MAERSK SHIPPING LINE

1. INTRODUCTION:
The Maersk shipping line is the worlds first largest container shipping company.
The Maersk line is a private shipping company founded in 1928 by Arnold Peter Moller and known
for reliable flexible and eco efficient services. It is a customer focused company. The corporate
office is located at Copenhagen, Denmark. It serves customers through 375 offices in 116
countries employing 7100 seafarers and 25,500 land based employees. It has a fleet of 610
vessels with a capacity of 2,933,081 TEUs. Maersk line is consisting a share of 15.2% of world
containerization. It has 59000 customers across the world. It carries 11 million full capacity
containers annually and covers almost all the ports in the world. The Maersk line has a new CFO
Pierre Danet who previously was a vice president and regional CFO of Hewlett Packard, printing
and personal systems in EMEA has taken charge from 7th April 2015.

AWARDS AND RECOGNITION:

They have received many awards and recognised by the media, many industries
and as well as from the customers from all over the world for the work done even though they
put their customers on the top priority. The following are the list of awards received from the
past years
Nominated for the global carrier award 2015
Shipping line of the year 2011, 2012, 2013
Best global shipping line and best shipping line -2010, 2011, 2012, and 2013
Green Innovative Award 2010
Award for bravery 2011
Company of the year 2013
Most desired employer 2012

VISION:
They want to create opportunities in global commerce

MISSION STATEMENT:
1.
2.
3.
4.
5.

Their mission is to truly understand their clients and their customers

They are to none transportation solutions
Being profitable and delivering sustainable profitable growth
Continuously reducing costs and increasing efficiency of the company
They help their employees by personal growth and by giving them a motivating place

to work
6. Innovation
7. Being good corporate citizens

POLICIES:
Maersk line has committed to conduct a responsible and lawful business with
respect of the wider economy, social and environmental impacts throughout all aspects of our
vessel and shore operations.
They work hard to promote the same principles to their customers, suppliers and
other business partners.
AP Moller- Maersk Groups core values and polices as well as their commitment
to the UN Global Compact emphasizes their commitment to driving continual improvement in
Health & safety, Environment, Human and Labour Rights, Anti-corruption and Security. To
achieve all these objectives, they all proactively identify and mitigate risks of negative impacts in
those areas. They also communicate openly about their performances.

They all conduct vessel operations and business activities in such a way that they
protect the health and safety of the employees working under their control and supervision. Their

aim is Zero accidents through establishing a strong safety culture at all levels within their
organisation.
They are reducing the impacts of the CO2 emission by introducing the Triple-E
vessels which mostly reduce the CO2 per container basis. They are working towards a continual
drive to reduce air emissions responsible use and disposal of resources and prevention of
damage to the marine environment caused by their vessels.
They are very careful about the internationally recognized human rights and work
not to violate the human rights as they have global business activities. As an employer they are
ensuring that all their employees are treated in a manner consistent with the APMM Global
Labour Principles and applicable laws and labour conventions.
They are bound to their laws and fundamental values of the A.P. Moller Maersk
group. It is their policy that no employee whether directly or through other third party to
engage in any form of corrupt practice including bribery and extortion.
They take excessive care to prevent breaches of security and cooperate actively,
openly with pertinent authorities. They rank security considerations equally with commercial and
operational factors in managing their business.

SHIPPING WITH MAERSK LINE:

It has 400 trades all over the world through their vast network of shipping
services, each of which is interlinked with each other.
They have the capacity of 3,800,000 TEU of containers and their fleets calls 300
ports. Their customers serve clients all over the world, and therefore they are present in
every major port from Dutch Harbour in Alaska to port Chalmers on the southern tip of
New Zealand.
They have the capacity to move 1,000,000 containers 1,000 km each week. And
on yearly basis they make 35,000 port calls which is equivalent to 4 port calls each hour.
The major routes of Maersk line providing 265 services which are:

1.
2.
3.
4.
5.
6.
7.

Asia-Europe 12 East Bound services, 12 West Bound service and 70 feeder service
Africa 4 direct service and 12 feeder
Trans-pacific (asia-america) 9 east bound service and 9 west bound
Latin America 38 service and 12 feeder
Trans-Atlantic (America-Europe, Mediterranean, middle east) 16 services
Oceania 14 services and 1 feeder
Intra-Asia 19 services and 35 feeder

NEW TARGET:
They have new target of reducing reduction of CO2 emissions per container per
kilometer by 40%.
The new invention Triple-E ships are reducing the CO2 emitted from transport of
goods between Asia and North Europe by 50%. As triple-E is the worlds biggest ship which can
carry more TEU. And the CO2 per container will also be very less which is approx... 3 grams of
CO2 per tonne of goods per 1 kilometer. The vessel is designed to sail relatively slowly as
compared to other vessels and therefore it is equipped with significantly less horsepower. It is
also equipped with waste heat recovery system which turns the hot exhaust gas into extra energy
for propulsion. So we believe that Triple-E is a good news for environment. Even though they
pollute same as other ships but the pollution per container decreases. We can significantly
decrease more CO2 when right technology is combined with new and innovative ideas.
They are reaching this goal with a scientific goal of the program E-triple idea to
which it obtained from scientific, economical and environmental high ambition thought. They
reduced the speed of the ships, which is not in line with the desire of owners of the goods,
because the owner of the cargo is interested in the place after the price of freight is reached his
goods to the market first in order to seep the market and controls the price of the goods before
rivals from the other merchants and this saw most of the traders here in Egypt and soudi Arabia,
UAE, Hong Kong, Korea.

FINANCIAL RESULTS:

The financial results of the company are so good as the company is increasing its profit
by 90% (approx.) every year. The reported profit for FY 2013 was 1510 and for FY 2014 was
2341 USD million. The volume has also increased from 9,442,000 to 8,839,000 FFE. The return
on capital investment has also increased from 7.4% to 11.6% which is expected to increase more
higher for 2015. And the total value of goods transported is estimated at 675 billion USD in
2012. Their reports are very satisfactory as increased their profits by 831 million USD. They
achieved this by lowering their unit cost and decreasing by 1.6%. This lower unit cost is the
result of a beter vessel utilisation and network efficiencies.

TRANSPORTATION SECURITY PROVIDED:

In order to provide highest level of security for the customers and employees they follow
security considerations as highly as commercial and operational factors in a way to prevent all
potential security breaches.
They are getting full support from all the responsible authorities from all over the world
to take all measures necessary for the maintenance of the highest security standards all times,
both at shore and onboard.
The various security measures are:
1.
2.
3.
4.
5.
6.

Customs-Trade Partnership Against Terrorism (C-TPAT)

EU Authorised Economic Operator (AEO)
U.S. Customs 24-Hour Advance Vessel Manifest Rule
Canada Border Services Agency Advance Commercial Information
International Ship and Port Facility Security
China Customs Advanced Manifest (CCAM)

SHIPPING SERVICES:

Your promise delivered

Dry Cargo
Reefer cargo
Special cargo

Customer cargo
Routenet
Rates and pricing
Inland transport
Used container sales
Customer charter

customer advisories

YOUR PROMISE DELIVERED:

Every day our customers make promises of their own to their customers.
Your promise. Delivered. is Maersk Lines acknowledgement and appreciation of the
importance of keeping these promises and of the part we have to play in helping to deliver them.

Their business thrives on their customers results. With their ongoing commitment to
them; they are better able to fulfil their promise to their customers.

They encourage open conversation with their customers in order to understand and
address their current and future needs & working towards industry leadership through
innovation that brings customers value.

Customers can expect reliable, efficient and consistent product and service solutions,
providing the strongest foundation to deliver on the given promises.

SOCIAL MEDIA:
Social media is offering the company the ability to come close to their customers and
stakeholders all around the world including current and future employees, and those who are
interested in what we do.

The main of the company was to get closer to customers which is more possible
through the social media. They are available on almost all social media groups.

GLOBAL CARRIER OF THE YEAR:

The Maersk line has been success through its innovations and services provided to
the customers. In the face of the challenges, it continues to innovate and deliver. It mainly focus
on delivering the basics, as well as some most reliable services. It has excellent customer
experience in the evolution of its customer charter and My Maersk line.
There are six key elements that made Maersk line to get nominated as a candidate
for Global Carrier of the year they are:
1.
2.
3.
4.
5.
6.

Financial performance
East west network offering incorporating 2M
Kotahi partnership
Continued reliability
My Maersk line
Customer charter
Through this the Maersk line has gone 55% up profit for the year 2014 up on

2013. This was achieved by decreasing their rates by 1.6%, and the delivery was stronger than
the expected volumes and lower unit costs. The long term strategy of the company is growing in
the market, ensuring the sustainable growth. The market share of the company is 15% of the
global market.
This financial success has supported in many new innovations. The East
West network offering incorporating 2M, is designed for the reliability, responsibility, direct and
comprehensive. When the East-West trades are going into the loses due to higher costs and lower
freight rates, the innovations such as this means that carriers can continue to deliver a quality,
sustainable service for a long term, in turn allowing to take longer supply chains.

In 2014 the partnership with New Zealand freight and logistics company
Kotahi, which promised the Maersk with 2.5 million 20 feet containers of exports for 10 years
commencing from 1st August 2014. This allows Maersk line to deploy 65oo TEU vessels to New
Zealand. The ships which are fuel efficient on per container basis. This will also help in
reduction of CO2 of New Zealand exports using ocean freight by 22% per container unit
compared to the existing New Zealand industry average.
The Maersk line is also getting wider in technology in the shipping
industry, MyMaersk line sets the benchmark for online booking platforms. Many customers are
using it to manage their bookings. 80% of the online bookings are confirmed within 20 min. this
frees up frontline customer service teams to offer deeper and more personnel services to the
customers, and allows the customers who want a quick and easy control of their cargo.
When we talk about reliability the Maersk line always top in the shipping
industry. Throughout 2014, independent analysts such as SeaIntel and Drewry regularly Maersk
line as the top performing carrier for reliability. SeaIntel gave a score of 83.7% to the Maersk
line against an industry average of 72.2%. Drewry gave score 80% with an average on tine
performance.
Customs charter is Underpinning Maersk line performance and
innovations, and its commitment to the standard level of services. It depends on what the
customer wants the company constitutes excellent customer service, the charter aims to improve
accuracy and turn time for the customers, and allows them have easy way to control their cargo.
All these six elements point to one thing - delivering a quality, sustainable
service for the customers of Maersk line.

SUSTAINABILITY:
The company sustainable efforts to create value for their customer,
shareholders and society in three Key areas:

Strong Environmental Performance:

The main focus is on environmental performance and efficiency of
vessel operations. They seek to maintain their Co2 advantage in the industry. They
are mainly concentrating on energy efficiency of charter vessels, innovation in
ships design, and innovation in container design and innovation. There is a strong
progress on CO2 emissions. The company has seen 12% reduction in CO2 per
container kilometer. Today CO2 emissions are 34% lower as compared to the 2007
baseline. Now the company is targeting to 40%.
A responsible business partner:
The company takes due care to protect their name and values. At the
end of 2013, the company had 746 suppliers who signed up for Responsible
procurement Programme 37% of Maersk line procurement spend in scope. 2014
the main focus is to increase the number of suppliers.
The purpose of the programme is not to penalize suppliers who do not
confirm to our standards, they recognize that responsible business standards and
practices in a long term journey.
Preferred Choices for Customers:
The company work to enable transparency for their customers and act
according to their customers, supporting their efforts to create more sustainable
supply chains and to create joint value for sustainable profitable growth.

MAERSK LINE INDIA:

Maersk line was established in India on 6 th August 1990, and has since expanded
its operations in the business across the supply chain. Maersk line India carries cargo to and from
all major ports in India. Their services reaches across India and Sri Lanka.
The major exports include Garments and Apparel from Tirpur, Mumbai and New
Delhi: Cotton from Mumbai, Tuticorin and Gujarat: Iron and steel from Kolkata, Mumbai and
New Delhi and Auto Products from Mumbai Chennai and Ludhiana.
The Key Imports are Paper from USA; Metal from USA, UK and South Africa,
Chemicals from Germany and China and Auto Products from Korea, Czech Republic and
Germany.
It also carries reefer containers with cargo like seafood, fruits, vegetables,
sensitive machine parts and other humidity sensitive products all for the satisfaction of the
customer.
India welcomes first shipment of Polish apples from Poland. Poland is actually
the worlds largest exporter of polished apples. Poland has target to sell the apples to India,
Vietnam, Thailand, Malaysia, Singapore and other countries across Asia and Maersk line in
Poland has Clearly saw this as an opportunity to boost reefer shipments to others parts of the
worls.