Stevedoring Process

Process document for stevedoring process

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Shipping Services


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Table of Contents

Outlining the document: ......................................................................................................................... 4

Detailed business process of agency department .................................................................................... 4

Other Misc Services: ................................................................................................................................ 5

Detailed agency process flowchart .......................................................................................................... 6

Reports: .................................................................................................................................................. 7

Operation Department ............................................................................................................................ 8

Detailed business process of operation department. ............................................................................... 8

Flow chart for Operation department relation with other department: ................................................... 8

Business process for Imports: .............................................................................................................. 9

Business process flow chart for Imports ............................................................................................. 10

Business process for Exports .............................................................................................................. 11

Business process flow chart for Exports ............................................................................................. 12

Reports: ................................................................................................................................................ 13

Material Department (Cargo storage and handling) ............................................................................... 14

Detailed process for import material: ................................................................................................ 14

Flowchart for Materials - import process: .............................................................................................. 16

Wharf to godown: ............................................................................................................................. 16

Godown to importer: ......................................................................................................................... 17

Detailed process for export material. ................................................................................................. 18

Flowchart for Materials - Export process: .............................................................................................. 20

Exporter to godown ........................................................................................................................... 20

Godown to wharf .............................................................................................................................. 21

Reports: ................................................................................................................................................ 22


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Equipment Department ......................................................................................................................... 23

I. Equipment usage management: .................................................................................................... 23

Equipment usage management process: ............................................................................................... 24

Process flow chart for Equipment Management: ............................................................................... 25

II. Water management: ......................................................................................................................... 26

Detailed business process for Water management: ............................................................................... 26

Process flow chart for water management: ........................................................................................... 26

III. Equipment Maintenance: ................................................................................................................. 27

Detailed business process for Equipment maintenance ......................................................................... 27

Process flow chart for Equipment maintenance ..................................................................................... 28

IV. Stores / Purchase management ........................................................................................................ 29

Flowchart for Purchase process ............................................................................................................. 30

V. Stores management: ......................................................................................................................... 31

Flow chart for Stores Management ....................................................................................................... 32

Reports: ................................................................................................................................................ 33


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Outlining the document:

This document is prepared to explain the standard functionalities of the stevedoring process which are

developed on SAP Business One.

For each process, the following information is furnished to understand the end to end process.

1. Details business process of business units.

2. Flowcharts for each process.

3. Reports.

Detailed business process of agency department

• Enquiry receipt from principal

• Negotiated price with principal for all agent fees.

• Acceptance of enquiry

• Principal sends the mail to agent furnishing the following information

o Vessel registration information

o Vessel dimensions

o Cargo details

o Vessel expected arrival.

• Principal nominates the agent (vessel owner / charter) to port

• Nominating vessel to port (Check list given to port through vessel declaration to port (Voyage

registration sheet) to confirm in the port vessel position).

• Receiving the acceptance from port

• Documents submitted to port based on application type

o Import

� IGM

� DO (Discharge Order)

o Export

� Shipping Order based on stowage plan

� EGM

• Receipt of estimates from port for port charges

• Payment to port against the estimated port charges

• Estimating the PDA (Port Dispersement account) using port tariff and other agent charges as

agreed.

• The following are bases for preparing the estimated PDA.

o Port Tariff

o Estimated stay in port

o Exchange rate for 1 USD

o GRT

o NRT


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o Agreements with respective principle

o Global agency tariff

• Confirmation receipt from principal by mail

• Receipt of amount against the PDA.

• Information received from the port on the berth confirmation, berthing time and expected

discharge rate etc.

• Vessel arrival notification to port

• Daily update to shipper (export) or receiver (import) on the vessel status like

o Vessel expected arrival

o Stowage plan

o Cargo details

o Berthing date

o Number of tugs and pilots used

o Expected commencing date and time

o Expected completion date

• Vessel shifting / warping information

• Revised estimation is send to principal, if there is delay in vessel handling / operation.

• Receiving the final bill from port.

• Cross checking with port tariff / agreement based on statement of facts(SOF)

• Final bill is raised after one month of sailing the vessel.

Other Misc Services:

• Service requisition

• Service acceptance by agency team

• Delivering the service

• Receive letter for completion of service from captain

• Invoicing for service rendered.


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Detailed agency process flowchart:


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Reports:

1. Estimated PDA based on port tariff and agency service charges

2. Final Invoice

3. Vessel waiting at berth

4. Vessels at anchorage

5. Vessels unberthed for the day

6. Vessel loading /unloading status

7. Statement of facts

8. NOR

9. Agency Monthly Report


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Operation Department

Detailed business process of operation department.

Operation department process starts from contract with importer / exporter to handle the vessel at

port. It has to coordinate with vessel agent, stevedoring / C&F agent, port authority /officials, material

department and accounts department to handle the vessel and increase the throughput of the

department.

Flow chart for Operation department relation with other department:

Equipments and

Maintenance Department

Accounts

Department

Operation Department

Stores and

Purchase

C & F Department


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Based on the application type (like import / export) the process and the documentation varies.

Business process for Imports:

• Contact with importer for handling the vessel

• Contract is for particular period

• Mail receipt from importer with following information

o Vessel details

o Material details

o Expected time of arrival (ETA)

• Receiving shipping order from agent

• Approaching the port for allotment of plot to stocking the material

• **Preparing / coordinating for documentation on behalf of importer for port and customs

o Port documentation

� Import permission

� Plot allotment

� Discharge sequence prepared by operations based on stowage plan.

o Customs Documentation

� Bill of Entry

� Custom duty

• Informing to the accounts to make down payment to port for port charges

• Book the gangs, equipments for material unloading

• Giving details to accounts for deposit of port charges

• Commencing the operation (unloading of materials to wharf)

• Moving the material to stockyard / godown.

• Draft survey considered as quantity received

• Signing of SOF

• Based on SOF “Lay time” report is prepared and based on Lay time report Demurrage & Dispatch

is prepared

• Collect the NDC (No damage certificate) from vessel.

Note: ** denotes that the functionality is performed by CHA.


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Business process flow chart for Imports

Note: ** denotes that the functionality is performed by CHA.


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Business process for Exports:

• Contact with exporter for handling the vessel

• Mail receipt from exporter with following information

o Vessel details

o Material details

o Expected time of arrival (ETA)

• **Preparing / coordinating for documentation on behalf of exporter for port and customs

o Port documentation

� export permission (bill to accounts for advance)

� Transit Shed/Stockyard Allotment.

� Loading sequence

� Cargo readiness certificate from port:

o Customs Documentation

� Custom Duty Calculation and Collection

� Stocking permission from customs to stock the material at port stockyards.

� Let export order from customs by CHA Agent.

� Let export

• Book the gangs, equipments for material loading

• Giving details to accounts for deposit of port charges

• Moving the cargo from stockyard to wharf.

• Commencing the operation (loading of materials to vessel)

• Getting sign for completion cargo loading

• Preparing SOF before sailing

• Based on SOF “Lay time” report is prepared and based on Lay time report Demurrage & Dispatch

is prepared

• After SOF the following Vessel Completion documents are prepared

o Mate’s Receipt

o Certificate of Origin

o Authorization for signing the BL

o NOR

o Shipping Bill attested by the Customs Officer

o Cargo Manifest

o Stowage Plan

o Draft Survey Report

o In case of Food Grains

� Phyto Sanitary Certificate.

� Certificate of Fumigatation.

• NDC (No Damage Certificate) from vessel

• Accounts for final billing.


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Business process flow chart for Exports


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Reports:

• Stock yards status

• Berthing and unberthing report

• Barge wise revenue report.

• SOF

• Vessel performance report

• Total throughput for particular period

• Vessel wise revenue and expense report

• Vehicle / equipment wise total revenue and expense report.

• Equipment availability report

• Stockyard availability report

• Reporting on Handling Cost per Ton/Per Container all inclusive.

• Report on billing (Containers)

• Final Lay time Statement


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Material Department (Cargo storage and handling)

Detailed process for import material:

• Contract with importer for storage and dispatch

• the material is ready at wharf, Information is received from operations / stevedoring

• Planning for trucks

• Indenting for trucks

• Loading to trucks at wharf

• Sending for weighment (optional).

• Survey quantity is treated as total quantity received

• Sending the truck to warehouse

• Unloading the material at warehouse for storage and dispatch.

• Following Information received from importer for delivery.

o Material details

o Quantity

o Mode of transport like road or rail

o Destination

o Date of delivery etc.

• By rail, the process is as below furnished

o Indent to railways for rakes

o Making rake deposit

� As per railway regulation, rake has to be placed within 10days from the indent

date.

� If the rake is cancelled after 10 days, no charges need to be paid

� If the rake is cancelled before 10 days, the deposited amount Rs 15000 will be

forfeited by railways as cancellation fee.

o Receiving information about the rake placing from railways.

o Receive the wagon details.

o Inspection of wagon condition / health by supervisors

o Informing to railway authority, if there are any sick wagons

o Planning for number of trucks required to load the material

o Indenting for trucks to equipment department

o Sample check of trucks on the weight they are carrying

o Loading to trucks

o Preparing a challan of 3 copies and giving two copies to truck driver and supervisor.

o Moving to the rake siding

o Loading the material to rake

o Supervisor will acknowledge the receipt of vehicle and loading of material to truck

o One rake contains 42 wagons and the same has to be loaded in 9 Hrs.

o If it exceeds, 9 Hrs, demurrage charges has to be paid

• If the mode of transport is by road, the process is as below furnished.

o Planning for number f trucks required as per advice

o Placing indent for trucks

o Receiving the truck to warehouse


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o Issuing the challan to truck

o Taking the tare weight of the truck

o Loading the truck with material

o Supervisor acknowledges the loading

o Taking gross weight

o Send the truck to unloading point.

o Receive the acknowledgement on the challan by receiving importer


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Flowchart for Materials - import process:

Wharf to godown:

Yes

Yes


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Godown to importer:


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Detailed process for export material.

• Exporter will have a contract for the material to be brought to warehouse for export

o Contract details

� Material details

� Quantity in MT

� Expected date of export

� Price per quantity for specified period

• Information received from exporter through mail / telephone / for material to be arrived

o Material details

o Quantity

o Mode of transport like road or rail

o Destination

o Date of arrival

• By rail. The process is as furnished below

o Receive information from exporter for rake arrival by phone / mail

o Receive the RR(Rail receipt) from railways which contains the following information

� Material, Quantity, Wagon details

� Date of dispatch from Source Point

o Plan for trucks to be used for transferring the material to warehouse

o Indent for trucks

o Issue the challan to load

o Once the rake is placed, load to trucks

o Weighment is taken for some sample trucks to check the weight

o Move the cargo to warehouse

o Acknowledge the receipt of material to warehouse on chellan

o Converting the bulk to break bulk or vise versa, if required

o Bags are supplied by principal (exporter)

o Message to stevedoring on the readiness of the material for export.

• If the material receipt by road. The process is as furnished below

o Receive information from exporter for trucks arrival by phone / mail

o Receive the bags from part, if bagging is required

o Arrival of truck to warehouse.

o If no place found for material at that warehouse, divert to other warehouse.

o Receiving the LR from the driver with following information

� Material

� Quantity

� Exporter name

o Weighment of truck for gross weight.

o Issuing the receipt for net weight.

o Unloading the material at warehouse

o Acknowledging the receipt of material.

o Convert bulk to break bulk or vise versa.

o Net weight to be dispatched after bagging or debagging

o Inform to stevedoring on the readiness of material for export.

• Receiving information from stevedoring / operations for materials export


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o The following information is received

� Vessel expected time

� Material details

� Berth

� Quantity to loaded to vessel

o Planning for trucks

o Raising indent for trucks to equipment department

o Receiving the trucks

o Loading the material to truck

o Dispatching to wharf


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Flowchart for Materials - Export process:

Exporter to godown:

Contract with Exporter

Materials – Exporter to Godown

Information receives from Exporter

RoadRake

R/R

Indent for trucks

Planning for trucks

Unloading from Rake

Issue challan to truck

Weighment at godown

Challan raise for warehouse receipt

Bagging / Debagging

Bagging /

debagging?Godown for storage

LR and Invoice/Weighment Advice

Weighment

Noting down in Inward Register

Is Bagging /

Debagging?

Bagging / Debagging

Godown for storage

Yes

Yes

No

No


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Godown to wharf:

Materials – Godown to wharf

Receives Information from Stevedoring

Planning for trucks

Indent for trucks

Issue Challans

Loading trucks

Acknowledging the chalen for material receipt

Dispatch to wharf complete


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Managing of Plots at Port

• Material department may take the plots for lease from the Port for cargo storage.

• Every lease is taken for specific period license.

• Renewal of license/agreement is done once the period ends, if required.

Reports:

• Daily progress Report

• Daily bagging report

• Discharge report

• Vessel completion report

• Daily report to customer

• Material wise handling report

• Material wise and importer /exporter wise status report

• Bagging Machine Report

• Wagon wise loaded quantity report


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Equipment Department

The following are major functions in equipment division.

• Equipment usage management

• Water management

• Equipment maintenance

• Stores/purchase management

• Stores Management

I. Equipment usage management:

The Equipment management section is responsible for supplying the equipment to all the departments

and other parties as per demand / agreement.

The following are the major responsibilities of equipment management section.

• Maintaining the equipment condition

• Minimizing the downtime

• Maximum usage of the equipment

• In time supply of equipment

• Recording the equipment usage

• Maintaining the equipment performance

• Minimizing the wastage of spares and consumables but not at cost of vehicle condition.


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Equipment usage management process:

• Receives the information / requirement from following area / departments through telephone

• The following information received

o Vessel name

o Vessel arrival time

o Berth from and to

o To store area (Stockyard)

o Qty to be transferred

• Deployment of equipments against the request

• Supervisor records the dumper / equipment usage

• Driver takes authentication from supervisor at loading and unloading point

• Billing will be done on trip base

• Supervisor collects the Chelan’s for every trip at unloading point

• Prepares the daily engagement report and submits to central garage (Accounts)

• Central garage prepares a consolidate daily equipment engage report and submits to HO and

section head

• In some cases, the cargo is moved to Transit areas; at the time of this movement the equipment

cost is also recorded.


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Process flow chart for Equipment

Management:


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II. Water management:

This section is responsible for supply of the water as per the requisition raised from various department

and also usage of water for equipment and material.

Detailed business process for Water management:

• User division / department / section sends the water requisition through message / phone call

• Equipment department identifies water tanker and sends to respective user

• Water will be delivered at requisition point

• Acknowledge received through message / phone call

Process flow chart for water management:


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III. Equipment Maintenance: This department / section are responsible for

maintaining the equipments as per maintenance schedule and as and when there is a

breakdown.

The following are the major functions of Equipment maintenance department.

• Preparing the equipment maintenance schedule as per manufacturer advice.

• Raising the requisition for spares and consumables.

• Performing the equipment maintenance.

• Returning the used spares to warehouse.

Detailed business process for Equipment maintenance

• Identifying the requirement for equipment, tools and consumables periodically

• Raising the stores requisition, if the equipment, tools and consumables are available at

stores, else purchase requisition to purchase.

• Following up for receipt of equipments, tools and consumables requested.

• Receiving the equipments, tools and consumables from stores against requisition

• Recording the schedule for equipment maintenance

• Raising the requisition for tools spares and consumables required for maintenance.

• Receiving the tools, spares and consumables

• Completing and recording of maintenance against the schedule

• Receiving the breakdown calls from respective user departments

• Identifying the required spares, tools and consumables required for maintenance

• Completing and recording of maintenance against the received calls.

• Returning the spares and tools to stores


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Process flow chart for Equipment maintenance


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IV. Stores / Purchase management

• Prepare the requirement of the equipments / spares / tools / consumables any other items

using the listed item master

• If the item master is not available for specific item, prepare the item master with all the

specifications and information.(check the item master creation process for more details) .

Item master should have scope for updating of specifications at later date for a said

product/service and should maintain history of such updating.

• Stores department receives the requirement of material equipments / spares / tools /

consumables from other department through material requirement.

• Check whether the equipments / spares / tools / consumables are available in the stores or

not.

• If the material equipments / spares / tools / consumables are available in the stores, issue to

the respective department through goods issue against the material requirement. Issue to

be based on FIFO.

• If the equipments / spares / tools / consumables items requested are not available in the

stores, raise purchase requisition to purchase / procurement department against the

material requisition.

• Once the purchase requisition is approved from the respective approver(s). Raise the

request for quotation to the listed vendors.

• If the listed vendor(s) are not available, complete the vendor’s registration process to add to

vendors list.

• Raise the request for quotation for the required equipments / spares / tools / consumables

to the identified vendors.

• Record the quotations received from the various vendors in the purchase quotation.

• System generates the comparative report based on the price listed in the purchase

quotation.

• Select the quotation based on the decision process for respective equipments / spares /

tools / consumables.

• Raise the Purchase order against the selected vendor’s quotation.

• If the vendor(s) are pre defined for equipments / spares / tools / consumables requested,

Raise the Purchase order directly with any vendor finalization process (steps 9th, 10th, 11th,

12th and 13th)

• Receive equipments / spares / tools / consumables at the store or shipping address specified

and record the Goods receipt note against the PO (GRN).

• Information need to be captured like weigh bridge details, deviation details and any other

remarks by stores personal.

• Repeat the step 5 as the required equipments / spares / tools / consumables are available.

• Prepare the returns document, if any items are needed to be rejected after the quality

check / before preparing the return document at HO.

• Invoices of all items that are as per norms will be sent to HO for verification and entering

into the system.

• If any deviations in the Quantity / Price / Quality/ Payment terms need to be entered and

get approval. Major remarks can be entered in the document level remarks for attention

and information.


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• All such deviations can be sent to suppliers and get written replay. (Out of SBO)

• Prepare the AP Credit memo, if any credit notes are issued by the vendor / Supplier against

the invoice / independently.

• Prepare outgoing payment against the AP Invoice.

Note: All the documents will go through the approval process as defined in the configuration.

Note: Process flowchart for Master data creation like vendor masters, items master (equipments /

spares / tools / consumables) are not yet prepared.

Flowchart for Purchase process


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V. Stores management:

• Receiving the requisitions from other departments

• If the respective items (equipments / spares / tools / consumables) are available, goods issues or

inventory transfer is done

• If the respective items are not available, purchase requisition for purchase is done

• If the items are spares and consumables, goods issue is done

• If the items are equipments or tools, inventory transfer to respective department is done

• Goods receipt is made for used spares or new spares received from other departments. If any.

• Inventory transfer from other department is done when the equipments or tools are transferred

back to stores department.


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Flow chart for Stores Management


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Reports: 1. Engagement report

2. Open Stores requisitions

3. Open purchase requisitions

4. Open RFQ’s

5. Purchase quotations comparative statement

6. Open Purchase Orders

7. Open Goods Receipt PO

8. Equipment Maintenance to be executed

9. End to end purchase cycle report.

10. Stock / items movement report

11. Stock / items valuation report

12. Tools, equipments and spares at equipment department

13. Consumables issued / consumed for equipment wise

14. Open equipment report

15. Equipment usage report – section wise and equipment wise

16. Dumpers daily working report

17. Dumpers log register report for monthly wise

18. Monthly consumption report

19. Loader daily report (Equipment daily log statement)

20. Fuel consumption report for 15 days

21. Lubricants consumption report for month wise

22. Fuel status report for 24 hours wise.

23. Daily stock issue report

24. Stock ledger daily report for spares

25. Monthly wise stock report