Organizational structure of a shipping entity

Abstract

This report provides a background to the company and the markets it is involved in. Analysis of the tanker freight trading industry gives the reader an idea of the opportunities and challenges Titan faces. In particular, the bunkering and coastal tanker segments provide such opportunities that will allow the organization to reduce its dependence on the VLCC spot market, and also provide operational support to the other business units within the Group. Thereafter, various generic organizational structures are introduced – Titan Ocean could consider such structures in trying to become a more efficient and effective organization. With the hypothesis that restructuring from a functional organization into team-based workgroups will allow the company to further such long-term strategies, interviews and surveys were conducted to gauge if the restructuring has, in fact, created a more efficient and effective organization. Although there was great resistance to the restructure initially, such problems have been gradually solved as interpersonal conflicts decrease and employees learn to accommodate to the working style of others. IT and HRM recommendations will allow the organization to leverage on its team-based workforce to realize the benefits of motivated work teams. Furthermore, team-based compensation systems are discussed that will allow profit sharing based on individual as well as team merits.