Methodical approaches to the management of the crewing company efficiency

Economic Annals-ХХI: Volume 177, Issue 5-6, Pages: 114-125

Citation information:
Grebennyk, N., Navrozova, Yu., Danchenko, O., & Jakubek, P. (2019). Methodical approaches to the management of the crewing company efficiency. Economic Annals-XXI, 177(5-6), 114-125. doi: https://doi.org/10.21003/ea.V177-10


Natalia Grebennyk
PhD (Economics),
Associate Professor,
Department of Entrepreneurship and Tourism,
Odesa National Marine University
34 Mechnikov Str., Odesa, 65029, Ukraine
nataly.grebennyk@gmail.com
ORCID ID: https://orcid.org/0000-0002-1554-0697 

Yuliia Navrozova
PhD (Economics),
Associate Professor,
Department of Entrepreneurship and Tourism,
Odesa National Marine University
34 Mechnikov Str. Odesa, 65029, Ukraine
yuliana_docent@hotmail.com
ORCID ID: http://orcid.org/0000-0002-6106-2825 

Oleksiy Danchenko
PhD Student (Economics),
Odesa National Marine University;
Crewing Manager,
Crewing Company «Global Odessa»
34 Mechnikov Str., Odesa, 65029, Ukraine
lexdanuniversal@gmail.com
ORCID ID: https://orcid.org/0000-0001-7467-4866 

Peter Jakubek
PhD (Economics),
Associate Professor,
DTI University (Dubnica Institute of Technology)
533/20 Sládkoviиova Str., Dubnica nad Váhom, 018 41, Slovakia
kvestor@dti.sk
ODCID ID: https://orcid.org/0000-0002-3080-307X 

Methodical approaches to the management of the crewing company efficiency

Abstract. Under the conditions of personnel shortage and access to the world market, the availability of an effective system for managing effectiveness is a decisive factor in the successful functioning of a crewing company. The purpose of the paper is to develop a methodology to enhance seafarers’ efficiency for a crewing company. To do this, different approaches to managing crewing company effectiveness are examined in this paper, taking into account peculiarities of crewing and the conditions in the global seafarer market.

Unlike the existing ones, the approach proposed by the authors allows giving recommendations for improving efficiency of crewing companies. Therefore, according to experimental calculations provided by Global Odessa crewing company, the highest profit can be made with full crewing management (USD 416,220 per contract). According to the same scheme, the highest profit in USD per seafarer (USD 16,664.9 per seafarer) is also observed. The developed CUBE provides the opportunity to demonstrate different categories of seafarers, which further helps the crewing company identify those seafarers who meet its needs to achieve a specific goal in the management of its effectiveness. For example, with a base indicator of 4.25, there are two possible scenarios in performance management. With a minimum of investments, the most «profitable» employees for the crewing company will be those seafarers who, according to their characteristics, correspond to the «premium» group, have a normal or excellent ratio of the seafarer age and experience and receive positive reference with a high professional assessment from the previous employer-shipowner. The most promising with regard to training are those seafarers who get into a block with the following characteristics: the «standard» group with favourable «age – experience» and «Shipping company’s references – characteristics» ratio.

The conducted research has shown that in order to ensure the effectiveness of the crewing company, different ways of managing the efficiency are possible, depending on the purpose of the operation and the balance of supply and demand on the seafarer market. In some cases, the company can attract any seafarers, and in the others it will be more appropriate for the company to focus on finding prospective or profitable seafarers.

Keywords: Crewing Company; Seafarer; Efficiency; Profitability; Qualification

JEL Classification: J40; M21

Acknowledgements and Funding: The authors received no direct funding for this research.

Contribution: The authors contributed equally to this work.

DOI: https://doi.org/10.21003/ea.V177-10

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