ICT Applications in Merchant Ship Fleet - Global Business Dialogue ...

ICT Applications in Merchant Ship Fleet
- Expectation for Ubiquitous Network at Sea -
Yutaka YASUNAGA
NYK Line
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NYK Corporate Profile 1/2
NYK LINE (Nippon Yusen Kabushiki
Kaisha)
– Head Office: Tokyo, Japan
– Founded: September 29, 1885
– Business Scope
• Liner (Container) Service
• Tramp and Specialized Carrier Services
• Tankers and Gas Carrier Services
• Logistics Service
• Terminal and Harbor Transport Services
• Air Cargo Transport Service
• Cruise Ship Service
NYK Head office in Tokyo
2

NYK Corporate Profile 2/2
• Employee
– Head Office : 1,643 (Land 1,268 / Sea 375)
– NYK Group : about 51,000
• Financial Highlights
Consolidated (Total NYK Group)
Revenues USD 22,418 M
Net Profit USD 990 M
Total Asset USD 19,828 M
[ Consolidated Revenue ]
(Fiscal Year ended 3/31/2008)
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Fleet and Non-Fleet Investment Plans
Mainly bulk
carriers
Tankers and
LNG carriers
March 2005
Actual size
of fleet on
March 31,2005
April 2005 - March 2008 (Actual)
▶Newly acquired
vessels
▶Procurement total
▶110 ships
▶¥520 billion
Anticipated size
of fleet on
March 31, 2008
371 ships 492 ships
April 2008 - March 2011
▶Newly acquired
vessels
▶Procurement total
▶132 ships
▶¥740 billion
Anticipated size
of fleet on
March 31, 2011
630 ships
April 2011 - March 2014
▶Newly acquired
vessels
▶Procurement total
▶150-200 ships
▶¥1,100-¥1,200 billion
Anticipated size
of fleet on
March 31, 2014
750-800
ships
Car
carriers
▶24 ships
▶¥120 billion
98 ships 113 ships
▶39 ships
▶¥250 billion
150 ships
▶20-30 ships
▶¥140-¥200 billion
160-170
ships
Mainly
liners
▶41 ships
▶¥260 billion
177 ships 201 ships
▶47 ships
▶¥380 billion
220 ships
▶30-40 ships
▶¥300-¥400 billion
240-250
ships
Total
▶175 ships
▶¥900 billion
646 ships 806 ships
▶218 ships
▶¥1,370 billion
1,000 ships
▶200-270 ships
▶¥1,540-¥1,800 billion
1,150-1,220
ships
Nonfleet Investment (Logistics, Air Cargo Transportation, Other)
April 2005 - March 2008
⇒ ¥290 billion
April 2008 - March 2011
⇒ ¥290 billion
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Global trends of shipping business
• Background
– Steady growth of sea trades
• Problems to be solved
– Lack of seafarers resources
• Especially experienced officers
– Environmental issues
• CO2 emission reduction
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and drawn up by NYK research Group Data source: Fearnleys Review and various Compiled
Trends of Bulk trade
Billion ton-mile
10,000
9,000
8,000
7,000
6,000
5,000
4,000
3,000
2,000
1,000
0
Bulk Trade and Bulker Fleet Development
1972-2006
Average annual growth rate 1972-2006
3 major bulk cargo 4.3%
Bulker fleet 4.7%
Bulk Cargo (ton-mile)
iron ore/coal/grain
Bulker Fleet (dwt)
7273747576777879808182838485868788899091929394959697989900010203040506
Million dwt
400
350
300
250
200
150
100
50
0
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(mil.TEU)
Trends of Container trade
500
450
400
350
300
250
200
150
100
50
0
9.3%
9.6%
8.9% 9.0% 9.2%
7.3%
4.8% 4.2%
3.7%
146
106
88
29
14.7%14.7% 442
13.1%
401
13.0%
11.7%
11.1%
10.1% 10.0%
10.4% 317
10.0%
9.3%
9.5%
8.0%
236
6.7% 211
6.5%
5.1% 4.8%
5.2%
4.2% 4.6%
3.8% 3.5%
131
116
57
69
-0.6%
90 92 94 96 98 00 02 04 06
16%
14%
12%
10%
8%
6%
4%
2%
0%
-2%
(Preliminary)
World container traffic
Growth rate of container traffic
World port total Handling
Growth rate of world export
Compiled and drawn on by NYK Research Group
Data:Drewry, WTO
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Supply-demand trends of seafarers
(Unit: 1,000 persons)
2000
2005
2010
2015
Officer
supply
404
466
467
472
demand
420
476
488
499
difference
-16
-10
-21
-27
Staff
supply
823
721
740
774
demand
599
586
598
607
difference
224
135
142
167
(Ref. BIMCO/ISF MANPOWER2005 UPDATE)
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Global CO 2 emissions from shipping
1) Since 1990
CO2 emission from ships in 2004 is
40% more than 1990.
2) At present and future
Global CO 2 emissions from
International shipping
2007
847 mil tons
2050
1,950~2,960 mil tons
2.3~3.5 times
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GHG Reduction for 2050
1. The growth of International Trade Volume: 3% p.a. (326% in 2050)
2. The target of reducing CO2 by 2050 : 50% less than current level
The emission of CO2/Ton・Mile must be 85% less in 2050
Some Rules/Guidelines will be decided in 2009
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ICT will change work at sea
• Sea-shore communication network
– Current ships are too isolated. Broadband network
between sea and shore is expected
– Work style and life style onboard will change
• More computation will be onboard
– Computation has increased safety level
• ARPA (automatic radar plotting), ECDIS (electronic charts)
and AIS (automatic identification system)
– More and more simulation technology will be onboard
in coming decade for safety, economy and ecology
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Ship IT network now
• Available network (global coverage)
– Inmarsat F … max 128 Kbps
• Currently available for worldwide shipping
– Inmarsat BGAN/Fleet Broadband … max 432 Kbps
• Worldwide coverage will start from Feb 2009
– Iridium … 10 Kbps/2.4 Kbps
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Expecting ICT solutions (in 5 years)
(1/2)
• Improvement of seafarer’s amenity
– Communications to shore by VoIP
– TV / Video on demand streaming
– Broadband connection at ports
• Sea-Shore information sharing
– Collaboration between captain and shore experts
– Data/information sharing … weather and status
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Available ship information from shore
• Noon reports
– Ships are reporting position, speed, weather, fuel
consumption daily basis by e-mail
– All inputs are manual and data reliability is limited
• Position tracking system
– Ship’s position can be monitored by GPS and satellite
communication
• Auto-logging and monitoring system
– Monitoring engine and ship performances. These are
coming technologies
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Weather forecast is the critical
information for navigation
Example)
December 2007. High wave was developed by storm in the pacific ocean.
Captain made voyage plan to avoid high wave area. (Yellow Line)
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Expecting ICT solutions (in 5 years)
(2/2)
• Remote maintenance
– Preventive maintenance of high risk mechanical
components (engines and turbines)
– Remote diagnosis of software and navigational
equipments.
• Emergency responses
– Against seajacks and terrorisms
– Remote medical treatment
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Technology in the future
• Accurate weather forecast and weather routing
– Optimize route and speed based on accurate weather
forecast is the key technology to reduce CO2 emission
• Wave measurement and forecast
– Wave is the most important information in terms of
safety and performance of ships
• CO2 emission monitoring and management
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Accurate weather forecast and
weather routing
Expecting technology
• Accurate weather
forecast
• Global sea current
information
• Weather routing for
optimum route and
speed
Kuroshio current simulation image.
• Wave forecast
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Wave affects safety and performance
Expecting technology
• X-band radar wave sensor
• Ship onboard motion simulator
• Ship structure health
monitoring
Rough sea affects ship’s safety
and performance
• Wave resistance simulation
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Summary
• Shipping industry requires more ICT
technologies in ship operation as we are
facing lack of experienced human resources
• Ubiquitous network at sea is the key
• CO2 emission reduction is also expected to
be strongly addressed by ICT technologies
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