Leadership insights

 Having a skilled workforce in different departments of an organization is crucial esp in the tank operator business.

Volatile market conditions, strategically positioning equipment, optimizing routes, minimizing turnaround times, and handling numerous others are just a few critical factors.

As leaders, It’s important to have the necessary skills and resources to steer through obstacles.

3 areas are vital for the success of any tank operating company: Finance, Operations, and Analytics. Let’s understand why :

1. Finance - Entrepreneurs, especially in early stages, treat finance as an accounting activity. It could be costly for growing businesses as it ignores changing cash demands, strategic initiatives, ability to innovate and adapt to market conditions.

Strong financial capability allows prudent planning of growth and diversification. It fuels strategic initiatives, drives operational efficiency, and determines long-term organizational sustainability, and success.

2. Operations - If finance is the backbone, then operations are the muscle. It keeps things running smoothly. Engage the team in analysis and problem-solving. This helps identify issues and increase productivity.

Set clear targets for reducing errors and improving speed. With multiple daily shipments, precise entries are crucial. Use performance incentives to motivate the team. Train the team to work together cohesively, especially when new members join. Each person handles different shipment stages. They all contribute to the company's growth.

3. Analytics - For tank operators, the priority is to keep tanks moving, as idle inventory means lost money. While reducing turnaround times, the market requires caution about chosen routes, which is where the analytics team comes in.

The team must be proactive in suggestions, calculations, and strategies for optimal inventory positioning. Adaptability is essential here, as strategies become obsolete quickly.

Optimizing the flow of your business heavily relies on strong Finance, Operations, and Analytics teams.

Empowering employees, setting clear targets, and fostering collaboration across departments quips the workforce to tackle the ISO tank industry.

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For an ISO tank business looking to expand globally, a strong HR function is crucial to its growth.

They aim to support all teams, align them with the company’s objectives, and help them feel secure, adapt, and excel. No matter the geography.

Here are some functions that HR teams must leverage to empower a global workforce :

1. Retaining employees and avoiding attrition

The ISO tank industry needs specialized skills. HR finds them - from maintenance to logistics people. Finding the right ones is the first step. They help retain talent by offering compensation, upscaling skills, and growth in a respectful environment.

2. Ensuring smooth operations

HR keeps everyone aligned through communication and they tackle problems early. HR develops employees' skills through training, leading to competence and satisfaction benefitting clients

3. Navigating legal complexities

Labor laws are tricky. An HR guides, ensuring compliance with labor laws to avoid legal issues. They conduct regular checks for smooth operations as per the country’s laws. Policies must comply with the laws of countries with company offices. Discrepancies are dealt with strictly per law.

4. Managing risks

HR goes beyond following the rules. They manage risks, secure data, build diverse and inclusive teams, and identify potential problems. They also use data-protecting software and conduct staff awareness sessions. Employment contracts with non-compete and non-solicitation clauses protect company data and resources.

5. POSH policy (prevention of sexual harassment)

Since 2013, Indian companies must provide POSH training and establish an ICC to handle complaints. The ICC should be headed by a woman, including an external member from an NGO committed to women's causes or familiar with the issue, and at least 50% female members. Employees must adhere to these for a safe workplace.

Ultimately, HR is not only paperwork and policies. They’re the human connection that fuels the business and builds a high-performing and motivated team to run and manage the company and drive its growth.

When you invest in HR, you invest in your most valuable asset - your people.

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 In the service industry, you are only as good as your team.

For a great company, surround yourself with good individuals who excel in leadership, teamwork, problem-solving, and customer service.

People are your most valuable assets. Your first steps include :

1. Recruiting the right talent

2. Equipping them with tools and resources

3. Empowering them to take initiatives

4. Motivating them to perform their best

5. Incentivizing them to stay committed.

Identify the ones who significantly contribute to your company's growth. Value them as integral parts of the company’s success.

These principles sound simple, but executing them is easier said than done. This challenge is why some succeed while others struggle.

Function-wise, many businesses focus on sales, operations, and marketing. But, finance is often overlooked.

Finance is the backbone of any enterprise. The sooner this is recognized, the better it will reflect on the company’s health.

For tank operators, with challenges like :

- Unpredictable market conditions

- Strategically positioning equipment

- Optimizing routes

- Reducing turnaround times

- Juggling numerous other critical parameters

The industry is always in choppy waters. It's always challenging.

As the captain of the ship, make sure you're able to steer clear of obstacles and dock safely. 

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Leading in the ISO Tank industry.

A few top logistics leaders stand out. They move the industry forward, not just through expertise, but through ethical and compassionate leadership. They lead like the best pioneers.

After 2+ decades in this industry, here are 5 attributes I’ve seen set leaders apart :

1, Building teams by fitting people's strengths together - they carefully choose people who excel at roles that leverage what everyone contributes. Skills should complement, not compete. It’s understood this takes time and patience but also that it is worth it.

2. Instead of vague growth, they define specific targets through a well-designed strategy balancing short-term metrics with longer-term ambition. This includes planned fleet and network expansion supplemented by workforce additions to match projected growth. They lay out clear financial and operational metrics to guide teams.

3. Supporting execution through smart budgeting - growth plans need solid funding to succeed. Before expanding, they accounted for 90% of the costs needed to implement. They cut unnecessary expenses but not critical ones.

4. Managing growth investments and cash flow - Expansion investments are both capital for assets and partners, and current for increased working capital needs. New offices and assets can take months to break even. Thoughtful budgeting and cash flow management are key to fund growth despite temporary inefficiencies and revenue ramp-up periods.

5. Partnering with allies - They always look to join forces with others who excel where one lags which can boost shared opportunities. But they also agree on what success means together first - to prevent future conflicts.

6. Continuously upgrade offers to meet demand - They try not to be specialists but across the board. They consistently evaluate market needs and expand services to meet them for sustainability. They also understand that client input is critical.

Leadership isn't about short-term gains. It's about the positive effects your influence triggers. It’s a framework you build and learn over time and not overnight.

Are there attributes you find important to lead in this industry?

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A few weeks ago, I shared the gaps in technical knowledge that lead to frequent tank integrity issues. Now, the focus will be on the detailed processes that allow container transfers without incident.

Unlike physical damage, issues with procedures cause problems later by accidentally allowing accidents to happen. Small mistakes in protocols, while harmless, can lead to dangerous system failures.

What 3 small commonly missed steps matter most?

1. Flawed order of valve/man lid closure

Opening multiple outlets without properly resealing them risks leakage and contamination. Yet rushed and uneven bolt tightening after transfers remains common. Product spills are often traced back to this. Sometimes, basic rules like depressurizing tanks before unloading are not followed. This risks the safety of unloading staff. Strictly following required procedures will improve safety a lot. Exceptions should not be made

2. Inadequate loading/unloading supervision

Not monitoring transfers enough means overfills and spills are caught late. Using electronic grounding to discharge dangerous static buildup is also critical. Neglecting either has caused explosions that destroyed facilities. Robust oversight protocols to prevent these accidental chain reactions are essential.

3. Extended piping chokepoints

Using makeshift bottom-discharge/loading lines to speed up transfers seems convenient, but their weight stresses valve fixtures, and gaskets, causing small cracks over time. The seepage containing concentrates goes undetected, leading to pipe ruptures. Visible corrosion often hides systemic neglect of risks. Proper support structures are critical.

At the end of the day, all parties struggle with complex, interconnected procedures. Leadership tries to balance enabling new uses and tightening control.

Training programs and benchmarking against safety-focused industries help greatly. Anonymous incident reporting also helps identify weak points.

Most importantly - creating a culture that comfortably admits oversights, without penalty or blame, is key to self-improvement. This is only achieved by investing in partners to uplift standards, not crack the system.

The supply chain is only as strong as its most neglected part. Any thoughts/ questions?

Please share them in the comments sections

In another 2 weeks, I look forward to sharing one overlooked aspect key to risk mitigation.

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Starting a career in the ISO Tank industry.

ISO tanks move hazardous liquids in supply chains with a lot of safety and precaution. Hence the need for deep knowledge and understanding of this area to really thrive.

Apart from regular shipping, some skills let interested professionals make a real impact so understanding the landscape is important.

There are 5 key ISO tank industry areas:

- Tank leasing

- Tank operations

- Tank cleaning & repair depots

- Transport logistics

- Software solution providers

People looking to excel in any of these need to build skills aligned with the role. Here are some basic competencies based on the role :

1. Sales and BD - with hazardous goods being carried, salespeople need to understand product behaviors and chemistry. One needs technical knowledge of ISO tank design, materials, and capacities to tailor solutions.

2. Technical & equipment expertise - whether in operations or leasing, a stronghold of ISO tank structures, and components, understanding which products can be carried, in what condition, and cleaning processes is important.

3. Operational & shipping specialization - Moving hazardous materials has strict rules for all transport types. Following standards, reading chemical data sheets and emergency plans makes operations uniquely complex.

4. Finance & accounting - Though similar to wider logistics, multiple touchpoints in ISO tank transactions need accountants to go beyond regular software. ERP proficiency becomes vital here.

5. Data analytics - Advanced computer and data analysis help immensely in profitability and utilization analysis for better demand planning, route optimization, and overall decision-making.

Succeeding in an ISO tank needs diverse skills beyond typical shipping. To truly excel and sustain long-term, you need to deeply grasp and specialize in technical, operations, sales, and data areas.

This expertise is what sets ISO tank professionals apart.

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Industry reports show over $500 million in total losses over the past decade caused by overlooked tank integrity issues.

2 weeks ago I shared reasons behind why knowing technical knowledge helps avoid missed safety problems. Because even small issues can turn into large hazardous incidents when neglected over time.

Here’s part 1, examining tank safety problems that people often don’t notice :

1. Real-world impacts when tanks get damaged

In Nigeria, poorly maintained storage tanks exploded during transport due to cracked welds. In Europe, hair-line cracks in an old tank's valves went unnoticed before shipping. This led to leaks and contamination mid-journey, ruining the whole batch. Some small tanker companies take on risky cargo without warning shippers about special loading needs. These oversights can directly cause disasters.

2. Differing repair quality standards

Large tank operators thoroughly check container history for decades, ensuring continuous protection through systematic fixes as needed. Smaller regional companies rely on informal visual assessments and cost-cutting, risking faster damage from use and age.

3. The risks of being too relaxed about safety

China required more transparency for transporting hazardous goods only after the massive tragedy in Tianjin. Technical changes alone cannot better safety habits. Careless mindsets need to proactively shift.

4. Getting surprised by new regulations

Brazil's gradual electric vehicle rule first troubled large fleet owners. Then it cascaded to smaller companies with limited money, leaving them unable to transition on time.

5. Are safety symbols unimportant?

Faded hazard markings increase the chance of loading the wrong cargo. Yet worn-out signs repeatedly go unseen when tanks exchange hands many times.

6. Short-term savings, long-term accidents

Financially stable companies regularly replace older containers. Meanwhile, cash-strapped operators do makeshift patches. This risks major safety troubles later.

As Part 1 shows, even simple issues lead to mishaps when people don’t focus on core tank safety principles. We need more staff across areas to grasp the key ideas behind safe protocols. 

Stay tuned for part 2 next week, where I’ll share step-by-step processes and safety checks for handling tanks properly.

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At Deccan Transcon Group of Companies, we believe that organizations are most impactful when connections between people go beyond formal roles and hierarchies.

So periodically, our leadership team across functions meets up in person - be it in Indian cities like Hyderabad, or Mumbai or international countries like Thailand, Dubai, Germany, Spain, or USA.

These meetings do more than just review work and make plans. They also strengthen our culture by highlighting that behind our progress are dedicated people who contribute their talents.

The informal sessions promote open conversation that regular calls do not allow. In these sessions, anyone can raise concerns, share ideas, or simply connect over meals and activities.

Yes, the team thoroughly evaluate progress and plan future growth strategies. But the relaxed environment also makes room for personal stories and details that go beyond slides and numbers.

We leave reenergized for the journey – with closer bonds, clearer goals, and tighter team alignment. Our skills grow sharper and our knowledge expands from learning each other's experiences.

At its core, organizations reflect the people who form them. A culture that values each individual's well-being creates the best long-term outcomes.

These in-person meetings are focused on one thing - supporting each other before we continue working at full capacity.

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AN ISO tank transports liquid cargoes of various Haz categories from a shipper to the buyer. After years of interactions, I have observed various exp levels handle tank containers.

This includes various supply chain roles - technicians, safety officers, negotiation staff, documentation executives, and senior management.

They're involved in transport and facilitate carrier-client communication despite lacking technical knowledge or expertise in hazardous materials, esp those in small companies deeply engaged in negotiations.

Their limited understanding directly impacts plans and procedures, with issues addressed only after accidents occur.

To solve this, I’ll be sharing a 5-part series to provide all people in this industry with fundamental technical knowledge.

Basic technical literacy is crucial to anticipate problems, follow procedures, and make informed strategic decisions remotely.

The topics will address protocol gaps including:

- Technical terminology misunderstandings

- Depot staff loading without procedures

- Inspectors certifying equipment without full understanding

- Operators assigning old, uninspected tanks to avoid repairs

Rather than learn from post-accident analyses alone, I will share critical areas using examples and evidence of real-world impacts before issues arise.

With this knowledge, supply chain managers can :

1. Ask better questions

2. Choose safer partners

3. Plan effective contingency measures

Later this month, part 1 will explain tank integrity technical details critical for safety and accident prevention to improve understanding across supply chain roles.

Although these aspects will be basic, explaining them is still needed since related incidents continue. Looking forward to sharing it.

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European counter parts multi-decade dominance in tank container logistics seems impenetrable for Asian companies newly entering their home region.

In 2000, there were only a handful with fleets over 10,000 ISO tanks. By 2010, 5-6 major companies had reached that scale.

But in recent years, some Asian operators have been able to establish their footprints in Europe. Here are some key success factors:

1. After consolidating their position in the Intra Asia business, a few of them were able to grow their fleet size and network.

2. This customer base allowed them to pick up shipments from Asia into Europe.

3. As a result, with healthy inventory levels in Europe, good and reliable agents and forwarders started to tie up and partner with them.

4. With substantive European Companies shipping to Asian countries, the Operators from Asia were competitive given certain home advantages at the destination ports.

5. Since 2015, another 2-3 rapidly expanding Asian operators have crossed 15,000 tanks through strategic partnerships and entering new regions.

The growth of Asian tank container companies has been steady but significant.

While still dominated by European players controlling major shares, these challengers have gradually claimed market share thanks to flexibility, localization, and alignment with customer needs.

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