Royal Caribbean’s huge cruise ships are made for the most luxurious holidays. By working smarter and more efficiently, the cruise major aims to provide the vacation of a lifetime – every time.
Royal Caribbean’s fleet of cruise ships is growing larger both in number of ships and in the size of the cruise ships themselves. In April 2006 the largest cruise vessel in the world, the Freedom of the Seas, will be launched to sea in Finland and set sail for the Caribbean.
“We have a large and very complex fleet. However, we are confident that by understanding the risks of our operations and by being able to take measured and calculated steps to maintain and operate the fleet, we have a good process going forward,” says Capt. William Wright, senior vice president of marine operations at Royal Caribbean International.
A Genesis of cruise design
Captain Wright is at the helm of one of the fastest-growing cruise fleets in the world, and he will also be at the helm when the Freedom of the Seas puts to sea from Aker Yards in Finland in April. This first ship in the Freedom class will be joined by two sisters in 2007 and 2008. In 2009 they too will be surpassed by a true giant.
The Freedom of the Seas is 339m long, 160,000 grt, and comes with a host of attractions. Impressive numbers, but Royal Caribbean has just ordered yet another ship from Aker Yards to be delivered in 2009. The tentatively named ‘Project Genesis’ is a leap forward in cruise design, measuring 360m in length and 220,000 grt, and capable of transporting up to 5,400 passengers in luxury.
Working smarter
A cruise ship represents a considerable investment, and has a maximum lifespan at Royal Caribbean of up to 30 years. With ships and fleet growing in complexity, the maintenance programme must also be upgraded.
“We started a project last year together with DNV to look at the fleet-wide maintenance process and strategy. The goal was simple though difficult to achieve; find a way to work smarter and more efficiently,” says Capt. Wright.
Changing the whole organisation
It soon became apparent that to work smarter and set the stage for a more efficient process, the project’s first task was to change the entire organisational structure of Royal Caribbean’s marine operations.
“We made problems for ourselves by having unclear roles and responsibilities. Everybody was involved with money, technology and people. It was an unpleasant situation. We had to find a better way to organise ourselves,” says Mikael Backman, associate vice president of marine operations at Royal Caribbean International.
The organisation came together after a gruelling six-month period, which involved practically everyone from boardroom to engine-room.
“We now have clearer roles and responsibilities. We know who is in charge of the money, who is in charge of the people and so forth. We have clear lines between maritime operations and technical support,” says Backman.
Risk-based approach
Capt. Wright is also positive: “It took time and was frustrating, because we still had a fleet to run, but it was very much a team effort together with DNV. In addition to the new organisation, we have the right people. They are practically all experienced sailors, who know what kind of support the fleet needs.”
After the organisational changes were implemented, a risk-based approach to the maintenance process is being applied. Together, the two phases of the project will unlock substantial savings.
“We now spend money and effort where it’s needed. Concrete examples of improvements are consolidation of onboard tasks to reduce work orders, a reduction in stocks of spare parts, and clearer job descriptions for the maintenance crews. We also standardise jobs and spread best practices to every ship in the fleet,” says Capt. Wright.
Pilot on Grandeur of the Seas
The next step for the project was to take the newly formed maintenance strategy and processes to the test on one of the ships in the fleet; the Grandeur of the Seas. That pilot was a success, and Royal Caribbean will during 2006 roll that system out with DNV to the rest of its large fleet.
“The project has had a deep impact on marine operations because of the organisational changes. And it’s the risk-management approach that is the reason we can sit down with DNV and look at our maintenance programme, and go forward looking for opportunities and efficiency increases in our operations,” concludes Backman.
Date: 2006-03-13