working life - Wallenius Wilhelmsen Logistics

outes
wallenius wilhelmsen logistics magazine for employees
#2.2007
ford awards wwl top supplier price 12
rune gisvold – the man who likes to be in control 15
wwf and wwl join forces to save bluefin tuna 18
Boomtime for China’s
Automakers
wallenius wilhelmsen logistics is
there to embrace the new opportunities

outes
contents issue 2.2007
THEME
CHina’S BOOMing CaR
indUSTRy dRivES lOgiSTiCS
The demand for cars domestically in China is growing explosively.
Production and sales are expected to double over the next five
years. Mounting auto exports and imports are driving the need for
improved logistics and supply chain management solutions of the
kind delivered by Wallenius Wilhelmsen Logistics.
04 inspiration
WWL has signed a Lead Logistics pro-
vider contract With BMW to deLiver its
cars froM europe to austraLia and neW
zeaLand. BMW has noW got a cutting
edge soLution to suppLy the tWo Mar-
kets More efficientLy and econoMicaLLy.
ROUTES 2 2007
8
22 working life
22 the office: south africa
23 knoWLedge schooL: ocean
pLanning and reporting
24 douBLe identity: MuLtiLinguaL
MartiaL arts
25 on the ocean: 75 years
under sydney harBour Bridge
1
CUSTOMER CaSE
gETTing THE RigHT
CaR TO THE RigHT pORT
Wallenius Wilhelmsen Logistics won a top award from Ford
Australia for helping the carmaker develop and implement an
innovative logistics solution. Dubbed ‘Right Car, Right Port’, WWL
helped come up with a way to build flexibility into a supply chain
that had been traditionally fairly rigid.
26 our industry
even Larger vesseLs in the pipeLine
threatened the LiveLihood of the panaMa
canaL. But the WaterWay has fought
Back With innovative neW Ways to han-
dLe the Bigger vesseLs expected in 2015.

18
SUSTainaBiliTy
gianT Of THE aTlanTiC
ClOSE TO ExTinCTiOn
WWF and Wallenius Wilhelmsen Logistics have joined forces
to help save the giant bluefin tuna from extinction as a result
of overfishing.
puBLished By Wallenius Wilhelmsen Logistics AS, Box 38193, SE-100 64 Stockholm, Sweden
editor Martha Thernsjö acting puBLisher responsiBLe under sWedish
press LaW Martha Thernsjö editoriaL production Tidningskompaniet Stockholm
environMentaL care This magazine is produced in accordance with the Nordic eco-labelling
system, the Swan front cover Rush hour in Shanghai, China. Photo: Jackson Lowen.
We Want your vieWs! Do you have any comments on Routes? Is there anything you would
like to read about or are there things that you don’t like and would like to change? Send an e-mail
to routes@2wglobal.com next issue September 2007 copyright Texts and images in Routes
may not be republished without permission from the editor or publisher responsible.
EdiTORial: CREaTing valUE
fOR OUR CUSTOMERS
the first tWo Months in my
new job as CEO has given me a
number of opportunities to visit operations
around the world, talk to many
colleagues and
better understand
how we are
able to live our
ambitious factoryto-dealer
strategy.
this aLso
coincided with
our regional
discussions on
updating our long term strategy and
deciding how we prioritise our initiatives
to ensure we can deliver on
the strategy and grow the business.
a key factor here is obviously
the tonnage situation, which will definitely
change for the better as we
go into 2008. We have a very close
dialogue with our owners about our
tonnage requirements for the period
up to 2014. For the total of Wallenius
Lines and Wilh. Wilhelmsen, we
now receive a new vessel from the
yards almost every month.
another key factor is how we
manage to develop our global terminal
network – both in terms of operational
excellence, expansion of existing terminals
and pursuit of new terminals to
secure prioritised berthing, particularly
in emerging markets.
We need to Be excellent in Supply
Chain Management in order to create
that added value for our customers.
We will target opportunities primarily
with existing key customers to expand
their outsourcing of finished vehicle
logistics. This should help get their
cargo quicker to its final destination,
with better quality and at a lower cost.
Last, But not
least, we will
continue to
focus hard on
minimising the
impact our business
has on the
environment,
with a specific
focus on reducing
total emissions. This will help
maintain our leading position.
“WE nEEd TO BE Ex-
CEllEnT in SUpply
CHain ManagEMEnT
in ORdER TO CREaTE
THaT addEd valUE
fOR OUR CUSTOMERS.”
i WiLL soon Launch my own blog
on the corporate intranet. I hope you
will use that opportunity to have a direct
dialogue with me on issues you
think are important for the growth
and success of our great company.
ariLd B. iversen
Ceo
wallenius wilhelmsen logistiCs
anita arntzen
ROUTES 2 2007

inspiration
people who care about making a difference
InSpIRIng landbRIdgE
since late 2006 WWL has faced exploding volumes
in several Global Trade Lanes with significant growth
in the Asia-Europe segment. An inspiring ‘Landbridge’
solution in the USA has helped to ease the pressure.
Tonnage capacity has grown tight for cargo moving
from Asia to North America, sparking the need for
a creative solution to keep up with the volume growth
and meet capacity demands from WWL customers.
Together with the Trade and Commercial teams in
Oslo, Tokyo, and Region Americas, Dave Minetti, head of
Americas Trade Atlantic/Pacific/Oceania, and the Americas
Trade Team agreed that ‘landbridging’ cargo from the
US West Coast to end destinations across the USA would
deliver key benefits. It would increase vessel capacity by
shortening the overall voyage time and also deliver cargo
to its final destination in the Mid West, South Atlantic, and
US East Coast on, or before its original arrival date.
“The first vessel for Landbridge was the M/V
Tampere and the volume involved was impressive.
But with the help of our friends at Vehicle Services
Americas (VSA) and Pacific and Atlantic Vehicle
Processors (PVP/AVP), we safely railed 1,175 GMDAT
vehicles to Brunswick, Georgia and Port Newark,
New Jersey, and trucked 401 Suzuki vehicles to PVP
in Port Hueneme. We contracted Keen Transport to
ROUTES 2 2007
n who: John Felitto,
Dave Minetti
n what: Delivering innovative solutions
n where: USA
truck 389 excavators plus parts to various port and
inland destinations. This was all achieved on, or before
the intended delivery date at the original point of final
destination,” says Dave.
This challenging initiative required the support and
coordination from several teams, including Customer
Care, Cargo Management, Port Operations, Cargo Quality,
Cargo Claims, Legal, Contract Management, Sales,
Technical Services (VSA & PVP/AVP), Terminal Services,
Inland Distribution and Trade. John Felitto, Senior
Vice President Commercial, Region Americas, notes:
“This Landbridge solution demonstrates WWL has the
vast expertise to handle customer requirements at sea and
on land. It represents WWL’s dedication to delivering integrated
and seamless logistic solutions to our customers.”
Dave believes the success of the project may
lead to further opportunities for WWL’s customers to
shorten transportation timelines via Landbridge.
“Once again, our strongest asset, our people,
delivered with excellence.”
ThE SlEEpIng
gIanT’S hOpE
n who: Michael Doran
n what: Driving Indian
business
n where: Mumbai, India
india’s economy is booming.
A report from investment bank
Goldman Sachs says India could
have the world’s fifth largest
economy within a decade as its
growth accelerates.
WWL is taking its first key
step to seize a slice of the action
by opening an office in Mumbai,
a vibrant Arabian Sea port and
India’s commercial capital. Heading
the new office in the bustling
city of 13 million inhabitants will
be Michael Doran, moving from
WWL Australia to become Head
of Business Development in India.
“My main focus will be looking
at opportunities for WWL across
our five product offerings and
building relationships,” Michael
tells Routes. “We will focus on
what our Corporate Accounts
team will be doing in India in the
short, medium, and long term.”
Michael, who admits to being
sales-focused, says the potential
is huge.
“India is a sleeping giant. I am
very excited about the new job
because India will offer us both
opportunities and challenges
in the field of factory to dealer
vehicle logistics.”

managIng
hIghER cOSTS
n who: Konrad Kurz
n what: Ready to meet
change
n where: Germany/Europe
strict european union (EU)
rules protecting workers by limiting
the time a truck driver can spend
on the road threaten to drive up
the cost of transported goods, but
WWL is geared up to meet the
challenge.
“We’ve equipped our trucks with
costly new electronic equipment to
monitor driver hours,” says Konrad
Kurz, Managing Director WWL
Germany. “A bonus is that monitoring
work time online will help us to
plan transport logistics better than
ever before.”
According to Konrad the regulations
pose the biggest threat to
Europe’s transport industry today.
“Cutting the work week from
today’s 60 hours to 48 will theoretically
mean increasing the number
of drivers by 25 percent. We
believe the new rules could lead
to a knock-on nine percent cost
increase for road transportation.”
Germany is the latest EU
country to adopt similar recommendations
for drivers, albeit less
restrictive than in France, setting
minimal standards for working time,
driving and rest periods.
dEvElOpIng TOp TalEnT
n who: Eivind Garshol
n what: Developing future
management
n where: Oslo, Norway
when wwl launches a new
15-month global trainee programme
for nine young talents,
it’s with a very clear agenda.
Eivind Garshol, head of Global HR
Policies and Practices explains the
main objective in the programme:
“It’s very important for a
company like ours to develop
future management and expert
candidates with a global mindset
and network.”
The nine trainees, six women
and three men, come from all
four regions as well as the central
office and they will work their
way through the organisation
and product areas. The goal is to
offer employment to everyone at
the end of the programme and to
retain them within WWL long term.
The first traineeship was successful.
Valuable lessons were
learned and are applied in this
second program.
“One main improvement for this
second traineeship is that we have
expressed clearly the ambition levels
we have for each trainee – and
what kind of position we want to
offer them afterward. The trainees
will be designated roles and tasks
throughout the programme that are
in line with their targeted future
position,” says Eivind.
With companies fighting for
talent around the world, it’s vital
to be an attractive employer,
says Eivind:
“A traineeship programme is
a way to position ourselves in the
labour market and in the minds of
young talent.”
aTTRacTIng
cUSTOmERS
n who: Fabio Mello
n what: Customer
networking
n where: Sao Paulo, Brazil
for three days in April, the
Brazilian city of Sao Paulo was
the focus of the global logistics
industry, hosting the InterModal
Trade Fair, now in its 12th year.
WWL – one of 400 participating
companies – had a particularly
successful time, attracting record
numbers of customers to its
stand, according to Fabio Mello,
Manager South American Sales.
“InterModal is Latin America’s
most important trade show for
logistics and transport markets.
It is a great opportunity to network
with customers and meet
new contacts. It also provides a
great opportunity for our customers
to meet WWL team members
working in operations, customer
care and management.”
Over 1,000 people a day visit
the InterModal trade fair. WWL’s
main goal at InterModal is to communicate
and market its brand
and promote its five products
– Ocean Services, Terminal Services,
Technical Services, Inland
Distribution and Supply Chain
Management – to customers.
Fabio is ecstatic about WWL’s
showing in 2007: “It was our best
effort ever with between 70–100
customers visiting the stand
every day. We got to meet new
customers and develop fresh
business opportunities, all on the
relaxing environment of the stand
and helped by the WWL staff.”
ROUTES 2 2007

inspiration
IN THE CARGO
kEEpIng TRack Of bmw
for a great many drivers of all ages,
a BMW is the ‘ultimate driving machine’.
Founded in 1916, BMW prides itself on being
one of the few manufacturers of automobiles
and motorcycles worldwide that concentrates
entirely on premium standards and
outstanding quality.
It is a quality-focused philosophy shared
by Wallenius Wilhelmsen Logistics in delivering
on a Lead Logistics Provider (LLP) contract
with BMW AG. Under the terms of the
contract, WWL ships the automaker’s vehicles
from five BMW Group factories in Europe, one
factory in the USA and one factory in South
Africa to Australia and New Zealand on the
other side of the world.
WWL exclusively developed its service for
BMW tailored to the carmaker’s specific requirements.
According to Joris Verhaag, Logistics
Contract Manager for Automotive Contracts
Germany, WWL has provided BMW with a
cutting edge solution in supplying the Australian
and New Zealand market with their products.
“Our ability to deliver LLP contracts
through our global network is really a differentiator
in the RoRo industry,” he says.
bmw has been delighted by the joint effort
with WWL to reduce the lead time by managing
vehicle flow more efficiently. As a result
BMW is able to significantly reduce capital lock
up costs and achieve a shorter time to market.
BMW’s vehicle offering encompasses
Sedans and Estates, Coupés, Convertibles,
Roadsters and Sports Activity Vehicles. With
BMW Group at a glance
BMW: Founded 1916
Employees: 106,000 worldwide
Sales: In the first quarter of 2007, the BMW
Group delivered 333,276 BMW, MINI and
Rolls-Royce brand automobiles
Production: BMW Group manufactures at
ROUTES 2 2007
the three brands, BMW, MINI and Rolls-Royce
Motor Cars, the BMW Group has established
a widespread reputation for its pursuit of
quality.
the result of BMW’s firm focus on the
premium sector of the international auto
market is reflected in automobiles and motorcycles
that fascinate people around the world.
And win new admirers every day.
Designed to save time and money for
BMW, WWL’s contract resulted from several
years of intensive concept studies. The
research was aimed at developing a supply
chain package that could efficiently keep
track of the thousands of BMW and MINI
vehicles shipped to Oceania each year.
employing 106,000 people, BMW manufactures
its models at 23 sites in 13 countries
on four continents. The WWL contract
encompasses cars being made at seven of
BMW’s factories and destined for Australia
and New Zealand.
WWL is also saving BMW substantial
management time by providing them with
a one-stop solution in terms of only having
to interact with one service provider rather
than several along the supply chain. For example,
as it is not possible to keep track
of such a large volume of vehicles through
an excel sheet, WWL’s order management
system automates and speeds up the process,
cutting out room for human error.
alannah eames
23 sites in 13 countries on four continents,
including seven plants in Germany
Model series: BMW 1 Series, 3 Series,
5 Series, 6 Series, 7 Series, BMW X3,
BMW X5, BMW Z4, MINI and Rolls-Royce
Phantom
photo: arnaud siquet

ROUTES 2 2007

Just 15 years ago, the bicycle was
China’s main means of transport
with only 5.7 vehicles for every
1,000 people. The times have clearly
changed – the figure today is
33 vehicles per 1,000 people.
ROUTES 2 2007
photo: scanpix

China
yesterday &
tomorrow
China is one of the world’s fastest growing
economies. One sign is how Chinese
citizens are swapping their bicycles for cars.
With a foothold in China, WWL is geared to
embrace the changes and emerging opportunities
sweeping China into the future.
WORdS alannah EamEs phOTO jackson lowEn
Evening rush hour on
the Chengdu elevated
road in Shanghai, one of
many Chinese cities that
are rebuilding its roads
to meet the increasing
car traffic.
ROUTES 2 2007

10 ROUTES 2 2007
ChINa auTO marKET bOOmS
WWL ServiceS
in china
Ocean services (China express;
shuttle service twice monthly from
Japan to China; direct service to
Europe and North Africa, monthly service
from Guangzhou to Europe). The
plan now is to strengthen the ocean
product from northern China outbound.
Technical services: Pre Delivery Inspection
(PDI) in Tianjin doing terminal
handling and customer cleaning.
Inland distribution: Managing Vehicle
Distribution Centre (VDC) and vehicle
distribution for BMW in southern China.
Offices: Dalian, Tianjin, Shanghai,
Guangzhou and Beijing.
Ports: Tianjin, Shanghai and
Guangzhou. Ad hoc from Dalian.
Number of employees: 55.
Wallenius Wilhelmsen Logistics has
had a presence in China for over a
century. Records show that Wilh.
Wilhelmsen vessels called at Chinese
ports in the late 1880s. In 1994,
the company was registered as a wholly owned foreign
enterprise.
Recently, China’s economy has boomed. As Trond
Tønjum, Managing Director of Wallenius Wilhelmsen
Logistics China says:
“What we have seen in China is that the domestic
market’s demand for vehicles is growing tremendously.
For the next five years we estimate that it will double
both in production and sales. Exports and imports are
also growing, but with a moderate volume compared
to mature markets. We expect these areas to triple during
the same period.”
During the 1980s and 1990s, western vehicle manufacturers
rushed to set up joint ventures with local Chinese
companies, the majority of which focused on sales in
the domestic market. The export of western brands from
these joint ventures has been low, due to the domestic
focus and Chinese legislation. However, exports of Chinese
brands such as Chery, FAW, Great Wall, Brilliance
and SAIC are growing, mainly to the Middle East, North
Africa, Russia, South East Asia and South America.
in 2006, china ExportEd around 200,000 built-up,
finished cars. According to Trond, trucks and buses
are showing large export growth and will be very important
for WWL China in the future.
“Good sustainable logistics solutions will be increasingly
important for the Chinese manufacturers
as they enter western markets. Western demands are
much more complex than those
currently found in their own mar-
ket. The Chinese need to get their
supply chain management right to
succeed,” Trond states.
Meanwhile, within the domestic
market, there is also a need for
improved supply chains. Today,
most Chinese manufacturers are
strong in their local provinces and
transport vehicles by truck from
plant to dealer. As they start to
expand their sales reach, there is a
need to diversify distribution methods
from being heavily dependent
on road transportation to better use
of river, coast and rail transport. Increased
use of distribution hubs will
be essential to improve domestic
logistics.
“WWL’s strategy is to cater for
Vivian Zhang, team leader, Karl Yang and Liu Jun,
Logistics Co-ordinators, carry out inspection for
customs clearance on GEFCO import vehicles in Tianjin.
exports and imports. However, understanding the
domestic market is key when we procure land based
distribution services on behalf of our customers,”
Trond emphasises.
It has not been difficult for WWL to win the trust of Chinese
manufacturers to handle their shipments overseas.
“We exported 70 percent of Chery’s finished vehicles
last year,” says Trond. “It is a challenge to provide
ocean capacity but we are building up our product
offerings in China. It is a growing market and we will
grow even more as we have a good position in the market
based on our global reach.”
However, at the same time he admits that, “Some
customers have never even seen a RoRo vessel,
others limit their logistics to truck transportation.
We help them see the benefits of securing the quality
and optimal solutions they need to expand their sales
nationally and internationally.”
thE pErsEvErancE and hard work is paying off and
the contracts are increasing. The BMW contract has
been renewed and WWL will distribute BMW vehicles
in south China.
“We see great potential to secure more contracts
in this area, and are currently working with several
manufacturers to come up with smart solutions to
match their needs,” says Trond.
While WWL’s products are developing in China, several
challenges in this booming economy still remain.
“In China, development can go very quickly, while
other things can take time. This is not surprising as it
is an emerging market and many things are done for
the first time. To know and be part of the culture is the
only way,” Trond explains.
photo: richard ma

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Trond Tønjum, managing
Director, WWL in
China and Qi Yumin,
President of brilliance
auto, exchanging
gifts in February this
year at the loading of
the first 500 brilliance
cars in Dalian, destined
for Europe.
average auto
sales growth in
China over 5 year
period 2007–2012
= %
photo: richard ma
ROUTES 2 2007 11

Right car to the
right port
You live in Melbourne, Australia. You have
just purchased a new Ford Focus that is
built in South Africa around 10,000 kilometres
away. Neither you, nor Ford, want you
to wait unnecessarily for your shiny new car
to be delivered, which is where Wallenius
Wilhelmsen Logistics enters the picture.
WORDS DAVID NOBLE PHOTOS EAmON gALLAghEr
12 ROUTES 2 2007
WWL’s Craig Heron
has helped Ford drive
its ‘Right Car, Right
Port’ project forward
successfully.
When companies talk about getting
their supply chains right what
they are talking about is getting
products to customers in the most
efficient and cost effective way
possible. For Ford Australia that translates into getting
Ford Focus cars and other vehicles in its ranges from
their production facilities in Europe, South Africa,
Asia and elsewhere to end customers around the globe.
Ensuring supply chain logistics function in a reliable,
efficient and timely manner is no easy task in
today’s global marketplace. It demands knowledge and
science to constantly improve ways of moving products
in response to customers’ changing needs. For Ford
this means not only moving cars from one continent to
another, but also across the continents themselves and
not always to the original projected destination.
But what can appear a logistics nightmare to some

is a vision of possibility for WWL. In fact, so successful
has the company been in delivering innovative
logistics solutions that Ford Australia recently gave
WWL membership of its family of elite suppliers.
ThE FOrD mOTOr COmpANy in Australia awarded
WWL a 2006 Ford Supplier Excellence Silver Award
that recognises “suppliers who not only achieve the
highest levels of cost, quality and delivery, but also
who embrace the vision to build on Ford’s legacy and
drive innovation to new heights”.
Sam Casabene, Vice President Purchasing, Ford
Motor Company Australia explains that WWL won the
prestigious accolade because it had been proactive in
the technological and planning aspects of sea transportation
and during 2006 piloted a key supply chain
program with Ford Australia.
“During 2006 Wallenius Wilhelmsen Logistics
saving FoRd time and money
“Ford immediately liked the look of
the ‘Right Car, Right Port’ proposal
so much they asked us to implement
a pilot programme.”
piloted a programme with Ford Australia called ‘Right
Car, Right Port’,” says Casabene. “This programme
provides the ability to change destination at origin or
in transit and reduces land-based transfer costs within
Australia. This obviously reduces logistics costs and
provides flexibility for Ford and its dealers to meet
changing vehicle supply and demand in Australia.”
Designed to build some flexibility into the Ford supply
chain after a vehicle has left production, the ‘Right
Car, Right Port’ logistics solution directly tackles the
problem that once a car is manufactured it is immediately
assigned to a discharge port. Currently, should
the final point of sale of a vehicle differ to its discharge
port, logistics time and money is lost by trucking vehicles
by road across Australia to the final point of sale.
ThE ‘rIghT CAr, rIghT pOrT’ solution instead monitors
the progress of a vehicle through the supply chain
from the time it leaves the factory in South Africa
(and in the future potentially Asia and Europe), right
through to the port of discharge and arrival in Australia.
The solution assigns the correct port of discharge,
should this differ from the original instruction, just
prior to the vessel arriving in Australia.
The innovative approach allows WWL to coordinate
the discharge of other shipping lines servicing Ford
Australia, to potentially discharge vehicles earlier or
later than first intended – helping to reduce the need
and cost of inland transportation.
Wallenius Wilhelmsen Logistics has been a Ford
supplier for many years, offering its full range of
logistics capabilities and moving tens of thousands
of vehicles for Ford Australia such as imports from
Europe to all major Australian ports. However, the
prestigious supplier excellence award was the direct
result of a request from Ford Australia for WWL to act
as consultants in a supply chain evaluation project.
“We recommended several changes and Ford immediately
liked the look of the ‘Right Car, Right Port’ proposal
so much they asked us to implement a pilot programme
together with them,” recalls Craig Heron, Business Development
Manager at the time, who headed the project.
He underlines the project has been a joint effort
between Ford Australia and the WWL Oceania Commercial
and Logistics team, supported by IS&T.
q
ROUTES 2 2007 13

saving FoRd time and money
the aim of the
‘Right Car, Right
Port’ project was
to create a flexible,
agile supply chain
solution as a multitrade,
multi-region
application – saving
resources, time
and money.
14 ROUTES 2 2007
The project was handled by a core team including
Craig, IT Senior Solutions Architect, Allan Hird, and
Runhild Persensky, a member of the Oceania Business
Development team at the time. Craig comments,
“Our task in a nutshell was to come up with a
way to build flexibility into a supply chain that traditionally
has been fairly rigid.”
The solution development process progressed
amazingly quickly, according to Craig, encompassing
less than three months from start to finish in mid-
2006. In fact, WWL’s Melbourne team are now into
a second phase involving Ford vehicles being moved
from Europe to Australia by WWL.
ALLAN sAys ThE ability to leverage the company’s wide
experience and global know-how in developing similar
IT applications speeded the effort to deliver on Ford’s
requirements.
“From the very start we set out to develop a flexible,
agile supply chain solution as a multi-trade,
multi-region application from the start that could
also cater to non-WWL carriers needs,” says Allan.
Kevin Moore, Vice President, Commercial, WWL
HoW to get tHe CaR to tHe RigHt PoRt
2 WWL sends a
request through to Ford
S.A. to issue change of
stow if unit is still at the
terminal. If vehicle is on
water, WWL issues a
change of destination
request with carrier.
Oceania, underlines that the ‘Right Car, Right Port’
enables Ford to better manage the distribution of its
vehicles by getting them to market as quickly and efficiently
as possible.
“The programme saves equipment resources, time
and money and it is also good for the environment as
it cuts down unnecessary logistics movements,” says
Kevin.
Craig has no doubt about the possibilities that the
success of the project holds for the future: “The ‘Right
Car, Right Port’ solution has exciting future potential
because it is a true supply chain innovation allowing
customers to handle their logistics better, faster and
cheaper than ever before,” says Craig.
THIS IS FORD AUSTRALIA
FOrD CArs hAVE BEEN sold in Australia since 1904
with Ford Australia being formed in 1925.
Ford Australia is the longest established and largest
automotive manufacturer in Australia and the only such
company that wholly designs as well as develops and
builds a range of vehicles locally – the Falcon/Fairmont/
Fairlane/LTD range.
Ford Australia’s headquarters are located at
Broadmeadows, in suburban Melbourne, along with the
assembly facilities for the Ford Falcon range, Fairlane
Ghia and LTD passenger vehicles, and the Falcon light
commercial range.
Facilities at Broadmeadows also include the Customer
Service Division, a training centre and a research
and design centre. Ford Australia has almost 1,500
suppliers and 246 dealers in the country.
3 Unit is discharged in
the optimal port relative
to the dealer.
1 Ford Australia sends
WWL a daily file to reconcile
ports booked with
optimal ports per unit.
Product
Communication

Moving
the business
forward
Meet the man who likes to be in control – Rune Gisvold
q
q
ROUTES 2 2007 15

16 ROUTES 2 2007
The one thing executives worldwide
hate is surprise – good or bad. It’s
the job of Wallenius Wilhelmsen
Logistics’ chief financial officer
Rune Gisvold to keep top managers
playing their cheerleader game efficiently
by delivering predictability.
WORdS DaviD Noble phOTOS aNita arNtzeN
Making sure Wallenius Wilhelmsen
Logistics has what it takes
to compete in the international
marketplace at a time of turbulent
economic transformation involves
many different disciplines. But one key success factor
is putting in place financial systems, processes and
procedures giving management the ability to steer the
company with a degree of predictability over the short
to medium term.
“All managers and executives hate surprises,” says
Rune Gisvold with deep conviction.“Bad surprises
are terrible, and positive surprises aren’t much better
either because that demonstrates lack of control and
predictability – which damages our credibility both
within the company and externally among customers
and competitors.”
Against the above background,
unsurprisingly, Rune admits to
being completely focused on delivering
on what he – and his team
– promise.
“My business philosophy very
much encompasses the notion that
it is better to ‘under promise and
over deliver’.”
Rune also believes passionately
in management by objectives.
“It was a management theory
back when I was young, but is still
very relevant. It is all about agreeing
as a team on what needs to be
done and then getting on with
the deliverables as an individual.
Although I like being in control
and am meticulous about follow-
As a young man, Rune Gisvold
worked his way around the
world on a cruise ship – and
got the chance to show off his
traditional folk clothes.
ing up what’s been agreed, I don’t
like getting involved in every little
implementation detail.
“I’m pretty much hands-off
unless asked for advice or support,
very
mucH
some-
times
Not
at all
THE SCALE OF
Sets objectives
or until something goes badly wrong. ”
Globalisation is impacting the world economy.
And while it puts more goods in front of more people
at better prices, it also increases the pressure on Rune
and his finance and strategic development team.
“We have to make sure everyone steering WWL
towards our vision of offering a competitive seamless
ocean and land-based logistics network can rely on us
to deliver the resources they need,” Rune explains.
He believes tHe two functions of finance and strategic
development tie in well together in a global company
like Wallenius Wilhelmsen Logistics with its 65 vessels
sailing the world’s oceans, transporting 3.3 million
cars and rolling equipment on sea and land and
26 strategically sited technical service centres.
“Strategy today is about building your business and
to do that you must have your finances firmly rooted.

RunE GiSvOLd
Strategist detail freak deliverer Loves surprises
Managers need to know where the money flows are
coming from and where they are going. Our job is to
manage and coordinate the strategic process being
evolved by our folks in the field, our customers and the
external world.”
What does he view as the most important steps
needing to be taken over the next eighteen months?
“We must not lose sight of the fact we are actually
developing five products within two business areas at the
same time. One business area is our Ocean Services, which
is all about asset managing three billion dollars worth of
floating vessels that need to always be in the right place
at the right time. Our other business area, encompassing
terminals, technical services and inland distribution procurement,
is about cost management and more of a nickel
and dimes business with millions of small transactions,
many with low value and low margins.
“The biggest challenge now is managing these
“My business
philosophy very
much encompasses
the notion
that it is better to
‘under promise
and over deliver’.”
Evolution of
a numbErs guy
norway’s Vikings carved a
ferocious image for themselves.
So what would they have made
of Rune Gisvold playing the distinctively
non-aggressive game
of cricket in England?
“I was working for a Norwegian
company in northern England.
I thought it vital to get to know
English culture, so I joined the
company’s cricket team!”
Such ‘out of the box’ thinking
is integral to Rune’s approach to
life. For example, after getting a
Bachelors Degree in Business Administration,
the travel bug bit him.
“i decided to travel the world
as an assistant purser on a
Norwegian cruise ship. It was
such fun I decided to go around
again, but the only job available
was as a lowly utility hand.”
Back ashore, Rune returned
to university in the USA, getting
his MBA in 1981. He worked for
several well-known companies
in various parts of the world and
even ran his own successful
business for a time before joining
WWL in 2002. Rune says
he has never regretted making
that decision.
two businesses in parallel successfully. We are moving
in the right direction but there is still a huge need for
managers who can handle both cost management and
asset management at the same time.”
Rune stresses the need to balance cost management
with huge investments.
“If we cannot do that we will
not succeed with our strategy for
the reason that we will not make
money any other way.
“My job is to make sure we have
control of the resources available
to move with the world, so that
our assets and services can be in
the right place at the right time
with the right capacity and ability
to deliver on our promises to our
customers.”
ROUTES 2 2007 17

sustainability
Giant of the Atlantic
18 ROUTES 2 2007
The bluefin tuna is one of the most magnificent fish living
in the world’s oceans. However, it’s also considered to
make the world’s finest sushi, which has contributed to
it being on a path to extinction. A catastrophe that WWF,
the global conservation organisation, supported by WWL,
is now doing everything in its power to prevent.
T
he Atlantic bluefin is the tuna species to be
most negatively affected by last century’s
large-scale industrial fishing. The number
of adult fish currently amounts to only
10 percent of the 1975 level which, even
then, was considerably depleted. A large proportion of
Atlantic bluefin tuna is exported to Asia, but increasingly
also to northern Europe, as the sushi trend expands.
Measuring up to 4 metres in length and weighing 680
kg, bluefin tuna is the most valuable of all the fish in
the sea, with a record specimen having been sold at the
Tokyo fish market for USD 173,600!
In the Mediterranean, where fishing of the Atlantic
bluefin tuna has been most widespread, the species
may disappear entirely as early as this year. Something
that would be disastrous for
“Removing a top predator
like the tuna can
lead to a domino effect,
where other species
further down the
chain are affected.”
WORdS SuSanna w. ahlForS pHOTO GettY iMaGeS
biodiversity, but also for the
ecological balance, says WWF
marine biologist Sergi Tudela:
“Removing a top predator like
the tuna can lead to a domino effect,
where other species further
down the chain are affected.”
In the Mediterranean, this
may mean a sharp increase in the
number of squid which, in its
turn, would result in a reduction
in the sardine population. “What we’re witnessing now
is the same situation as with the cod stocks off Newfoundland.
Since they collapsed in the 1990s, they have
not been able to recover,” Tudela adds.
So what can be done in order to prevent a collapse? In
November last year, ICCAT, the main body for managing
Atlantic bluefin tuna, held a meeting in Croatia.
At that meeting, ICCAT’s own scientists proposed a
reduction in the catch quota from 32,000 to 15,000 metric
tonnes per year in the Mediterranean as a necessary
measure to save the species from almost certain extinc-
tion. But the proposal that was
finally agreed upon was that
put forward by the EU delegation,
which involves
a reduction merely from
32,000 to 29,500 tonnes
in 2007, along with a ban on
fishing only from July to the end
of the year. This, despite the fact
that up to 60 percent of all the Atlantic
bluefin caught in the Mediterranean is
fished while spawning in June.
“The EU calls this a recovery plan, but we call
it a collapse plan”, says Tudela.
the conSiderable commercial value of the catch
means that governments are subjected to enormous
pressure from the fishing industry. This reduces the
political will for a sustainable management system on
the part of states such as France, Spain and Italy. Together,
these three countries are responsible for more
than 50 percent of the total legal catch of bluefin tuna
in the Mediterranean.
In order to prevent an immediate collapse of the
species, WWF has asked all states with an allocation
for fishing not to accept ICCAT’s proposal of a quota of
29,500 tonnes, but to reduce their catch quota by half.
So far, only Norway has responded to WWF’s request.
“As an immediate action, we are asking retailers,
especially supermarkets in Europe, to support our
call to cut bluefin tuna quotas by half in the Mediterranean,
and more than a dozen retailers have joined so far.”
The fate of the Atlantic bluefin tuna is also a terrifying
indication of what could happen to all tuna
species, according to Tudela.
“We have to start looking at fish as more than just
food. If we could see the tuna migration that passes
through the Straits of Gibraltar every year, it would be as
thrilling as watching the lions in the African Serengeti!”

close to extinction
What can you do?
When you are at your sushi restaurant, at your fishmonger’s
or in the store:
Ask where the bluefin tuna comes from. If it is from the
Mediterranean, WWF recommends not to buy it, unless
the seller can prove that it has been sustainably fished.
Buying tuna in tins for salads and sandwiches is,
on the other hand, not a problem for bluefin tuna, as it
almost never ends up in a tin. The best choice here is
yellowfin tuna from the East Pacific Ocean.
For more information visit www.panda.org/tuna
Wallenius Wilhelmsen Logistics
is the sole sponsor of
WWF’s High Seas Conservation
Programme, supporting
WWF in its work to improve
high seas conservation and
governance.
ROUTES 2 2007 19

wwl oN site
a process from a to Z
a smooth car trip
In 2004, WWL signed a Lead Logistics Provider (LLP)
contract with BMW AG for the shipment of all vehicles from
seven BMW Group factories to Australia and New Zealand.
Here’s how WWL manages to get the vehicles from
the factory to the final destination successfully.
20 ROUTES 2 2007
Words AlAnnAh eAmes
photos BArBArA hArtmAnn
ArnAud siquet
eAmon gAllAgher
1 NotificatioN messages
Bremen, germAny. renée Liebig, Logistics Coordinator,
has got a message from BMW by Electronic data
Integration (EdI) to WWL’s order management system
that a vehicle will need to be picked up soon from a
production plant in Germany. When the vehicle reaches
the end­of­line point in the factory, WWL gets another
message that the vehicle must be picked up within
a short time frame. the selected trucking company
receives a message to pick up a vehicle load and is
given a reference number.
2 pickiNg up the vehicle
regensBurg, germAny. the trucking company confirms
the load and picks up the vehicle within the agreed
time frame at the production facility. If, for any reason, a
vehicle is not moving according to plan, WWL Logistics
Coordinators receive alert messages from the order
management system.

3at
the port
ZeeBrugge, Belgium. the
trucking company delivers the
vehicle to the terminal where it has
already been assigned to a voyage through the
order Management system. there are two different
sailings to oceania from Zeebrugge – one is via the
Us and panama Canal to Australia, the other is via south
Africa. Both trips take around 40 days. Urgent cars are
given a red priority sticker.
5arriviNg
iN australia
melBourne, AustrAliA. the car is discharged. Urgent cars
are the first to be moved to the Vehicle processing Centre
(VpC), where they are washed, inspected and made ready for
delivery. WWL can change the port of destination during the
shipment, should the need arise for BMW to have a vehicle
shipped to a different part of Australia.
4 the voyage to oceaNia
At seA. From the moment the vehicle is picked up by WWL
to the moment it is dispatched at the destination, BMW and
their dealerships can see what they have ordered through the
web visibility tool, 2vu. BMW can type in details such as a
dealer name and see how many vehicles have been loaded in
Zeebrugge for this dealer. status messages from WWL are
displayed in BMW’s system.
6fiNal
destiNatioN
melBourne, AustrAliA. Before the car’s final transport to the
dealer, a transport order is sent from the system to the selected
trucking company. When delivered, WWL receives confirmation
in real time into its system from the trucking company. the same
information is available in WWL’s web visibility tool.
ROUTES 2 2007 21

working life
ThE OfficE: dURban
A major tourist centre of three million people and the busiest port in
Africa, Durban is the South African city where CAT-WWL Logistics operates.
Two years ago, WWL had only one person on site in South Africa.
Today, the CAT-WWL Logistics team consists of more than 80 people in
three different locations, and with a lot of growing potential.
n Olga Maqizana, Supply
Chain Co-ordinator. The
most precious thing on Olga’s
desk is the photo of her son,
who was tragically shot dead
last year. She now lives with
her son’s friend and carries on
strongly with her life – working,
socialising and doing things
she enjoys. The office does
not just comprise hardworking
people. She says: “We’re more
of a family, with everyone
cherishing each other.”
Outside work hours, Olga likes
to work out in the gym.
22 ROUTES 2 2007
n Jacques Landman, Depot
Manager. The office’s main
objective in recent months has
been to get the new facility running
efficiently, which has meant a lot of
hard work. It has also meant there
hasn’t been enough time to socialise.
But one good thing stemming
from this is the great teamwork.
“The hard situations we have
experienced have helped us to
bond strongly,” says Jacques.
When not working, he likes to
join his son for some motocrossing
– and enjoying a cold beer or two.
n Juan Gorgas, Operations Manager. Juan moved from Argentina
with his wife in 2006 to work with Volkswagen’s South Africa
project. He oversees the distribution of finished vehicles throughout
South Africa and the surrounding countries, according to lead times
set by Renault South Africa and Volkswagen South Africa.
“There hasn’t been much leisure time lately. If there was,
I‘d play my acoustic guitar and be more with the family.”
n Deon Arnolds, Logistics Co-ordinator.
An upcoming winner of a reality show like
Survivor or The Amazing Race? That is Deon’s
dream. Maybe it will come true one day soon,
but in the meantime he is happy pursuing his
main hobbies – supporting his country’s rugby
team and doing something called ‘vleisbraai’,
the traditional South African barbeque.
On his desk he keeps a miniature of
the Eiffel Tower in Paris.
“It reminds me of where I want to go
one day,” Deon says.
n Luvuyo Hobo, Supply
Chain Manager. Managing
the supply chain for Volkswagen
South Africa (VWSA)
from the time the vehicles
leave the plant to the time
they get to the dealers can be
challenging and stressful.
“Right now, I spend most of my
time at work. Because of this,
it’s only fair to my family that I try
to keep work­life and my spare
time separate,” says Luvuyo.
Because of a heavy workload,
there has been little chance for
after­work activities at the office.
n Rune Loew, Managing Director,
CAT-WWL Logistics, is not in the picture
but he was standing behind the camera
when the two rhino’s passed by in Hluhluwi
National Game Reserve Park, two years ago.

kNOWLEDGE ScHOOL
OcEan planning and REpORTing
STRATA is a new system providing a complete overview of
WWL’s ocean results. It is available to the global commercial,
trade performance and voyage calculation teams. This
web-based solution enables users to compile information
and report on ocean budgeting, forecasting and actual
results. Reporting from STRATA is enabled by Cognos 8.
Voyage Results
(budgeting and forecasting)
This screen calculaTes the overall result of a
specific voyage, from a cost and revenue perspective.
Voyage results are based on volume and
revenue input, as well as cost management and
allocations. The results for a voyage can be viewed
on both a pro­rated and non­pro­rated basis.
“This screen includes more up­to­date actual
costs from coda, the accounting system, making it
possible to combine estimated results with actual
results for a more accurate and updated ocean
result,” says Monica.
The greatest overall advantage of the new system is that
budgets, forecasts and estimates will be more accurate
and provide far greater opportunities for analysis. All areas
of the organisation will be working on this one common
platform which provides greatly enhanced opportunities
for collaboration and information sharing.
Terminal Results
(analysis of results)
Volume and Revenue Input
(budgeting and forecasting)
This screen provides information on turnover
defined by either customer or cargo segment.
By alternating between rows and columns in the
Total customer and Total cargo Segment tabs, data
specifying the monthly revenue per customer and
cargo segment can be accessed.
“The main improvement in this application is that
the previous forecast is always available to the user
and will form the basis for new input. This will result in
less duplicated work and more comparable information,”
says Monica Trøen Volden, Project Manager
STRATA.
The loading Terminal Spec tab shows the vital statistics for a specific loading
terminal. Average rates for “All customers” and for “All cargo segments” can be measured.
customer and/or cargo segment will be selected when specific rates apply.
“costs can now be entered in greater detail, providing significantly more accurate
calculations of cargo­related costs, given that the lowest level is used as the cost
basis,” Monica explains.
For more information on STRATA, contact your regional super-user:
americas: Diane Moyse, James Sloan europe: Marcus Hallberg, Björn
Jungbeck asia: Yoshihisa Obataa, Shinya Soutome oceania: John Doherty,
Jason Clifford or Global Business System responsible for Strata, Donal Duggan.
ROUTES 2 2007 23

working life
DOuBLE IDENTITy
MUlTilingUal MaRTial aRTS
Ineta Liaudinskaite, five times Lithuanian
National Champion & European Silver-
Medalist in Karate
“i sTarTed Taking karate lessons in Lithuania
at the age of ten. My cousin was practising
wushu, a form of chinese
martial arts, and she was
so strong. I wanted to
be stronger and more
self­confident at
school and be able
to defend myself.
Initially, it didn’t even
occur to me that
I would compete.”
Ineta Liaudinskaite
started entering local competitions
and, within a year,
she was competing internationally.
In 1995, at the age of 17,
she became Lithuanian National
champion, a title she held for five
years. Ineta was also awarded a
silver medal at the European championships
the same year. She stopped
competing in 2000 for health reasons.
“After I started competing internationally,
I was travelling abroad nearly every month, to
Germany, Poland, France and other countries.
Back then, the only people in Lithuania who were
allowed to travel were politicians, diplomats and
sportsmen, so I was incredibly fortunate and really
appreciated it. The travelling also fostered my interest
in foreign languages and cultures,” she explains.
“I had to give up karate due to poor eye­sight.
If I started again now, I could never reach the
same levels, so it wouldn’t be satisfying. I have
been offered a job as a karate instructor and I am
considering it but my new hobby is latin dancing.
Both are great for releasing excess energy, in very
different ways. But salsa dancing is a hobby, where
karate used to be my life.”
phoTo: rodrigo diaz Wichmann
24 ROUTES 2 2007
Ineta Liaudinskaite, Logistics Operator,
Wallenius Wilhelmsen Logistics Ibérica
“i joined WWl in Barcelona in July 2006.
I am responsible for logistics management
of inland automotive transport in the Eastern
Europe Development Department. My role
is basically to sell loads to sub­contractors
and to find loads for sub­contractors with
available capacity.”
“I think I got this job primarily
because of my mother tongue,
Lithuanian. Last year, Lithuanian
operators accounted for 70 percent
of WWL Ibérica’s overall land transport
volumes. I manage the daily dealings
with Lithuanian and other operators,
which means selling loads, as well as
expanding our sub­contractor network
and developing new routes and new
load combinations.”
Ineta grew up in kaunas, Lithuania. She
studied Sports & Tourism Management and
first came to Spain in 1998 to work, as part of
her studies. In 2002, she returned to complete
her MBA thesis and decided to stay. She
joined Spanish automotive manufacturer
SEAT’s service department, dealing with importers
in 64 countries. Ineta Liaudinskaite
speaks six languages: Lithuanian, English,
Spanish, Italian, catalan and Russian. She
also admits to understanding German and
French, but not fluently.
“Since early childhood I was very
interested in languages. At the age
of five, I started asking my mother to
teach me English words! The best
thing about my job is the dynamic
international atmosphere and the opportunity
to use my languages.
I communicate in Lithuanian,
Spanish, Italian and English every
single day.” isabelle kliger

ON THE OcEAN
75yEaRS Of ThE SydnEy haRbOUR bRidgE
On March 18, 2007, WWL participated
in the 75th anniversary celebrations
of the famous Sydney Harbour Bridge
in Australia. When the bridge was
first opened in 1932, Wilh. Wilhemsen’s
MV Temeraire was one of the first
vessels to pass under it as part of
the opening ceremony. In 2007,
the honour instead fell to Wallenius
Wilhemsen Logistics MV Texas.
“We were asked to participate in the celebrations
and, fortunately, our schedule happened
to have us in Sydney on that particular
day,” comments Bjørnar Larssen, captain
onboard the MV Texas. “Furthermore, a
Wilhelmsen ship had led the inbound convoy
when the bridge was opened 75 years ago.
We prepared by touching up the paintwork
on the side of the ship and the names, and
then we hoisted signal
flags, which is a common
custom in the shipping
industry when celebrating.
We also assisted
local representatives in
arranging fireworks and
other effects when we
passed by.”
Bjørnar Larssen.
The MV Texas is a RoRo vessel that
carries High and Heavy cargo, such as
machinery and vehicles used in construction
and agriculture, motor vehicles and break
bulk. Back in the days of the MV Temeraire,
shipping was a very different business.
The MV Temeraire was
delivered to Wilh. Willhelmsen
from St. Nazaire, South
Africa, in December 1927.
In 1958 it was renamed MV
Vogesen and sold
to Germany.
The vessels of today are considerably larger
and faster and the time spent in port is significantly
shorter, with staff working round
the clock. At the time of the bridge opening in
1932, Australia was an export market for products
such as foodstuffs and wool, whereas
The MV Temeraire was 138
meter long, compared to the
162 meter length of MV Texas.
Temeraire also had a gross
tonnage of 6465 MT – less than
a tenth of that of MV Texas.
When MV Texas passed
under the Sydney Harbour
Bridge on March 18 it was
repeating history.
it is now primarily an import market, with
WWL carrying predominantly High and
Heavy products and vehicles into the country.
Gregory and Joan Richardson were two of
six siblings who were onboard the MV Temeraire
when the Sydney Harbour Bridge was
officially opened in 1932. Their father worked
for a wool­buying firm, which was one of
Wallenius Wilhemsen Logistics’ customers
back when wool was a major export product.
They remember sailing from Woolloomooloo
and travelling under the bridge before returning
to port. There was a ‘Punch and Judy’
show onboard and the children were each
given ice­cream.
“We were still in the depression at
the time, so ice­cream was a big treat!”
comments Gregory Richardson.
isabelle kliger
ROUTES 2 2007 25

our industry
canal innovation
waTERway Of ThE fUTURE
The pressure on the Panama Canal continues to build. To meet market
demand, Panama is extending its waterway. In a referendum last year, 78 percent
of Panamanians voted in favour of the extension. Now the rebuilding
is underway and when the canal lies ready in 2015 the amount of
tonnage transiting will be double that of today.
“If we faIl to extend our canal it will drive
traffic to the Suez canal, despite the longer
journey and high bunker costs,” says Jorge
Quijano, project director at autoridad del canal
de Panamá (acP).
the canal is also competing with intermodal
transport between the USa’s east and west
coasts.
Good availability of water is vital for the canal.
in the existing locks, built in 1914, water runs
straight into the sea when they are opened.
in the new locks being built, some 60 percent
of the water is reclaimed in adjacent basins.
the system has already proved itself along
Germany’s Rhine River waterway.
During the dry season there is a shortage of
water in the country, so during the rainy season
water is stored in the Gatún and the alhajuela
lakes. the water used in the canal comes from
these water reservoirs, and Gatún is also part of
the canal waterway.
Stanley Heckadon, a researcher at the
Smithsonian institution, (Smithsonian analysed
the environmental consequences when the first
canal was constructed), says the institution is
very pleased with the planned extension. in the
original plans dating back to 1999–2000, three
modified streams that ran into three artificial
lakes would have collected the water.
“today’s plan is very different and more sympathetic,”
he says expressing satisfaction with the
decision to recycle water by storing it in basins.
customers will benefit from the expansion.
today, almost 90 percent of the canal’s capacity
is used. Without an expansion, the delays and
wwl Through ThE CaNal
WWL ranks among the ten largest customers
in the Panama canal with almost 200 passages
each year, an average of 15 per month:
n 3 to Australia from North America & Europe
n 6 to USA East Coast from Asia
n 6 to USA West Coast from Europe
Source: WWL
26 ROUTES 2 2007
the
waiting
NEw loCks
times will
increase. With the
new locks the waiting 4
times will be reduced and
hence the estimated arrival time to
the next port of call will be predictable.
another consequence of reduced waiting
times is less air pollution.
on the downsIde, the extension means the cost
of using the canal will rise. January saw the acP
announce a hefty increase in fees, but also asking
the shipping companies what they thought, to
which WWl has responded. Despite the efforts
from several industrial bodies, as well as WWl’s
separate initiative, the acP will introduce the
new pricing system, starting July 1 this year with
tolls increasing by eight percent. next year the
increase will be another 11 percent and by 2009
it will be a further 7 percent. WWl is engaged in
keeping costs down sufficiently. the fee increase
impacts all of the shipping lines using the canal.
the ongoing mounting pressure on world
tonnage is leading to bigger vessels. For more
and more shipbuilders, the Panama canal is
increasingly viewed as providing limited options.
the result is they must look at multi-hull options,
which lead to reduced ballast water requirements.
Both technical departments at Wallenius Marine
and Wilhelmsen Maritime Services are currently
exploring new broader vessels. there are many
benefits with such vessels, including their ability
to carry more loads, and that in turn reduces the
environmental impact per transported unit.
UlrIka hallIn
ATLANTIC OCEAN
5
6
ExIsTINg loCks

GATUN
LAKE
1
3
ThE Canal in nUmbERS
n Panamax ship dimensions: max length 294.13 metres.
Postpanamax ship dimensions: max length 366 metres.
n 14,194 vessels transited in 2006, split up as follows:
container vessels (26%), dry bulk (22%), tankers (14%),
vehicle carriers (6%) and others (32%).
n During the first quarter of 2007, the number of vessels
passing through the canal increased by eight percent
and 87 percent of the canal’s capacity was used.
n some 40 percent of world fleet transport from North-
East asia and the usa move via the Panama Canal.
Source: ACP
= New channel
= Dredging
3
1
2
Canal faCTS
1
Two new channels are being
built – deeper and wider than the
existing ones.
The first major excavation work
2 will get underway just behind the
Miraflores lock on the Pacific side of
the channel. But first, archaeologists will
search the site for ancient remains.
Meeting the demands of post-
3 panamax vessels also requires
modernisation of parts of the existing
canal, including dredging. in some sections
underwater blasting will be required.
Two new locks are being con-
4 structed, one on the atlantic side,
and one on the Pacific. the old locks,
33.5 metres wide (from which the term
‘panamax’ stems) are to be replaced by
new ones measuring 55 metres across.
“thanks to the extra width the canal
will be able to take 98 percent of the
world’s tonnage,” says Jorge Quijano at
acP (autoridad del canal de Panama).
The third channel lock has two
5 doors, sliding as pocket doors,
on each side. as the lock operates fully
with just one door, maintenance work
can be done while traffic keeps flowing.
Most of the water is recycled in
6 the adjacent basins instead of the
water running straight into the sea,
as before.
You can follow the building
work on www.pancanal.com
PANAMA CITY
PACIFIC
OCEAN
0 10 20 km
IllusTraTIoN: JoNas ENgluND
ROUTES 2 2007 27

from factory to dealer
– follow a car on its trip 20
the office: hard effort
in durban, south africa 22
a new panama canal 26
india office
opens in mumbai 4