shipping kpi standard · 2020. 12. 18. · the shipping kpi standard v4.0 page 6 of 141 2 summary...

The Shipping KPI Standard V4.0 Page 1 of 141

The Shipping KPI Standard

V4.0

Released September 2020


Shipping KPI Standard

1 Table of Contents 2 Summary of changes in KPI standard v4.0 ............................................................................. 6

2.1 What’s new? ..................................................................................................................... 6

2.1.1 Rankings instead of Ratings .................................................................................................. 6

2.1.2 KPIs ........................................................................................................................................ 6

2.1.3 PIs .......................................................................................................................................... 6

2.1.4 Ship attributes ....................................................................................................................... 6

2.2 What’s eliminated? ........................................................................................................... 6

2.2.1 SPIs ........................................................................................................................................ 6

2.2.2 KPIs ........................................................................................................................................ 7

2.2.3 PIs .......................................................................................................................................... 7

2.3 What has change? ............................................................................................................. 7

2.3.1 KPIs ........................................................................................................................................ 7

2.3.2 PIs .......................................................................................................................................... 7

3 Concepts .................................................................................................................................. 8

3.1 Hierarchy of indicators ..................................................................................................... 8

3.2 KPI Groups ....................................................................................................................... 9

3.3 Key Performance Indicators (KPI) ................................................................................. 10

3.4 Performance Indicators (PI) ........................................................................................... 11

3.5 KPI Depository ............................................................................................................... 12

4 Key Performance Indicators .................................................................................................. 13

4.1 Ballast water management violations ............................................................................. 13

4.2 Budget performance ....................................................................................................... 15

4.3 Cadets per ship ............................................................................................................... 17

4.4 Cargo related incidents ................................................................................................... 18

4.5 Condition of class ........................................................................................................... 20

4.6 Contained spills .............................................................................................................. 22

4.7 Crew disciplinary frequency .......................................................................................... 24

4.8 Crew planning ................................................................................................................ 26

4.9 Drydocking planning performance................................................................................. 28


4.10 Environmental deficiencies ........................................................................................ 30

4.11 Failure of critical equipment and systems .................................................................. 32

4.12 Fire and Explosions .................................................................................................... 34

4.13 Port State Control performance .................................................................................. 36

4.14 Health and Safety deficiencies ................................................................................... 38

4.15 HR deficiencies ........................................................................................................... 40

4.16 Lost Time Injury Frequency ....................................................................................... 42

4.17 Lost Time Sickness Frequency ................................................................................... 44

4.18 Navigational deficiencies ........................................................................................... 46

4.19 Navigational incidents ................................................................................................ 48

4.20 Officer retention rate .................................................................................................. 50

4.21 Officers experience rate .............................................................................................. 52

4.22 Operational deficiencies ............................................................................................. 54

4.23 Passenger injury ratio ................................................................................................. 56

4.24 Port state control deficiency ratio ............................................................................... 58

4.25 Port state control detention ......................................................................................... 60

4.26 Releases of substances ................................................................................................ 62

4.27 Security deficiencies ................................................................................................... 64

4.28 Training days per officer ............................................................................................ 66

4.29 Ship availability .......................................................................................................... 68

4.30 Vetting deficiencies .................................................................................................... 70

4.31 Total Recordable Case Frequency .............................................................................. 72

4.32 Total Recordable Case Frequency including First Aid Cases .................................... 74

4.33 Overdue tasks in PMS ................................................................................................ 76

5 Performance Indicators .......................................................................................................... 78

5.1 Actual Drydocking costs ................................................................................................ 78

5.2 Actual drydocking duration ............................................................................................ 79

5.3 Actual unavailability ...................................................................................................... 80

5.4 Agreed drydocking budget ............................................................................................. 81

5.5 Agreed drydocking duration........................................................................................... 82

5.6 Number of officers employed ........................................................................................ 83

5.7 Last year’s AAE (Additional Authorized Expenses) ..................................................... 84

5.8 Last year’s actual running costs and accruals ................................................................ 85

5.9 Last year’s running cost budget ..................................................................................... 86


5.10 Number of absconded crew ........................................................................................ 87

5.11 Number of allisions .................................................................................................... 88

5.12 Number of ballast water management violations ....................................................... 89

5.13 Number of beneficial officer terminations ................................................................. 90

5.14 Number of cadets under training with the DOC holder .............................................. 91

5.15 Number of cargo related incidents .............................................................................. 92

5.16 Number of cases where a crew member is sick for more than 24 hours .................... 94

5.17 Number of cases where drugs or alcohol is abused .................................................... 95

5.18 Number of charges of criminal offences .................................................................... 96

5.19 Number of collisions .................................................................................................. 97

5.20 Number of conditions of class .................................................................................... 98

5.21 Number of contained spills of liquid .......................................................................... 99

5.22 Number of seafarers not relieved on time ................................................................ 100

5.23 Number of dismissals ............................................................................................... 101

5.24 Number of environmental related deficiencies ......................................................... 102

5.25 Number of explosion incidents ................................................................................. 103

5.26 Number of failures of critical equipment and systems ............................................. 104

5.27 Number of fatalities due to work injuries ................................................................. 105

5.28 Number of fatalities due to sickness ......................................................................... 106

5.29 Number of fire incidents ........................................................................................... 107

5.30 Number of groundings .............................................................................................. 108

5.31 Number of health and safety related deficiencies ..................................................... 109

5.32 Number of HR related deficiencies .......................................................................... 110

5.33 Number of logged warnings ..................................................................................... 111

5.34 Number of lost workday cases .................................................................................. 112

5.35 Number of navigational related deficiencies ............................................................ 113

5.36 Number of officer days onboard all ships with the DOC holder .............................. 114

5.37 Number of officer experience points ........................................................................ 115

5.38 Number of officer terminations from whatever cause .............................................. 116

5.39 Number of officer trainee man days ......................................................................... 117

5.40 Number of officers onboard ..................................................................................... 118

5.41 Number of operational related deficiencies .............................................................. 119

5.42 Number of passengers injured .................................................................................. 120

5.43 Number of permanent partial disabilities ................................................................. 121


5.44 Number of permanent total disabilities (PTD) ......................................................... 122

5.45 Number of PSC deficiencies ..................................................................................... 123

5.46 Number of PSC inspections ...................................................................................... 124

5.47 Number of PSC detentions ....................................................................................... 125

5.48 Number of PSC inspections resulting in zero deficiencies ....................................... 126

5.49 Number of recorded external inspections ................................................................. 127

5.50 Number of releases of substances to the environment ............................................. 128

5.51 Number of security related deficiencies ................................................................... 129

5.52 Number of oil spills .................................................................................................. 130

5.53 Number of unavoidable officer terminations ............................................................ 131

5.54 Number of ships operated under the DOC holder .................................................... 132

5.55 Number of observations during commercial inspections ......................................... 133

5.56 Number of commercial inspections .......................................................................... 134

5.57 Number of violations of rest hours ........................................................................... 135

5.58 Passenger exposure hours ......................................................................................... 136

5.59 Planned unavailability .............................................................................................. 137

5.60 Total exposure hours ................................................................................................ 138

5.61 Overdue tasks in PMS .............................................................................................. 139

5.62 Medical Treatment Cases ......................................................................................... 140

5.63 First Aid Cases.......................................................................................................... 141


2 Summary of changes in KPI standard v4.0 2.1 What’s new? 2.1.1 Rankings instead of Ratings

KPI Rankings, the replacement of Ratings, is a new benchmarking method where performance is

regarded as relative to who I am compared with. As part of this concept, custom KPI targets are

also introduced to enable companies to set their own targets.

Ranking is an implicit benchmark where performance is regarded as relative to who I am compared

with. Each ship is compared with other ships on the same KPI based on its own ranking criteria,

hereby creating a ranking result where each ship is given its rank.

More information can be found in the “Concepts” page.

2.1.2 KPIs

1. KPI034: Total Recordable Case Frequency (TRFC)

2. KPI035: Total Recordable Case Frequency and First Aid Cases (TRFC & FAC)

3. KPI036: Overdue tasks in PMS . The formula takes into account the new PI065

Overdue tasks in PMS

2.1.3 PIs

1. PI065: Overdue tasks in PMS

2. PI066: Medical Treatment Cases (MTC)

3. PI067: First Aid Cases (FAC)

2.1.4 Ship attributes

In replacement of the emissions related KPIs, a new ship attribute is added to reflect the Energy

Efficiency Design Index (EEDI). The EEDI value can be found in the ship’s International

Energy Efficiency Certificate (IEEC).

For the new ship attribute the code META025 is used.

2.2 What’s eliminated? 2.2.1 SPIs

The entire SPI concept is eliminated and replaced by the concept of KPI groups. KPIs are

combined into 8 KPI groups for better categorization and visualization purposes. No form of

calculation or aggregation is happening on this level.

https://www.shipping-kpi.org/book/pages/concepts#?kpiProfileId=22


2.2.2 KPIs

The following KPIs are being eliminated from the KPI Standard v4.0:

1. KPI005: CO2 efficiency

2. KPI021: NOx efficiency

3. KPI030: SOx efficiency

2.2.3 PIs

The following PIs are being eliminated from the KPI Standard v4.0:

1. PI007: Emitted mass of CO2 which contributes to KPI005

2. PI008: Emitted mass of NOx which contributes to KPI021

3. PI009: Emitted mass of SOx which contributes to KPI030

4. PI064: Transport work which contributes to KPI005, KPI021 and KPI030

2.3 What has change?

The following are the changes to improve the standard.

2.3.1 KPIs

The following KPIs are being enhanced for the KPI Standard v4.0:

1. KPI008: Crew Disciplinary – Calculation period changed to quarterly.

2. KPI032: Ship Availability – Calculation period changed to quarterly. Formula

updated.

2.3.2 PIs

The following PIs are being enhanced for the KPI Standard v4.0:

1. PI003: Actual Unavailability – Measuring period changed to quarterly.

2. PI022: Ship Availability – Measuring period changed to quarterly.

In case you would like to have further clarifications about the changes in the new KPI standard

v4.0, please contact us at [email protected]

mailto:[email protected]


3 Concepts 3.1 Hierarchy of indicators

The Shipping KPI Standard is built up hierarchical with 3 different levels:

1. Key Performance Indicators (KPI) groups 2. Key Performance Indicators (KPIs) 3. Performance Indicators (PIs)

There is a mathematical relation between the last two levels. In basic terms, Key Performance

Indicators are calculated from Performance Indicators (lowest level) using a KPI formula.

On the lowest level you find the PIs, 63 in number, which are based on data capture (measurements

or counters) directly from a ship or from the shipping management. Data is collected once and re-

used within the Shipping KPI Standard in order to reduce the amount of data.

On KPI level a form of normalization take place. The 33 KPIs are scaled into a range from 0-100,

where zero indicates low and 100 is outstanding performance. This makes it possible to compare

ships with different characteristics or amount of data captured.

Finally, on the highest level the KPIs are combined into 8 KPI groups for better categorization and

visualization purposes. No form of calculation or aggregation is happening on this level.

63 PIs

33 KPIs

8 KPI GroupsKPI

Group

KPI

PI PI

KPI

PI PI PI


3.2 KPI Groups

The old concept of Shipping Performance Indexes (SPIs) has been replaced from the concept of

KPIs Groups. Compared to SPIs, KPI Groups do not express any form of aggregated performance

in any area. No calculation is happening on this level. It’s just used as a grouping criteria. By

default, the system makes use of the following groups:

▪ Environmental ▪ Health and Safety ▪ HR Management ▪ Navigational Safety ▪ Operational ▪ Security ▪ Technical ▪ Port State Control


3.3 Key Performance Indicators (KPI)

The Key Performance Indicators (KPIs) are expressions of performance within a specific area. The

KPI can be expressed in two ways:

• Absolute

• Relative

The absolute KPI Ranking is derived from a descending list sorted by the highest to lowest

performance rank returning the actual position of the ship within its ranking criteria. E.g. rank 4

out of 500.

The relative KPI Value is mathematical combination of relevant Performance Indicator Values.

The return value is a percentile position within the ranking criteria on a scale between 0% and

100%. The KPI Value allows users to target their performance to top 5%, 10% or similar value.

E.g. rank 4 out of 500 translates to 99,21%.

A KPI is:

• a numerical, objective measure of performance

• key to the strategic business objective

• actionable and influenced by the relevant stakeholder/manager

• accountable to stakeholder/manager

• output oriented, not focused on input or activity

• possible to calculate with limited efforts and within limited time

The objectives of KPIs are to:

• measure for continuous improvement

• measure for internal and external benchmarking

• measure to set incentives


3.4 Performance Indicators (PI)

The Performance Indicators (PIs) are the building blocks giving the basis for KPI Value

calculations. PIs are directly observable parameters (measurements) for each ship under

management, e.g. Number of dismissals, Number of collisions and Number of fire incidents.

The Performance Indicators are the only elements that must be reported manually or by means of

implemented Information Communication Technology (ICT). Focus has been to provide the

hierarchy with unambiguous definitions of measurable low level parameters based on existing

measurements in the industry. Each PI may be used in the calculation of several Key Performance

Indicators (KPIs). An example is the PI Number of recorded external inspections which is used as

a denominator in the calculation of several KPI Values.

https://www.shipping-kpi.org/book/definition/PI022https://www.shipping-kpi.org/book/definition/PI032https://www.shipping-kpi.org/book/definition/PI052


3.5 KPI Depository

The depository contains detailed information about the Shipping KPI Performance Hierarchy

through:

1. Description of all Performance Indicators including:

a) Specification of data capture (PI Values) b) Their context in light of how the PI Values are used in the hierarchy c) Any intermediate calculation formulas that must be applied to be able to obtain

the PI Values

2. Description of all Key Performance Indicators including:

a) The KPI’s objective (what to measure) b) The KPI Value calculation formula c) A KPI Ranking calculation example

The clarification of roles and responsibilities related to the management of the Shipping KPI

Depository is under the responsibility BIMCO this includes the maintenance of the Standard.

However, the actual work may be contracted to a different organization, and the Shipping KPI

Depository may be hosted by a 3rd party provider.

The maintenance will at a minimum consist of:

• Updates and enhancements of the web service

• Revision of the KPI/PI descriptions

• QA support service

• Management of the ICT platform


4 Key Performance Indicators 4.1 Ballast water management violations 4.1.1.1 Description

This KPI expresses the company's ability to adhere to applicable rules and regulations related to

management of ballast water.

4.1.1.2 Interpretation

It is the number of times where prevailing regulations regarding management of ballast water

have been violated and recorded by an external party.

Calculation Period Quarterly

Scope Ship level

Unit Violations

4.1.1.3 KPI Value Formula

PI015 Number of ballast water management violations

KPI 𝑣𝑎𝑙𝑢𝑒 = PI015

4.1.1.4 Ranking calculation example

Step 1: Calculate KPI value

PI015: Number of PSC deficiencies in a quarter = 10

KPI 𝑣𝑎𝑙𝑢𝑒 = PI015 = 10

Step 2: Calculate percentile rank by comparing KPI value against other ships with the same

criteria. We assume that another 99 (100 in total) participate in the ranking with the same criteria

and our ship has position 1 and you are the only ship in that rank.

Step 3: Calculate the percentile rank by capturing the count of all participant below your rank

(cℓ). The frequency of ships in your same rank (ƒi). The total number of ships in the ranking

segment (N).

Percentile Rank =cℓ + 0.5 ƒ𝑖

𝑁∗ 100 =

99 + 0.5 ∗ 1

100∗ 100 = 99.50 percentile 𝑟𝑎𝑛𝑘

Interpretation: Based on the above example, we could say that, when it comes to KPI001 Ballast

water management violations, this ship belongs in the 99.50th percentile of the ships that are

being compared with based on its ranking criteria in the respective quarter.

https://shipping-kpi.org/book/definition/PI015


4.1.1.5 Explanatory Note

This KPI uses only one PI.

4.1.1.6 KPI References

International Convention for the Control and Management of Ships' Ballast Water and Sediments

(BWM) and National regulations.


4.2 Budget performance 4.2.1.1 Description

This KPI expresses the overall budget deviation.


The KPI reflects the company's ability effectively plan the ship's operating costs. It does not

value the cost effectiveness. Deviations both positive and negative are regarded in the same way.

Calculation Period Fiscal year

Scope Ship level

Unit %


PI010 Last year’s AAE (Additional Authorized Expenses)

PI011 Last year’s actual running costs and accruals

PI012 Last year’s running cost budget

KPI 𝑣𝑎𝑙𝑢𝑒 =|PI012 − (PI011 − PI010)|

PI012



PI010 Last year’s AAE (Additional Authorized Expenses) = 0.25M US$

PI011 Last year’s actual running costs and accruals = 1.5 US$

PI012 Last year’s running cost budget = 1.2M US$

KPI 𝑣𝑎𝑙𝑢𝑒 =|PI012 − (PI011 − PI010)|

PI012∗ 100 =

|1.2 − (1.5 − 0.25)|

1.2∗ 100 = 4.17%






segment (N).


𝑁∗ 100 =

50 + 0.5 ∗ 1


https://shipping-kpi.org/book/definition/PI010https://shipping-kpi.org/book/definition/PI011https://shipping-kpi.org/book/definition/PI012https://shipping-kpi.org/book/definition/PI010https://shipping-kpi.org/book/definition/PI011https://shipping-kpi.org/book/definition/PI012


Interpretation: Based on the above example, we could say that, when it comes to KPI002 Budget

Performance, this ship belongs in the 50.50th percentile of the ships that are being compared with

based on its ranking criteria in the respective quarter.


4.3 Cadets per ship 4.3.1.1 Description

The KPI shows the ratio between the total number of cadets under training with the DOC holder

and their total fleet. The result is the average number of cadets per ship.


This KPI expresses the company’s commitment and ability to take on new cadets.


Scope All ships of the DOC holder

Unit Cadets/Ship


PI017 Number of cadets under training with the DOC holder

PI057 Number of ships operated under the DOC holder

𝐾𝑃𝐼 𝑉𝑎𝑙𝑢𝑒 = PI017

PI057



PI017 Number of cadets under training with the DOC holder = 123

PI057 Number of ships operated under the DOC holder = 134

KPI 𝑣𝑎𝑙𝑢𝑒 =PI017

PI057=

123

134= 0.92






segment (N).


𝑁∗ 100 =

77 + 0.5 ∗ 1


Interpretation: Based on the above example, we could say that, when it comes to KPI003 Cadets

per ship, this ship belongs in the 77.50th percentile of the ships that are being compared with


https://shipping-kpi.org/book/definition/PI017https://shipping-kpi.org/book/definition/PI057https://shipping-kpi.org/book/definition/PI017https://shipping-kpi.org/book/definition/PI057


4.4 Cargo related incidents 4.4.1.1 Description

This KPI expresses the company’s ability to contribute to incidents-free cargo operations and

carriage.


It is the number of incidents related to Cargo during carriage and cargo operations recorded in

the company's internal incidents reports, the details of which is found in PI018.


Scope Ship level

Unit Number of Cargo related incidents


PI018 Number of cargo related incidents




PI018 Number of cargo related incidents = 1







segment (N).


𝑁∗ 100 =

67 + 0.5 ∗ 1


Interpretation: : Based on the above example, we could say that, when it comes to KPI004 Cargo

related incidents, this ship belongs in the 67.50th percentile of the ships that are being compared

with based on its ranking criteria in the respective quarter.

https://shipping-kpi.org/book/definition/PI018https://shipping-kpi.org/book/definition/PI018



1. The number of cargo related incidents are not related to the number of port calls

2. This KPI uses only one PI


4.5 Condition of class 4.5.1.1 Description

The KPI counts the total number of conditions of class issued by class.


This KPI expresses the company’s efforts to minimize the number of conditions of class. Be

aware that all categories of conditions of class are weighted and regarded equally.


Scope Ship level

Unit Conditions of class


PI023 Number of conditions of class




PI023 Number of conditions of class = 1







segment (N).


𝑁∗ 100 =

67 + 0.5 ∗ 1


Interpretation: Based on the above example, we could say that, when it comes to KPI006

Condition of class, this ship belongs in the 60.50th percentile of the ships that are being compared



The issue of conditions of class differs between industry sectors and caution should be applied

when interpreting this KPI.




As per IACS definition of conditions of class.


4.6 Contained spills 4.6.1.1 Description

This KPI expresses the company’s ability to avoid spills.


Contained spills covers liquid as defined under MARPOL Annex I. Contained spills in secure

areas such as Engine rooms are not counted.


Scope Ship level

Unit Number of contained spills


PI024 Number of contained spills of liquid

𝐾𝑃𝐼 𝑉𝑎𝑙𝑢𝑒 = 𝑃𝐼024



PI024 Number of contained spills of liquid = 2







segment (N).


𝑁∗ 100 =

77 + 0.5 ∗ 1



Contained spills, this ship belongs in the 77.50th percentile of the ships that are being compared



1. Sustainability is a key issue within transport. The company should strive towards zero

accidental releases of substances defined as dangerous to the environment even though the



incident’s impact in this case is reduced as the spill is contained onboard the ship.

2. This KPI is complementary to the KPI “KPI028 Releases of Substances" as defined by

MARPOL (Annex I to V), to the environment”. Some spills are contained but still represent an

incident that should be recorded.

3. This KPI uses only one PI.


Company’s Safety Management System


4.7 Crew disciplinary frequency 4.7.1.1 Description

The KPI counts the total number of breaches of code of conduct made by the ship's crew and the

company's reaction. The total exposure hours onboard the ship is used as a denominator to

enable benchmarking.


This KPI expresses the ability of the management to maintain discipline.


Scope Ship level

Unit Breaches/ total crew


PI013 Number of absconded crew

PI020 Number of cases where drugs or alcohol is abused

PI021 Number of charges of criminal offences

PI026 Number of dismissals

PI036 Number of logged warnings

PI063 Total exposure hours

𝐾𝑃𝐼 𝑉𝑎𝑙𝑢𝑒 = PI013 + PI020 + PI021 + PI026 + PI036

PI063∗ 24 ∗ 90



PI013 Number of absconded crew = 0

PI020 Number of cases where drugs or alcohol is abused = 0

PI021 Number of charges of criminal offences = 0

PI026 Number of dismissals = 0

PI036 Number of logged warnings = 1

PI063 Total exposure hours = 22500

𝐾𝑃𝐼 𝑉𝑎𝑙𝑢𝑒 = PI013 + PI020 + PI021 + PI026 + PI036

PI063∗ 24 ∗ 90 =

1

22500∗ 24 ∗ 90

https://shipping-kpi.org/book/definition/PI013https://shipping-kpi.org/book/definition/PI020https://shipping-kpi.org/book/definition/PI021https://shipping-kpi.org/book/definition/PI026https://shipping-kpi.org/book/definition/PI036https://shipping-kpi.org/book/definition/PI063https://shipping-kpi.org/book/definition/PI013https://shipping-kpi.org/book/definition/PI020https://shipping-kpi.org/book/definition/PI021https://shipping-kpi.org/book/definition/PI026https://shipping-kpi.org/book/definition/PI036https://shipping-kpi.org/book/definition/PI063







segment (N).


𝑁∗ 100 =

90 + 0.5 ∗ 1


Interpretation: Based on the above example, we could say that, when it comes to KPI008 Crew

disciplinary frequency, this ship belongs in the 90.50th percentile of the ships that are being

compared with based on its ranking criteria in the respective quarter.


4.8 Crew planning 4.8.1.1 Description

The KPI counts the number of breaches of regulations or agreements related to MLC and STCW.


This KPI expresses the company's crew planning ability to relieve crew on time and avoiding

violations of rest hours and/or work hours regulations.


Scope Ship level

Unit Breaches


PI025 Number of crew not relieved on time

PI060 Number of violations of rest hours

KPI 𝑣𝑎𝑙𝑢𝑒 = PI025 + PI060



PI025 Number of crew not relieved on time = 1

PI060 Number of violations of rest hours = 2

KPI 𝑣𝑎𝑙𝑢𝑒 = PI025 + PI060 = 1 + 2 = 3






segment (N).


𝑁∗ 100 =

67 + 0.5 ∗ 1


Interpretation: Based on the above example, we could say that, when it comes to KPI009 crew

planning frequency, this ship belongs in the 67.50th percentile of the ships that are being





Regulations outside MLC and STCW, such as flag state regulations, are excluded


STCW and MLC Convention


4.9 Drydocking planning performance 4.9.1.1 Description

This KPI expresses the company’s ability to plan the drydocking operation (e.g. predictable costs,

good budgeting and scheduling).

Basically, it expresses the percentile deviation from planned costs and duration. To avoid

penalization of ship managers striving towards minimizing time and cost at drydock, any cost or

time deviation between 0 and minus 10% is disregarded (to be interpreted as 'according to plan').

As the KPI expresses deviations both positive and negative, the KPI Value is always converted

to a positive value.


Scope Ship level

Unit %


PI001 Actual drydocking costs PI002 Actual drydocking duration PI004 Agreed drydocking budget PI005 Agreed drydocking duration

KPI 𝑣𝑎𝑙𝑢𝑒 = (|PI002 − PI005|

PI005+

|PI001 − PI004|

PI004) ∗ 100%



PI001 Actual drydocking costs = 3.9M US$ PI002 Actual drydocking duration = 16 days PI004 Agreed drydocking budget = 4M US$ PI005 Agreed drydocking duration = 14 days

KPI 𝑣𝑎𝑙𝑢𝑒 = (|PI002−PI005|

PI005+

|PI001−PI004|

PI004) ∗ 100% = 16.8%




https://shipping-kpi.org/book/definition/PI001https://shipping-kpi.org/book/definition/PI002https://shipping-kpi.org/book/definition/PI004https://shipping-kpi.org/book/definition/PI005https://shipping-kpi.org/book/definition/PI001https://shipping-kpi.org/book/definition/PI002https://shipping-kpi.org/book/definition/PI004https://shipping-kpi.org/book/definition/PI005




segment (N).


𝑁∗ 100 =

90 + 0.5 ∗ 1



Drydocking planning performance, this ship belongs in the 90.50th percentile of the ships that are



4.10 Environmental deficiencies 4.10.1.1 Description

This KPI expresses the company’s ability to avoid environmental related deficiencies.


This KPI is part of a range of KPIs related to deficiencies that are identified during external

inspections. The deficiencies are categorized depending on their nature. The number of

environmental related deficiencies (PI027) is expressed relative to the total number of external

inspections and audits (PI052).


Scope Ship level

Unit Number of deficiencies per External

Inspection


PI027 Number of environmental related deficiencies

PI052 Number of recorded external inspections


PI052



PI027 Number of environmental related deficiencies = 4

PI052 Number of recorded external inspections = 2


PI052=

4

2= 2






segment (N).


𝑁∗ 100 =

77 + 0.5 ∗ 1





Environmental deficiencies, this ship belongs in the 77.50th percentile of the ships that are being



MARPOL and National Regulations


4.11 Failure of critical equipment and systems 4.11.1.1 Description

This KPI expresses the company’s ability to maintain critical equipment and systems in good

working condition always.


The KPI counts the number of failures of equipment and systems in the critical list defined in the

company's Safety Management System.


Scope Ship level

Unit Failures


PI029 Number of failures of critical equipment and systems

𝐾𝑃𝐼 𝑉𝑎𝑙𝑢𝑒 = 𝑃𝐼029



PI029 Number of failures of critical equipment and systems = 1

KPI 𝑣𝑎𝑙𝑢𝑒 = 𝑃𝐼029 = 1






segment (N).


𝑁∗ 100 =

67 + 0.5 ∗ 1


Interpretation: Based on the above example, we could say that, when it comes to KPI012 Failure

of critical equipment and systems, this ship belongs in the 67.50th percentile of the ships that are





1. This KPI is kept without a denominator because a failure to a critical equipment or system is

serious, regardless of how many items a company's SMS has in its list of Critical Equipment.

2. As the ships’ critical lists may vary in size it could be argued that e.g. the number of items on

the list could be used as a denominator for benchmarking purposes. In any case, a failure to a

critical equipment or system is a serious matter, regardless of the number of items in the ship’s

critical list, and therefor this KPI is kept without a denominator.

3. This KPI uses only one PI


Company's Safety Management System


4.12 Fire and Explosions 4.12.1.1 Description

This KPI expresses the company’s ability to avoid fire and explosions onboard the ship.


The KPI counts the number of fire and explosion incidents as reported in the company's internal

incident reports.


Scope Ship level

Unit Number of incidents


PI028 Number of explosion incidents

PI032 Number of fire incidents

KPI Value = PI028 + PI032



PI028 Number of explosion incidents = 0

PI032 Number of fire incidents = 1

KPI Value = PI028 + PI032 = 0 + 1 = 1






segment (N).


𝑁∗ 100 =

90 + 0.5 ∗ 1


Interpretation: Based on the above example, we could say that, when it comes to KPI013 Fire

and Explosions, this ship belongs in the 90.50th percentile of the ships that are being compared





Fire and explosion incidents are serious threats to the crew, the ship and its operation and should

be accounted for. In cases where the incident is due to an external cause which the company

cannot be accountable for, this indicator will penalize somewhat unfair. Even so it was decided

to keep the indicator as it is. This means that the indicator carries some inherent measure of the

trade and area in which the ship operates, as this influence the likelihood for such an incident.


4.13 Port State Control performance 4.13.1.1 Description

This KPI expresses the company’s ability to have flawless Port State Control inspection.


The KPI counts the number of times where Port State Control Inspections are conducted without

any deficiency being reported and divides this number by the total number of Port State Control

Inspections conducted during the same period.


Scope Ship level

Unit Flawless Inspections/Inspections


PI049 Number of PSC inspections

PI051 Number of PSC inspections resulting in zero deficiencies

KPI Value = PI051

PI049



PI049 Number of PSC inspections = 4

PI051 Number of PSC inspections resulting in zero deficiencies = 2


PI049=

2

4= 0.5






segment (N).


𝑁∗ 100 =

77 + 0.5 ∗ 1




Interpretation: Based on the above example, we could say that, when it comes to KPI014 Port

state control performance, this ship belongs in the 77.50th percentile of the ships that are being



This KPI is one of three KPIs related to Port State Control Inspections. The three areas covered

are;

a. Port state control deficiency ratio’ which measures the ratio of the total number of issued deficiencies during port state control inspection against the total number of port state

control inspections conducted,

b. Port state control detention’ which measures the total number of port state control inspections resulting in a detention and

c. this specific KPI, ‘Flawless port state control performance’ which measures the percentage of port state control inspections resulting in zero deficiencies.

It could be argued that this specific KPI is overlapping with the KPI ’Port State Control

deficiency ratio’.


4.14 Health and Safety deficiencies 4.14.1.1 Description

This KPI expresses the ratio between health and safety related deficiencies (raised during

external inspections and audits) and the total number of recorded external inspections and audits.

External audits include non-conformities but exclude observations.


This KPI expresses the company’s ability to avoid health and safety related deficiencies recorded

during external inspections and audits.


Scope Ship level

Unit Deficiencies/Inspection


PI034 Number of health and safety related deficiencies


KPI Value = PI034

PI052



PI034 Number of health and safety related deficiencies = 3



PI052=

3

2= 1.5






segment (N).


𝑁∗ 100 =

67 + 0.5 ∗ 1




Interpretation: Based on the above example, we could say that, when it comes to KPI015 Health

and Safety deficiencies, this ship belongs in the 67.50th percentile of the ships that are being




inspections and audits. The deficiencies are categorized depending on their nature.


SOLAS


4.15 HR deficiencies 4.15.1.1 Description

The KPI expresses the ratio between HR related deficiencies (raised during external inspections

and audits) and the total number of recorded external inspections and audits. External audits

include non-conformities but exclude observations.


This KPI expresses the company’s HR related performance measured by number of deficiencies

and non-conformities recorded during external inspections and audits.


Scope Ship level



PI035 Number of HR related deficiencies


KPI Value = PI035

PI052



PI035 Number of HR related deficiencies = 3



PI052=

3

2= 1.5






segment (N).


𝑁∗ 100 =

90 + 0.5 ∗ 1




Interpretation: Based on the above example, we could say that, when it comes to KPI016 HR

deficiencies, this ship belongs in the 90.50th percentile of the ships that are being compared with




inspections and audits. The deficiencies are categorized depending on their nature.


MLC and STCW


4.16 Lost Time Injury Frequency 4.16.1.1 Description

The KPI expresses the number of Lost Time Injuries (LTI) among the crew per million exposure

hours.


This KPI expresses the company’s ability to safeguard crew against injuries and fatalities.

Calculation Period 12 month rolling year

Scope Ship level

Unit Cases/Million Hours


PI030 Number of fatalities due to injuries

PI037 Number of lost workday cases

PI046 Number of permanent partial disabilities

PI047 Number of permanent total disabilities (PTD)


KPI Value = PI030 + PI037 + PI046 + PI047

PI063 ∗ 10−6



PI030 Number of fatalities due to injuries = 0

PI037 Number of lost workday cases = 1

PI046 Number of permanent partial disabilities = 0

PI047 Number of permanent total disabilities (PTD) = 0


KPI Value = PI030+PI037+PI046+PI047

PI063∗10−6=

0+1+0+0

87600∗10−6 =11.41






segment (N).

https://shipping-kpi.org/book/definition/PI030https://shipping-kpi.org/book/definition/PI037https://shipping-kpi.org/book/definition/PI046https://shipping-kpi.org/book/definition/PI047https://shipping-kpi.org/book/definition/PI063https://shipping-kpi.org/book/definition/PI030https://shipping-kpi.org/book/definition/PI037https://shipping-kpi.org/book/definition/PI046https://shipping-kpi.org/book/definition/PI047https://shipping-kpi.org/book/definition/PI063



𝑁∗ 100 =

77 + 0.5 ∗ 1


Interpretation: Based on the above example, we could say that, when it comes KPI017 Lost time

injury frequency, this ship belongs in the 77.50th percentile of the ships that are being compared



Exposure hours are 24 hours per day while serving onboard. Note that injuries during off duty on

board are also included.

LTI is the sum of Fatalities, Permanent Total Disabilities, Permanent Partial Disabilities and Lost

Workday Cases.


(OCIMF) Marine Injury Reporting Guidelines


4.17 Lost Time Sickness Frequency 4.17.1.1 Description

The KPI expresses the number of Lost Time Injuries (LTI) among the crew per million exposure

hours.


This KPI expresses the company’s ability to safeguard crew against injuries and fatalities.


Scope Ship level



PI019 Number of crew sick for more than 24 hours

PI031 Number of fatalities due to sickness



PI063 ∗ 10−6



PI019 Number of crew sick for more than 24 hours = 0

PI031 Number of fatalities due to sickness = 1



PI063 ∗ 10−6=

1 + 0

131,400 ∗ 10−6= 7.61






segment (N).


𝑁∗ 100 =

67 + 0.5 ∗ 1




Interpretation: Based on the above example, we could say that, when it comes to KPI018 Lost

time sickness frequency, this ship belongs in the 77.50th percentile of the ships that are being



Exposure hours are 24 hours per day while serving onboard.

The LTSF does not distinguish on severity of sickness. This KPI respects the privacy of

information related to the crew.


OHSAS


4.18 Navigational deficiencies 4.18.1.1 Description

This KPI expresses the company’s ability to avoid navigational related deficiencies.


The KPI counts the number of navigational related deficiencies including any sub-standard act,

practice or condition (such as a mal functioning radar), recorded during external inspections and

audits. The number of deficiencies is then made relative to the total number of external

inspections.


Scope Ship level



PI038 Number of navigational related deficiencies


KPI Value = PI038

PI052



PI038 Number of navigational related deficiencies = 4



PI052=

4

2= 2






segment (N).


𝑁∗ 100 =

90 + 0.5 ∗ 1




Interpretation: Based on the above example, we could say that, when it comes to to KPI019

Navigational deficiencies, this ship belongs in the 90.50th percentile of the ships that are being




inspections. The deficiencies are categorized depending on their nature.

The total number of recorded external inspection is used as a denominator in all these KPIs

(related to deficiencies) to enable benchmarking between ships that are subject to an uneven

number of external inspection.


SOLAS, Company's Safety Management System


4.19 Navigational incidents 4.19.1.1 Description

This KPI expresses the company’s ability to avoid navigational incidents.


The KPI counts any navigational incident resulting in a collision, allision or grounding. All

incidents are counted regardless of the cause of the incident.


Scope Ship level

Unit Incidents


PI014 Number of allisions

PI022 Number of collisions

PI033 Number of groundings

KPI Value = PI014 + PI022 + PI033



PI014 Number of allisions = 0

PI022 Number of collisions = 1

PI033 Number of groundings = 2

KPI Value = PI014 + PI022 + PI033 = 0 + 1 + 2 = 3






segment (N).


𝑁∗ 100 =

77 + 0.5 ∗ 1





Navigational deficiencies water management violations, this ship belongs in the 77.50th

percentile of the ships that are being compared with based on its ranking criteria in the respective

quarter.


It could be argued that the responsibility of the incident should be taken into account. At the

moment any collision, allision or grounding is counted, regardless of whether the ship manager

(represented by the captain) is held liable for the incident. As the question of liability can take

months and even years to solve a decision was made to count all incidents regardless of liability

issues. In this respect this indicator is also influenced by the trade and area in which the ship

operates, as the trade area have a bearing on the likelihood of incidents, congested waters,

narrow passages severe weather etc. In other words the indicator is not purely expressing the

navigational performance of the manager.

In the future this KPI could benefit from navigational near misses. This would need further

consideration regarding the inconsistency of reporting and interpreting near misses.


4.20 Officer retention rate 4.20.1.1 Description

This KPI expresses the officer retention rate within the company.


This KPI expresses the company’s ability to retain officers within the organization. The KPI

shows the ratio between terminations and the size of the DOC holder's officer pool. The KPI is

vulnerable to changes in fleet size.


Scope DOC holder

Unit %


PI006 Number of officers employed

PI016 Number of beneficial officer terminations

PI041 Number of officer terminations from whatever cause

PI056 Number of unavoidable officer terminations

KPI Value = 100% −(PI041 − (PI056 + PI016))

PI006∗ 100%



PI006 Number of officers employed = 250

PI016 Number of beneficial officer terminations = 1

PI041 Number of officer terminations from whatever cause = 23

PI056 Number of unavoidable officer terminations = 5

KPI Value = 100% −(PI041−(PI056+PI016))

PI006∗ 100% = 100% −

(23−(5+1))

250∗ 100% = 93.2






segment (N).

https://shipping-kpi.org/book/definition/PI006https://shipping-kpi.org/book/definition/PI016https://shipping-kpi.org/book/definition/PI041https://shipping-kpi.org/book/definition/PI056https://shipping-kpi.org/book/definition/PI006https://shipping-kpi.org/book/definition/PI016https://shipping-kpi.org/book/definition/PI041https://shipping-kpi.org/book/definition/PI056



𝑁∗ 100 =

67 + 0.5 ∗ 1


Interpretation: Based on the above example, we could say that, when it comes to KPI022 Officer

retention rate, this ship belongs in the 67.50th percentile of the ships that are being compared



The formula has some limitations as the beneficial termination is a subjective term. The formula

is also influenced by acquisitions/sales of ships. In case the fleet is increased the number of

officers will increase and the indicator will improve, and the other way if the fleet is reduced the

indicator will deteriorate.


INTERTANKO Officer Retention Formula. (Corrected) Version 2 Dated 12th March 2008.

The formula is modelled upon the Abelson adjusted turnover rate “Abelson M (1996) Turnover

cultures and turnover audits” in Human Resources Management. The formula was adjusted by

INTERTANKO to create a retention rate formula, as opposed to a turnover rate formula.


4.21 Officers experience rate 4.21.1.1 Description

This KPI expresses the level of experience with the company's Safety Management System

(SMS) of the officers currently onboard the ship.


Each officer currently onboard is assigned experience points according to a predefined scale. The

maximum number of experience points per officer is 4 (equals 12 months sailing time with the

same company safety management system). Any experience above 12 months sailing time is

disregarded.


Scope Ship level

Unit Experience points/officer


PI040 Number of officer experience points

PI043 Number of officers onboard

KPI Value = PI040

4 ∗ PI043∗ 100



PI040 Number of officer experience points = 34

PI043 Number of officers onboard = 9

KPI Value = PI040

4 ∗ PI043∗ 100 =

34

4 ∗ 9∗ 100 = 94.4%






segment (N).




𝑁∗ 100 =

90 + 0.5 ∗ 1



Officers experience rate, this ship belongs in the 90.50th percentile of the ships that are being



4.22 Operational deficiencies 4.22.1.1 Description

This KPI expresses the company’s ability to avoid operational related deficiencies.


The KPI counts the number of operational related deficiencies including any substandard act,

practice or condition (excluding HR, security, health, safety and environmental deficiencies)

recorded during external inspections and audits. The number of deficiencies is then made relative

to the total number of external inspections.


Scope Ship level



PI044 Number of operational related deficiencies


KPI Value = PI044

PI052



PI044 Number of operational related deficiencies = 1



PI052=

1 + 0

5= 0.2






segment (N).


𝑁∗ 100 =

77 + 0.5 ∗ 1





Operational deficiencies, this ship belongs in the 77.50th percentile of the ships that are being




inspections. The deficiencies are categorized depending on their nature. This specific KPI

(Operational deficiencies) is a KPI that will cover all deficiencies excluding Navigational, HR,

Security, Health & Safety and Environmental deficiencies.

The total number of recorded external inspection is used as a denominator in all these KPIs

(related to deficiencies) to enable benchmarking between ships that are subject to an uneven

number of external inspections.

THETIS Deficiency Coding (Paris MoU): all deficiency codes starting with 01, 02, 03, 06 and 13

are operational findings.


Company's Safety Management System


4.23 Passenger injury ratio 4.23.1.1 Description

The KPI represents a ratio between the number of injured passengers reported during

embarkation, disembarkation and time spent on board, relative to the passenger exposure hours

in the reporting period. By defining the KPI as a ratio, benchmarking is feasible even between

different ship sizes. Only ships certified to carry passengers should use this KPI. Note that

supernumeraries (family members, riding crew, superintendents and stowaways) are not

considered as passengers.


This KPI expresses the company’s ability to protect passengers from injury. The indicator does

not take into account the severity of injury.


Scope Ship level



PI045 Number of passengers injured

PI061 Passenger exposure hours

KPI Value = PI045

PI061 ∗ 10−6



PI045 Number of passengers injured = 5

PI061 Passenger exposure hours = 100000

KPI Value = PI045

PI061 ∗ 10−6=

5

100000 ∗ 10−6= 50






segment (N).




𝑁∗ 100 =

67 + 0.5 ∗ 1



Passenger injury ratio, this ship belongs in the 67.50th percentile of the ships that are being



A fatality resulting from an injury will be counted as a case (as an injury).


4.24 Port state control deficiency ratio 4.24.1.1 Description

This KPI expresses the company’s ability to avoid deficiencies issued during Port State Control

Inspections.


The KPI represents a ratio between the number of reported deficiencies relative to the number of

Port State Control Inspections as such the average number of deficiencies per inspection. By

defining the KPI as a ratio, benchmarking is feasible even between ships being subject to an

uneven number of Port State Control Inspections.


Scope Ship level



PI048 Number of PSC deficiencies

PI049 Number of PSC inspections


PI049


PI048 Number of PSC deficiencies in a quarter = 12

PI049 Number of PSC inspections in a quarter = 4

KPI Value Port State Control Deficiency Ratio = 3


PI048: Number of PSC deficiencies in a quarter = 12

PI049: Number of PSC inspections in a quarter = 4


PI049=

12

4= 3




https://shipping-kpi.org/book/definition/PI048https://shipping-kpi.org/book/definition/PI049https://www.shipping-kpi.org/book/definition/PI048#?kpiProfileId=22https://www.shipping-kpi.org/book/definition/PI049#?kpiProfileId=22




segment (N).


𝑁∗ 100 =

90 + 0.5 ∗ 1


Interpretation: Based on the above example, we could say that, when it comes to KPI026 PSC

deficiency ratio, this ship belongs in the 90.50th percentile of the ships that are being compared



This KPI is one of three KPIs related to Port State Control Inspections. The three areas covered

are;

a. 'Flawless port state control performance' which measures the percentage of Port State Control Inspections resulti

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