Interview
The Montenegrin company «Adriatic Shipyard Bijela» JSC Bijela, situated in the heart of the Bay of Kotor (Boka Kotorska), on the Southern Adriatic coast, is one of the biggest ship repairing yards in the region. Its favourable location and long tradition permitted the Company to succeed in providing a professional and high-quality service.
More than 80-year long tradition
The company was established in 1927 as a private ship building and repairing workshop. At the beginning the main service concerned wooden ships and boats. In the period 1951–1955 the Company constructed new workshops, a slipway and a wharf, and started to build steel ships. The period 1969–1976 marked an important turning point: the Company acquired two docks and specialized in ship repairing. In 1979 most of facilities of the Shipyard were damaged by the earthquake. They were reconstructed in accordance with the requirements for seismic zones, using modern technological solutions. Another turning point in the Shipyard’s history was the first phase of its transformation into a joint stock company (1995). Its privatization is still to be completed. „Nowadays” – states Mr. Stanko Zlokovic, President of the Board of Directors – the «Adriatic Shipyard Bijela» as a joint stock company operates as a modern ship repair company, equipped to provide efficiently all types of ship repair services, with a possibility for docking of all kinds of transoceanic vessels.” Mr. Zlokovic emphasizes that while talking about the history of the Shipyard we can’t underestimate the maritime tradition in the Bay of Kotor. It dates back to the Middle Ages and its golden age was the 18th century. In that time the merchant navy of Boka Kotorska had about 600 sailing boats (300 of which were seagoing vessels), 300 captains and 3000 sailors. The seamen from the Bay of Kotor became well-known marine experts and many naval schools were founded. Nowadays this glorious tradition is continued by the «Adriatic Shipyard Bijela ».
Building customer trust
The long experience of the Shipyard bear fruit at present: the Company has a great human and technical potential. It implements the most modern management solutions. The Enterprise offers to the Customers uncompromising quality, competitive prices and terms in accordance with the regulations of the world’s most prominent Classification Societies, which makes it a trustworthy partner. Cost and time savings as well as the vessel’s service life extension are the other benefits guaranteed by the Shipyard. Equally important is the international ISO certification 9001:2008 and 14001:2004, obtained by the Company in the area of quality, environmental protection and work safety. Also, in accordance with IMO requirements, the Shipyard is fully compliant with ISPS Code. „A stable growth rate is the best indicator of the firm’s successful operating results and of confidence of its Clients” – emphasizes Mr. Zlokovic. „And the fact that capacities are constantly engaged in full and that reference list of repaired vessels and other performed deals is extended rapidly confirms the trend.” – he adds.
A range of services
The most important service offered by the Shipyard is repairing and reconstructing ships (transoceanic) and other vessels, regardless of the size of a repairing or reconstructing project. This specialization was caused by the government’s decision to develop ship repairing market and by some geographical and economic factors. In the Shipyard repair works can be performed during the whole year due to mild winters and average annual temperature of 16 ºC, which influence the Company’s productivity. The Enterprise is fully equipped to carry out repair works of different types. It has two floating docks of 250 meters and 184 meters in length, an operating wharf of 1,120 meters in total length, tugs, as well as cranes with lifting capacity ranging from 2,5 to 50 tons. The Shipyard also offers other services as building barges, pontoons, work platforms, etc. Moreower, it produces maritime equipment like piles, pipelines, reservoirs, and all types of steel constructions.
Operating on the international market
The major part of the Shipyard’s production is designed for export all over the world. Its main markets are: German, Italian, Cypriot, Singapore, British, etc. The Montenegrin market plays a small role. However, the Montenegrin economy is in the period of transformation and a lot has changed, especially since 2006 (the re-establishment of its independence). It opened the market to foreign investors and gave them the same rights as to domestic ones. In the last few years a considerable increase of FDI in service sector and in primary sector was noticed. This permits to predict that rather small demand of Shipyard’s service on the local market can increase in future. As productivity of the Shipyard is regarded, the numbers speak for themselves: on average, the Company repairs 70 ships annually. In the last 5 years it repaired vessels from 35 different countries. This result is also due to the efficient collaboration with the agencies representing the Company all over the world. „We would like to point out” – says Mr. Zlokovic – „that we are interested in expanding the cooperation with other agencies which markets have not been included with us so far”.
Step by step to success
The Shipyard is the most proud of its flexibility and reliability. It managed to overcome lots of difficulties: in early 90’s it had to react to new business conditions and development of free market in the Eastern Europe, than it had to face the economic embargo imposed on the former Yugoslavia during 4 years. After the sanctions were lifted the Shipyard managed to record positive results already in the first year. Nowadays the Company is well prepared to face the most difficult market conditions. Another factor that contributes to the Shipyard’s success is its location (the geographical position is particularly important in the ship repairing industry). The Shipyard, situated at the entrance to the Adriatic Sea, is a very good port for vessels passing through the Adriatic Sea or the central Mediterranean. This location is also great for transportation of equipment or spare parts. Another thing that influences Company’s success are its production facilities: the Enterprise is one of the biggest shipyards in the region and provides a wide range of services for all types of vessels. The last but not least key to success is the team of employees. Without the professionally trained staff (from workers to senior managers), achieving success wouldn’t be possible.
The future growth
The «Adriatic Shipyard» jsc Bijela aims at further improving and developing the production by implementation of cleaner production technologies as well as increasing of productivity. It also considers entering the new market of yacht repair and building. Nautical tourism development in the Bay of Kotor (especially a modern marina PortoMontenegro, located a few nautical miles from the Shipyard) permits to predict that the demand for repairing and builiding yachts will increase in future. „The interest of mega yacht owners in Montenegro and their arrival in our waters is an ideal opportunity for «Adriatic Shipyard Bijela» to be engaged with its capabilities in a completely new field of activity.” – claims Mr. Zlokovic. We expect one more market segment to increase its presence in the yard, namely there is a notable interest in repair of oil rigs and our shipyard has already got some good references. There are good chances that in the future these kinds of projects will gain significance and we are prepared for it.
The human resources policy
At present the staff consists of 530 experienced employees. 80 of them are well prepared engineers. The «Adriatic Shipyard Bijela» is the biggest employer in the region. Many employees are emotionally related to the Shipyard, and live near to their workplace. An important fact is that in the Shipyard there has never been any strike, riot or stoppage at work. The human resources policy is focused on looking for the best specialists. The company often obtains employees to specific units by retraining staff from other units. This policy responds to the present tendency – young people reluctantly choose their career path in technological production. That is why the Shipyard organizes many trainings. Besides, the Enterprise is able to cooperate with up to 500 subcontractors, if required for specific projects. It is able to carry out the most complex repairs not only due to its well-qualified staff, but also due to immediate support from warehouses of marine equipment manufacturers, with whom it strictly collaborates.
The eco-policy
The «Adriatic Shipyard Bijela» also thinks about the environmental protection in respect for the natural environment of the Bay of Kotor. The Company puts an emphasis on preventing pollution and managing of waste. The Shipyard’s eco-policy adheres to the national standards as well as to international regulations. In conclusion, it can be stated that the «Adriatic Shipyard Bijela » is on a good way to continue positive trends in its business due to: increasing productivity and quality, improving working conditions, reliable fulfillment of the deals, investments as well as an active price policy. Mr. Zlokovic would like to raise interest not only for the Shipyard, but also for Montenegro and the Bay of Kotor in terms of tourism. He says: „We invite you to visit us and to experience the Bay of Kotor, one of the most beautiful bays in the world, with the rich maritime history, monuments, baroque cities and a unique architectural heritage.”
