Organizational study@

Cochin Port Trust

Introduction Over 90% of world trade is carried by the international

shipping industryA port is a location on a coast or shore containing one or

more harbors where ships can dock and transfer people or cargo to or from land

Ports play a key role in the seaborne trade

Scope of the studyCochin is the fastest growing logistics centre emerging in

to a major international transshipment terminal.An all-weather natural port, and located strategically close

to the busiest international sea routes. Cochin Port helps to handle large numbers of ships with

cargo weighting in tones of millions, container shipment and also passenger ship.

Objectives of the studyPrimary objective

To understand the functioning of the organization as a whole

Secondary objectivesTo understand the history, growth profile, structure and

future plans of the organization.To understand various departments and their functions.To conduct SWOT analysis.To understand the hierarchical structure followed in the

organization.To observe the employees at the work place and to

interact with them.

About Cochin PortCochin hailed as the queen of Arabian Sea. Cochin Port is a major port

on the Arabian Sea – Indian Ocean sea-route and is one of the largest ports in India.

Cochin port is a natural port.

Port has two wharfs (Ernakulam wharf and Mattanchery wharf)

CPT is regular member of the international association of ports and

harbor.

The major items handled at the port are high value, low volume cargos such as spices, tea and coffee, cashew kernels and garments. It also deals with crude oils, fertilizers, coals etc

International sea route

Location of Cochin PortThe port lies on two islands in the Lake of

Kochi: Willington Island and Vallarpadam, towards the Fort Kochi river mouth opening onto the Arabian Sea

This all weather port is strategically located on the east-west trade route only 10 miles away from the direct sea route to Australia and far east from Europe. No other port enjoys this closeness to the maritime highway. This location advantage puts Cochin Port in a commanding position to exploit the massive east-west ocean trade.

Also its nearness to the Cochin international airport and railway terminals gives its instant access to the world.

Layout of Cochin Port

Services of Cochin portMarine services

On Arrival:

    All ships on approaching Cochin are to contact Cochin Port Control on VHF Channel 15 / 16 and report their E.T.A. to receive instructions on Pilot boarding / anchoring.

Port Channels:

Inner harbor is divided into two navigational channels – Ernakulam Channel of 2800m long and 300 – 500 m wide with depths from 9.75 to 13.5 m and Mattanchery Channel of 2200 m long and 180 – 250 m wide with a depth of 9.75 m. Mattancheri Channel has the berths Q1 to Q4, North and South Coal berths and B.T.P.Ernakulam Channel has berths Q5 to Q10

Cargo services Personal Baggage Clearance

 Cochin Port has facility to handle unaccompanied personal baggage received in containers. The container will be de-stuffed at Q6 shed and the goods will be examined and cleared by Customs Office in Q6 shed

Container Freight System (CFS)

Cochin Port has a full fledged Container Freight Station with mechanized stuffing and destuffing service.

LO-LO/RO-RO Terminal

Cochin Port has set up a Lo-Lo/Ro-Ro Terminal for transporting the containers between the Willington Island and ICTT Vallarpadam.

GENERAL UTILITY SERVICESFerry Services   Cochin Port has regular ferry service to

various Islands in Lakshadweep. Lakshadweep Administration and Lakshadweep Development Corporation Ltd. is chartering the voyages and issues tickets to passengers.

Fire Fighting ServicesResponsible for fire prevention, protection and

extinction activities, safe handling of Hazardous cargo etc. Trained in pollution control operations also.

Organizational structureBoard of Trustees

Chairman

Deputy chairman

Civil engineering department

Mechanical engineering department

Medical department

Marine department

Finance & accounts

department

Traffic department

General Administration Department

Stores department

General administration department

This department is headed by the secretary of Cochin Port Trust. He is assisted by three deputy secretary and assistant secretary.

The main function of the department is to coordinate the various activities of the other departments of the port trust such as appointments, training, promotions and other personal matters, convening of the meetings of the board of trusties and sub committees, preparation of agenda for the meeting and follow up actions, decisions taken up, public relations work, implementation official language act, preventive vigilance etc.

Finance & accounts departmentThe Central Accounts Department is headed by the

financial advisor and chief account officer. The financial advisor and chief account officer is assisted by additional financial advisor, deputy financial advisor (revenue), deputy financial advisor (finance and accounts), deputy financial advisor (administration), cost accounts officer, deputy director (EDP), Sr. deputy chief accountant and other supporting staff.

The department has the function of holding the treasury accounts, auditor, finance controller and financial advisor of the port trust. Maintenance of proper books of accounts and cost control activities as well as financial elevation of various projects is the responsibility of the financial advisor and chief accounts officer.

Marine departmentThe marine department is headed by the Deputy

conservator. The harbor master, dock master and dredging superintendent assist him in task.

The ships called the Cochin Port are safety taken in, berthed, safe guarded from the pollution and fire and safety directed back after completion of the work.

Pollution control is the responsibility of this departmentThe piloting of the vessel in and out of the port, fire

service, signals station operation etc are responsible of this department

Mechanical engineering department

The mechanical engineering department is headed by the chief mechanical engineer.

This department performs the functions of maintaining and operating all the cargos on the berth.

It is directly involved in the operations of port apart from the repair and maintenance of all port equipments, vehicles, floating crafts etc.

Traffic departmentThey provides guidelines for carry out traffic operations.

It is mainly concerned with the movement of cargo and goods.

They control the traffic of vessels cargo and containers at the port.

It is headed by traffic manager. He is responsible for the receipt/dispatch of cargo which the port handles. He is assisted by an additional traffic manager, two deputy traffic manager, four assistant traffic manager, wharf superintends and welfare officers

Medical departmentThe department is headed by chief medical officer. This department provides medical facilities to the port

employees, their departments and other residents of Willington Island.

There is first aid post at different centers and isolation centers to treat infectious diseases. The causality section of the hospital works round the clock.

Stores departmentThis department is headed by chief engineer and

administrator. He looks after the overall functioning of the department

Controller of the Stores (COS) is in charge of the stores.All materials required for day to day operations and

functioning of CPT via spares for the operation and maintenance of cargo handling equipments, floating crafts, automobiles, electrical items are procured stored and issued by this division.

Civil engineering departmentThe civil engineering department is headed by the civil

engineer.The main functions include maintenance and development

of the general conservancy of the port from the engineering point of view.

The principle activity of this department is planning, design and execution of development of port infrastructure like land area berthing structures, navigational channels, storage areas, storage sheds, roads and bridges connection and office and residential buildings.

SWOT analysisStrengthsClosest Indian port on the international sea route24 hour pilotage is providedBunkering and water serviceAdequate warehousing capacitySingle window facility for customs, immigration and health

clearanceThe first port based special economic zone in IndiaAn ISO 9001-2000 portZero pilferage due to good security systemWell connected road and rail network

WeaknessesHigh operating and handling costHigh influence of trade unionDelay in getting projects sanctioned due to various

controlsLack of professional attitude from the employeesLack of modern infrastructure and equipmentHigh tariff structure as compared to other nearest ports

OpportunitiesIncreasing exports and imports due to globalization,

especially container cargoEncouraging private participation and joint venture

prospectsLNG terminal was formed to meet the requirements of

natural gas for in and around KochiModern development projects bought by foreign portsEmerging as a international bunkering center

ThreatsHigh competition from neighboring portsIncreased inter port as well as intra port competitionSlow industrial growth in KeralaGrowth of Manglore port and Chennai port

FindingsCochin Port has well defined organization structureIn Cochin port, there is a harmonious relationship between the

employees and managementTrade unions are found to be more active in Cochin Port TrustMarine pollution is under the control of CPT including the

development of the cochin port oil spill contingency plan and operation and maintenance of the oil spill equipment held with the port

Bringing new development projects as and when necessary

Operating profit of the cochin port has increased in 2014-2015 (Rs. 18.5)

Dredging and maintenance cost of Vallarpadam container terminal is the major reason for port in loss

Traffic department, marine department and mechanical department are the key departments in Cochin Port trust

There is no separate HR department. HR department is only a wing of General Administration department

Computerization of operations has resulted in under utilization of existing manpower. So in order to reduce cost, port trust is adopting downsizing.

SuggestionsEffective cost control mechanism should be implemented in

order to turn the organization into a profit making one.The employees should be more professional to their work.

Then only port can achieve efficiency in performance and eliminate competition

More private participation can be encouraged for speedy implementation of new projects.

Effort should be made to attract more cargos to Cochin Port which has been diverted to the neighboring ports like Tuticorin, Manglore and Chennai

Computerization of operations has resulted in under utilization of existing manpower. Therefore the workers have to be redeployed according to their skills and abilities

Management should adopt better motivational techniques to reduce increased absenteeism

Fully fledged personnel department is necessary for the speedy redressal of employee grievance

Rethinking on the current tariff structure is necessary in order to compete with other major ports and private ports

Delay in implementing new projects is to be avoidedBefore implementing any new development projects, its

economic viability is to be thoroughly analyzed

Conclusion

Cochin port trust basically deals with export and import trade of cargo and goods through waterways. Cochin port has a bright future with regard to containerization. It is one of the major ports of the country which if developed properly can compete with the international ports like Dubai, Singapore, Colombo etc. the organizational study conducted at CPT was an opportunity to understand the practical side of the management theories. This study helped to understand the functions performed by various departments of the Port Trust.