ISM Code – Its Application

Towards the end of 1980s IMO got very concerned with the number of maritime accidents that continued to take place. They thus ordered for a
study to be conducted to find the root cause behind the accidents and the study went on for almost five years. The study analysed almost all the
maritime accidents in the past 50 years and concluded that approximately 80% of all maritime accidents in the past were caused due to the
human error and suggested that IMO should seriously look into the human element of ship operations rather than develop another technical
Convention like SOLAS, MARPOL Load Line etc. this gave birth to the ISM Code.

The ISM Code was included in the SOLAS Convention as Chapter IX and came into force in two phases as follows:

 Phase 1 – 1st July 1998 – for tankers and passenger ships.

 Phase 2 – 1st July 2002 – for all other ships.

Objectives of ISM Code

SHIP SEAFARER SHIP OWNER

SOLAS STCW ISM Code
MARPOL MLC (of ILO)
Load Line

It is very important to understand that the ISM Code has been developed for the ship owner (as shown in the table above by referring to a few
basic Conventions’ applicability) thereby holding him 100% responsible, by law, for safe operation of his ships and prevention of pollution from
his ships on a daily basis by creating a genuine link between the shore management and each of his ships. Also, the ISM Code is very clear on
the definition of a ship owner – any person / company that is responsible for the day-to-day management of the ship is the ship owner and thus it
includes the ship management company, bareboat charterer etc.

In a nutshell then, the objectives of ISM Code can be summarised by the ship owner being responsible for the following:

 To have in place a Safety and Environment Protection Policy for safe operation of his ships and prevention of pollution from his ships.
 To convert the aforementioned policy into an action plan in the form of a Safety Management System (SMS) - this will give details of
procedures by identifying all the risks involved.
 To have the SMS reviewed continuously on a regular basis and plug any gaps, if and when found.

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 ISM Code – Its Application
 To ensure training of all people employed by him for the job that each individual is responsible for.

Elements of ISM Code / Functional Requirements of ISM Code / Practical Application of ISM Code

(The above title is given in three formats because in the examination it can be asked in either of them and the answer will be the same as
discussed below)

Before proceeding further, we need to understand the basic concept of quality assurance because the developers of ISM Code used the concept
of QUALITY and therefore ISM Code is a highly documented system.

So, what is quality? Very simply put – you deliver what you promise to deliver. Let’s look at an example – let’s say I am a white board marker
manufacturer and I give a promise to the clients (the customers) that if you buy this marker it will write perfectly on a normal white board for a
distance of 30 meters. You decide to buy it and test it by drawing lines on the white board you also decide to measure the lines drawn on the
white board and find that, yes, the marker is continuing to write properly even after it has been written with for 30 meters. The marker therefore
is a quality marker because it has “DELIVERED” what it had “PROMISED to DELIVER”. This was the case with a visible product. The same
approach of quality is applied in case of providing services. Let us say a maritime training institute wants to become a QUALITY training
provider. It will have POLICY to become the No. 1 maritime training institute in the country. The next logical step would be to draw the Action
Plan, in the form of procedures contained in manuals, to convey “The Intent” to deliver “The Promise”. Next, it will have DOCUMENTED
RECORDS as a PROOF of DELIVERY of “The Promise”. And finally, to upkeep the system so developed and certified a quality organisation,
it will have internal audits and training of its personnel on a regular basis. The certifying authority will give the institute a Quality Certificate.

Quality assurance system vs. ISM Code - the Important Difference

There is no doubt about it; the developers of the ISM Code were clearly following a methodology which had been developing for many years in
quality management systems. It has been suggested that a ship owner who fully implements the ISM Code is probably more than 80 percent
compliant with ISO Quality Assurance System. However, this DOES NOT means that a ship owner or ship manager who is an already certified
ISO Quality Assurance System will be ISM Code compliant. Whilst the two types of management systems may be very similar in some ways,
and may indeed support each other, there is a very important difference, which is not always fully appreciated.

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 ISM Code – Its Application
QUALITY assurance is a VOLUNTARY PROCESS, which shows that the audited company or body performs to certain standards, which the
body itself sets. If he fails to implement the Quality System in accordance with his own written procedures then he may very well find that the
consequences will be that the accrediting body will withdraw the accreditation. There is very unlikely to be a legal or insurance ramification.
However, compliance with the ISM Code is quite different – it is a MANDATORY REQUIREMENT (as required by the law of SOLAS
Convention). If a ship owner fails to comply there may be serious legal and insurance implications, since the ship owner would be in breach of
the law of his Flag state and international law and may NOT be able to TRADE his ship at all.

Designated Person Ashore (DPA)

The role and function of the Designated Person is quite new for most companies within the international shipping industry. The implication and
role of the designated person may, potentially, have a most significant impact and effect upon the legal position of the ship owner or manager
when questions of actual fault are considered.

The clear intention has been to create an identifiable contact point between the senior levels of the shore management and the ship. However, in
the past the marine superintendent accomplished this role. But, with various changes within the shipping industry in the past 20 to 30 years, this
in some cases had a diminishing role with the result of creating a void leading to a breakdown of communications indicating the level of
relationship between the shore and the ship. So, what is the role of designated person?

First, it is clearly anticipated that within any company there can be more than one designated person. The actual role of the designated person
seems to be threefold:

1. A conduit between the company ashore and the specific ship on all matters relevant to the SMS
2. An independent individual with direct access to the highest levels of management
3. An over-seer – verifying and checking that the SMS is functioning adequately

It is not intended that the DP should be directly involved in the implementation of the SMS – such tasks would rest with those on board the ship
in conjunction with the relevant superintendents or safety manager. It is also significant to note that the DP does not have to be one of the
“highest levels of management”. Indeed there is no specific requirement for the DP to be a member of the company’s management at all,
although it is suggested that this would usually be the case.

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 ISM Code – Its Application
When analysing the role of the DP, it is important to look at the wording in the ISM Code. The requirement is that the DP must have “direct
access” to the highest levels of management. It does not say that the DP must actually “report” to the highest levels of management. The idea
therefore is to have that direct access to report or to gather support of the highest levels of management if it is found that certain line managers or
superintendents or masters were failing in their responsibilities and duties to implement and maintain the SMS. The responsibility and authority
of the DP therefore includes:

 Monitoring the safety and pollution prevention aspects of the operation of each ship
 Ensuring that needed resources and shore-based support are applied as required

Within the context of these two guidelines the DP also has responsibility:

 For organising safety audits

 For monitoring that corrective action has been taken

A common sense understanding therefore delineates that the combined functions of the DP is the overall management of SMS, including the
provision of required resources to enable the SMS to be managed effectively.

The Master

Apart from the roles and responsibilities of the Master that we all are aware of, the ISM Code imposes even more duties and responsibilities on
the Master:

 Implementing the safety and environment protection policy of the Company

 Motivating the crew in the observation of that policy
 Issuing orders and instructions in a clear and simple manner
 Verifying that specified requirements are observed
 Reviewing the SMS and reporting its deficiencies to the shore based management

One important aspect to understand is that the Master still remains in command and the requirements of the ISM Code do not override that
position. The Master holds one of the most important roles within the SMS of the ISM Code. Unless the Master can motivate his officers and

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 ISM Code – Its Application
crew to actually implement the SMS and allow it to function as it was intended, then the whole project will be nothing more than a few thousand
words on pieces of paper in procedures manuals – but there will be no SMS.
What a Master is required to do is to have a good contemporaneous documented evidence of a fully functional SMS that will include details all
reports of accidents, non-conformities and hazardous occurrences, details of safety meetings on board, training and familiarisation on board and
communications with the DPA.
Now the Elements / Functional Requirements / Practical Application (ELEMENTS in a Logical Sequence)

1). Safety and Environment Protection Policy Developed by Ship owner Approved by Flag State because

(“The Promise” for safe operation of ships and and applicable within the whole organisation to implement ISM Code is a

Prevention – shore and ships requirement by law of SOLAS

2). Safety Management System (SMS) Shore Procedures developed by ship Approved by Flag State because

(“The Intent” to deliver “The Promise” in the form of owner within the whole to implement ISM Code is a

An action plan to put the policy into practice) Ship organisation requirement by law of SOLAS

KEY OPERATIONS CRITICAL OPERATIONS EMERGENCY OPERATIONS

(Day-to-Day and Routine) (HIGHER levels of RISK) (Preparedness CONFIRMED by
regular DRILLS)
Watch-keeping Bunkering Abandon vessel
Routine cargo operations Enclosed Space Entry Fire
Routine maintenance Navigating in restricted visibility Collision
Anchoring Encountering heavy weather (wind force 6 or Grounding
higher)
Arrival / Departure etc. STS operation etc. Man overboard etc.

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 ISM Code – Its Application
3). Record-Keeping Shore – Responsibility of DPA Checked by Flag State during EXTERNAL

(“The Proof” of delivery of “The Promise” Audit

Ship - Responsibility of Master

4). Documentation Shore – Document of Compliance (DOC) ISSUED by Flag State after EXTERNAL

(“Confirmation” of implementing “The Promise” Audit – both VALID for FIVE years

As required by law of ISM Code) Ship – Safety Management Certificate (SMC) (SMC’s validity is dependent on validity of

DOC)

5). Continuous Review of SMS Shore – Responsibility of DPA Continuous INTERNAL AUDITS at regular intervals -

(To ensure that “The Promise” is ALWAYS being ALL observations / non-conformities attended to and

DELIVERED) Ship - Responsibility of Master CLOSED without delay

6). Continuous Maintenance

(To ensure allocation and readiness of RESOURCES Done through Planned Maintenance System (PMS) and all details documented

For the delivery of “The Promise” at ALL TIMES

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 ISM Code – Its Application
7). Communication Within the ship

(To ensure TRANSPERANCY for smooth Ship to shore office and shore office to ship

Functioning of the system and to ensure Ship to shore authorities (VTS, Pilot, Port Authorities, Customs, Immigration,

NO OBSTRUCTIONS in delivery of “The Promise”). Surveyors, Charterers and Agents etc)

8). Training Shore – Responsibility of DPA Types of training includes – Familiarisation training ashore and

(To ensure ALL people employed are trained to on ship; Safety Meetings; Safety Literature; Safety Posters;

Deliver “The Promise” at ALL times) Ship - Responsibility of Master Computer Based Training (CBT); Drills; Onboard Practical

Training; Conferences / Seminars / Workshops ashore

9). Power and Authority

(To ensure that complete power exists so that Shore – DPA having COMPLETE ACCESS to the TOP MANAGEMENT at all times

“The Promise” is not only properly delivered

But more importantly power and authority is used

To PREVENT ANY OBSTRUCTIONS in the Ship – Master having POWER to BYPASS the SYSTEM in order to ensure PREVENTION of ANY ACCIDENT

Timely delivery of “The Promise”)

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