Kulhudhuffushi Harbor Expansion Project

Technical Assistance Consultant’s Report

This consultant’s report does not necessarily reflect the views of ADB or the Government concerned, and ADB and the Government cannot be held liable for its contents. (For project preparatory technical assistance: All the views expressed herein may not be incorporated into the proposed project’s design.

Ministry of Housing and Infrastructure

Project Number: 36111-013 December 2018

Maldives: Kulhudhuffushi Harbor Expansion Project(Financed by the Technical Assistance Special Fund)

Capacity Development for Sustainable Harbor Operation and Maintenance – Capacity Development and Harbor Operation

Volume II: Appendixes 10-12

Prepared by

PADECO CO., LTD. (PADECO), JAPAN

Tokyo, Japan

For Ministry of Finance and Treasury

Technical Assistance Consultant’s Report

TA-9155 Capacity Development for Sustainable Harbor Operation and Maintenance

Final Capacity Development Report – Volume II: Appendices

01 June 2018

VOL II: TABLE OF CONTENTS

Appendix 1: Extract of Kulhudhuffushi Cleaning and General Maintenance Contract

Appendix 2: Job Description of Security Official

Appendix 3: Questionnaires on Financial and Asset Management • 3.1: Financial Management Questionnaire • 3.2: Asset Maintenance Questionnaire • 3.3: Procurement and Purchasing Questionnaire

Appendix 4: MPL Finance Procedure Manual Final

Appendix 5: Local Vessel Safety Regulation (English Translation)

Appendix 6: Procedures and Topics for Safety Meetings and Talks

Appendix 7: Sample Harbor Safety Schedule Plan

Appendix 8: Kulhudhuffushi Harbor Expansion Project Infographic

Appendix 9: Kulhudhuffushi Overview & Findings Presentation (Dhivehi)

Appendix 10: SME Workshop Presentations- International Trade • 10.1: Case Studies • 10.2: Business Workshop in International Trade for Kulhudhuffushi Harbor

Project Presentation • 10.3: Marketing – Overview of Concepts Presentation • 10.4: Business Workshop Overview Presentation • 10.5: Principles of Logistics Presentation • 10.6: Import/Export Procedures Presentation

Appendix 11: Business Forum Customs’ Presentation (Dhivehi)

Appendix 12: Asset Management Additional Information • 12.1: Asset Management Awareness • 12.2: Asset Register • 12.3: Asset Code Center and Cost Codes • 12.4: Work Orders • 12.5: Inspections • 12.6: Procedures for Inspections • 12.7: Procedure with Respect to Accidents • 12.8: Sample of Competency/Skills Matrix • 12.9: Samples of Safety Awareness

Appendix 13: Financial Management and Internal Control Guide & Forms

Appendix 14: Harbor Safety Refresher Training Materials (Dhivehi)

Appendix 15: Course Conduction Form – Maritime Academy of Maldives

Appendix 16: Harbor Safety Public Awareness Notice (Dhivehi)

Appendix 17: Selection of Photos Taken During the CDTA

• 10.1: Case Studies • 10.2: Business Workshop in International Trade for Kulhudhuffushi

Harbor Project Presentation • 10.3: Marketing – Overview of Concepts Presentation • 10.4: Business Workshop Overview Presentation • 10.5: Principles of Logistics Presentation • 10.6: Import/Export Procedures Presentation

Appendix 10: SME Workshop Presentations- International Trade

Case Study 1

Case Study 2

Case Study 3

1

Business Workshop in

International Tradefor Kulhudhufushi Harbour

Project Overview

By Abdulla ThawfeeqBusiness Consultant

Trade Transactions – 3 types of flows

1. Goods• Port and logistics (international and local) • Airport

2. Information• Telecommunications / Internet (Whatsapp, Viber)

3. Money• Banking / LC• Credit guarantee

2

Fragmentation of production: the example of the Boeing 787 Dreamliner

Answer: origin is subject to rulesor trade agreements

Question:

Example of a good but Made Where?

Which origin?

Made in USA or UK or France or …… ?

How much is customs duty?

Who makes rules?

• WTO / GATT• RTA (SAFTA)• FTA (China) • Preferential Arrangements (GSP)• Commercial Laws• INCOTERMS• HS Code

3

Trade rules

• Rules of Origin (content rules)• Tariff

• Ad valorem• Specific

• Non – Tariff and regulations• Standards

• SPS• TBT

• Subsidies and countervailing measures

Types of International Trade – 3 types

• Goods• Services

• Cross Border consumption• Consumption Abroad• Commercial Presence• Movement of Natural Persons

• Intellectual Property (Copyright, Trade Marks, patents, industrial design)

4

International Supply Chain

Source : Complex Networked Supply Chain (Harwick, 1999 )

Basic International Trade Transaction Process

BUY SHIP PAYCustomer Supplier

Intermediary

Authority

The International Trade Transaction Process consists ofThe International Trade Transaction Process consists of integrated and coordinated flows of information, goods & payments

Source: The UN/CEFACT International Supply Chain Reference Model

5

International Trade Transaction Process

CommercialProcedures

• Establish Contract• Order Goods• Advise On Delivery• Request Payment

TransportProcedures

• Establish Transport Contract

• Collect,Transport and Deliver Goods

• Provide Waybills, Goods Receipts Status reports etc.

RegulatoryProcudures

• Obtain Import/Export Licences etc

• Provide Customs Declarations

• Provide Cargo Declaration

• Apply Trade Security Procedures

• Clear Goods for Export/Import

Financial Procedures

• Provide Insurance• Provide Credit• Execute Payment• Issue Statements

INVOLVES

Prepare For

ExportExport Transport Import

SHIPBUY PAY

Prepare For

Import

Trade Documents• Air Waybill

• A bill of lading issued by an air carrier

• Export Bill of Lading• Contract of carriage between shipper and carrier

• Insurance Certificate• Pro Forma Invoice

• Exporter’s formal quotation: description of the merchandise, price, delivery time, method of shipment, ports of exit and entry, and terms of sale

• Commercial invoice• Include origin of goods, export packing marks, and clause stating goods will not be

transshipped

• Certificate of origin• Issued by local Chamber of Commerce

• Inspection certificate• Frequently required for grain, food, live animals

6

Payment Procedures…• Cash in advance

• When credit standing of the buyer unknown or uncertain

• Open account• When sale is made on open account

• Seller assumes payment risk• Offered to reliable customers in economically stable countries

• Consignment • Goods shipped to buyer; payment made when sold• Payment risk assumed by seller

• Letter of credit (L/C)• Document issued by buyer’s bank

• Promise to pay seller specified amount when bank has received documents stipulated in letter of credit

5 and 6 together but diff parties

7

Export Financing…• Private Source – Commercial Banks• Exim Banks• Factoring

• Discounting an account receivable without recourse

Port as an enabler of businesses

• Import / Export• Wholesale / retail• Harbor services• Rental of equipment, machinery, space.• Services• …etc.

8

Business start up..

• Problem / Needs identifications• Estimate the demand• Provide a solution

• Start up• Finance (chicken egg situation )• Marketing

• Aftersales• Expansion / scaling

Detailed Topics – with KFBC

• Start up• Finance • marketing

1

MarketingOverview of concepts

Course Objective

By the end of this course, you should be able to apply the fundamental marketing concepts that support starting and managing a business.• To accomplish this objective, you should be be able to, • define marketing and its importance in business development; • describe the target market research process; • identify components of an effective marketing plan; • describe high impact marketing strategies that foster business

success; and • describe key concepts for measuring performance of marketing

strategies, to include social media campaigns.

2

What is Marketing?

• Marketing is “The process of planning and executing the conception, pricing, promotion, and distribution of ideas, goods, and services to create exchanges that satisfy individual and organizational objectives.” - American Marketing Association

• The key word in this definition is “satisfy.” Your product and/or service should provide a solution to an unfulfilled need in the market place.

• Marketing is a management process that aligns the needs and wants of customers with desired products, goods, and services. Therefore, marketing is a solution-driven process that benefits both the customer and the business owner.

The marketing process consists of:

• Advertising• Community involvement• Customer support• Distribution• Market research• Media planning• Product pricing• Public relations• Sales strategy

3

Why is Marketing Important to Your Business?• Marketing is everything an organization does to build a relationship

between the company and consumer. For a business to expand, it must build strong customer relationships. Therefore, the process of marketing begins with discovering what products customers need and will want to buy. You'll be facing an uphill battle if you provide something you want to produce and then try to convincesome one to buy it.

• The marketing process continues by establishing prices, letting potential customers know about products & services, and then making them available – while generating profits for the business.

• The bottom line is that marketing is based on the importance of customers to the business.

• Therefore, company policies and activities should focus on identifying customers’ pain points, or problems. Then position the business to deliver solutions (products and/or services) to alleviate these problems.

Identify Target Market• Owners of small businesses usually have limited resources to spend on marketing.

Concentrating their efforts on one or a few key market segments - target marketing - gets the most return on investment. There are two methods used to segment a market:

• Geographical Segmentation• Customer Segmentation

• Geographical Segmentation means specializing in serving the needs of customers in a particular geographical area. For example, a neighborhood convenience store may send advertisements only to people living within a one-mile radius of the store.

• Customer Segmentation means identifying people who are most likely to buy your products or services and then targets those groups. For instance, if you are in the business of selling surf boards, you want to target people who are engaged in or at least interested in the sport of surfing. Reaching out to baby-boomers in a retirement magazine may bring in a few energetic prospects, searching for their youth, but you probably won’t sell a lot of surf boards.

Remember - Identify your target market by location, age, gender, education, income andinterests. Learn to know your customers better than anyone!

4

Define Products and Services

• The product aspects of a good marketing strategy relate to the actual goods and services being sold and how they satisfy the customers’ needs and desires.

• Your plan should clearly identify and describe your products and services, as they relate to supporting the needs of your customers. Product strategies may include concentrating on a

- narrow product line, - developing a highly specialized product or service, or - providing a product with an unusually high-quality service program.

• Other product decisions will focus on the product name, packaging, warranty and other factors.

Remember, it’s all about the customer. The product has to meet the needs of the customer.

Outline Pricing Strategy

• Pricing is about setting the price, including establishing discount levels for your products and services.

• The right price is critical for maximizing revenue and profits. Generally, higher prices mean• lower volume and vice-versa. However, if your products or services are unique and different• from competitors, you may be able to charge higher prices without a reduction in volume.• There are several pricing decisions you can make to support a sound marketing strategy for your

business: actual retail price, volume discounts, and seasonal pricing are a few.

Remember - Every day we come in contact with pricing strategies applied by otherentrepreneurs. Learn from the success of others and your own buying habits. It is important that you keep abreast of changes in the marketplace because these changes can have an effect on your bottom line.

5

Define Product Location, Placement, and Distribution• Retail businesses should consider the cost and traffic flow in selecting a site, especially since

advertising and rent can be reciprocal -- that is a low-cost, low-traffic location likely means spending more on advertising to build traffic.

• Manufacturing and wholesale firms must also consider the costs associated the distribution of their products.

• Decisions will focus on customer convenience, speed, transportation, warehousing and eCommerce options.

• In terms of your marketing plan, consider ease and cost of product distribution. Placement refers to how the product gets to the customer. Specifically, it refers to the channel by which a product or service is sold or distributed.

Develop Promotion Strategy• Promotion is a key factor. It is important that you develop a strategy that uses various

media to promote your business and that you monitor which promotional activities are most effective.

• Promotion includes advertising, sales promotion, and publicity. It refers to the various methods of promoting your product, brand or company.

• Promotion strategies include advertising, providing incredible customer service, Internet banners, search engine optimization, radio spots, flyers, coupons and good salesmanship.

• Because small firms often have limited funds to spend on advertising, it’s absolutely critical to deliver consistent good salesmanship to retain customers.

• In terms of decisions, you will have to consider advertising options, sales and promotions, and the image you want your business to reflect to the public.

6

Identify Competition and Your Competitive Advantage

• You will be surprised at how much you can learn from your competitors. There is nothing wrong with becoming a student of your competition. Many successful marketing strategies have been born from ideas tested by others.

• As an initial strategy, identify five business competitors in your area and collect info on each -

• identifying their strengths and weaknesses. Keep files on their advertising and promotional

• materials, as well as their pricing strategies. Review these info periodically.

Remember, a company is not likely to continue a strategy if it doesn’t work. Pay particular attention to strategies that are repeated. And always ask yourself – “what can you do to improve upon what your competition is doing?

Prepare Marketing Budget

• Operating an effective marketing plan with meaningful strategies requires money.

• You will have to allocate funds from your operating budget to cover research, advertising, promotion and all costs associated with marketing. Develop a marketing budget that is realistic and based on facts.

Remember, it takes money to make money.

7

High Impact Marketing Strategies & E-business• Objective: by the end of this topic, you should be able to describe

high impact marketing strategies that foster business success. To meet the objective, this topic will cover:

• Influential marketing strategies.• Various social media platforms.• Benefits of integrating social media as a marketing strategy.

Influential Marketing Strategies• Survey Your Customers:

• Follow Up On Every Sale:

• Write an Article

• Free Samples and Gifts

• Seminars and Demonstrations

• Good Signage - Signs, even very simple ones, are an excellent way to get the attention of

• Customers

• Coupons

• Stay Alert

• Social Media- Fast becoming a mandatory market strategy, positioning your business on the internet is a must. The internet’s global footprint will give your business the ability to reach potential customers that without it would be impossible.

8

Online marketing • Start a Blog

• Integrate Social Media

• Social Media: Social Media environments allow people or companies to create, share, or exchange information, career interests, ideas, and pictures/videos in virtualcommunities and networks. The platforms and their marketing benefits by which this information exchange occurs are our focus in this discussion.

• Facebook, Twitter, LinkedIn

• There are tens of thousands of social media platforms with hundreds of millions of users.

• Facebook

• Twitter

• LinkedIn

• Google+

• YouTube

• Instagram

• Pinterest

Measuring Success• A good marketing plan and strategy include a process to evaluate the results of

your efforts. Basically, how do you know what you are doing right? And, by the same token, how do you know what you are doing wrong? Measuring performance means analyzing these issues by addressing and answering a few basic questions:

• How does the performance of my company compare with industry norms?• Do I know for certain my marketing efforts are effective? • How is my company doing all it can to be customer-oriented?• Are my customers satisfied?

• These are sample questions, but are representative of the types of questions that should be asked to create benchmarks --- so that predictive and diagnostic performance results can be determined and measured.

1

Business Workshop Overview

1

In this workshop you will:

Gain a basic understanding of the key steps in starting up

Learn about the various financing options

Learn about marketing

Are you ready to be an entrepreneur?

2

What do I want from this business? (money, independence, satisfaction…)

Am I determined enough to realize my long term goals?

Do I have the personal discipline?

How will I handle disappointments?

Do I have a support network?

Am I comfortable with uncertainty and being uncomfortable?

Am I prepared financially?

2

10 Talents that drive entrepreneurial success

3

Business Focus

Confidence

Creative Thinker

Delegator

Determination

Independent

Knowledge-Seeker

Promoter

Relationship-Builder

Risk-Taker

1

2

3

4

6

7

8

9

5

based on Gallup Assessment of 2,500 entrepreneurs

10

What can impact small business success?

4

Lack of planning

Poor credit

Failure to seek outside help

Lack of support

Lack of experience

Poor management skills

Not enough money

Lack of resources

Ignoring the customer

Poor cash management

3

Start Up – Step by Step

8 steps

5

8 Steps to Starting a Small Business

6

Determine your offering and market demand

Understand your competitionDetermine your

marketing strategyDetermine your start up costs

Meet your legal requirementsPrepare yourself

financiallyDevelop your business planGet help

12

34

56

7

8

4

1. Determine your offeringand the market demand

7

The best business ideas come by identifying a need or solving a problem for customers.

Ask yourself:

What do I want to sell?

What will the product/service do?

What problem does my product/service solve?

How is it different from what currently exists?

Who will buy it? How do I know? How will I find out?

How much will they pay for it?

2. Understand the competition

8

When you have a solid understanding of what currently exists, you are better able to identify gaps and unfulfilled needs.

Ask yourself:

Who’s already providing this product or service?

How much do they charge?

What are their strengths?

What are their weaknesses?

Who are their customers?

What types of customers are they targeting?

5

3. Determine your marketing strategy

9

Your business must attract enough customers to be profitable.

Ask yourself:

Which customers will I target?

What are their problems?

How will customers find out about my business?

How will I reach potential customers?

What sets my business apart from the competitors?

How much will I budget for marketing?

4. Determine your start-up costs

10

One-time startup costs Recurring monthly

Before you launch a new venture, you should take time to estimate the total amount of funds that will be needed. Startup costs are divided into two main categories:

Depending on how long it will take before you make your first sale, you should consider how much cash on hand you will need to carry you to your first sale.

MRF

$

6


11

Initial costs may include:

Rent/lease deposit

Improvements/remodeling

Web design/brand design

Legal and professional fees

Starting inventory

Furniture/equipment

Licenses/permits

Software

Recurring costs may include:

Telephone/utilities/internet/data

Rent/Lease payments

Advertising/marketing

Salaries/payroll taxes

Supplies

Bookkeeping

Insurance

Software subscription services


12

Office furniture/equipment

Space security deposit

Starting inventory

License and permits

Insurance

Website design/Advertising/PromotionsSoftware

Renovations/remodeling

Legal and other professional fees

Other

Total Start-up Costs

7

5. Meet your legal requirements

13

Your business must be organized as some form of entity

The most common entities are:

Sole Proprietorship

Partnership

CompanyThere are advantages and disadvantages to each form of organization so you should consult with a lawyer to learn what is best for your situation

6. Prepare yourself financially

14

Cash flow may be tight during the early stages of your business, therefore

Limit new debt or monthly payments

1

Save money

2

Get your personal finances in order

3

Live on less

4

Track your expenses

5

Budget by the month

6Take into account your personal budget and calculate how much you need to survive at least the first six months of business

7

8

7. Develop your business plan

15

A business plan Is a document that describes how your new business is going to achieve its goalsKulhudhufushi Business Center Can help write the plan

If you intend to apply for a loan to start your business, a lender will require a written business plan but –

Loan or no loan, you should have some form of a business plan!

7. Develop your business plan

16

Key elements of your business plan include:

Description of product/service

Target Market

Marketing strategy

Financial information

Business operations

Key personnel

9

Next steps

17

We have completed the basics, and now you are armed with information on how to get READY to start your own small business!

Next we go into Financing and Marketing

1

Import / Export Procedures

Kulhudhufushi1 February 2018

Import / Export Business Overview

• Markets• Businessman / Entrepreneurship• Infrastructure

• Ports /Harbor• Banking• Authorities (Customs, Health..)

• International Regulations• Trade Agreements• Rules of Origin• HS codes

2

IMPORTING PROCESS

• Identify the market / buyers• Plan marketing and distribution• Set channels of distribution (wholesale, retail, online etc..)• Understand trade regulations, Import regulations and requirements, and

checking whether import licence is required

• Identifying potential suppliers• Research Contacts / trade fairs / internet • Sending enquiries to suitable suppliers• Get quote• Get terms• Agreement / contract

• Financing the Purchase• Direct payment / Credit / LC

• Shipping• Get a forwarder/ shipper / agent • Agree on terms with forwarder / shipper

• Acquiring Goods• Receiving shipping advice and arrival notice• Receiving export documents (AWB or Bill of Lading)• Collecting goods from the specified shipping company or forwarder

• Customs Clearance• Customs clearance agent

3

Risks of transactions

• Non- payment• Damaged goods• Different type of goods• Quantity differences• Payment issues

• Letter of Credit

Letter of credit

• Binding document that a buyer can requestfrom his bank in order to guarantee that thepayment for goods will be transferred to theseller.

• Used in international trade to eliminate risks.

4

How does the L/C work?

Exporter/seller

Exporter’s bank(Advising/confirming

bank)

Importer/buyer

Importer’s bank(Issuing bank)

1. Sales contract

2. Letter of Credit

3. Letter of credit

4. Letter of credit

Documentation

• Invoice- typically the bill of sale that includes a detailed description of the items, price/value, terms of sale (INCOTERMS), names & address of buyer and seller

• Packing List- a detailed list of what the shipment includes- often which items are in which packages.

• Bill of Lading- this details the shipping information like parties involved, steamship name and voyage, number of packages, weight and measure as well as gives title of the merchandise to a specified party.

• Financial Documents- Letter of credit, Payment Terms

5

Preferential Goods

• SAFTA• China FTA• GSP

1

Principles of Logistics

Dr Khalid BICHOU

• Logistics is the physical and management process to optimize the flow of goods, materials, equipment and people from their source to the point of use.

What is logistics?

2

Early beginnings: First steps in the science of Logistics were in the military (supply of ammunition, vehicles, deployment of infrastructure,


• One of the most exciting fields in transport, as it relies on the integration of all modes of transport

What is logistics?

3



• Does not only deal with transport networks and vehicles but also with the management relevant supporting infrastructure (such as warehouses, ports, intermodal terminals).

What is logistics?

5



• Does not only deal with transport networks and vehicles but also with the management relevant supporting infrastructure (such as warehouses, ports, intermodal terminals).

• Flow of information an important component, as it facilitates placement of orders, co-ordination, etc.

• Three key objectives– Reduce costs (of transport, storage, management, etc)– Increase reliability (punctuality, against disruptions, etc)– Increase speeds

What is logistics?

6

Edinburgh

Frankfurt

Bangkok

Osaka

Edinburgh

Osaka

7

Find a way to transfer your products to all your customers

8

Directly to all customers?

In stages?

9

Potential Issues

££ £

£

£

£ £• Excess costs due to inefficient transport arrangements,

unsuitable depot network, poor planning, depreciation (etc)

Potential Issues

• Excess costs due to inefficient transport arrangements, unsuitable depot network, poor planning, depreciation etc.

• Poor timing resulting to unsynchronized cargo flows (more storage required within the chain), missed delivery targets etc.

10

Potential Issues



• Upstream disruptions that may lead to stagnation of supply

In 2011 a series of major floods disabled several factories that were responsible for the majority of global hard drive production. Not only did hard drive prices increase significantly (ext. 1TB: ~£50 ~£140) but so did the price of laptops, hard drives, etc.

11

Potential Issues



• Upstream disruptions that may lead to stagnation of supply.

• Downstream disruptions that may affect information flows, therefore leading to a fluctuation of production in earlier stages of the supply chain.

01010100101 0101010010

The bullwhip effect

Consumer

Retailer

Importer

Manufacturer

Raw Material Supplier

12

Logistics & Costs

STO

RAG

E

STO

RAG

E

HAN

DLIN

G

HAN

DLIN

G

HAN

DLIN

G

HAN

DLIN

G

TRAN

SPO

RT

TRAN

SPO

RT

Breakdown of logistics costs

Costs

Administration Holding

Handling Rent WaitTransport

Shipment Size

Mode Speed

Movement

Bunker OPEX

Coordination

IT

Delay

Depreciation

Interest

Facility Size

Equipment

13

Cost of maintaining the facilities that hold stored assets.

Proportional to the size of facilities, which is in turn proportional to the maximum accumulation of goods.

Maximum accumulation is • Proportional to production (items

per day)• Proportional to shipment interval,

or headway (in days)• Inversely proportional to shipment

size (items)

Losses incurred by delays in pushing the products to market:

• Contractual penalties – Essential when outsourcing

logistics– Not necessarily proportional!

• Depreciation of products – Perishable goods– Clothing (forces of fashion

cycles)

• Interest rate– Lost earning potential.

Rent Wait

Highly perishable! Once picked, a road race begins to bring them to shelves

14

As they are light, sensitive and perish quickly, airfreight is an attractive mode

15

• A shoe manufacturer produces 1000 pairs of shoes per day at a steady rate

• These are collected once per day by a truck• Maximum accumulation is 1000 shoe boxes• A wooden pallet takes 100 shoe boxes• Space for 10 pallets is required at both ends

Example: Rent Costs

16

• Sale value of a pair of shoes = £60

• Produced in Philippines, and transported by container to London in 40 days.

• Containers collected once per week hence wait is 47 days

• Penalty: Depreciation is 50% per annum and interest is 5% per annum = £33 lost over year = £0.09 per day (straight line depreciation)

• Total cost of wait (Depreciation + Interest) is47*0.09=£4.2

Example: Wait Costs

• Transport cost per shipment increases linearly with distance and shipment size leading to 4 components

– Cost of stopping (again, depreciation + interest)– Cost of distance (fuel, driver salary, etc) per shipment-km– Marginal cost per shipment size

Transport Stage: Costs

17

• Multiple transport stages incur additional handling costs, and require more storage provision along the supply chain.

• Ideally as few transport stages as possible, but when inevitable, it is essential to aim for good coordination.

• Coordination can reduce handling and storage costs (for example, unloading iron ore from bulk carrier directly on to a train, or vice versa)

Handling and storage costs

Port Centric Logistics

Port centric logistics developed as a concept over the past decade and necessitate the use of ports as distribution sites. As a practice they are more common in ports that are in proximity to large markets, with the objective being to reduce transport stages and unnecessary handling.

Factors that led to growth include:• Increase of imports from foreign manufacturing sites.• Popularity of just in-time logistics practices• Scarcity of opportunities to provide warehouse facilities in urban

centres

Challenges involved:• Increase of imports from foreign manufacturing sites.• Popularity of just in-time logistics practices• Scarcity of opportunities to provide warehouse facilities in urban

centres

18

Shipment size (units)

Transportcost per shipment

2 smaller trucks

1 larger truck

Transport cost and shipment size

Optimal transport mode changes as sizes increase

19

Time

Cum

ulat

ive

num

ber o

f ton

nes

Production

Shipments Arrivals

Consumption

Waiting for transport

Tonnes being transported

Waiting for consumption

Travel time

Wait

Wait = Travel time + Headway

Fundamental Logistics Diagram

Appendix 11: Business Forum Customs’ Presentation (Dhivehi)

1

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ިއްމޕޯްޓުކުރން ުމދާ ާރްއެޖައށް •

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ުހްއދަ ުމގެ ިވްއކު ުމދާ ިއްމޕޯޓް ިޑވޮޮލްޕަމްންޓގެ ިއޮކޮނިމކް ޮއފް ިމިންސްޓރީ •

ަރިޖްސްޓރީ ްޕޮރަޕޭރަޓރ ޯސލް •

ެރިޖްސްޓރީ ީޖެއްސޓީ މީރާ •

ަލިއަސްނސް ިއްމޕޯޓް •

ެރިޖްސްޓޭރަޝން ަކްސަޓްމސް •

ިލުޔްނަތއް ުހަށަހަޅްނެޖހޭ ުގޭޅޮގުތން ުމަދާލއި ިއްމޕޯްޓުކރާ •

ިއްމޕްޯޓުކުރން ުމދާ ާރްއެޖައށް

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ްޕޮރެސސް ިޑްކަލޭރަޝން ަކްސަޓްމސް

ުއޓީ ޑި ފްާސޮކށް ައގު ުޅން ުހަށހެ ިލުޔްނަތއް ން ަކނަޑެއޅު ައަދދު

ުކުރން ދޫ ެޗްކޮކށް ުމދާ ެދްއުކން ަފިއސާ

11


ުހަށެހުޅން ިލުޔްނަތއް

ްބޯރާކސް ަކްސަޓްމސް •

ިވަޔފާރި /ުކްނުފނި •

ްޮސްފޓް ( ިޑްކަލޭރަޝން ުގްޑސ(

ްިއްނވޮިއސް ޮކާމަޝލ

ްެޕިކްނިލްސޓ

ްިލުޔން ްފަރިއޓ

ްިބލް ެއައރވޭ /ީބެއލ

ާިލުޔްނަތއް ެދްއކި ަފިއސ

ީ12 ެވުލޭއަޝން ްޕރ

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ުހަށެހުޅން ިލުޔްނަތއް

ުމަދުލގެ ެއުޅާމއި ުހށަ ިލުޔްނަތއް ެމުދެވިރޮކށް ައިސޫކޑާ •

ުހަށެއުޅން ިޑްކަލޭރަޝން

ޭކަޝން ެއްޕލި ަރިޖްސްޓީރުވަމށް ޕޯަޓްލަގއި •

ުހަށައަޅްނެޖހޭ

eCustoms( ެއޕް ަކްސަޓްމސް • Plus (

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12


ުޅން ަކނަޑއެ ައަދދު ިޑުއޓީ ފްާސޮކށް ައގު

ްނޓް ެއްގީރމަ ެވުލޭއަޝން އޯ .ޓީ .ަޑްބިލއު •

ަޝން ޮކްނެވން ެއސް ެއޗް އޯ .ސީ .ަޑްބިލއު •

79/31 ާޤޫނނު ިއްމޕޯޓް ެއްކޕޯޓް •

ާޤޫނނު ަކްސަޓްމސް ިދެވިހާރްއޖޭގެ •

23



ެއްގީރަމްނޓް ެވުލޭއަޝން އޯ .ޓީ .ަޑްބިލއު •

ެވިލއު ްޓާރްނެސްކަޝން •

ުގްޑސް ައިއެޑްނިޓަކލް ޮއފް ެވިލއު ްޓާރްނެސްކަޝން •

ުގްޑސް ިސިމަލރ ޮއފް ެވިލއު ްޓާރްނެސްކަޝން •

ޑް ިޑަޑްކިޓވް • ެމަތ

ޑް ޮކްމިޕުއެޓޑް • ެމަތ

ޑް ފްޯލެބކް • ެމަތ

24

13

25



ިނާޒމް ިހާރސް •

ެޗަނލް ްގީރން •

ެޗަނލް ެޔލޯ •

ެޗަނލް ޮއެރްނޖް •

ެޗަނލް ެރޑް •26

14



ެޗަނލް ްގީރން •

ްސިއން ަކްސަޓމް ުގޭޅޮގުތން ުމަދާލއި •

ުލިއޮގެތްއަގއި ެއްނމެ ެބުލްނަތއް ަބަލްނެޖހޭ

.ެޗަންލަގއި ްގީރން ަބާލނީ

27



ެޗަނލް ެޔލޯ •

ްސިއން ަކްސަޓމް ުގޭޅޮގުތން ުމަދާލއި •

ަބލާ ެތްއަގއި ުލިއގޮ ެބުލްނަތއް ަބަލްނެޖހޭ

ަނަލްށުވރެ ޗެ ްގީރން ަނަމެވސް . ެޗަންލެއއް

. ިއުތުރާވނެ އް ަބާލެބުލްނތަ ެޗަންލަގއި ެޔލޯ 28

15



ެޗަނލް ޮއެރްނޖް •

ަބަލްނެޖހޭ ިއން ަކްސަޓްމސް ުގޭޅޮގުތން ުމަދާލއި •

.ެޗަންލެއއް ލާ ބަ ިމްނަވަރަކށް ެމދު ެބުލްނަތއް

29



ެޗަނލް ެރޑް •

ަބަލްނެޖހޭ ިއން ަކްސަޓްމސް ުގޭޅޮގުތން ުމަދާލއި •

ަބލާ ށް ަދަރަޖއަ ަމތީ ެއްނމެ ެބުލްނަތއް

.ެޗަންލެއއް

30

16


ަކްނަތްއަތއް ނެ ަބލާ ިގްނިތުކުރުމަގއި ެޗަންލަތަކށް

31


ެދްއުކން ަފިއސާ

ަފިއސާ ަނުޤދު •

ާކޑު ޭކޝް •

)ުކެރިވަފިއވާ ރީ ަރިޖްސޓް ަކްސަޓްމްސަގއި ( ެޗކް ޭބްނކް •

ޭގްޓވޭ ޕަޭމްނޓް ަކްސަޓްމސް •

ެއަކުއްނޓް ްޕީރޕަޭމްނޓް •

32

17

33


ޫދުކުރން ެޗްކޮކށް ުމދާ

ުކުރން ަކަށަވރު ިދާމވޭތޯ ިލެޔިކުޔްނަތކާ •

ުރން ަޔީޤްނކު ެންތަކން ެއްއެޗއް ަމނާ •

34

18


ޯއިޑޓް ުކިލައެރްނސް ޕްޯސޓް

ަފުހަގއި ުފިރަހަމުވަމށް ުމާއަމާލްތަތއް އެ ުނަވތަ ަވުގތު ުކރާ ޭބރު /ެއެތރެ ުމދާ •

.ެޗްކުކުރން ިއން ަކްސަޓްމސް ިލުޔްނަތއް ެއުމަދަލާކިއުގޅޭ ަނަމެވސް

ިލުއްނަތއް ަބަހްއަޓްނެޖހޭ ަރްއާކޮކްށަފއި •

ުޔްނަތއް ލި ުގޅޭ ފާޯމއި ައދި ފޯމް ިޑްކަލޭރަޝން ުގްޑސް •

ިލުޔްނަތއް ަފިއާސގެ •

ިއްންސައެރްނސް •

ަލިއަސްނސް ާއއި ުހްއދަ ިވަޔފާރި •

35

30 ިޑުއީޓން ުމަދުލގެ ރާ ެއެތެރކު ެމުދެވިރޮކށް ަބނަދުރަތއް ަސަރަހްއދީ •

.ާމުފުކުރން ިއްނަސްއތަ

ެގެނުވން ުމދާ ްޓާރްނިސްޓޮކށް •

ެގެނުވން ުމދާ ެމުދެވިރޮކށް ޫކިރައރ/ޕްޯސޓް •

ުރަޞުތަތއް ފު ުކިރެއުރުވަމްށުހރި ަހަރާކްތަތއް ިއްޤިތާޞދީ

36

19

ެވިލއު ުކުރަމާށއި ސް ްޕޮރސެ ާބަވްތަތއް ަމުހގެ ުކރާ ެއްކްސޕޯޓް ާރްއެޖިއން •

، ަމސް ަތެކްއާޗއި ެއްއެމހާ ިއްމޕޯްޓުކރާ ިއުތުރުކުރަމށް

،ުކުރަމްށަޓަކއި ުފޅާ ެވިރަކން ަދނޑު ، ޮގުތން ުކުރުމގެ ުފޅާ ިއްގިތާޞދު ިދެވިހާރްއޖޭގެ •

، ަތެކްއާޗއި ެއެތެރުކރާ ާރްއެޖައށް

ުކރާ ިއްމޕޯޓް ުރުކުރަމށް ިއތު ެވިލއު ، ުކުރަމާށއި ުފޅާ ަމަސްއަކްތަތއް ޕްޯލްޓީރގެ •

ައދި ، ެމީޓިރައލް ރޯ ، ަތެކްއާޗއި ެއްނެމަހއި

ރާ ިއްމޕޯްޓކު ، ުކުރަމްށަޓަކއި ުތރު އި ެވިލއު ަތެކީތގެ ުއަފްއދާ ާދިއާރިއން ަދނުޑެވިރަކުމގެ •

.ާމުފުވން ިޑުއޓީ ުމަދުލން ެއްނެމަހއި

ުރަޞުތަތއް ފު ުކިރެއުރުވަމްށުހރި ަހަރާކްތަތއް ިއްޤިތާޞދީ

37

38

20

39

ިފޮޔށް ، ުކެއިއލް ، ާޓކީ ، ައްސޫދނި ، ުކުކޅު •

ާބަވްތަތއް ަމުހގެ ަކނޑު ެއްއަގާމއި •

ާމުމތް ، ިބސް ، ަތއް ުހްނަނާބަވތް ުއަފްއާދަފއި ިކުރން ިކާރއި •

ާބަވްތަތއް ެއެހިނެހން ޭބުންނުކރާ ެކުއަމށް ައދި މޭވާ ، ަތުރާކރީ •

ަތެކތި ާކބޯ ިއްނަސްއަތިއގެ 0 ޭރޓް ިޑުއޓީ ިއްމޕޯޓް

40

21

ަތެކތި ާކބޯ ިއްނަސްއަތިއގެ 0 ޭރޓް ިޑުއޓީ ިއްމޕޯޓް

ާބަވްތަތއް ަހާވުދގެ ، ަސިއަފތް ، ޮކފީ •

ާބަވްތަތއް ޮގާވުމގެ •

ޮލނު ، ުފށް ، ަހުކރު ، ަހނޑޫ •

ާބަވްތަތއް ަފދަ ިރން ާމޖި ަބަޓާރއި ، ެތާލއި ެކުއަމްށޭބުންނުކރާ •

ުބިއްނަތއް ާބަވްތަތާކއި ާކާނގެ ަތްއާޔރީ •

41

ަގްސާކނާ •

ާބަވްތަތއް ޭބުހގެ ޭބާހއި ޑްޮކަޓރީ •

ަދާވދު ާއއި ުކލަ •

ިޑަޓެޖްނޓް ، ަސިއޯބނި •

ިފިޓްންގސް ޮހިޅާއއި ްޕާލްސިޓކް •

ިޑްގޭރެޑަބލް • ޯގނި ޮކަތާޅއި ަބޯޔ

ަތެކތި ިއްނަސްއަތިއގެ 0 ޭރޓް ިޑުއޓީ ިއްމޕޯޓް

42

22

ޑް ަލުކިޑާއއި • ްޕަލިއުވ

ފޮތް ަކުރާދާހއި •

ާބަވްތަތއް ައްނަނުއުނގެ •

ޫބޓް ، ަފިއާވން •

ެވލި ، ިސެމްނތި ، ިހލަ •


43

ުޒަމތީ ުހްނނަ ަހާދަފއި ިބްއޫލިރން ާއއި ިބްއޫލރި • ާސާމނު ަބިދގޭ ައދި މޭ

ްޕލޭޓް ، ިޓނު ، ީޝޓް ެއްލިމިނައމް •

ަތެކތި ުގޅޭ ޮކްމިޕުއަޓާރއި ޮކްމިޕުއަޓާރއި •

ައަލާމރި ައިއސް •


44

23

ނު ާސމާ ުކިޅަވުރުކޅޭ ެއްއެޗްއާސއި ުކޅޭ •

ޭގސް ަކްއކާ •

ާސާމނު ެގެވހި ިއެލްކްޓިރކް •

ުދްއާވަތެކތި ަގުމަގއި ެއއް ޭބުންނޮކްށެގން ަހަކތަ ަކަރްނޓް •

ެނޕީ •


45

25% ާބަވްތަތއް ުއޅޭ ެފުނަގއި /ަކނޑު ިދރޭ ަޖަނާވާރއި ިދރޭ •

15% ަތއް ުއެފްއުދން ޭއގެ ަމހާ ާރޮގނޑީގެ ައދި ަލްއޓި ، ަކްނެނލި ، ަމާހއި ަކުޅިބލަ •

15% ފޯއް •

25% ާބަވްތަތއް ުހްނނަ ަތްއާޔުރޮކްށަފއި ޭބުންނުކުރަމށް ުދފިާއރު •

15% ައނބު ، ަފޅޯ ، ަކރާ ، ޮދްނެކޔޮ •

15% ޯބެފން •

)ިލަޓަރަކށް ( ލ 60 ރ4 ްޑިރްންކސް ޮސްފޓް •

)ިލަޓަރަކށް ( ލ 64 ރ33 ްޑިރްންކސް ެއާނޖީ •

ަތެކތި ެނގޭ ިޑުއޓީ ިއްމޕޯޓް

46

24

50% ާބަވްތަތއް ެއުކެލވޭ ަބނުގރާ •

50% ަތެކތި ެއުކެލވޭ ޫއުރަމސް ޫއުރަމާހއި •

200% ަތެކތި ެއުކެލވޭ ުދްނަފތް ުދްނަފާތއި •

)25% ގެ ެއފް .ައއި .ސީ ައދި ުރިފޔާ 2 ިސިގެރަޓަކށް ( ިސިގެރޓް •

200% ަތެކތި ޭބުންނުކރާ ިއްސިތުއާމުލުކުރަމށް ުދްނަފުތގެ •


47


ިޑްގޭރަޑަބލް • ، ޯގްނާޏއި ާލްސިޓކް ޕް ، ޮކަތާޅއި ްޕާލްސިޓކް ޫނން ަބޯޔ

400% ޯރލް ުއބު ޓި ޕިޮލީތން ، ީޝާޓއި ޕިޮލީތން ، ިފްލާމއި ޕިޮލީތން

15% ާބަވްތަތއް ފީޮތގެ •

50% ަބއި ަބއި ެއްއެޗހީގެ ިއްނީޖުނލީ ުދްއވާ ެއްއަގުމަގއި •

ިޑާއއި ، ަފުރީނަޗާރއި • 5% ާބީލސް ، ޮގަދ

48

25

200% ވޭން ، ިޖޕް ، ާކރު •

100% ަސިއަކލް މޮޓޯ ، ަސިއަކލް ޮއޓޯ •

35%...) ްޓަރކް ، ޮލރީ ، ިޕަކޕް ( ުއަޅނދު ެއްއަގމު ެއެހިނެހން •


49

!ުޝުކިރްއޔާ •

50

• 12.1: Asset Management Awareness • 12.2: Asset Register • 12.3: Asset Code Center and Cost Codes • 12.4: Work Orders • 12.5: Inspections • 12.6: Procedures for Inspections • 12.7: Procedure with Respect to Accidents • 12.8: Sample of Competency/Skills Matrix • 12.9: Samples of Safety Awareness

Appendix 12: Asset Management Additional Information

1

WHAT IS - ASSET MANAGEMENT

WHAT IS ASSET MANAGEMENT • ISO 55000 defines Asset management as the "coordinated activity of an organisation to realize value

from assets". In turn, Assets are defined as follows: "An asset is an item, thing or entity that haspotential or actual value to an organisation.

• Asset Management is not just inputs and activities of Maintenance but is the involvement of allDepartments within an organisation to meet the overall objectives.

• Asset management also enables an organization to examine the need for, and performance of, assetsand asset systems at different levels. Additionally, it enables the application of analytical approachestowards managing an asset over the different stages of its life cycle (which can start with the conceptionof the need for the asset, the maintenance, through to its disposal, and includes the managing of anypotential post disposal liabilities).

• Asset Management encapsulates the art and science of making the right decisions and optimising theprocesses and business activities. A common objective is to minimise the whole life cost of assets butthere may be other critical factors such as risk or business continuity to be considered objectively in thisdecision making.

2

Asset Management – what should it do?

• Asset management translates your objectives into asset-related decisions, plans and activities, using a riskbased approach.

• Asset management involves balancing costs, opportunities and risks against the desired performance ofassets, to achieve the organisational objectives.

• To take an integrated approach. The organization as a whole will focus together on achieving the businessgoals set by the company.

• To focus on realizing results over the asset lifetime.

ASSET MANAGEMENT – KEY PRINCIPLES

There are four key principles of AM:

Alignment of objectives - An approach which seeks to align and manage the risk of owning a particular asset with the objectives and goals of the organisation

Risk based decision making from a position of knowledge

Transparent & consistent decision-making

Long-term strategic approach

3

Asset Management – across disciplines

• Asset management is not just about, maintenance or assets.

It encompasses a whole lot more… Managing the Organisation

Asset Management

Asset management

system

Asset portfolio

Coordinated activity of an organization to realize value from assets

Set of interrelated or interacting elements to establish AM policy, AM

objectives and processes to achieve those

objectives

Assets that are within the scope of the asset management system

Benefits from Asset Management

• Enhanced status of asset condition data, to make quick and correct decisions

• Improved financial performance

• Improving cross-functional collaboration between departments operations, engineering and projects

• Improve asset optimization complete with a greater understanding of asset related risk, life cycle cost and the impact on achieving objectives

• Greater focus on end performance of the organization, which will in turn drive greater levels of customer satisfaction

• Drive behavioural change across the organization as the AM System is embedded

• Develop capabilities in the field of asset management

• Provide assurance of compliance with internationally recognized AM standards

• Reduce multiple independent asset related projects, removing silos, improving communication, and facilitating a common approach more in tune with business risk.

4

Samples of Integrated Management SystemExtend scope to all

Departments Processes Alignment

Management Review Long-term planning / investment planning

Identify linkages between processes (business process mapping)

Risk management Management of Asset Registers (& alignment) To Identify the Assets

Management of Change Information management processesIdentify roles & responsibilities and link to HR processes (JD’s, competence management)

Investigations Project management Identify standards, processes & controls of Projects

Accounting process Criticality assessment Identify in advance high cost impacts and there control with day to day activities

Contractor competence management Fitness for service

Set contract Service Levels agreements in line with requirements and that of corporate reasonability

Samples of Integrated Management System

Extend scope to all Departments Processes Alignment

Transparency of Information Knowledge sharing

Identify ways of aligning costs of each asset for improved analysis of asset cost for Maintenance & Repair

Equipment Information Management of Asset files Control of Asset files and that of any changes

Bring together Departments Integrated ManagementAlign of processes and actions common or related to all departments

Information Lines of communicationIdentify and establish effective lines of communication to all departments, staff, local councils and clients

Training Improve skill and competency levels

Identify training needs via skills and competency matrix's in all departments

5

0 - 5 = Low Risk

6 - 10 = Moderate Risk

11 - 15 = High Risk

Operation

Reputation

Environment

Safety

M ult iple F atalit ies,

C atastro phic lo ss o f the use o f the H arbo ur

N egative internatio nal

co verage

Serio us Lo ng T erm impact

IMPACT

N o impact o n R eputat io n

Insignif icant impact

N o n -R epo rtable Injury, mino r

damage to H arbo ur

N egative single lo cal co verage

Severity of the Potential Consequence

16 - 25 = Extremely high risk

PRO

BA

BIL

ITY

N egative lo cal co verage

M o derate Sho rt T erm Impact

M ino r Injury

M ajo r Injury, Single F atalit y, C rit ical lo ss o f

Operat io n / damage to the

H arbo ur

N egative nat io nal

co verage

Serio us M edium T erm impact

S ingle F atality

1

10

2

8

5

4

3

Like

lihoo

d of

the

Haz

ard

Occ

urrin

g

3

16 20

15

10

5

6

4

4

20

12

9

6

25

8

12

Risk Matrix

M ino r Injury

5. C erta in the o ccurrence

will o ccur

4 . Likely the

o ccurrence will o ccur

3. P o ssibility o f

o ccurring

2. Unlikely

chance o f o ccurring

1. R are chance

o f it o ccurring

2

15

1 2 3 4 5

Insignif icant damage to

H arbo ur o r Injury

M inimal Impact

M ult iple F atalit iesSingle Injury

R epo rtable Injury o r Limited

damage to H arbo ur

The corners of the chart have these characteristics:

• Low impact/low probability – Risks in the bottom left corner are low level, and you can often ignore them.

• Low impact/high probability – Risks in the top left corner are of moderate importance – if these things happen, you can cope with them and move on. However, you should try to reduce the likelihood that they'll occur.

• High impact/low probability – Risks in the bottom right corner are of high importance if they do occur, but they're very unlikely to happen. For these, however, you should do what you can to reduce the impact they'll have if they do occur, and you should have contingency plans inplace just in case they do.

• High impact/high probability – Risks towards the top right corner are of critical importance. There are your top priorities, and are risks that you must pay close attention to.

6

The use of a Risk Impact / Probability Chart

• 1. List all of the likely risks that your project faces. Make the list as comprehensive as possible.

• 2.Assess the probability of each risk occurring, and assign it a rating. For example, you could use a scale of 1 to 5. Assign a score of 1 when a risk is extremely unlikely to occur, and use a score of 5 when the risk is extremely likely to occur.

• 3.Estimate the impact on the project if the risk occurs. Again, do this for each and every risk on your list. Using your 1-5 scale, assign it a 1 for little impact and a 5 for a huge, catastrophic impact.

• 4.Map out the ratings on the Risk Impact/Probability Chart.

• 5.Develop a response to each risk, according to its position in the chart. Remember, risks in the bottom left corner can often be ignored, while those in the top right corner need a great deal of time and attention.

Identify Risks / Threats - Example

• Human – Illness, death, injury, or other loss of a key individual.

• Operational – Disruption to operations, loss of access to essential assets.

• Reputational – Loss of customer or harbour user confidence, or damage to reputation.

• Natural Occurrences – Tsunami, strong storm, earth quake, increase in sea level

• Procedural – Failures of accountability, internal systems, or controls.

• Project – Going over budget, taking too long on key tasks, or experiencing issues with service quality.

• Structural – accident in Harbour, poor lighting, no electrical power or any situation where staff, products, or technology can be harmed

7

You can use a number of different approaches to carry out a thorough analysis:

• Run through a list such as the one above to see if any of these threats are relevant.

• Think about the systems, processes, or structures that you use, and analyse risks to any part of these. Whatvulnerabilities can you spot within them?

• Ask others who might have different perspectives. If you're leading a team, ask for input from your people,and consult others in your organization, or those who have run similar projects

Identify Risks / Threats

Estimate Risk

• Once you've identified the threats you're facing, you need to calculate out both the likelihood of these threats being realized, and their possible impact.

• One way of doing this is to make your best estimate of the probability of the event occurring, and then to multiply this by the amount it will cost you to set things right if it happens. This gives you a value for the risk:

• Don't rush this step. Gather as much information as you can so that you can accurately estimate the probability of an event occurring, and the associated costs. Use past data as a guide if you don't have an accurate means of forecasting.

How to Manage Risk

• Once you've identified the value of the risks you face, you can start to look at ways of managing them.

• Look for cost-effective approaches – it's rarely sensible to spend more on eliminating a risk than the cost of the event if it occurs. It may be better to accept the risk than it is to use excessive resources to eliminate it.

• Be sensible in how you apply this, though, especially if ethics or personal safety are in question

8

KNOW YOUR ASSETS

Know your Assets

What is an Asset Code & Register?

1. Systematic recording of all assets an organization owns or for which it has responsibility in the form of an Asset Register

2. Uses asset identification numbers to which attribute information can be linked

• The Asset Register is usually established and updated by Engineering and is co-linked to Finance

• An Asset number is the unique Number given to identify the asset or an Item within the Asset i.e., HB01 = HarbourBasin or for example a Quay Apron = QA 01 and if there is Mooring bollards on the Quay Apron QA-MB01, QA-MB02, QA-MB03 etc. Asset Codes should be set up for each Harbour

• Asset Codes will be included on each Work Order as the Identification of the Asset to be maintained, repaired or inspected

9

Parent Asset No.

Child Asset No.

Asset Description

HC01 Harbour ChannelHB01 Harbour BasinBWE Breakwater East BWW Breakwater West

SWE01 Sea Wall EastSWW01 Seawall WestQW01 Quay Wall

QW-F01 Quay Wall FenderQA01 Quay Apron

QA-MB01 Quay Apron mooring Bollard (1)To To

QA-MB20 Quay Apron mooring Bollard (20)NLP01 Navigation Lighting (Port)NLS01 Navigation Lighting (Starboard)FM01 Fish MarketIH01 Ice HousePT01 Passenger Terminal

PT-AC01 Air Conditioning Unit #1To To

PT-AC10 Air Conditioning Unit #10

PT-CF01 Cafeteria

PT-BR01 Business Rentals Unit #1To To

PT-BR04 Business Rentals Unit #4

PT-LT01 Lighting

HF-01 Harbour Fence HG-01 Harbour entry / exit GateFM01 Fruit Market

Example: Asset identification Numbering (code)

Sample: Asset Register

Asset Number

/CodeDescription of Asset Location

Date in Operation

Make / Supplier / Builder

Cotract No. / Serial No.

Designed Service Life

(Years)Cost New Details Insurance

HC01 Harbour Channel North Harbour 01.04.2015HB01 Harbour Basin North Harbour 01.04.2015BWE Breakwater East North Harbour 01.04.2015 25

BWW Breakwater West North Harbour 01.04.2015 25SWE Seawall East North Harbour 01.04.2015 50SWW Seawall West North Harbour 01.04.2015 50

QW01 Quay Wall North Harbour 01.04.2015 50 Berth Length: 700m TT ClubQW-F01 Quay Wall Fender North Harbour 01.04.2015

QA01 Quay Apron North Harbour 01.04.2015

QA - MB01Quay Apron Mooring Bollard 1

North Harbour 01.04.2015







QA - MB05 Quay Apron Mooring Bollard 5














10

Sample: Asset Register (Continue)

Asset Number

/CodeDescription of Asset Location

Date in Operation

Make / Supplier / Builder

Cotract No. / Serial No.

Designed Service Life

(Years)Cost New Details Insurance

NLP01 Navigation Light (Port) North Harbour 01.04.2015 5

NLS01 Navigation Light (Starboard)

North Harbour 01.04.2015 5

FM01 Fish Market North Harbour 01.04.2015 10

IH01 Ice Making House North Harbour 01.04.2015 25

PT01 Passenger Terminal North Harbour 01.04.2015 25PT-AC01 Air Conditioning # 1 North Harbour 01.04.2015PT-AC02 Air Conditioning # 2 North Harbour 01.04.2015PT-AC03 Air Conditioning # 3 North Harbour 01.04.2015PT-AC04 Air Conditioning # 4 North Harbour 01.04.2015PT-AC05 Air Conditioning # 5 North Harbour 01.04.2015PT-AC06 Air Conditioning # 6 North Harbour 01.04.2015PT-AC07 Air Conditioning # 7 North Harbour 01.04.2015PT-AC08 Air Conditioning # 8 North Harbour 01.04.2015PT-AC09 Air Conditioning # 9 North Harbour 01.04.2015PT-AC10 Air Conditioning # 10 North Harbour 01.04.2015PT-CF01 Cafeteria North Harbour 01.04.2015PT-BU01 Business Unit 1 North Harbour 01.04.2015PT-BU02 Business Unit 2 North Harbour 01.04.2015

HF01 Harbour Fence North Harbour 01.04.2015HG01 Harbour entry / exit Gate North Harbour 01.04.2015FM01 Fish Market North Harbour 01.04.2015HRL01 Harbour Road Lighting North Harbour 01.04.2015

ASSET COST CENTRE & COST CODES

11

HARBOUR MAINTENNACE - COST CENTRE AND COST CODES

Establishment of Cost Centre Code for individual Islands and Cost Codes for the relevant Assets boththese Codes will be associated to respective Work Orders generated for the various HarbourMaintenance and Inspection activities. The cost of such works will be allocated from the agreedMaintenance State Budget for Harbours and will be associated to the respective Cost Centre / Cost Codeas per Work Orders. Thus aligning the such cost expenditures between Maintenance of the Harboursand that of Finance

Cost Centre Code:

There are 3 aspects to define the Cost Centre:

1. Is the defined Location (Island) 2. Is the defined Harbour3. Is the defined Assets within the Harbour

Cost Code: Is the actual Cost Codes where expenditures are captured under Cost Centre

For example Cost Centre with 110 would relate to : 1 Kulhudhuffushi 1 Local Harbour 0 HarbourFor example Cost Centre with 111 would relate to : 1 Kulhudhuffushi 1 Local Harbour 1 Passenger TerminalFor example Cost Centre with 112 would relate to : 1 Kulhudhuffushi 1 Local Harbour 2 Ice Making House

Cost Centre and Cost Codes

Associated Cost Codes under Cost Centre 110 'Harbour' would be for example

Description Cost Codes under Cost Centre 110

Cleaning of the Harbour Basin and Harbour Area's

2000

Cleaning Harbour Area including Pubilc Area's 2001

General Maintenance of Minor Repairs 2020

Harbour Inspection (Monthly) 2030Special Inspections of the Harbour 3000Dredging of the Harbour Channel 3010Dredging of the Harbour Basin 3020Maintenance of the Breakwater 3030Maintenance of the Harbour Quay Wall 3040

Maintenance of Harbour Apron 3050Maintenance of Quay Fenders 3060Maintenance of Mooring Bollards or Rings 3070

Maintenance of Harbour Navigation Lights

3080

Maintenance of the Security Fence 3090

Maintenance of Berth & Yard Lighting 3100

plus any other Attributes within the Harbour

12

• Should there be a Passenger Terminal the Cost Centre would end in a 1 and an Ice House would end in a 2

Associated Cost Codes under Cost Centre 111 'Passenger Terminal' would be for example


General Maintenance of the Building

4000

Maintenance & Servicing of the Air Conditioning 4010

Maintenance of Terminal Building Lighting

4020

Cleaning of the Passenger Terminal 4030

plus any other Attributes within the Passenger Terminal

Associated Cost Codes under Cost Centre 112 'Ice Making House' would be for example


Cleaning of the Ice House 5000Maintenance of the Building 5010Maintenance water Supply within the building 5020

Maintenance of Freezer Machine 5030plus any other Attributes within the Ice House

Sample: Record & Control of MAINTENANCE BUDGET FOR KULHUDHUFFUSHI (SKC)

Cost Centre

ReportingCost Code

DescriptionBudget for

2017Budget

(December)

Actual Spend to end of

November Difference

% Realisation

Cost for Kulhudhuffushi (SKC)

110 Cleaning Harbour 2000 Cleaning of Harbour around the Basin Area 214,800.00 17,900.00 196,900 179,000 92%110 Cleaning Harbour 2001 Cleaning Harbour Area including Public Areas 298,800.00 24,900.00 273,900 249,000 92%

TOTALS 513,600.00 42,800.00 470,800 428,000

110 General Maint. (Minor) 2020 General Maintenance of Minor Repairs 15,400.00 0.00 0 0 0%110 General Maint. 2030 Monthly Harbour Inspection

TOTALS 15,400.00 0.00 0 0

Cost for Ministry of Housing and Infrastructure (MHI) / (PWS)110 Maint. & Repair (Large) 3000 Special Inspection of the Harbour 0 #DIV/0!110 Maint. & Repair (Large) 3010 Dredging of the Harbour Channel 0 #DIV/0!110 Maint. & Repair (Large) 3020 Dredging of the Harbour Basin 0 #DIV/0!110 Maint. & Repair (Large) 3030 Maintenance of the Breakwater 0 #DIV/0!110 Maint. & Repair (Large) 3040 Maintenance of the Harbour Quay Wall 0 #DIV/0!110 Maint. & Repair (Large) 3050 Maintenance of the Apron 0 #DIV/0!110 Maint. & Repair (Large) 3060 Maintenance of the Quay Fenders 0 #DIV/0!110 Maint. & Repair (Large) 3070 Maintenance of the Mooring Bollards or Rings 0 #DIV/0!110 Maint. & Repair (Large) 3080 Maintenance of the Harbour Navigation Lights 0 #DIV/0!110 Maint. & Repair (Large) 3090 Maintenance of the Security Fence 0 #DIV/0!110 Maint. & Repair (Large) 3100 Maintenance of Berth & Yard Lighting 0 #DIV/0!

TOTALS 0.00 0.00 0 0

HARBOUR GENERAL

13

Sample: Record & Control of MAINTENANCE BUDGET FOR KULHUDHUFFUSHI (SKC) CONTINUED

Cost Centre

ReportingCost Code

DescriptionBudget for

2017Budget

(December)

Actual Spend to end of

November Difference

% Realisation

Cost for Kulhudhuffushi (SKC)111 Maint. & Repair (Minor) 4000 General Maintenance of the Building 0 #DIV/0!111 Maint. & Repair (Minor) 4010 Maintenance and Servicing of the Air Conditioning 0 #DIV/0!111 Maint. & Repair (Minor) 4020 Maintenance of the Terminal Building Lighting 0 #DIV/0!111 Maint. & Repair (Minor) 4030 Cleaning of the Passenger Terminal 0 #DIV/0!

TOTALS 0.00 0.00 0 0

Cost for Kulhudhuffushi (SKC)112 Maint. & Repair (Minor) 5000 General Cleaning of the Ice making Building 0 #DIV/0!112 Maint. & Repair (Minor) 5010 Maintenance of the Ice making Building 0 #DIV/0!112 Maint. & Repair (Minor) 5020 Maintenance of Water supply 0 #DIV/0!112 Maint. & Repair (Minor) 5030 Maintenance of the Ice Making appliance 0 #DIV/0!

TOTALS 0.00 0.00 0 0

GRAND TOTAL COST 529,000 42,800 470,800 428,000 -

PASSENGER TERMINAL

ICE MAKING HOUSE

WORK ORDERS

14

Sample - WORK ORDER

Definitions within the Work Order

Asset No.: The individual Asset number of the Item

Cost Centre No. The cost center location

Cost Code No. The cost allocation number where funding is attributed to / from

Work Order No. : Is the unique sequential Work Order for the Work Activity

Work Type: Work types commonly defines the types of work activity to be performed for example:• PM - Routine Preventative Maintenance which is pre programmed. Checks and adjustments

such as AC's in Passenger Terminal• CM - Corrective Maintenance which may have been found during a Inspection or PM• BD - Breakdown usually related to equipment's and maybe possibly be related Air conditioning

units or lighting or equipment's not relevant to fixed Infrastructure• AC - Accidents causing damage to the Infrastructure• PI - Periodic Inspections of areas the Harbour and Infrastructure Assets.

The Inspection check list shall be associated and attached to the Work Order

15

Definitions within the Work Order - Continued

Priority: Priority depicts the urgency of the Work to be done for example Priority Code

1. No damaged found and no maintenance required2. Damage detected and it is necessary to record the condition and observation3. Damager detected is slightly critical and thus it is necessary to implement routine Maintenance

work4. Damage detected is critical and in large area and thus it is necessary to implement repair work or

to conduct a detail inspection to determine whether any rehabilitation works are required.5. Heavy and critically damaged, possibly affecting the safety of the wharf, it is necessary to

implement and emergency temporary repair work immediately if possible or rehabilitation work without any delay after evacuating the occupants and cordoning off the area

Request Order The Contract or Work Request Order No. will be associated on the Work Order in the case of Specialist inspections done by third party

Date: Date of Work Order generated Time: Time of Work Order generated

PURCHASE REQUISITION, PURCHASE ORDER, GOODS RECEIVED NOTE, VALID ISSUE NOTE and STOCK RECORD CARD

16

Purchase Requisition

Purchase Order

17

Goods Received Note

Valid Issue Note

18

Stock Record Card

WHY THE NEED TO DO INSPECTIONS

19

As part of Asset Management of the Harbours

The aim is to encapsulate systematic integration of sustainable management techniques into amanagement model or way of thinking, by implementing strong processes and procedures that alignswith the business objectives, with primary focus on the long-term life cycle of the Asset namely theHarbours and there sustained performance, rather than on short term, day-to-day aspects of the assets

Preamble for the need to conduct Inspections

Why the need to do Inspections

In the opposite figure for the project, designedservice life is about 50 years and the plannedservice life is about 30 years. However, if thefacilities have no inspections, maintenance andrepair works had been conducted, the actual serviceperiod will be less than the planned service life.(Service life A). The first two ~ five years of theelapsed service life it will not be necessary for anymajor repair work, only Inspection will be required.

The necessary minor repairing works andmaintenance during the remaining service lifeperiod can give more life expectancy until the endof design service life.(Service life B)

During service life B, major repairing work providedbased on the professional inspection will be givenadditional life of more than 50 years. (Service life C& D).

20

It is essential that Periodic Inspections of the Harbours Infrastructure take place to ensure the Harbour integrity and maximize the longevity of service life of the asset by correcting any deterioration and deficiency found during such Inspection.

Some typical observations that exist currently in various Harbours:

Broken Kerb on Quay Edge Broken Kerb on Quay Edge

If any damage is caused in the Harbour by a vessel then the vessel owner is accountable for the cost of repairing such damage.

Signs of corrosion and action taken i.e., early descaling and painting will prevent the need to replace the complete lighting columns. By using stainless steel mooring rings this would greatly reduce the need to replace the mooring rings.

Some typical observations that exist currently in various Harbours continue:

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Deterioration of the quay exposing reinforcing bars which are corroded and a trip hazard to the public

Breakup of the concrete surface and a weak corroded mooring ring

Some typical observations that exist currently in various Harbours continue:

Whilst these deficiencies would normally be observed in there early stages of deterioration, initially from the a dailyinspection and particularly in a periodic monthly inspection visual. As the deterioration develops to the point ofcorrective action is needed. If left, as in some of the pictures indicate the maintenance and repair will be more intenseand essential resulting in larger repairs.

For example the light column, the extent of the corrosion may well warrant the replacement of all the light columnsalong the Harbour, whereas early preventative maintenance descaling and a good paint application would avoid theneed to change the light columns and pre-long there service life at a more cheaper cost then replacing.

The deterioration of the concrete on the berth may well now require a more larger repair with the re-enforcing rodsexposed and corroded, where as if the concrete had been repaired earlier this would have been at a cheaper cost.

To ensure such deteriorations are captured in good time and to preserve the life cycle of the total Harbour Assets. TheLocal Council should have a nominated person to do a Daily observation walk round of the Harbour and furtherconduct Periodic Monthly Inspections Visual using a check list and comparing against the Inspection Criteria’s as listedbelow as guidance to the state of the Harbour condition.

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The Local Council will prepare the Inspection schedule for:

1. Daily walk round of the Harbour consisting of:

General observation checks shall be conducted of the Harbour area noting and including the general tidinessconducted by the cleaning contractor, any damages or deterioration to the Harbour infrastructure.

2. Periodic Monthly Inspections (Visual) consisting of:

Raising a Work Order and associating the Periodic monthly Inspection ‘visual’ Check list. Detailed inspection shall bedone as set out under the procedure applicable to Inspections.

a) Any minor repairs shall be actioned and by SKCb) Any large repairs identified shall be taken care of by MHI in collaboration of PWS

For Item 2 as outlined in the procedure of Use of Work Orders Procedure Applicable to SKC

3. For Special Inspections, 5, 10 & 15 Yearly Inspections shall be coordinated and budgeted for by MHI incollaboration with PWS

Inspection Criteria

In the conditions experienced for the deterioration of the facilities, the importance level of the Inspection could be divided as following Criteria

Inspection CriteriaImportance Level for Structure Inspection

Gravity type ( Mass Concrete Block)

Armor Stone or Conventional Structure

L-element Reinforced Concrete

Steel Sheet Pile Structure

Routine Inspection (Visual) 1 - Month 1 - Month 1 - Month

Electric Potential measurement Not Necessary 5 year Intervals 5 year Intervals

Initial Detail Inspection 15 Years 10 Years 5 Years

Periodical Detail Inspection 10 Years 10 Years 5 Years

Special Inspection Accident, Tsunami, Very Rough Weather

Accident, Tsunami, Very Rough Weather

Accident, Tsunami, Very Rough Weather

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Inspection Criteria

Evaluation of the above inspection results could be divided into four deterioration levels in order to manage the LCM as shown in following Table.

Evaluation Criteria of the Deterioration of Structural BodyInspection / Deterioration Level Routine Inspection (Visual) Electric Potential Measurement Special Inspections

1. Repairing not necessary continue to Inspection

Hair Line Cracks / small void of protection stone / small corner damage / settlement less than 2 cm / slanting less than 1 cm /

little liquid

Corrosion less than 1 mm Hair line Crack / small void of protection stone / small corner damage / settlement less than 2 cm / / slanting less than 1cm

2. Repairing not necessary, Continue the Inspection (to be forward the Periodic detail Inspection) or Preventative maintenance required for reducing the Life Cycle Cost

Crack more than 1mm / some void of protection stone / Medium corner damage / settlement less than 3 cm / slanting less than 2 cm / little rest liquid at some areas

Corrosion less than 2 mm Cracks more than 1mm / some void of protection stone / Medium corner damage / settlement more than 3cm / slanting less than 2cm / little rust liquid at some areas

3. Detail Inspection shall be necessary. Conduct Minor Repair of Reinforcing

Crack with Gel seeping / Reticular cracks / Large void of Protection Stone / Large corner damaged / settlement more than 3cm / slanting more than 2cm / Reinforcing rod observed

Corrosion more than 3 mm Cracks with Gel seeping / Reticular cracks / large corner damage / settlement more than 3 cm / slanting more than 2cm / Reinforcing rod observed

4. Conduct Major Repair or Partial Replacement

Concrete damage wide area / Collapsing of protection stone / settlement more than 10cm / slanting more than 5cm / Reinforcing observed in wide area

Corrosion more than 5 mm Concrete racking wide area / Collapsing of Protection stone / settlement more tan 10cm / slanting more than 5cm / Reinforcing observed in wide area

General

It is necessary to inspect each harbour facilities structure in the harbour in order to keep good conditions. Inspections will be dividedinto three inspections. One is Periodic inspection and another two is Special inspection and Detail inspection. The details of thesethree inspections are described as follows.

Periodic Monthly Inspection Visual and Daily Walk round Observations

The Periodic Inspection as per Procedure established, to be carried out to detect the location and state of deterioration by Periodicmonthly Inspections ‘visual’ and by Daily Observation walk round. SKC (or Local Council) will engage in the Inspection and Observationand not information form island persons and vessel masters will give effective contribution for any deficiencies. If someone finds theunusual harbour conditions in his daily activities, he must immediately inform such unusual conditions to SKC (or Local Council). Andofficers of the SKC (or Local Council) must reconfirm the unusual conditions at site and record these onto the Periodic monthlyInspections ‘visual’ and by Daily Observation walk-round report. The Inspection will be carried out at least once a month. However,when any unusual condition arises as informed by the island persons or any persons, he shall immediately carried out inspection withdue diligence.

The SKC or person delegated to do the Inspections shall record the inspection results using a checklist which is prepared beforehandso that it be can easily be checked by anyone for the required items for necessary actions. The records of the inspection shall beaccumulated and continuously carried out. It is important to enter “No Abnormality” clearly when no abnormality is detected. If thisis neglected, one cannot discern whether the blank column means that there was no abnormality or the inspection was not made. Incase of found abnormal conditions, the detailed sketch of the conditions or photographs shall be taken and attached to the record.The Inspector shall affix his signature in the record data if any clarification is necessary of the said event or abnormalities.

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Special Inspection

Special inspection must be carried out as soon as possible after the heavy storm, earth quake, tsunami, collision of boats to theQuay wall, damage by the accidents and so on. Special inspection also is carried out by visual investigation and underwaterchecking, if necessary. In case of the damages or unusual conditions in the offshore area or underwater area, the inspection shallbe better to execute at the lowest water level in the spring water tide.

Detailed records of the special inspection must be maintained of accidents or abnormalities after disasters, such as facilitiescollapse and damages due to accidents / disaster or abnormal natural condition. The details shall be including date and time ofinspection, the facility name, position of the damage/abnormal condition, kind of the damages, damaged scales (length, width,depth, gaps, crack/collapse length, crack/collapse width, etc.). In case of found the abnormal conditions, the detailed sketch of theconditions or photographs shall be taken and attached to the record. The inspector shall affix his signature in the record data if anyclarification is necessary of the said event or abnormalities.

Accidents and abnormalities can often be attributed to the planning, design and construction, such as structural problem offacilities, inadequate works, etc. as well as to problems related to operation and maintenance controls. It is important to feedbacksuch experiences to the planning, design and construction side to achieve improvements. The records can be useful as valuablefindings for this purpose. They should always keep and up-date. Therefore, It is necessary to establish a system in which updatingof data is included in the special inspection.

Detail Inspection (Professional Inspection)

If large scale deterioration of structures were found in Periodic Inspection or Special Inspection, the inspection party must informthe deteriorations of structures to the Ministry of House and Infrastructure (MHI) whom will coordinate with the Public WorksServices (PWS) / Central Government. It may be deemed necessary to carry out more detailed inspection by using divers or / andsurveying instruments and so on.

The result of the detail inspection will be the basis by of the Central government to decide for the repair work if necessary.

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PROCEDURE for INSPECTIONS (Forms)

Sample Work Order

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Sample Periodic Monthly Inspection Form

Sample Periodic Monthly Inspection Form - Continued

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Daily Harbour Observation Check List

Inspection Responsibility Flow Chart

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PROCEDURE WITH RESPECT TO ACCIDENTS(Forms)

Sample Work Order – Accidents

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Accident Reporting Form

SAMPLE OF COMPETANCY / SKILLS MATRIX

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Sample Skills - Competancy Matrix

SAMPLES OF SAFETY AWARENESS

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Unsafe ConditionsUnsafe conditions are a common cause of accidents. In addition to avoiding unsafe acts, make it a habit to keep your eyes open to unsafe conditions as you walk around the work area. When you notice something unsafe, you should do something about it. Always report to the condition to your supervisor.

Many unsafe conditions occur as a result of unsafe acts. For example removing the guards from rotating equipment is an unsafe act that, in turn, creates an unsafe condition. Some examples of unsafe conditions are:

• Defective tools, equipment, or machinery• Dangerous work surfaces, work areas, and elevations• Inadequate ventilation, illumination, or work station

design• Inadequate or improper warning procedures and alarm

systems

• Unsafe clothing or protective devices• Slippery walking surfaces (floors, aisles, steps)• Poor housekeeping – something lying around for

someone else to trip on or over.

Before you can eliminate unsafe conditions, someone must first identify them. Inspecting the work place on daily, weekly, and monthly basis is necessary to identify unsafe conditions.

Some workplace conditions can be corrected immediately. Relocating a box of product that is sticking out into an aisle is an example of an easily corrected problem. Other unsafe conditions, however, such as a missing guard or exposed wiring, require the use of trained maintenance personnel for correction. In these cases you should report such conditions to your supervisor immediately. If you believe that a condition present an immediate danger to you, then you should not perform that task until the situation is corrected.

Types of Accidents

One of the best ways to prevent accidents is to understand and eliminate their causes. The more you knowabout accidents causes, the better equipped you will be to prevent accidents.

Many close calls might occur during the workday, each having the potential to cause an accidents or injury.Many of these daily incidents go uncorrected because workers either get used to the hazards involved orbecause they do not recognize that these little things can be dangerous to them. The hazard that causedtoday’s minor scrape can be responsible for tomorrow’s serious injury.

Many basic accident types typically occur in the work environment. It is important for you to understand howaccidents occur. The following is a list identifying the various accident types:

Caught-in-between accidents. This accident usually involves a pinch point, in which a part of the body iscaught between moving objects or between a moving object and a nonmoving object.

Caught-in-accidents. This accident results when part of the body is caught in an enclosure of some kind. Itcould be as simple as a foot being caught in a floor opening or as complex as a person being caught in a largevessel or structure.

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Types of Accidents - Continued

Caught-on accidents. In this type of accident, a person’s clothing or body is caught on a moving or stationary part. A glovecaught on a moving conveyor is a good example. Fall from above accidents. When a person falls, the distance of the fallcan be an important factor in the severity of the injury. A fall from above could be the result of falling from a ladder orscaffold or falling into a hole. A fall same level accidents is one in which a person falls on a grease spot on the floor, forexample.

Struck-by accidents. This type of accident is one of the most common causes of injury. Examples include a person beingstruck by a forklift, by a Wrench falling from a ladder or scaffold.

Struck-against accident. This accident occurs when part of the body strikes against something. A typical example of astruck against accident is a hand slipping off a wrench under tension, and the hand then striking an object.

Contacted-by accident. Examples of this type of accident include a splash from a chemical or perhaps contact by a looseand live electrical wire.

Exposure accident. This accident results from a harmful dose of a chemical or toxic substance – carbon monoxide, weldingfumes, or paint thinner, for example.

Strain/overexposure accident. Examples of this type of accident include a back injured while lifting, a shoulder thatbecomes sore while pulling, or wrist sore from bending.

Think Safety (Why Work Safely)

Why is it so important to prevent accidents? Do you view accident prevention as simply a way to avoid gettinghurt? Do you work safely just because you want to? Perhaps you view accident prevention as a way of keepingyour company happy or your supervisor off your back. Maybe you just do it because you have been told to.

Of course there are many reasons that a company wants its employees to work safely. But every one musthave a more important reason to work safely than just because the company says to. They must have apersonal reason. Your reason may be your family. What would they do if you were to get hurt? How aboutyour hobbies? Would you still be able to enjoy them with a serious disability?

What you do for a living is nothing more than a means towards a goal that you have set for yourself. That goalmay be the education of your children. You may plan to buy a home or a car. Maybe you want to get marriedafter you have saved up enough money. Maybe your goal for now is just to make it to Friday night and goingout on the town. Whatever your goals may be, they all generally tie back in some way to what you do for aliving. And what you do for a living could seriously be derailed by an accident. All your goals can go up insmoke if you are injured and disabled.

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Think Safety (Why Work Safely) - continued

A safety program is designed to help you reach your goals. It is not there just to make your work harder, orslower, or to meet some governmental guidelines. Safety and accident prevention programs are designed toPROTECT YOU so that you may reach your personal goals. When an unsafe act is pointed out to you, it is doneso to help you by eliminating obstacles or job hindrances AND to insure that you get home all in one piece.Every time you approach a project, every time you pick up a tool, every time you start a piece of equipment ormachinery, think SAFETY. Look for what can go wrong and eliminate that possibility BEFORE your goals cometo an abrupt end.

TAKE SAFETY PERSONALLY: MAKE IT A PART OF YOUR LIFE GOALS. THINK SAFETY!

Think Safety (Why Take a Chance)

Have you ever made a decision to break a safety rule? How long did it take for you to reach that decision? What did yougain by taking a chance? It only takes a moment to decide to break a safety rule, yet that one moment could change yourlife forever. The Safety Topic offers you an opportunity to think about your personal safety behavior, both on and off thejob. We'll talk specifically about taking safety risks, your personal commitment to safety, and what you can do to keep thatcommitment strong.

Do you always work safely? Are you 100% committed to the safety of yourself, your co-workers, friends, and family? Arethere times when your commitment to safety is not as strong as it should be? Have you been taking risks and getting awaywith it? Don't expect your luck to hold. No one ever plans an accident. An accident, by definition, is an unplanned event.No one wakes up in the morning and drives to work thinking, "I will have an accident today so I'd better buckle up." Noone ever climbs to the very top of a ladder and knows for sure they won't fall. That's why it's so important to have apersonal commitment to safety; a commitment to do the right things to prevent an accident--or minimize the damagedone in case an accident does occur.

What is gained by taking a chance? Think about a time when you've risked your personal safety. Have you ever bypassedlockout-tagout procedures? Have you ever driven a car after you had too much to drink? Have you failed to use fall-protection equipment because it was just too much trouble? What did you gain in that situation? A minute of time, anounce of convenience? Now honestly ask yourself if those gains were worth it. Is a little bit of time or convenience reallyworth chancing electrocution, a car accident, or a bad fall? Don't sacrifice your healthy future by taking a chance. Everytime you're tempted to take a chance with your safety ask yourself if it's really worth the risk. Your family and friends willthank you for making the right decision.

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Think Safety (Why Take a Chance) - continued

Keeping a strong commitment to safety is not easy. What interferes with your commitment to safety? Is peer pressure a problem? Do your peers think it's silly to take time for safety? You can set a safe example for your peers. Consider taking astand for safety. By committing to safety 100% of the time, you can help reverse the peer pressure that sometimes causes unsafe behavior. Keep up this exemplary behavior. Someday you may find that the old peer pressure has given way to something new-the respect of your peers earned by setting a safe example.

It's normal for your commitment to safety to fluctuate. Sometimes it's strong, at other times it's weak. Unfortunately, it tends to be strong just after a close call, or perhaps for a few days after you hear of an accident. Then the commitment wanes, only to be strengthened again by another tragedy. Simply recognizing this pattern can help you avoid it. Think about your work habits. Have there been times when you're more likely to take a risk? How about those times when you've been extra careful? Did the strength of your safety commitment depend on an outside event-like another person being involved in an accident?

You can keep your commitment to safety strong by remembering the commitment is for you. If you allow things that happen to other people determine the strength of your commitment, it is likely to fluctuate a lot. You can always learn from things that happen to other people, but to keep your commitment strong all the time, stay focused on your personal safety and those things you do that affect it.

Having a personal commitment to safety and keeping it strong are more important than any safety program, procedure, or rule. In fact, programs, procedures, and rules depend on a strong personal commitment to safety. Ask yourself where you are with your own safety attitude and behavior. Are you 100% committed to safety, 100% of the time? You are? Great! Need some improvement? Promise yourself to work on it-and keep that promise. You'll be glad you did.

Think Safety (Working Together)

Have you ever wondered who writes the rules? The safety rules, that is? Has it ever occurred to you that maybe thosepeople who wrote the rules just don't have a clue as to what's really going on out in the field, or out in the plant or in theworld for that matter?

Well let's take a look at these people who wrote the rules: It was the guy we've all heard about who cut two of his fingersoff after he wired up the guard on a circular saw. He was helped by the machinist who didn't have the time to go back tothe lunch room for her safety glasses and lost an eye when the bit broke in the drill press. They both got advice from thefellow who had his head split open by a falling hammer because he just plain didn't like to wear hard hats.

I think you get my point here. If not, then let me put it another way: Each and every safety rule came about becausesomeone was hurt, maimed or killed. Their misfortune contributed to our knowledge of how accidents happen and how toavoid them. Rules came into being in order to help you avoid a similar accident or injury.

Your company is very interested in your safety. It has provided you with the tools, equipment and working conditions thatwill help you do your best. But in return, the company expects certain thing from you. It expects your cooperation inabiding by the rules, in assisting your fellow workers with a willing attitude, by helping your supervisor by following theirinstructions and by your valuable comments and suggestions. It also looks for your cooperation by maintaining yourphysical fitness to perform your job, by not showing up sick or under the influence of drugs or alcohol, and by getting theproper rest at night.

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Think Safety (Working Together) - continued

By cooperation or working together with your company, a win-win situation is created that benefits everyone involved.The most obvious benefit is a safer and more productive work place. A somewhat less obvious, and some wouldmistakenly say a selfish or greedy benefit, would be more money for the company. Let's take a look at this "money"benefit.

There is no doubt that if a safer and more productive work place is created, then the company stands to make moremoney. There is less down time due to accidents, insurance rates decrease, operating cost is lower and profits are up. Butwhat happens when profits go up? The company becomes more competitive. It can now sell its products, be it throughconstruction or manufacturing, for less. Being more competitive means more work for you, more tangible benefits likeprofit sharing, or raises, paid vacations, holidays. Simply put, healthy employees insure a healthy company and a healthycompany means happy employees.

So you see, safety rules benefit everyone. By working together with your company and fellow employees to ensure a safeworking environment, you are, in many ways, ensuring your own physical and financial well being. It is not just a tired oldphrase to say SAFETY FIRST. In fact it's the only phrase that makes sense when it comes to getting the job done, on time,under budget and, most importantly, a happier, healthier you when it's complete.

Think Safety (Understanding Safety Signs)

Signs are used to prevent accidents. They are common in the work area, along the roadside, and in public buildings. Thereare some specific requirements for signs. The requirements are in place to make sure hazard warnings are easy torecognize and don't vary from workplace to workplace. The Safety Topic takes a look at different types of signs; what theymean, and how they should be used.

A sign may be defined as "the warnings of hazard, temporarily or permanently affixed or placed, at locations wherehazards exist." Danger signs must only be used where an immediate hazard exists. These signs are red, black (orcontrasting color), and white with room for words or symbols to describe the danger. Danger signs are common in areaswhere high voltages exist and where automatically-starting equipment is in use. You may be aware of other hazards whichwarrant the use of a danger sign.

Warning signs are orange with black (or a contrasting color) lettering or symbols. They are used to warn against hazardswhich aren't quite as serious as those requiring a danger sign-but are more serious than those requiring a caution sign.Warning signs may alert us to forklift traffic or similar hazards.

Caution signs must be used only to warn against potential hazards or to caution against unsafe work practices. Cautionsigns are predominately yellow with a black (or contrasting color) panel at the top of the sign. The word "caution," writtenin yellow appears on the panel. The lower part of the sign is used for additional wording which must be written in black (ora contrasting color). Caution signs warn of numerous hazards-everything from slippery floors to reminding us to wearsafety glasses. Even traffic signals take a cue from the yellow caution sign as they warn us to be careful on the road.

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Think Safety (Understanding Safety Signs) - Continued

Special signs are used just for biological hazards and radiation hazards. The biological hazard (biohazard) sign is fluorescentorange or orange-red with letters or symbols in a contrasting color. The biohazard sign alerts us to the presence orpotential presence of blood or other biological hazards. Radiation hazards are identified with a sign bearing the familiarthree-bladed radiation symbol in black or magenta or red on a yellow background.

Safety instruction signs are used to provide information about safety. They are not used to warn against specific hazards.These green and white signs remind you to report accidents, help locate first-aid equipment, and direct you along anevacuation route.

Though signs are never a substitute for good safety training, they are useful to remind us of hazards and ways we canprotect against them. Always take seriously the information on a sign-whether in the workplace or on the road.Understanding signs and the hazards they warn us about can help prevent injuries and save lives.

THANK YOU

Kulhudhuffushi Harbor Expansion Project

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