releases of substances defined as dangerous to the environment.
Due to difficulties in measuring the actual volume/quantity of a spill or release, the KPI focus
on the number of incidents. To avoid any confusion regarding when a spill is severe we
defined a severe spill as a spill above one barrel (42 US gallons or 159 metric liters).
Operational emissions are covered by the KPIs ‘CO2 efficiency’, ‘NOx efficiency’ and ‘SOx
efficiency’.

KPI Name:
Safety deficiencies
KPI Definition:
This KPI expresses the company’s ability to avoid safety related deficiencies recorded during
The KPI counts the number of safety related deficiencies including any sub standard act,
practice or condition (such as misplaced life buoys or fire hoses) recorded during external
external inspections.
KPI References:

PIs Used:
Number of safety related deficiencies
KPI Value Formula: Numberof safety relateddeficiencies

KPI Rating = 50 ∗ (1 − )
2σ

Number of safety related deficiencies: 3
3
= 1,5
2

KPI Average: 1
σ: 0.3
1,5 − 1
50 ∗ (1 − ) = 8,3
0,6
Misc:

KPI Name:
Security deficiencies
KPI Definition:
This KPI expresses the ship manager’s security performance, measured by the number of
deficiencies recorded during external inspections and audits.
The KPI counts the number of security related deficiencies including any sub standard act,
practice or condition (such as lack of compliance to the ISPS code) recorded during external
KPI References:

PIs Used:
Number of security related deficiencies
KPI Value Formula: Numberof securityrelateddeficiencies

KPI Rating = 50 ∗ (1 − )
2σ

Number of security related deficiencies: 3
3
= 1,5
2

KPI Average: 1
σ: 0,3
1,5 − 1
50 ∗ (1 − ) = 8,3
0,6
Misc:
inspections and audits. The deficiencies are categorized depending on their nature.
The total number of recorded external inspection and audits is used as a denominator in all
these KPIs (related to deficiencies) to enable benchmarking between vessels that are subject
to an uneven number of external inspection and audits.

KPI Name:
SOx efficiency
KPI Definition:
This KPI expresses the mass of SOx emitted relative to the transport work performed.
As the PI Value ’Emitted Mass Sox’ is to be given in tons, the figure is multiplied by 1
KPI References:

PIs Used:
Emitted Mass of SOx
Transport work
KPI Value Formula: Emittedmassof SOx*106

Transportwork

KPI Rating = 50 ∗ (1 − )
2σ

Emitted Mass of SOx: 2000 ton
2000 * 10 6
= 0,097 g / tonmile
20710647000

KPI Average: 0,1
σ: 0.015
0,097 − 0,1
50 ∗ (1 − ) = 55
0,03
Misc:
The issue of SOx efficiency is complicated by the fact that there are several influencing
factors. The commercial operator is responsible for utilization of the vessel’s capacity hereby
affecting the transport work. The other main factor regarding transport work is the market
itself. The vessel’s attributes such as hull design, engine type (and to some extent age) as well
as the load factor for each voyage are all influencing the quantity of emitted mass of SOx
through the amount of fuel burned.

KPI Name:
Training days per officer
KPI Definition:
This KPI expresses the company’s commitment to maintain and enhance the officers’
competence.
The KPI represents the ratio between the ship manager’s efforts in training over the total
number of officer working days. Basically the average number of training days per officer day
at sea..
KPI References:

PIs Used:
Number of officer trainee man days
Number of officer days onboard all vessels under technical management (DOC)
KPI Value Formula: Number of officer trainee man days

Number of officer months onboard all vessels under techincal management(DOC)

KPI Rating = 50 ∗ (1 + )
2σ

Number of officer trainee man days: 59
Number of officer days onboard all vessels under technical management (DOC): 4500
59
= 0,01
4500

KPI Average: 0,022
σ: 0,01
0,01 − 0,022
50 ∗ (1 + ) = 20
0,02
Misc:
The ship manager’s effort to maintain and enhance the officers’ competence is vital.

KPI Name:
Vessel availability
KPI Definition:
This KPI expresses the company’s ability to, minimize the unplanned off-hire
The KPI calculates the vessel utilization as a percentage of the total utilization time available.
By subtracting hours of planned unavailability from 365x24 (which would be the ’optimal
utilization’) the 100% availability is found.
KPI References:

PIs Used:
Actual off-hire
Planned unavailability
KPI Value Formula: Actual offhire - Planned unavailability

(1 − ) *100
(365 * 24) - Planned unavailability

KPI Rating = 50 ∗ (1 + )
2σ

Actual off-hire: 23 hours
Planned unavailability: 18 hours
23
(1 − ) *100 = 99,7%
(365* 24) - 18

KPI Average: 95
σ: 4
99,7 − 95
50 ∗ (1 + ) = 79,4
8
Misc:
Keeping the vessel available to the client is among the most important responsibilities of the
ship manager.
There are two relationships covered in this KPI namely the relationship between the ship
manager and the Charterer (regarding actual off-hire) and the relationship between the ship
manager and the Charterer/commercial operator (regarding planned unavailability).

Shipping KPI
The Shipping KPI Standard
PI Definitions
V 1.6
2010-03-15
• Actual drydocking costs • Number of collisions • Number of operational related
• Actual drydocking duration • Number of conditions of class deficiencies
• Actual off-hire • Number of crew not relieved on time • Number of passengers injured
• Agreed drydocking costs • Number of damaged or lost cargo units • Number of passengers transported
• Agreed drydocking duration during cargo operations • Number of Permanent Partial
• Number of damaged or lost cargo units Disabilities
• Average number of officers employed
• Emitted Mass of CO2
during voyage • Number of Permanent Total
• Number of dismissed crew Disabilities
• Emitted Mass of NOx
• Number of PSC inspections resulting
• Emitted Mass of SOx
• Number of environmental related
deficiencies in zero deficiencies
• Last year’s AAE (Additional Authorized
• Number of explosion incidents • Number of PSC deficiencies
Expense)
• Number of failures of critical • Number of PSC inspections
• Last year’s actual running costs and
equipment and systems • Number of PSC inspections resulting
accruals
• Number of fatalities due to injuries in a detention
• Last year’s running cost budget
• Number of recorded external
• Number of absconded crew
• Number of fatalities due to sickness
inspections
• • Number of fire incidents
Number of accidental releases of
• Number of groundings
• Number of safety related deficiencies
substances covered by MARPOL, to
the environment • Number of HR related deficiencies
• Number of security related deficiencies
• Number of allisions • Number of logged warnings

• Number of severe spills of bulk liquid
• Number of ballast water discharge • Number of Lost Workday Cases

• Number of cases where drugs or
alcohol is abused
violations • Number of navigational related
• Number of beneficial officer deficiencies
• Number of unavoidable officer
terminations
terminations • Number of officers onboard
• Number of cadets under training with
• Number of vessels under technical
• Number of officer months onboard management (DOC)
the ship manager
• Number of officers onboard all vessel • Number of violations of rest hours
• Number of cargo operations under technical management (DOC)
• Number of cargo units transported
• Planned unavailability
• Number of officer terminations from
• Total Exposure Hours
• Number of cases where a crew whatever cause
member is sick for more than 24 hours • Number of officer trainee man days
• Transport Work
• Number of charges of criminal
offences
• Number of contained spills of bulk
liquid

PI Name:
Actual drydocking costs
PI Definition:
The total actual costs associated with the drydocking.
Also including costs for any additional jobs which were not planned for before the drydocking
started.
PI References:
No external reference is made for this PI.
Used in KPI(s):
Measurement Unit:
USD

Captured and reported in the quarter the drydocking was completed.
If the drydocking ended on 2009-01-24 the quarter for which to report this PI Value should be
2009/Q1.
If no drydocking has been performed during a specific quarter, the PI Value for that quarter
should be set to 0.
This PI is to be reported on a vessel level.
Each vessel should be given its unique PI Value for this PI.
Numeric example:
Actual drydocking costs=3 900 000
PI Context:
This PI is used to be able to measure the deviation from a vessel's dry docking cost plan
(budget) by comparing this PI value to the PI ‘Agreed drydocking costs’. Together with the
PIs ‘Actual drydocking duration’ and ‘Agreed drydocking duration’ a KPI called ‘Drydocking
planning performance’ is created. This KPI expresses the percentage deviation from the
drydocking cost and time plan.
Misc:
Data for this PI may be collected (and aggregated) from the invoices received from various
service providers involved in the drydocking.

PI Name:
Actual drydocking duration
PI Definition:
The actual duration of the yard stay for drydocking.
PI References:
Used in KPI(s):
Measurement Unit:
Days

Captured and reported in the quarter the drydocking wascompleted.
2009/Q1.
should be set to 0.
Each vessel should be given its unique PI Value on this PI.

Numeric example:
Actual drydocking duration=16
PI Context:
This PI is used to be able to measure the deviation from a vessel's dry docking schedule by
comparing this PI value to the PI ‘Agreed drydocking duration. Together with the PIs ‘Actual
drydocking costs’ and ‘Agreed drydocking cost a KPI called ‘Drydocking planning
performance’ is created. This KPI expresses the percentage deviation from the drydocking
cost and time plan.
Misc:
Data for this PI may be collected from the vessels deck logbook or the yards official statement
of facts.

PI Name:
Actual off-hire
PI Definition:
The actual number of hours lost due to (full details described in prevailing Charter Party);
Interruption of service level caused by; deficiency of personnel or stores, repairs, breakdowns
and overhaul, neglect of duty of crew, medical advice or treatment of crew, detention of
vessel or quarantine, planned unavailability, reduction of vessel performance regarding speed
or cargo handling.
PI References:
Used in KPI(s):
Vessel availability
Measurement Unit:
Hours

Captured for a one year rolling time period and reported on a quarterly basis.
When reporting the PI Value for 2009/Q2 the time period for the data capture should be 2008-
07-01 to 2009-06-30.

Numeric example:
Actual off-hire=23
PI Context:
This PI when compared to the PI ‘Planned unavailability’ expresses a percentage of the
vessel’s actual availability. 100% availability is defined as a year (365x24 hours) minus the
planned (agreed between charterer and manager) unavailability.
Misc:
Data for this PI may be captured from the hours claimed by the charterer through the
principals.

PI Name:
Agreed drydocking costs
PI Definition:
The total actual costs associated with the drydocking as stated in plans and budgets agreed
BEFORE the drydocking starts.
Agreed costs between the ship manager and the owner. Any increase in costs which are
approved (agreed) AFTER the drydocking has started should not be taken into account.
PI References:
Used in KPI(s):
Measurement Unit:
USD
Captured and reported in the quarter the drydocking is completed.
2009/Q1.
should be set to 0.

Numeric example:
Agreed drydocking costs= 4 000 000
PI Context:
This PI is used to be able to measure the deviation from a vessel's drydocking cost plan
(budget) by comparing this PI value to the PI ‘Actual drydocking costs’. Together with the
PIs ‘Actual drydocking duration and ‘Agreed drydocking duration’ a KPI called ‘Drydocking
planning performance’ is created. This KPI expresses the percentage deviation from the
drydocking cost and time plan.
‘’‘‘
Misc:
Data for this PI may be collected (and aggregated) from the owner’s cost budget.

PI Name:
Agreed drydocking duration
PI Definition:
The agreed duration of the yard stay for a drydocking as agreed BEFORE the drydocking
starts.
This is the agreed duration as agreed between the ship manager and the owner. Any extension
of the duration which is approved (agreed) AFTER the drydocking has commenced should not
be taken into account.
PI References:
Used in KPI(s):
Measurement Unit:
Days

Captured and reported in the quarter the drydocking is completed.
2009/Q1.
should be set to 0.

Numeric example:
Agreed drydocking duration= 14,0
PI Context:
This PI is used to be able to measure the deviation from a vessel's dry docking schedule by
comparing this PI value to the PI ‘Actual drydocking duration’. Together with the PIs ‘Actual
drydocking costs’ and ‘Agreed drydocking cost’ a KPI called ‘Drydocking planning
performance’ is created. This KPI expresses the percentage deviation from the drydocking
cost and time plan.
Misc:
Data for this PI may be collected from the purchase order from the ship manager to the yard.

PI Name:
Average number of officers employed
PI Definition:
This is the average number of officers working for the technical manager (DOC) during the
reporting period.
PI References:
OCIMF’s officer retention rate as defined in TMSA.
Where OCIMF uses the term ‘employees’, the Shipping KPI standard specifies that only
officers should be counted.
Used in KPI(s):
Measurement Unit:
Number of officers.
Average number of officers employed in the period is found by adding the highest number of
officers employed at any time in the period with the lowest number of officers employed at
any time in the period and divide by 2.

Captured for a two year rolling time period and reported on a quarterly basis.
When reporting the PI Value for 2009/Q1 the time period for the data capture should be from
2007-04-01 to 2009-03-31.
This PI is to be reported on a fleet level.
All vessels defined as within the same fleet should be assigned the same PI Value on this PI.
Numeric example:
Average number of officers employed=250
PI Context:
This PI is part of the KPI ‘Officers retention rate’.Data is captured by analyzing your
employment database two years back and identifying how many of those in the database have
left and for what reason. The average number of employed officers of the period takes into
account any reduction in the need for officers (reduction in fleet size).
Misc:

PI Name:
Emitted mass of CO2
PI Definition:
The total mass of emitted CO2 in laden and ballast condition, calculated on the basis of fuel
consumption.
PI References:
Emitted mass of CO2 is defined in IMO MEPC/Circ.471: Interim Guidelines for voluntary
ship CO2 emission indexing for use in trials and/or SIGGTO conversion table from fuel to
CO2.
Used in KPI(s):
CO2 efficiency
Measurement Unit:
Metric tons

Captured and reported on a quarterly basis. The emitted mass of CO2 must be calculated per
fuel type used during the quarter. All calculations must then be aggregated to report the total
mass of emitted CO2.
When reporting the PI Value for 2009/Q1 the time period for the data capture should be the
first quarter of 2009; 2009-01-01 to 2009-03-31.
Numeric example:
Bunker consumption in Q1/2009 = 33 232, 73 Mtons Heavy Fuel Oil
Type of Fuel ISO specification g CO2/t Fuel

Diesel / Gasoil iso 8217 Grades DMX through DMC 3 206 000
Light Fuel Oil iso 8217 Grades RMA through RMD 3 151 040
Heavy Fuel Oil iso 8217 Grades RME through RMK 3 114 400
Liquefied Petroleum Gas Butane 3 030 000
Liquefied Petroleum Gas Propane 3 000 000
Liquefied Natural Gas 2 750 000
Emitted mass CO2 = 33 232,73 Mtons x 3,1144 = 103 500 Mtons
PI Context:
This PI is used in calculation of energy efficiency in the KPI ‘CO2 efficiency’ by dividing the
value on the PI ‘Transport work’.

Misc:
Calculation is based on the fuel consumption and fuel quality, so to be accurate the emitted
mass should be calculated for each leg as this has to be compared to the transport work of the
leg, therefore a rigid fuel consumption reporting regime needs to be put in place. Only legs
completed should be reported, this means that a slight inaccuracy will be tolerated with
respect to the definition of the quarter.

PI Name:
Emitted mass of NOx
PI Definition:
The total mass of emitted NOx in laden and ballast condition, calculated on the basis of fuel
consumption and engine speed.
PI References:
The Norwegian Toll and Avgiftsdirektoratet (The Norwegian Customs and Tax department).
Document (only available in Norwegian):
http://www.toll.no/templates_TAD/Article.aspx?id=120627&epslanguage=NO&parentid=10
5536
Used in KPI(s):
NOx efficiency
Measurement Unit:
Kilos
Captured and reported on a quarterly basis.
Numeric example:
Bunkering consumption in Q1/2009= 57 143 Mtons Heavy Fuel Oil. Engine speed Factor: 300 RPM
Engine Speed Factor:

100 kgs pr Mtons fuel used for RPM<200
70 kgs pr Mtons fuel used for RPM 200-1000
60 kgs pr Mtons fuel used for RPM 1000-1500
55 kgs pr Mtons fuel used for RPM>1500
Emitted mass NOx= 57 143 Mtons x 70 kgs pr Mtons = 4 000 000 kgs
PI Context:
This PI is used in calculation of energy efficiency in the KPI ‘NOx efficiency’ by dividing the

Misc:
This PI applies a rule of thumb to be generally applicable. A more accurate method exists for
newer vessels which have emission certificates. Such vessels should use the more accurate
method to calculate the emitted mass NOx.
To be accurate the emitted mass should be calculated for each leg as this has to be compared
to the transport work of the leg. Only legs completed should be reported, this means that a
slight inaccuracy will be tolerated with respect to the definition of the quarter.

PI Name:
Emitted mass of SOx
PI Definition:
The total mass of emitted SOx in laden and ballast condition.
Calculation is based on the fuel consumption and fuel quality, so to be accurate the emitted
mass should be calculated for each bunkering (or at least each change in sulphur content) and
each leg and than aggregated.
PI References:
Used in KPI(s):
SOx efficiency
Measurement Unit:
Kilos

Captured and reported on a quarterly basis. The emitted mass of SOx must be calculated per
fuel type (sulphur content) used during the quarter. All calculations must then be aggregated
to report the total mass of emitted SOx.
Numeric example:
Bunkers consumption in Q1/2009: 22 222 Mtons Heavy Fuel Oil
Sulphur content factor: 4,5% x 20 = 90
Emitted mass SOx = 22 222 Mtons x 90 = 2 000 000 kg
PI Context:
This PI is used in calculation of energy efficiency in the KPI ‘SOx efficiency’ by dividing the

Misc:
Sulphur content should be taken from fuel quality report and emissions must be calculated for
each fuel quality and aggregated.
To be accurate the emitted mass should be calculated for each leg. Only legs completed
should be reported, this means that a slight inaccuracy will be tolerated with respect to the
definition of the quarter.

PI Name:
Last year’s AAE (Additional Authorized Expenses)
PI Definition:
The amount asked by the ship manager from ship owner (or charterer) for additional expenses
related to agreed exceptional items during the fiscal year.
PI References:
Used in KPI(s):
Budget performance
Measurement Unit:
USD

Captured from the previous fiscal years accounts.
When reporting the PI Value for all quarters in 2009 the time period for the PI Value’s
capture should be 2008-01-01 to 2008-12-31 (or the corresponding fiscal year). All quarters in
2009 should be assigned the same KPI Value.
Numeric example:
Last year’s AAE= 250 000
PI Context:
This PI is used in the calculation of deviation from the vessel’s running cost budget as AAE
should be deducted when calculation a vessel’s actual running costs and accruals as the AAE
are in fact approved by the ship owner hence it can be argued that they are in fact part of the
vessel’s running cost budget.
Misc:
This is a lagging indicator and has a severe time lag since it uses last years account figures.
Regardless of this it is believed that the budget performance does not change dramatically
from year to year, so this time lag should be tolerable.

PI Name:
Last year’s actual running costs and accruals
PI Definition:
Total annual (fiscal year) cost per vessel including M&R, purchasing, operation, crewing,
insurance and other vessel operating costs. Capital expenses such as upgrades, drydockings
and modifications are not taken into account.
PI References:
Used in KPI(s):
Budget performance
Measurement Unit:
USD

Captured from the previous fiscal year.

Numeric example:
Last year’s actual running costs and accruals= 1 500 000
PI Context:
This PI is used to be able to measure the deviation from the last year’s running costs budget
represented in percentage by comparing it to the PI ‘Last year’s running costs budget’.
Misc:
This data may be found in the Ship Managers accounts.

PI Name:
Last year’s running cost budget
PI Definition:
Total annual (fiscal) budget per vessel including M&R, purchasing, operation, crewing,
insurance and other vessel operating costs. Capital expenses such as upgrades, drydockings
and modifications are not taken into account.
PI References:
Used in KPI(s):
Budget performance
Measurement Unit:
USD

Captured from the previous fiscal year.
Numeric example:
Last year’s running cost budget per vessel = 1 200 000
PI Context:
This PI is used to be able to measure the deviation from last year’s running costs budget
represented in percentage by comparing it to the PI ‘Last year’s actual running costs and
accruals’.
Misc:
Data for this PI may be collected (and aggregated) from the owners cost budget.

PI Name:
Number of absconded crew
PI Definition:
The number of crew absent without leave (AWOL). Crew in this case refers to any person
being part of the vessel’s complement. (e.g. officers, ratings, cadets, superintendents).
PI References:
Used in KPI(s):
Measurement Unit:
Number of crew AWOL

07-01 to 2009-06-30.

Numeric example:
Number of Absconded crew= 0
PI Context:
This is part of six PIs related to crew misbehavior
Misc:
Data concerning this PI is taken from internal reporting and is subject to manipulation and
subjective interpretations. It is therefore important that the numbers used are found in the HR
system that is under some kind of a certification regime, so that the figures could be audited if
a customer or client would require so.

PI Name:
Number of accidental releases of substances covered by MARPOL, to the
environment
PI Definition:
The number of accidental releases of substances covered by MARPOL, to the environment.
Only releases which are discovered and reported internally should be counted.
PI References:
Used in KPI(s):
Accidental releases of substances as def by MARPOL
Measurement Unit:
Number of accidental releases


Numeric example:
Accidental releases of substances as def by MARPOL= 1
PI Context:
This PI together with the PI ‘Severe spills of bulk liquid’ makes the KPI ‘Accidental releases
of substances as def by MARPOL’ by counting the total number of spills, liquid (covered by
the PI ‘Severe spills of bulk liquid’) or solids (this PI).
Misc:
This PI is dependent on internal reporting. Externally reported spills and releases are covered
by the KPI ‘Violations of MARPOL Annex 1-6’. The PI requires that a manager establishes a
reporting system for this type of near miss reporting. This reporting should be part of a
certified work process so that it is possible for a client to audit the numbers if required. The
counter should count any accidental releases to the environment in breach of the MARPOL
convention.

PI Name:
Number of allisions
PI Definition:
The number of occurrences the vessel strikes a fixed object.
PI References:
Used in KPI(s):
Measurement Unit:
Number of allisions


Numeric example:
Number of allisions = 1
PI Context:
This PI is one of three PIs used in the KPI ‘Navigational Incidents’. The two other PIs are
‘Number of collisions’ and ‘Number of groundings’. The categorization of navigational
incidents is used to be able to identify the different types of navigational incidents.
Misc:
Data to be captured from internal reporting as well as official incident reports to give a good
and valid expression of performance in this area.

PI Name:
PI Definition:
The number of times where prevailing regulations regarding management of ballast water
have been violated and recorded by an external party.
PI References:
Used in KPI(s):
Ballast water management violations
Measurement Unit:
Number of violations

Numeric example:
Number of violations = 2
PI Context:
This PI counts the total number of violations of applicable rules and regulations related to
ballast water management. The PI is the only PI in the KPI ‘Ballast water management
violations’.
Misc:
Data to be captured from external reporting give a good and valid expression of performance
in this area.

PI Name:
Number of beneficial officer terminations
PI Definition:
Beneficial officer terminations (i.e. sometimes those staff that do leave provide benefit to the
company by virtue of leaving, for example underperformers). Termination refers to the officer
not actively working for the ship manager for the last two years.
PI References:
OCIMF’s officer retention rate as defined in TMSA.
Used in KPI(s):
Measurement Unit:
Number of beneficial officer terminations

2007-04-01 to 2009-03-31.
All vessels defined as within the same fleet should be assigned the same PI Value on this PI
Numeric example:
Number of beneficial officer terminations = 1
PI Context:
This is used in the calculation of officer’s retention rate, to adjust the number of terminations
in case the termination is beneficial. This is a way not to penalize companies for terminating
contracts with people that are underperforming. The ability to remove underperformers is
regarded as a positive and good ability in a ship manager.
Misc:
This PI is subjective in its nature but the company should document all terminations and also
document the one categorized as beneficial through their HR system records. In this way the
number may be audited by a customer if required.

PI Name:
PI Definition:
The number of cadets under training with the ship manager.
PI References:
Used in KPI(s):
Cadets per vessel
Measurement Unit:

Captured on the last day of the quarter and reported quarterly.
When reporting the PI value for 2009/Q1 the day on which to capture the data should be
2009-03-31.
Numeric example:
Number of cadets under training with the ship manager= 123
PI Context:
This specific PI reflects the total number of cadets under training with the ship manager. The
PI is used as a nominator in the KPI ‘Cadets per vessel’ where the PI ‘Number of vessels
under technical management (DOC)’ is the denominator, hereby expressing the average
number of cadets per vessel of a ship manager.
Misc:

PI Name:
PI Definition:
The number of cargo operations such as loading and unloading.
PI References:
Used in KPI(s):
Measurement Unit:

first quarter of 2009; 2009-01-01 to 2009-03-31. Count up until the last port call in the
relevant quarter.
Numeric example:
Number of cargo operations= 20
PI Context:
This PI is used as a denominator in the KPI ’Operational cargo incidents’ where the PI
‘Number of damaged or lost cargo during cargo operations’ is the nominator.
Misc:
A cargo operation is defined by the managers operations, so for multipurpose vessels and
vessels carrying different type of cargo one may count one cargo operation per cargo type
loaded/unloaded. This is only relevant if the cargo handling equipment is different, if not it
should be counted as one operation. Container vessels will normally have one operation per
berth, so will crude tankers, where as product tankers may have more than one. The reason for
allowing multiple operations for some vessels is that the likelihood of incidents are associated
with the number of different cargo types handled and not so much with the amount of cargo.
In the case of containers the last astatement is not 100% valid. This indicates that the PI might
not be totally robust and we may need to bring this into the KPI calculation at a later stage.

PI Name:
PI Definition:
The number of cargo units transported.
PI References:
Used in KPI(s):
Cargo damage ratio
Measurement Unit:
For Container Carriers use number of TEUs

For Gas Carriers use cubic meters
For PCC/PCTC use units
For Bulk use metric tons

relevant quarter.

Numeric example:
Number of cargo units transported 150 000
PI Context:
This PI is used as the denominator in KPI ‘Cargo damage ratio’ and relates the number of
damaged cargo to the number cargo units transported, giving a damage ratio.
Misc:
Data concerning this PI is available from an aggregation of all consignments per quarter for
the vessel in question.

PI Name:
Number of cases where a crew member is sick for more than 24 hours
PI Definition:
The number of cases where an individual among the crew or any person being part of the
vessel’s complement (e.g. officers, ratings, cadets, superintendents) is sick for more than 24
hours. The individual must have been onboard the vessel for a minimum of four days.
PI References:
Used in KPI(s):
Measurement Unit:
Number of cases

07-01 to 2009-06-30.
Numeric example:
Number of cases = 2
PI Context:
This PI is part of 3 PIs that together form the KPI ‘Lost Time Sickness Frequency’ by
counting cases of sickness over 24 hours as well as fatalities due to sickness and use the PI
‘Total exposure hours’ as a denominator to get the frequency.
Misc:

PI Name:
Number of charges of criminal offences
PI Definition:
Number of cases where any person being part of the vessel’s complement. (e.g. officers,
ratings, superintendents) is charged with a criminal offence. In cases where the charge is later
withdrawn, the relevant PI Value should not be updated.
PI References:
Used in KPI(s):
Measurement Unit:
Number of charges

07-01 to 2009-06-30.

Numeric example:
Number of cases = 2
PI Context:
This PI is part of 6 PIs related to crew misbehavior.
All incidents (all PIs) together are used in calculation of the KPI ‘Crew disciplinary
frequency’ with the total exposure hours used as a denominator.
Misc:

PI Name:
PI Definition:
Total number of spills on deckwhere nothing goes overboard of bulk liquids which could have
had an environmental impact.
PI References:
Used in KPI(s):
Contained spills
Measurement Unit:
Number of contained spills


Numeric example:
Number of contained spills = 6
PI Context:
Some spills are contained but still represent an incident that should be recorded. This PI
counts the total number of contained spills and feeds into the KPI ‘Contained spills’ as the
only PI.
Misc:
subjective interpretations.
Data for this PI have to be based on internal reporting and the procedure and process for such
reporting should be included in the QA system so that the process can be audited.
Spills contained in areas which have not potential environmental impact, like engine room are
not to be reported.

PI Name:
Number of collisions
PI Definition:
The number of collision incidents between the vessel and floating objects.
PI References:
Used in KPI(s):
Measurement Unit:
Number of collisions


Numeric example:
Number of collisions = 0
PI Context:
This PI is one of three used in the KPI ‘Navigational incidents’, the two other PIs are
‘Number of allisions’ and ‘Number of groundings’. The categorization of navigational
incidents is used to be able to identify the different types of navigational incidents.
Misc:

PI Name:
PI Definition:
Number of conditions of class issued. Condition of class is a written statement from class (ref.
IACS).
PI References:
IACS
Used in KPI(s):
Condition of class
Measurement Unit:


Numeric example:
Number of conditions of class = 1
PI Context:
This PI reports the number of conditions of class that are stated for the vessel. The PI is the
only PI in the KPI ‘Condition of class’ as there is no need for a common denominator (such as
the total number of class inspections) in the KPI for benchmarking purposes.
Misc:
Data concerning this PI can be taken from class inspection reports, and should be aggregated
from the inspections held during the reporting period.

PI Name:
Number of crew not relieved on time
PI Definition:
Number of crew not relieved within the agreed tenure of contract, excluding extensions
initiated by crew, but including extensions initiated by the manager.
PI References:
Used in KPI(s):
Crew planning
Measurement Unit:
Number of crew


Numeric example:
Number of crew not relieved on time = 1
PI Context:
This PI is used in the KPI ‘Crew planning’ which reflects the ship manager’s ability to adhere
to agreed tenure of contracts as well as official requirements related to rest hours.
Misc:

PI Name:
Number of damaged or lost cargo units during cargo operations
PI Definition:
The number of damaged or lost cargo units during cargo operations. The number is taken
from received claims. If the claim is later withdrawn, the relevant PI should not be updated.
PI References:
Used in KPI(s):
Measurement Unit:
Number of damaged or lost cargo units during cargo operations
For Container Carriers use number of TEUs



Numeric example:
Number of damaged or lost cargo units during cargo operations= 1
PI Context:
This PI is used as a nominator in the KPI ‘Operational cargo incidents’ and captures data
related to damaged or lost cargo during cargo operations. By dividing the PI by the PI
‘Number of cargo operations’ the frequency is found.
Misc:
Data concerning this PI is taken from official claims reports received by the ship manager
from the ship owner/operator depending on who the cargo owner directs the claim to.

PI Name:
Number of damaged or lost cargo units during voyage
PI Definition:
The number of damaged or lost cargo units during voyage. The number is taken from received
claims. If the claim is later withdrawn, the relevant PI value should not be updated.
PI References:
Used in KPI(s):
Cargo damage ratio
Measurement Unit:
Number of damaged or lost cargo units
For Container Carriers use number TEUs


If a voyage spans over two quarters, any damaged or lost cargo units on that voyage should be
reported for the quarter in which the voyage ends.

Numeric example:
Number of damaged or lost cargo units = 4
PI Context:
This PI is used in the KPI ‘Cargo damage ratio’ and captures data related to damaged or lost
cargo during voyage. By dividing this PI by the PI ‘Number of cargo units transported’ the
damage ratio is found.
Misc:
from the ship owner/operator depending on who the cargo owner directs the claim to.

PI Name:
Number of dismissed crew
PI Definition:
The number of cases where any person being part of the vessel’s complement. (e.g. officers,
ratings, cadets, superintendents) has been dismissed due to breach of discipline before end of
contract.
PI References:
Used in KPI(s):
Measurement Unit:
Number of dismissed crew

07-01 to 2009-06-30.

Numeric example:
Number of dismissed crew = 0
PI Context:
frequency’ with the total exposure hours used as a denominator.
Misc:
subjective interpretations. Reporting routines should be part of the QA system and as such be
subject to audit.

PI Name:
PI Definition:
Environmental related deficiencies including any sub standard act, practice or condition of an
environmental consequence (local regulations and MARPOL) as a result of recorded external
inspections and audits.
PI References:
Used in KPI(s):
Measurement Unit:


Numeric example:
Number of environmental related deficiencies = 13
PI Context:
This PI is one of several PIs that capture information concerning deficiencies. A system of 6
categories of deficiencies (environmental, HR, security, operational , navigational and safety)
are feeding values into 6 different KPIs (based on the same categorization) with the PI
‘Number of external inspections’ as the common denominator in all KPIs for benchmarking
purposes.
Misc:
Data concerning this PI can be obtained from external inspections by external bodies (class,
port, flag, vetting, insurance, charterers) also including ISO/ISM/OHSAS. In any case the
categorization of deficiencies (according to the PIs in the Shipping KPI Performance
Hierarchy) must be done subjectively.

PI Name:
Number of explosion incidents
PI Definition:
The number of explosion incidents onboard a vessel.
PI References:
Used in KPI(s):
Fire and Explosions
Measurement Unit:
Number of fire incidents = 0


Numeric example:
Number of incidents
PI Context:
This PI counts the total number of explosion incidents onboard a vessel and together with the
PI ‘Number of fire incidents’ form the KPI ‘Fire and Explosions’.
Misc:

PI Name:
PI Definition:
The number of failures to equipment and systems in the critical list (as required by the ISM
code 10.3 and defined in the company’s SEMS) resulting in whole or partial unavailability.
PI References:
ISM code 10.3
Used in KPI(s):
Failure to critical equipment and systems
Measurement Unit:


Numeric example:
Number of failures of critical equipment and systems = 3
PI Context:
This PI is the only PI for the KPI ’Failure of critical equipment and systems’.
Misc:
As the vessels’ critical lists may vary in size it could be argued that e.g. the number of items
on the list could be used as a denominator for benchmarking purposes. In any case, a failure to
a critical equipment or system is a serious matter, regardless of the number of items in the
vessel’s critical list, and the KPI ’Failure to critical equipment and systems’ is kept without a
denominator
This information should be possible to deduct from the PMS and if multiple faults result in
the same unavailability they should all be counted, as this PI is to measure the state of the
system, not the consequence of the failure.

PI Name:
Number of fatalities due to injuries
PI Definition:
Number of deaths among the crew or any person being part of the vessel’s complement (e.g.
officers, ratings, cadets, superintendents) resulting from a work injury (not illness or other
conditions) regardless of the length of time between the injury and death (OCIMF).
PI References:
LTIF is defined by OCIMF
Used in KPI(s):
Measurement Unit:
Number of fatalities due to injuries

07-01 to 2009-06-30.

Numeric example:
Number of fatalities due to injuries = 0
PI Context:
This PI is part of 5 PIs that together form the KPI ‘Lost Time Injury Frequency’ by counting
all lost workday cases, fatalities due to injuries, permanent total disabilities and permanent
partial disabilities and use the total exposure hours as a denominator to get the frequency
Misc:

PI Name:
Number of fatalities due to sickness
PI Definition:
Number of deaths among the crew or any person being part of the vessel’s complement (e.g.
officers, ratings, cadets, superintendents) resulting from work related illness regardless of the
length of time between the emerging symptoms of the illness and death. Also including
suicide.
PI References:
Used in KPI(s):
Measurement Unit:
Number of fatalities due to sickness

07-01 to 2009-06-30.

Numeric example:
Number of fatalities due to sickness = 0
PI Context:
This PI is part of 3 PIs that together form the KPI ’Lost Time Sickness Frequency’ by
counting cases of sickness over 24 hours as well as fatalities due to sickness and use the total
exposure hours as a denominator to get the frequency
Misc:
This PI can also be used to get an indication if the work environment is influencing the
mortality of the seamen.

PI Name:
Number of fire incidents
PI Definition:
The number of fire incidents onboard the vessel.
PI References:
Used in KPI(s):
Fire and Explosions
Measurement Unit:
Number of fire incidents


Numeric example:
Number of fire incidents = 1
PI Context:
This PI counts the total number of fire incidents onboard a vessel and together with the PI
‘Number of explosion incidents’ form the KPI ‘Fire and Explosions’.
Misc:
False alarms are not counted; the severity of the fire is not factored in, just the occurrence of
fire. It is therefore likely that passenger vessels will have a higher number of incidents than
other vessel types, due to the behavior of the passengers.

PI Name:
Number of groundings
PI Definition:
Contact by the vessel with the sea bed.
PI References:
Used in KPI(s):
Measurement Unit:
Number of groundings


Numeric example:
Number of groundings = 0
PI Context:
This Pi is one of three PIs used in the KPI ‘Navigational incidents’. The two other PIs are
‘Number of collisions’ and ‘Number of allisions” The categorization of navigational incidents
is used to be able to identify the different types of navigational incidents.
Misc:

PI Name:
PI Definition:
Includes any sub standard act, practice or condition with a HR consequence identified during
PI References:
Used in KPI(s):
HR deficiencies
Measurement Unit:


Numeric example:
Number of HR related deficiencies = 3
PI Context:
‘Number of external inspections’ as the common denominator in all KPIs for benchmarking
purposes.
Misc:

PI Name:
Number of logged warnings
PI Definition:
Any logged warning given by superior to any person being part of the vessel’s complement
(e.g. officers, ratings, cadets, superintendents).
PI References:
Used in KPI(s):
Measurement Unit:
Number of logged warnings

07-01 to 2009-06-30.
Numeric example:
Number of logged warnings = 1
PI Context:
frequency’ with the total exposure hours as a denominator.
Misc:
Any logged warning s in this context can also mean verbal warnings, but there has to exist a
record of such a verbal warning being issued for it to count.

PI Name:
Number of Lost Workday Cases
PI Definition:
Number of injuries among the crew or any person being part of the vessel’s complement (e.g.
officers, ratings, cadets, superintendents) which results in the individual being unable to carry
out his duties or to return to work, or to a scheduled work shift on the next day following the
injury, unless caused be delays in getting medical treatment ashore (OCIMF).
PI References:
Used in KPI(s):
Measurement Unit:
Number of Lost Workday Cases

07-01 to 2009-06-30.
Numeric example:
Number of Lost Workday Cases = 1
PI Context:
partial disabilities and use the total exposure hours as a denominator to get the frequency.
Misc:
Data for this should normally be captured from time sheet databases or from injury records

PI Name:
PI Definition:
Navigational related deficiencies including any sub standard act, practice or condition,
recorded during external inspections and audits.
PI References:
Used in KPI(s):
Measurement Unit:

Numeric example:
Number of navigational related deficiencies = 4
PI Context:
’Number of external inspections’ as the common denominator in all KPIs for benchmarking
purposes.
Misc:
Data concerning this PI can be obtained from inspections by external bodies (class, port, flag,
vetting, insurance, charterers) also including ISO/ISM/OHSAS. In any case the categorization
of deficiencies (according to the PIs in the Shipping KPI Performance Hierarchy) must be
done subjectively.

PI Name:
PI Definition:
The number of officers currently onboard the vessel.
PI References:
Used in KPI(s):
Officers experience rate
Measurement Unit:

2009-03-31.
Numeric example:
Number of officers onboard = 10
PI Context:
This specific PI reflects the total number of officer onboard which is used as a denominator in
the KPI ‘Officers experience rate’.
Misc:
Capturing the number of officers on the last day of the quarter does not give an accurate level
of officers, as this may be affected by temp staff onboard or other activities. Regardless of this
is a very easy way to determine the number of officers, and for all practical purposes this is
believed to be accurate enough to determine the average experience of the officers onboard.

PI Name:
Number of officer months onboard
PI Definition:
Number of officer months currently onboard the vessel.
Aggregate the number of months each officer on board currently has had as an officer with
the current ship manager.
PI References:
Used in KPI(s):
Officer experience rate
Measurement Unit:
Number of officer months onboard.

Captured and reported on the last day for each quarter.
2009-03-31.
Numeric example:
Number of officer months onboard = 30
PI Context:
This PI is used in the KPI ‘Officer experience rate’ which measures the average experience
expressed through the months each officer have served onboard with the current ship
manager.
Misc:

PI Name:
PI Definition:
PI References:
Used in KPI(s):
Measurement Unit:

Numeric example:
Number of officer days onboard all vessels under technical management (DOC) = 4500
PI Context:
This specific PI reflects the total number of officer days onboard which is used as a
denominator in the KPI ‘Training days per officer’. This figure is the aggregated sailing time
the officers currently sailing have had with this manager.
Misc:
This PI has the challenge that if the crew has varying experience length this may vary from
one reporting period to the next and the PI will have fluctuation that has nothing to do with
the ship manager, merely by the available crew.

PI Name:
Number of officer terminations from whatever cause
PI Definition:
The total number officers that have left the company for what ever reason. Termination refers
to the officer not actively working for the ship manager for two years.
PI References:
OCIMF
Used in KPI(s):
Measurement Unit:
Number of officer terminations

2007-04-01 to 2009-03-31.
Numeric example:
Number of officer terminations = 23
PI Context:
This specific PI reflects the ship manager ability to retain their officers
Misc:
This PI is subjective in its nature but the company should document all terminations and also
document the one categorized as beneficial through their HR system records. In this way the
number may be audited by a customer if required.

PI Name:
PI Definition:
Number of officer trainee man days.
Training = Training exceeding statutory requirements performed by formal trainer on shore or

onboard (excluding computer-based). Ten officers under training for two days equals 20
officer trainee man days.
PI References:
Used in KPI(s):
Measurement Unit:

Numeric example:
Number of officer trainee man days = 59
PI Context:
This specific PI reflects the number of training days conducted by the ship manager which is
used as a nominator in the KPI ‘Training days per officer’.
Misc:
In this context the trainee man days is the number of days the officer have been a trainee. We
count all days where an officer have attended training as defined above, but if the training is
less than 25% of a day it should not be counted. In cases where training is done iteratively in
short burst, it is left up to the judgment of the company to estimate an equivalent number of
days.

PI Name:
PI Definition:
Operational related deficiencies including any sub standard act, practice or condition,
recorded during external inspections and audits but not including HR-, security-, safety- and
environmental deficiencies.
PI References:
Used in KPI(s):
Measurement Unit:

Numeric example:
Number of operational related deficiencies = 1
PI Context:
purposes.
Misc:

PI Name:
PI Definition:
The number of passengers injured during embarkation, disembarkation and voyage. The
number is taken from received claims. If the claim is later withdrawn, the relevant PI should
not be updated.
PI References:
Used in KPI(s):
Measurement Unit:

relevant quarter.
Numeric example:
Number of passengers injured = 5
PI Context:
This PI is used as the KPI ‘Passenger injury ratio’ and captures data related to the number of
injured passengers.
Misc:
from the ship owner/operator depending on who the passengers directs the claim to.

PI Name:
PI Definition:
The number of passengers transported.
PI References:
Used in KPI(s):
Measurement Unit:
Number of passengers transported.

relevant quarter.
Numeric example:
Number of passengers transported = 100 000
PI Context:
This PI is used as the denominator in KPI ‘Passenger injury ratio’.
Misc:
Data concerning this PI is available from an aggregation of all passengers carried per quarter
for the vessel in question. Only passengers that have completed their journey shall be counted.
On a cruise vessel on a round trip that last over the closure data of the reporting period, the
last voyage shall not be counted

PI Name:
Number of Permanent Partial Disabilities
PI Definition:
The number of injuries among the crew or any person being part of the vessel’s complement
(e.g. officers, ratings, cadets, superintendents) which results in complete loss, or permanent
loss of use, of any member or part of the body, or any impairment of functions of parts of the
body, regardless of any pre-existing disability of the injured member or impaired body
function, that partially restricts or limits an employees basis to work on a permanent basis at
sea. Such an individual could be employed ashore but not at sea in line with industry
guidelines (OCIMF).
PI References:
Used in KPI(s):
Measurement Unit:
Number of Permanent Partial Disabilities

07-01 to 2009-06-30.
Numeric example:
Number of Permanent Partial Disabilities = 0
PI Context:
Misc:
Permanent Partial Disability should be based on medical judgment and be picked from a
medical statement about the %disability of the employee.

PI Name:
Number of Permanent Total Disabilities (PTD)
PI Definition:
The number of injuries among the crew or any person being part of the vessel’s complement
(e.g. officers, ratings, cadets, superintendents) which incapacitates the individual permanently
and results in termination of employment on medical grounds (e.g. loss of limb(s) permanent
brain damage, loss of sight) and precludes the individual from working either at sea or shore
(OCIMF).
PI References:
Used in KPI(s):
Measurement Unit:
Number of Permanent Total Disabilities

07-01 to 2009-06-30.
Numeric example:
Number of Permanent Total Disabilities = 0
PI Context:
Misc:
Permanent Total Disability should be based on medical judgment and be picked from a
medical statement.

PI Name:
Number of PSC inspections resulting in zero deficiencies
PI Definition:
The number of port state control inspections resulting in zero deficiencies (not counting
observations – code 99).
PI References:
Used in KPI(s):
Flawless port state control performance
Measurement Unit:

Numeric example:
Number of PSC inspections resulting in zero deficiencies = 2
PI Context:
This PI is used in the KPI ‘Flawless port state control performance’ which expresses the
percentage of port state controls resulting in zero deficiencies against the total number of port
state control inspections conducted.
Misc:
Data concerning this PI is captured by counting the number of PSC inspections where no
deficiencies are reported. If only code 99 observations are found the PSC is said to have no
deficiencies.

PI Name:
PI Definition:
The number of deficiencies, excluding observations (code 99), found during port state control
inspections.
PI References:
Used in KPI(s):
Measurement Unit:

Numeric example:
Number of PSC deficiencies = 12
PI Context:
A comprehensive picture regarding port state control performance is considered as vital. This
PI together with the PI ‘Number of PSC inspections’ provides a ratio of the total number of
deficiencies over the total number of PSC inspections, which is a deficiency ratio giving
average number of deficiencies per inspection.
Misc:
This PI reports the deficiencies and is used to measure the number of deficiencies; it is not
used to measure the responsiveness to close deficiencies found.

PI Name:
PI Definition:
The number of port state control inspections
PI References:
Used in KPI(s):
Flawless Port state control performance
Measurement Unit:
Number of PSC inspections = 4

Numeric example:
Number of PSC inspections = 4
PI Context:
This PI is used as the denominator in two KPIs (‘Flawless Port state control performance’ and
‘Port state control deficiency ratio’) to enable benchmarking of vessels even with a different
number of port state control inspections (hence a different risk for receiving
deficiencies/detentions in the first place) during the reporting period.
Misc:
Data concerning this PI is captured by counting the number of port state control inspections.
In the case a vessel is under inspection at the period end, only completed PSC should be
reported for the PI.

PI Name:
PI Definition:
The total number of port state control inspections, excluding verifications, resulting in a
detention. Multiple reasons for issuing a detention in one inspection count as ONE detention
in the PI.
PI References:
Used in KPI(s):
Port state control detention
Measurement Unit:


Numeric example:
Number of PSC inspections resulting in a detention = 1
PI Context:
This PI counts the number of port state control inspections resulting in a detention. This is
because a comprehensive picture regarding port state control performance is considered as
vital.
Misc:
Data concerning this PI can be taken from counting all port state control inspection reports
taken place during the period which resulted in a detention.

PI Name:
PI Definition:
The number of recorded inspections and audits by external bodies (class, port, flag, vetting,
insurance, charterers) also including external ISO/ISM/OHSAS audits (excluding voluntary
inspections made for the purpose of quality improvement).
PI References:
Used in KPI(s):
HR deficiencies
Safety deficiencies
Measurement Unit:

Numeric example:
Number of recorded external inspections = 2
PI Context:
This PI serves as a common denominator in 6 different KPIs (for benchmarking purposes)
related to deficiencies identified during external inspections.
Misc:
Data concerning this PI can be taken from summing up all external inspections for the vessel
during the reporting period.

PI Name:
PI Definition:
Safety related deficiencies including any sub standard act, practice or condition, recorded
PI References:
Used in KPI(s):
Safety deficiencies
Measurement Unit:

Numeric example:
Number of safety related deficiencies = 3
PI Context:
purposes.
Misc:

PI Name:
PI Definition:
Security related deficiencies including any sub standard act, practice or condition, recorded
PI References:
Used in KPI(s):
Measurement Unit:

Numeric example:
Number of security related deficiencies = 3
PI Context:
purposes.
Misc:

PI Name:
Number of severe spills of bulk liquid
PI Definition:
A severe spill is a spill above one barrel (42 US gallons or 159 metric liters). The spill has to
be to the environment. Only spills which are discovered and reported internally should be
counted.
PI References:
Used in KPI(s):
Accidental releases of substances as def by MARPOL
Measurement Unit:
Number of severe spills

Numeric example:
Number of severe spills = 0
PI Context:
This PI together with the PI ‘Number of accidental releases of substances covered by
MARPOL, to the environment’ form the KPI ‘Accidental releases of substances as def by
MARPOL’ by counting the total number of spills, liquid (this PI) or solids (covered by the PI
‘Total no of accidental releases of substances covered by MARPOL, to the environment’)
Misc:
Data for this PI is dependent on internal reporting. Externally reported spills are covered by
the KPI ‘Violations of MARPOL Annex 1-6.

PI Name:
Number of cases where drugs or alcohol is abused
PI Definition:
The number of cases where any person being part of the vessel’s complement. (e.g. officers,
ratings, cadets, superintendents) is caught abusing drugs or alcohol.
PI References:
Used in KPI(s):
Measurement Unit:
Number of cases

07-01 to 2009-06-30.
Each vessel which is being reported should be assigned its unique PI Value on this PI
Numeric example:
Number of cases where drugs or alcohol is abused = 0
PI Context:
This PI is related to crew misbehavior.
All incidents are used in calculation of the KPI ‘Crew disciplinary frequency’ with the PI
‘Total Exposure Hours’ used as a denominator.
Misc:
The number of cases are based on that there exist a documented record of the abuse. This
indicates that people with alcohol and drug addictions are counted each time they have a
logged warning or any other written record of their abuse.

PI Name:
Number of unavoidable officer terminations
PI Definition:
Unavoidable officer terminations are retirements, long term illness and officers following a
vessel which is no longer under technical management. Termination refers to the officer not
actively working for the ship manager for two years.
PI References:
Used in KPI(s):
Measurement Unit:
Number of unavoidable officer terminations

2007-04-01 to 2009-03-31
All vessels which are being reported and defined as within the same fleet should be assigned
the same PI Value on this PI.
Numeric example:
Number of unavoidable officer terminations = 5
PI Context:
This is used in the KPI Officers retention rate and is used to adjust the number of termination
not to penalize the company for natural terminations outside of the control of the company.
Misc:

PI Name:
PI Definition:
The number of vessels under technical management (DOC).
PI References:
Used in KPI(s):
Cadets per vessel
Measurement Unit:

When reporting the PI Value for 2009/Q1 the time for data capture should be 2009-03-31.
All vessels which are being reported and defined as within the same fleet should be assigned
the same PI Value on this PI.
Numeric example:
Number of vessels under technical management (DOC) = 134
PI Context:
This specific PI gives the total number of vessels under technical management, which is used
as a denominator in the KPI ‘Cadets per vessel’.
Misc:
Please note that all vessels for which you hold the DOC should be counted, not only the
number of vessels which are currently part of the Shipping KPI reporting regime.

PI Name:
Number of violations of rest hours
PI Definition:
The number of cases with violation of STCW or ILO conventions regarding rest or work
hours.
PI References:
STCW and ILO.
Used in KPI(s):
Crew planning
Measurement Unit:
Number of violations of rest hours

Numeric example:
Number of violations of rest hours = 4
PI Context:
This PI is used in the KPI ‘Crew planning’ which reflects the ship manager’s ability to adhere
to official requirements related to rest hours as well as agreed tenure of contracts.
Misc:
Even if a crew member agree to the breach of rest hour conventions the breach shall be
counted.

PI Name:
Planned unavailability
PI Definition:
The number of hours planned for repair and maintenance, including Class renewal surveys,
Intermediate surveys, Dry dockings and Modification jobs that are agreed between the ship
manager and the charterer/vessel operator.
PI References:
Used in KPI(s):
Vessel availability
Measurement Unit:
Hours planned unavailability

07-01 to 2009-06-30.
Numeric example:
Hours planned unavailability = 18
PI Context:
This PI is used in the KPI ‘Vessel availability. To be able to measure a vessel’s availability it
is natural to subtract the planned unavailability from a total potential availability (typically
365x24) as it is the unplanned unavailability that is given focus.
Misc:
The planned unavailability should be taken from the agreement between the parties valid for
the reporting period, in this case the rolling 12 months. This means that if the agreement is
changed during the year the value for planned unavailability may change over the year.

PI Name:
Total Exposure Hours
PI Definition:
TEH is the aggregated total number of hours all crew or any person being part of the vessel’s
complement (e.g. officers, ratings, cadets, superintendents) have spent onboard the vessel.
PI References:
Used in KPI(s):
Measurement Unit:
Crew days x 24

07-01 to 2009-06-30.
Numeric example:
3750 Crew days x 24 hours = 90 000
PI Context:
This PI is used as a denominator in several KPIs enabling benchmarking of vessels with
varying number of crew onboard.
Misc:
When capturing data you need to aggregate the number of crew days over the 12 month
period and multiply be 24. The small error of crew members embarking and disembarking and
giving rise to fraction of days is disregarded.

PI Name:
Transport Work
PI Definition:
Transport work is a product of the cargo transported and the distance sailed for a specific
vessel.
PI References:
Used in KPI(s):
CO2 efficiency
NOx efficiency
SOx efficiency
Measurement Unit:
Cargo unit-mile.
Cargo units are: Ton, cubic meters, number of units, lane meters, TEUs etc

Captured and reported on a quarterly basis. The transport work must be calculated per leg:
Number of units carried multiplied with the distance sailed for that leg. All legs are then
aggregated to find the total transport work for that specific quarter.
relevant quarter.
Numeric example:
Ton miles: Loaded cargo x distance sailed = 20 710 647 000
PI Context:
This PI is used as a denominator in KPIs related to emissions in order to express emission
efficiency (related to CO2, NOx and SOx). Emission efficiency is how much emission is
generated while transporting one cargo unit one mile.
Misc:
As the PI is an aggregation of all laden legs, ballast legs do not come into consideration.
Transport work given as ton-miles may for some shipping segments not be considered
applicable measure and IMO opens for the usage of different units of measure. (Container
Ships: TEU (empty or full), Passenger vessels: passengers, Car Carriers: car units or occupied
lane meters). Allowing for different cargo units to some extent impedes the benchmarking
ability as it becomes difficult to compare different vessel types, but it strengthen the
coherence of measurement of vessel carrying the same cargo type/units. This is not suitable
for the KPI if it is to enable comparison between modes (e.g. bulk vs. containers).

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Shipping KPI

The Shipping KPI Standard

• Accidental releases of substances as def by MARPOL • Lost Time Sickness Frequency

The Shipping KPI Standard v1.6 - 2010-03-15

KPI Value Formula:

KPI Rating Formula: KPIValue − KPI Average

KPI Value Calculation Example:

KPI Rating Calculation Example:

The Shipping KPI Standard v1.6 - 2010-03-15

The Shipping KPI Standard v1.6 - 2010-03-15

Time Period for Data Capture:

KPI Value Formula:

KPI Rating Formula: KPIValue − KPI Average

The Shipping KPI Standard v1.6 - 2010-03-15

The Shipping KPI Standard v1.6 - 2010-03-15

KPI Value Calculation Example:

The Shipping KPI Standard v1.6 - 2010-03-15

The Shipping KPI Standard v1.6 - 2010-03-15

Time Period for Data Capture:

KPI Value Formula:Numberof cadets under training with theship manager

KPI Value Calculation Example:

The Shipping KPI Standard v1.6 - 2010-03-15

The Shipping KPI Standard v1.6 - 2010-03-15

Time Period for Data Capture:

KPI Value Formula: Emitted mass of CO2 *10 6

KPI Value Calculation Example:

The Shipping KPI Standard v1.6 - 2010-03-15

The Shipping KPI Standard v1.6 - 2010-03-15

Time Period for Data Capture:

KPI Value Formula:

KPI Rating Formula: KPIValue − KPI Average

KPI Value Calculation Example:

KPI Rating Calculation Example:

The Shipping KPI Standard v1.6 - 2010-03-15

The Shipping KPI Standard v1.6 - 2010-03-15

Time Period for Data Capture:

KPI Value Formula:

KPI Rating Formula: KPIValue − KPI Average

KPI Value Calculation Example:

KPI Rating Calculation Example:

The KPI is complementary to the KPI ‘Accidental releases of substances as def by

No denominator has been proven necessary for benchmarking purposes.

The Shipping KPI Standard v1.6 - 2010-03-15

Time Period for Data Capture:

The KPI Value is to be expressed on a quarterly basis.

KPI Value Formula: (A + B + C + D + E) * (24 * 365)

KPI Rating Formula: KPIValue − KPI Average

The Shipping KPI Standard v1.6 - 2010-03-15

KPI Value Calculation Example:

The Shipping KPI Standard v1.6 - 2010-03-15

Time Period for Data Capture:

KPI Value Formula: A + B

KPI Rating Formula: KPIValue − KPI Average

KPI Value Calculation Example:

KPI Rating Calculation Example:

The Shipping KPI Standard v1.6 - 2010-03-15

The Shipping KPI Standard v1.6 - 2010-03-15

Time Period for Data Capture:

KPI Value Formula: