In the maritime industry there is no strange to face challenges, but one persistent issue that continues to plague the sector is the burden of paperwork. Despite numerous initiatives aimed at streamlining and digitizing processes, the industry still struggles with paper-heavy documentation requirements.
IMO’s maritime single window initiative
One of the most known and key initiatives of the International Maritime Organization (IMO) is the mandatory Maritime Single Window (MSW), which came into effect on January 1, 2024. The goal of the MSW is to standardize and digitize data exchange between ships and shore-based facilities across all countries. This initiative aims not only to harmonize data standards but also to significantly reduce the paperwork burden in maritime operations. A similar initiative was launched earlier by the European Union in 2015, known as the National Single Window (NSW). The project aimed to streamline data exchange but ultimately was discontinued after few years due to various obstacles.
Current situation and BIMCO survey insights
The ongoing struggle with paper burden is well-known in the industry, though there is surprisingly little literature directly from the maritime experts’ perspective. However, a survey by BIMCO, published on January 2024, sheds light on this issue.
Key findings from the BIMCO survey reveal the following:
- awareness gap: A significant 40% of respondents were unaware of the new IMO requirements. This gap in awareness indicates that many maritime professionals may not be fully prepared to meet the upcoming changes, potentially leading to compliance issues and operational inefficiencies.
- paper dominance: Despite the push towards digitization, 64% of ports still require paper documentation. This continued reliance on paper forms underscores the slow pace of digital adoption in the industry and highlights the persistent challenge of managing extensive paperwork during port calls.
- lack of digital tools: A staggering 80% of respondents reported not having the necessary systems or applications to generate electronic documents. This lack of digital infrastructure is a major barrier to achieving the IMO’s vision of streamlined, paperless operations. Without the right tools, maritime professionals are unable to fully leverage the benefits of digital data exchange.
- time consumption: On average, preparing port documents takes 191 minutes per port call. This significant time investment detracts from other critical tasks, such as safety management and operational oversight. The lengthy process of document preparation not only reduces efficiency but also increases the risk of errors and delays.
These findings illustrate the substantial challenges that the maritime industry faces in transitioning from paper-based to digital processes. The survey underscores the need for greater awareness, better digital infrastructure, and more effective implementation of digital solutions to alleviate the paper burden.
Despite efforts to digitize processes and introduce the IMO MSW requirements, the initiative has not achieved the desired level of success. At the moment implementation remains inconsistent, it has been adopted in only a few countries, while the rest still experience a variety of forms, leading to chaos and operational discrepancies. What is more, this inconsistency not only disrupts operations but also imposes a significant financial burden on shipowners.
The cost of paper burden – real life scenario
One of the major problems caused by the maritime paper burden is also the substantial financial impact it has on shipowners. By calculating the time spent on preparing and submitting pre-arrival documents, it becomes clear that significant resources are being wasted.
It is obvious that different types of ships have very different schedules and, therefore, different average number of port calls per month. However, the table below shows a sample calculation of various scenarios, of the amount of time spent for preparing and submitting documentation and, equally importantly, how much money is paid for the time spent on it.
These costs are based on the average salary of a Junior Officer and do not account for the additional hours spent by Captains verifying the documents. Including the Captain’s time would significantly increase these annual costs.
Number of ports called per month | Time spent by ship’s staff for preparing and submitting pre-arrival documents per month (hours) | Monthly costs of manpower* | Yearly costs of manpower* |
4 | 12.7 | $254 | $3,048 |
6 | 19.1 | $382 | $4,584 |
10 | 31.8 | $636 | $7,632 |
12 | 38.2 | $763 | $9,156 |
To give a real-life perspective, an example from a recent voyage on a vessel can be highlighted – a captain was calling at 19 ports over 77 days (an average of 7.4 ports per month). The monthly cost for preparing documents for this voyage was $470, amounting to $5,649 annually. From this broader perspective, the costs are staggering.
Conclusion: embracing digital maritime solutions
Based on the above, it becomes imperative to utilize professional applications that streamline the preparation of pre-arrival documents. Such applications can significantly reduce the time and resources spent on this otherwise unproductive task, ultimately saving money for ship owners. Embracing these technological solutions not only enhances operational efficiency but also alleviates the financial impact, allowing maritime companies to focus on more critical aspects of their operations.
Maritime professionals understand the importance of focusing on the safety of the crew, the vessel, and the environment. However, the substantial amount of time spent on paperwork diverts attention from these critical tasks. Investing in modern technology can transform fleet management by reducing the paper burden and allowing seafarers to concentrate on what truly matters.
An exemplary solution to these challenges is our product, ShipDocs. Our application not only resolves issues related to paper burden but also ensures efficiency and cost reduction. It has been scrupulously tested in various conditions and has proven its effectiveness. I have personally tested the application in numerous locations and am proud of its seamless performance.
We encourage you to contact us to learn more about how ShipDocs can enhance your maritime operations and reduce your operational costs. Take a step towards modern technology by choosing ShipDocs.