To ensure a thorough knowledge and understanding of Liner business.
Thoroughly understand the characteristics of liner services and their difference from the tramp trades. Understand the Liner Trades of the world: container, ro-ro and residual break-bulk, their trade routes, ports and relative importance. Be aware of the basic differences between east/west and north/south trades. Understand the different service options, including Round the World (RTW), pendulum, hub and spoke and end-to-end.
Thoroughly understand the different types of container ships, including cellular/non-cellular, post Panamax, hatchless, feeders, ’fast ships’ and other predicted developments. Understand the types of ro-ro ships, including passenger and freight ferries, deep sea ro-ro/containerships, freight ro-ro ships and ro-ro ships for specialist traffic eg forest products. Understand the types and roles of other vessels used in liner trades, including refrigerated ships (reefers), barge carriers (LASH) and general purpose tween deck vessels. Understand terminology of all measurements of tonnages and capacity and dimensions, including pseudo-tonnages – NT and GT. Actual tonnages – deadweight (dwat and dwcc) displacement (total and light). Capacities – bale-cubic and grain cubic, lane metres, TEU. Understand the main types and use of on-board cargo handling equipment, the provision of ro-ro access, hatches and hold layouts, including specialised configurations.
Understand the types of commodities usually handled by liners and their methods of carriage, including containerised, palletised, heavy lifts, out of gauge and LCL/break-bulk. Understand the effect of stowage factors. Be aware of the importance of adequate packing. Thoroughly understand the principles of IMO regulations concerning dangerous and polluting cargoes, including the class structure. Understand port and terminal operations, including inland terminals, their layout, cargo handling systems and equipment. Be aware of other port facilities and value-added services.
Thoroughly understand the structure, management, technical, operations, commercial functions of liner operating companies. Understand marketing and sales requirements and techniques. Be aware of the similarities and differences between in-house or independent agency. Understand the form of agreement used between liner operators and independent agencies (FONASBA Standard Liner and General Agency Agreement). Be aware of the role of hinterland sales agents and sub- agents. Understand the ship husbandry and port agency elements in liner agency. Understand the liner agent’s relationship with shippers, forwarders, NVOCs and logistics operators.
Thoroughly understand the basic concept of containerisation and its development into intermodalism. Thoroughly understand the characteristics, dimensions and purpose of different container types. Understand the terminology of containerisation used to describe such things as Full Container Loads (FCL), Less than Container Loads (LCL), house-to-house or port-to-port etc. Be aware of differences in terminology in different parts of the world. Understand the need for and function of non-port depots, including Inland Customs Clearance Depots (ICDs), inland cargo-handling depots and container storage depots. Understand the role, in intermodal transport, of feeder services; inland haulage (road, rail and barge); carrier/merchant haulage. Thoroughly understand the methods of container management, owning versus leasing, repairs. Understand interchange procedures, tracking and control systems. Be aware of ’grey box’ interchange concepts.
Understand the manner in which operators strive for economies of scale and market share. Understand economic trends: balancing supply and demand, capacity management options. Thoroughly understand the rationale for alliances, consortia and capacity management agreements, their similarities and differences. Thoroughly understand the role and function of conferences. Be aware of statutory control and regulation, including Federal Maritime Commission (USA), Competition Directorate (Europe).
Thoroughly understand the paramount importance of bills of lading in the liner trades, their function and their role in international trade. Understand the effect of bill of lading legislation: UK Carriage of Goods by Sea Act 1992 or equivalent national legislation. Thoroughly understand the practical impact of Hague/Hague-Visby & Hamburg Rules and the differences between them. Be aware of rules for combined transport, including UNCTAD/ICC. Understand the concept of ’clean’ and ’dirty’ B/Ls. Understand the use of letters of indemnity, their misuse and the avoidance of fraud. Thoroughly understand the different types of B/L including Ocean, Through, Combined Transport, Waybills and understand the major and usual clauses including Clause Paramount, Himalaya, identity of carrier and protection clauses. Understand the importance of endorsements on the back of B/Ls. Understand other documentation, including Booking notes, Shipping notes, Manifests, Dangerous cargo declarations. Be aware of regulatory control of imports and exports, including customs procedures and licensing. Understand the vital role of computers in liner trades, including enquiry and booking systems, cargo tracing systems and port community computer systems, and the impact of paperless trading.
Thoroughly understand the importance of pricing management, including maximising contribution, revenue or market share, marginal pricing of vacant capacity. Understand the concept of formal tariff structures, including commodity, weight or volume; advantages and drawbacks and its relevance in contemporary container transport. Be aware of adjustment factors including currency fluctuation (CAF), bunker charges (BAF), war risks and congestion. Understand charges other than freight, including terminal handling, LCL charges, container demurrage etc.
Understand methods of payment in the sale of goods. Thoroughly understand the impact of Documentary Credits and ICC Uniform Custom and Practice on shipping documentation. Understand the different types of contracts in the sale of goods including INCOTERMS.
Understand Carriers’ and Merchants’ responsibilities and limitations of liability. Be aware of the procedure for cargo claims, including the role and responsibilities of the parties. Understand the reason and the procedure for Noting Protest. Be aware of the carrier’s insurance arrangements, including hull and machinery insurance, P & I Associations. Thoroughly understand the basic concept of General Average and documentation it involves at discharging port. Thoroughly understand the liabilities of the agent to its principal, the agent’s authority including binding the principal, breach of warranty of authority, fiduciary duty. Understand the problems arising in respect of ship and port security and the implementation of the ISPS Code.
