December 2012 The magazine for our customers interconnect

• POAL & The Supply Chain • Twin-lifting Boosts Volume & Productivity • Community Minded December 2012 As we near the end of 2012 the foundation of our future success. outcome for the port and well paid jobs shape of our organisation has changed for PortPro members. If we can get a PortConnect is now being used by considerably, but there remains much deal like this across all the port we will our customers and port users for their to do. Our primary goal is about being be able to compete with on a business interaction with the ports and a strong contributor to , level footing. Throughout 2012, POAL over time we hope it will become an POAL to play a significant role in the has worked hard to reach a Collective information hub for customers of all New economy of Auckland and the region, Agreement with MUNZ. I wish I could say Zealand ports. At present PortConnect and to be looked on as a valuable we had succeeded, but not yet. As I write is running concurrently with both ports’ interconnect community asset. we are still in facilitation with the union, web-based cargo management systems, focus though I do feel that there is light at the POAL focus The restructure is designed to help us but in time it will replace them completely. end of the tunnel. Getting a deal signed do that in part by becoming increasingly We are completing the PortConnect by Christmas would be a great present customer focussed and striving for Business Model and we expect to release for everyone. I would like to continuous improvement in how we Stage 2 PortConnect in March 2013. meet customers’ needs. We aim to As our results indicate, we’ve had an ‘ok’ 4 create an environment that fosters 2 thank all our sort of year especially when we consider innovation, and have developed our CUSTOMER the six week strike by the Maritime Union leadership capabilities to that end. The customers and (MUNZ). However we have to face facts: SERVICE new leadership team that has been put in we were outdone by Port of Tauranga The Whole Port place over the year has already made a on many fronts including productivity, Approach stakeholders number of process improvements which earnings, net profit and equity value. If BIG BOOST are delivering results. for their loyalty we want to be a productive, economically FOR TWIN- On the technology front we’re nearing the viable port, we have to lift our game. We and support, completion of the design and planning of have spent much of this year putting LIFTING a new Terminal Management System and plans in place to do just that. will implement it in 2013. This is a major Obviously that includes work practices, their patience investment and commitment to future- Twin-lifting shifts and rosters. In October we proofing the port with the best possible Boosts, Volume were very pleased to sign a Collective and tolerance operating systems. & Productivity Agreement with the new PortPro Union 8 6 during a We successfully launched ‘PortConnect’ in a partnership that delivers rewards for CONTAINER HEAT THE SUPPLY in partnership with Port of Tauranga, and both sides. Running for two and a half TREATMENT the second stage is in the pipeline. It’s years, it includes a flexible shift and roster CHAIN challenging the first time ports have system similar to what has been in place World First POAL & The Wiri collaborated in this way, an example at Port for Tauranga for over 20 years. It Freight Hub at POAL year. of the innovation we that will be the delivers a productive and cost-effective

COMMUNITY- 10 Tony Gibson MINDED CEO Ports Of Finally, thanks again to all our customers and City Port & Auckland Community Watch stakeholders for your continued support throughout 2012. To all of you, your colleagues and your families, from all of us here at , very best 14 12 wishes for a very Merry Christmas and a happy, Market healthy and successful 2013. round-up

02 03 Farewell to Introducing the Ben Chrystall Customer Service team In this issue we acknowledge the many contributions of Ben Chrystall who completes permanent service with Ports of Auckland and its predecessor The Auckland Harbour Board, after 28 years. Customer Service – The Whole Port Approach L to R: Trischelle Drury, Jesse-Lee Thomson-Cowley, Cedric Betham, Sally Nicholls, Kathleen Riviere, Yvonne Theuerkauf, Leeanne Stowers Ben Chrystall

In the creation of a culture that is POAL Customer Services is managed on providing professional and accurate On this front, the challenge for Customer “We aim to establish consistency in Since 1995 Ben has been engaged on Port Planning as Manager and later as General more ‘customer-centric’, Ports of by Yvonne Theuerkauf and Team Leader, knowledge on POAL products and Services lies in the port’s diverse our response which includes prompt Manager Port Infrastructure. He has managed Auckland’s Customer Service team is Jesse-Lee Thomson-Cowley. Team services, on building relationships with range of customers. As well as the attention to any sticking points; to numerous major projects that have impacted taking a ‘whole of port’ approach with members, Cedric Betham, Sally Nicholls, Port users and most importantly, on shipping line customers, there are also build good relationships, to identify any significantly on the Port and the Auckland a focus on constant improvement and waterfront. Included among those was his Trischelle Drury, Kathleen Riviere and identifying any requirements for process service innovation. With an expanded hundreds of different ‘customers’ and ‘issues’ or problem areas and to come management of the long and complex resource role, the team’s primary function is to Leeanne Stowers each bring their own improvements. stakeholders who are daily port users. up with an improved process – all of consent process for the deepening of the experience from a wide range of industry Rangitoto shipping channel to extend access to be the key contact point and source of Team Leader Jesse-Lee Thomson- They range from service providers which is designed to create a great larger ships and the Fergusson reclamation and information for all customers dealing backgrounds. According to Manager customer experience with Ports of Cowley says that the team is currently like transport operators and freight construction process to increase the capacity with the Port. Yvonne Theuerkauf, they share a passion working on expanding its knowledge forwarders to importers and exporters, Auckland” says Yvonne Theuerkauf. of the container terminal. Ben has made major for delivering great service. “They form a base and on streamlining the Customer and Government agencies. There are contributions to the port’s development and team that works well together and they growth over the years. His professionalism and Service information and processes. “It is very large companies and smaller family- Customers can contact Customer commitment is acknowledged by all have already established a certain ‘street important we understand our customers’ owned local businesses. The team Service by email or telephone: his colleagues at POAL who wish him the very cred’ within the freight industry.” best for the future. In 2013 Ben will continue to concerns and issues as well as the needs to be able to relate to everyone [email protected] work with the port in an advisory capacity and She explains that the team’s focus is realities of our port operations.” from the truck driver to the CEO. +64 9 348 5100 to assist Alistair Kirk in his transition to the role of General Manager Infrastructure and Property. 04 05 Port News POAL customers have access to world class container terminals that are served by NZ’s largest, modern, container crane and straddle carrier fleets. Not only are these the safest cranes and straddles in NZ, they also boast sophisticated operating systems containing a high level of automation much of which software has been designed in-house by POAL. Big Boost for Twin-Lifting

Recent focus at Fergusson Container Just eight months after installation into Terminal has been on the installation the Straddle fleet, the system helped of a real-time GPS-type performance shave a dramatic 78% off straddle driving management system into all five ZPMC accident damage costs. POAL General cranes. Similar to that installed two Manager Container Terminals Raoul years ago into POAL’s Straddle Carrier Borley says the installation in the cranes fleet, it is designed to increase safe is timely: “We now have a yard redesigned driving, to reduce driving accidental to enable a substantial increase in damage to cargo and equipment and efficiency with a significantly higher level to improve productivity. of twin-lifted containers to and from the cranes. As a result we’ve increased twin- “We already have the safest fleet, the most modern and also lifting by 200-300% - that’s a significant most high-tech and now we have further process and technology increase in the number of boxes being improvements in the pipeline. We are confident that all that, twinned and obviously we are seeing coupled with the shift and roster changes that we expect from our marked improvements in productivity.” He reports crane moves up to 31.5 labour pool, will support our aspirational target of 42 crane moves moves per hour. per hour in 24 months. In the interim I’d like to think we will be up to 35 moves per hour by June 2013.” 06 07 The Supply Chain POAL & the Wiri Freight Hub

The first in a series on the Supply Opened in 2005, Wiri is a 15ha Freight shipping lines, but with cargo owners – Chain and POAL’s role, in this issue we Hub close to the major North/South exporters and importers as well as with put the spotlight on Wiri Freight Hub, State Highways and connected by rail transporters and trucking companies and POAL’s Inland Port in south Auckland, and road shuttles to the Waitemata freight forwarders.” He says importers the industrial heartland that is home seaport 25 kms away. Run by Conlinnx, form the largest Wiri customer base and to a high percentage of New Zealand’s a wholly owned POAL subsidiary, Wiri that there has been pleasing increased major exporters and importers. is closely linked to the port company’s uptake from exporters, freight forwarders increased involvement in the Supply and transport companies. Chain. From its 2002 commencement “Basically Wiri offers flexibility and choice; of its first Inland Port venture at East it saves time and money and it adds Tamaki, POAL began to reach beyond its value as many of our Wiri customers will traditional container terminal management testify.” Those customers include big and stevedoring realm, into activities names such as Panasonic which has outside the seaport boundary. been a Wiri supporter since the get-go. It was a former POAL CEO Geoff Vazey For Panasonic, the advantage of storage who made the observation that became capacity it doesn’t have for dozens of 20 Reinhold Goeschl central to the port company’s view of and 40ft containers at any one time and its future role: ‘Products don’t compete the opportunity to ‘draw down containers anymore; Supply Chains do.’ Conlinxx as we need them’ are prime selling points Wiri’s primary function is to enable extras such as Empty Depot, container He reports that with its increased use of Managing Director Reinhold Goeschl of the Freight Hub. Other big names in customers to avoid cargo pick-up and storage etc, pack/unpack: “First we rail for moving containers to and from confirms that Wiri is an integral part of Wiri’s strong customer list, include Nestle, drop-off at the seaport in central Auckland have the total door-to-door package for POAL’s strategy to contribute to the the seaport, the Freight Hub is now well The Warehouse and Fisher & Paykel. While thereby reducing transport costs and customers wishing to use Wiri as a necessary optimisation of the Supply on the way to achieving its target of importers have been the larger group of saving time. The Freight Hub enables a one-stop-shop optimisation of their Chain and thereby provide improved saving 100,000 truck movements pa thus users at the Freight Hub, new services high level of exchange in one place and Supply Chain. We have a growing number Supply Chain solutions for its customers. creating significant environmental and and improved export container receival consequently customers can optimise of those customers. Secondly there is “I see Wiri as a reflection of POAL’s conditions are expected to attract more their equipment to move containers two the Shuttle in which we move customers’ community benefits. “We’ll move close commitment to engaging fully with the exporters to use the Wiri services. They ways thereby reducing the incidence of containers by rail and/or road to and to that achievement next year when Wiri entire Supply Chain. In so doing we have include receival of full export containers at that expensive ‘dead/empty leg’. from the seaport.” He says that Shuttle will start utilising southbound rail services aligned ourselves much more closely with Wiri where the export receival cut-off time Reinhold Goeschl says the Freight Hub volume alone at Wiri has grown to which will link us into the southern not only our traditional customers the is now exactly the same as the seaport’s. provides two types of service – plus 58,000TEU a year. hinterland.” 08 09 Operations review ‘We see heat Kiwi treatment as an excellent option for Company our customers as a preferred alternative Keeps it to Methyl Bromide fumigation where Clean possible.’

It’s at Ports of Auckland; it’s licence partner Genera. Over the last takes at least 24 hours. We can heat heat treatment unit can move anywhere believed to be a world first; five years BioVapor has been applied to treat four containers in one hour with and I can use the space when it moves for certainly POAL is the first port thousands of vehicles coming in to POAL a simultaneous six-sided internal and anything, immediately. Not so with Methyl where it has been chosen by countless external treatment.” He adds that as in the world to have it; it’s run by Bromide which requires a predetermined, customers as a preferred alternative to customers increasingly choose Heat fixed area which I cannot then use for a a Kiwi company and the unique Methyl Bromide. At POAL’s Multi-Cargo Treatment over Methyl Bromide, Genera specified period of time after treatment. technology is world-leading Kiwi area, the two Vehicle Heat Treatment will invest in more treatment units. From our viewpoint, heat treatment, if it is facilities enable treatment of up to three designed and patented. At POAL’s Multi-Cargo Operation, applicable, is win, win all the way.” medium-sized cars simultaneously. A It’s called BioVapor Heat Treatment. larger chamber is used for different sized Customer & Systems Support Manager, From its initial application on vehicles to It’s the enviro-friendly, faster, generally vehicles, trucks, boats, caravans and Justin Maddock confirms that POAL has its heat treatment of empty containers at cheaper, MPI (formerly known as MAF) given full support to the unique container machinery. Average treatment time per POAL, BioVapor and Genera are currently approved, much favoured alternative heat treatment: “We see it as an excellent chamber is around one hour as opposed trialing another major advance this time to fumigation by Methyl Bromide for option for our customers as a preferred to 24 hours at least for Methyl Bromide for full containers. As Brendan McDunphy vehicles, machinery and containers alternative to Methyl Bromide fumigation fumigation. explains: “Obviously the viability of heat flagged by MPI on entry to New Zealand where possible.” as requiring fumigation for biosecurity Genera is one of three licensed fumigation treatment on full containers is dependent purposes. companies at POAL where it is the only For Justin Maddock the argument for on the nature of the product inside. The heat treatment provider. Three years BioVapor Heat Treatment of empty success of the application is also highly Methyl Bromide is an ozone depleting ago the unique MPI-approved BioVapor Justin Maddock containers is irrefutable. “There are dependent on available air space in product traditionally used for container heat treatment technology no environmental or health and safety fumigation for biosecurity purposes. the container because the key to heat was added to the Genera operated risks. It’s faster which means the For environmental, health and safety treatment is the displacement of air on air service at POAL. Genera’s Brendan rapid turnaround of containers helps reasons, international Protocols have turbulence passing over the surface of the McDunphy reports that the mobile customers avoid the risk of incurring recommended its phasing out. product. So, we are currently testing and container heat treatment unit usually demurrage which can happen through refining our process towards applying it to Exclusively developed and owned by located at Multi-Cargo, holds two 20ft delays in containers waiting for service full containers.” BioVapor (NZ) Ltd, the heat treatment or one 40ft container per treatment at the limited capacity Methyl Bromide is operated at POAL by operational cycle. “Fumigation with Methyl Bromide fumigation areas at POAL. The mobile 10 11 Auckland’s port has been contributing to the national and regional economy since 1840. Since then through its predecessor, the Auckland Harbour Board and as Ports of Auckland since its formation in 1988, the port has continued to act as guardian for a substantial area of the city of Auckland’s waterfront.

A City Port & its Community Watch

Today, 100% council owned with profits away. We just need to think creatively reinvested in the community, POAL about how we do it.” Whilst operating occupies nearly 76 ha of mostly reclaimed 24/7 as a business, POAL sets out to be land on the Auckland waterfront adjacent a good Auckland citizen and neighbour. to the Central Business District. As well In its strong engagement with the as being the country’s main gateway for community, POAL’s free community tours support is Emirates Team NZ in its POAL’s support for educational The Company also sponsors business of the port by ferry, tug and coach have international trade, Ports of Auckland current America’s Cup 2013 campaign. programmes includes a relationship and exporting awards including plays a leading role in the daily life of become an Auckland institution. Of the many sporting events with two Auckland schools, Wiri Central Auckland Central Business Awards, NZ Auckland city. On these tours guests have the sponsored, POAL is the primary China Trade Association exporting awards (near the Freight Hub) and Te Papapa opportunity to see the port at work with sponsor of the annual Auckland Round and is closely involved with the School of Having a working port slap bang in the ships being loaded and unloaded and Primary School close to the POAL middle of the city is a major challenge and The Bays run. Since it first began in Supply Chain Management at Auckland the massive cranes and straddles being 1972, the run has grown to become Port of Onehunga. Volunteers from University. It runs its own fundraising responsibility. As reflected in its stringent operated. A 400M long public walkway one of the world’s largest fun-runs the Port participate in the programme events to support its nominated charities. environmental management policies constructed by the port around the with an estimated 70,000 participants. They include an annual POAL Charity and practices, the Company takes the which partners low decile schools with container terminal, provides superb views Each year proceeds from the POAL Golf Day which over the last few years sustainable management of its port corporate businesses with the aim of of the harbour and port operations. fun-run benefit a number of charities has raised thousands of dollars for operations very seriously. reducing education inequality within POAL also has an active community and this year was no exception with POAL’s nominated NZ charity Cure Kids NZ schools. For POAL this programme is POAL CEO Tony Gibson said in a sponsorship and events programme to over NZ$100,000 going to charities – the face of the child health research recent NZ Herald article: “Auckland will support events and activities that will including Kidz First, Make A Wish, also an opportunity to establish foundation that carries out research into always need a working port because the benefit the Auckland community and Garden To Table Trust, Child Cancer grass roots relationships within its life-threatening child illnesses in NZ. economic benefits are too great to give business. Among beneficiaries of POAL and Fairfax First Books. operating community. 12 13 Market Round Up Pacific Harry Julian

Forum Line Fiji, Papua New Guinea, New Zealand and OBE, QSM, JP Long standing Ports of Auckland nine other Pacific Island nations including In October the NZ shipping and ports customer Pacific Forum Line (PFL) was Samoa which says it is now working on a community paid its final respects to Harry acquired by the Government of Samoa detailed business plan to improve PFL for Julian ‘legendary waterfront visionary and News in October 2012. Founded in 1978 to the benefit of clients, business partners hard man’. Among his many shipping encourage economic development in and staff. At present PFL owns no ships industry and associated positions, he the Pacific Islands, PFL was originally but works in codeshare agreements with was former Director and Chairman of the NZ Shipping Corporation, Director and & Views owned by three majority shareholders: other lines. Chairman of Pacific Forum Line and a past Chairman of the Ports of Auckland on New predecessor The Auckland Harbour Board. Throughout his life he maintained a Bumper Cruise calls from over 30 cruise ships making 97 close interest in the Ports of Auckland, its visits when over 200,000 passengers and expansion and all developments. He was Zealand a regular and interested correspondent to NEW BIGGER SHIP crew were processed at Auckland port. Season POAL Chief Executives past and present With global trends indicating continued who acknowledge and appreciated his The 2012/13 cruise season at POAL is Shipping growth in cruises, Auckland is investing informed observations. Never one to lend FOR PACIFICA expected to be fantastic according to for the future with a new cruise facility only half support or to pull his punches, Wayne Mills, POAL General Manager currently under construction at Queens Harry Julian was a passionate supporter of Ports of Auckland and the continuation Trades Multi-Cargo and Marine. Growing from Wharf. POAL manages all cruise ship visits of its location on the city waterfront. one visit in 1991 to 101 this season, Cruise COASTAL SERVICE to Auckland and provides pilotage and Anyone with the temerity to oppose that is now big business for Ports of Auckland. towage services as well as cruise terminal view was dubbed ‘a member of the flat In the 2011/12 season the port hosted operations. earth society’! NZ coastal operator Pacifica Shipping Steve Chapman announced that with is launching a new container service Pacifica’sSpirit of Endurance, the Spirit will provide weekly DID YOU KNOW: in January with the introduction of of Independence a new container ship the Spirit of scheduled calls to Auckland, Lyttelton, • In 2002 the largest container Nelson and New Plymouth ports Independence. Pacifica Chief Executive ship in service was Steve Chapman says the new vessel looping round North Cape to begin each 7,000TEU. Today it’s the northbound leg. He also confirmed that CMA CGM 16,000TEU is 40% bigger, faster and more fuel Marco unlike its predecessor, the new, larger, Polo. Maersk is looking to efficient that its predecessor theSpirit gearless Spirit of Independence will call at take over that record with of Resolution. the 2013 delivery of the first Ports of Auckland’s main seaport on the He says with capacity for 672 containers in a series of 18,000TEU Waitemata harbour rather than to POAL’s containerships. it will carry almost 300 more containers Port of Onehunga on the Manukau. than the Spirit of Resolution which has • One TEU in every four He said that in tandem with the gearless operated the Pacifica service on the coast handled worldwide is a Spirit of Endurance, the new vessel will transhipment move. for the past 15 years. The new vessel also greatly improve the logistical capability of has ‘substantially greater reefer container Pacifica’s coastal network. “It will crucially capacity’ to help meet rising demand deliver the lowest possible costs for for domestic and export transhipment of long-haul freight movers, at no cost to NZ refrigerated cargo. taxpayers.” 15 www.poal.co.nz directory

Tony Gibson Matt Kidman CEO Manager, Commercial Email: [email protected] Relationships DDI: 64 9 348 5254 Craig Sain Mob: 021 815 586 General Manager, Email: [email protected] Commercial Relationships DDI: 64 9 348 5263 Yvonne Theuerkauf Mob: 021 934 452 Manager, Customer Service Email: [email protected] DDI: 64 9 348 5369 Mob: 027 333 3154 Wayne Mills Fax: 64 9 348 5005 General Manager, Email: [email protected] Multi-Cargo & Marine DDI: 64 9 348 5266 Raoul Borley Mob: 027 597 2390 General Manager, Email: [email protected] Container Terminals DDI: 64 9 348 5222 Mob: 021 982 553 Email: [email protected]

POAL Customer Service DDI: 64 9 348 5100 Fax: 64 9 348 5062 Front Cover: POAL’s Bledisloe cranes put on Back Cover: Princess Wharf as it was over 30 Email: [email protected] a light show. year ago when cruise ships were rare visitors On the cover: Ports of Auckland Lashers at work.to POAL unlike today when over 100 call at POAL each year.

Interconnect is the magazine of POAL, Interconnect is published for customers of Ports of Auckland. Sunderland Street, PO Box 1281, Auckland, If you would like to receive a copy on a regular basis, New Zealand. Tel 64 9 348 5000. please contact Chris Boxall, tel 64 9 348 5288 or email Fax 64 9 348 5069. [email protected] with mail address details. www.poal.co.nz Editorial: Anne Hunter