This website uses cookies to ensure you have the best experience. Learn more

Strategic Management Report Fsl Trust

2675 words - 11 pages

Strategic Management Report |
First Ship Lease Trust (“FSL Trust”) - Singapore |
Charl Maingard – CT0209461 |


Company Profile 2
The General Environment of FSL Trust 2
Industry Competitiveness – Where does FSL Trust stand? 4
Summary of Industry Competitiveness for FSL Trust 5
Internal Environment Analysis 5
SWOT Analysis 6
Conclusion 6
Recommendations 7
References 8

Company Profile
First Ship Lease Trust ("FSL Trust") is a Singapore business trust that provides lease financing solutions to the international maritime industry. FSL Trust currently owns a diversified portfolio of 25 vessels with an average age of eight years. FSL Trust derives stable ...view middle of the document...

international trade development,
d. changes in marine transport methods and the development of alternative solutions,
e. the globalization of production and
f. environmental and other legislative trends.
Economic Culture:
FSL Trust owns a number of vessels which can serve a wide variety of industries. Since FSL Trust is not a shipping company, the business is of such a nature that it rather offers alternative financing solutions to the shipping industry, thereby reducing the cost of ownership to a lessee, and yet giving the lessee total control over the running of the ship. Since the company’s profitability would rely heavily on both long and short term lease agreements, it is well placed in this area whereby currently 16 of their vessels are under such contracts.
Even though long term lease agreements are based on water-tight contracts and therefore show as future earnings (sometimes up to 10 years plus extensions), the recent defaults on payments by two of their customers has had a massive negative affect on the company.
Socio-culture Conditions:
FSL Trust is currently on very shaky grounds. The entire top management team including the president and CEO resigned on-masse during July of 2013 which left the company without a top-management team for approximately two months. The appointment of Alan Hatton as CEO is a concerted effort to stabilize and turn the company around. The Board of FSL Trust stated that Mr. Hatton brings “significant commercial shipping experience including negotiating and executing time charters, sale & purchase deals and risk management strategies.” In addition, the appointment of Timothy Reid as non-executive director from the insolvency and restructuring firm, Ferrier Hodgson is a significant sign that the company is heading in one of two ways.
The resignation of top-management could have directly been influenced by the ongoing default on lease agreements, as well as the company’s inability to fulfill certain financial covenants.
Technological Challenges:
The ongoing discussions of FSL Trust with lenders to extend the loan covenant relaxation has led the company to halt all share trading on the SGX since November 2013. The current board is investigating the terms of the extension of the covenant and has taken independent legal advice on the matter. Since the company owns a relatively young fleet, and 7 vessels are not on long-term leases, there is probably no reason to purchase any new vessels in the foreseeable future, unless there is a significant uptake in the market. The company will probably focus rather on settling outstanding debt. Owning a relatively young fleet also suggests that the current technologies within the vessels are up to recent standards and would not need any significant upgrades. Advanced technological instrumentation will also not have a major influence on whether a customer will lease one ship over another.
Environment Factors:
There are numerous examples of the...

Other Papers Like Strategic Management Report - Fsl Trust


2632 words - 11 pages Strategic Management - An Introduction Strategic Management is all about identification and description of the strategies that managers can carry so as to achieve better performance and a competitive advantage for their organization. An organization is said to have competitive advantage if its profitability is higher than the average profitability for all companies in its industry. Strategic management can also be defined as a bundle of

Organisational Direction and Strategic Presentation Essay

2473 words - 10 pages for services (or buy) from a range of providers which will help them find the best quality service, most suited to local needs, and which is the best value for money5. Lewisham Primary Care Trust which provides all the community services for the borough presently will be putting its provider arm of its service up for tender in February 2009, with the aim of having a fully functioning autonomous provider arm by April 2009. Strategic Analysis â

Amazon Strategy

651 words - 3 pages one international lawsuit pertaining to failing to pay tariffs on digital media. The final lawsuits are claims for uncollected taxes totaling more than 322 million dollars (Annual Report, 2012). Amazon’s leadership must resolve these issues immediately. By allowing the issues to linger unresolved for more than 12 years the company continues to jeopardize its goal of maintaining customer trust and its commitment of excellence to

Trust Mechanisms

3922 words - 16 pages Trust In Semantic Web Muhammad Arslan Shafiq (081212) Department of Computer Science SZABIST Islamabad, Pakistan _______________________________________________ _______________________________________________ Abstract—Trust management is important in semantic web in order to achieve the goals of semantic web vision. In this paper two approaches of implementing trust have been discussed. One approach is strong

Balanced Score Card

817 words - 4 pages results. MC incorporated software to track, analyze and report progress, for evaluation, to ensure accurate performance measures, monitor current performance, tailor future plans, and obtain sustainable outcomes, to meet their mission ("Mecklenburg County Case Study," n.d.). Recognized for best practices in BSC, related to successful management of strategic performance, MC transformed toward favorable outcomes. Although Mecklenburg County

Strategic Linkages

627 words - 3 pages all stages of employment will become familiar with, and trust, the HR team. Some corporations may even find it beneficial having HR members present in corporate business meetings. A proper HR team should help with moving business in the right direction and should also know what the goals of the people they manage are, and what motivates them to move forward. 2. By arranging HR to be a strategic partner, employees will develop a greater

Bank Assigment

2254 words - 10 pages issues: origins, stages of change management process, change management dynamics, options to implementing strategic change in the firm. - Interaction Trainee/ Trainer : the trainees will choose an industry on which they will focus their future work. Afternoon: 3 h. SESSION 5: FROM ANALYSIS TO ACTION Session Objectives: Presentation of the different stages of analysis and action necessary for the successful implementation of change

Law Adi & Apra

2107 words - 9 pages limited” Where the client does not state that bot been eligible for an overdraft will have an affect on bigger losses. In Conclusion Victoria Bank must hold a FSL form ASIC and report all disputes that was stated within the banking industry to ASIC. In the case of Trent Lee Victoria bank should understand the need of the client, asking the appropriate question at the start not to have any disputes in the future for something that was missed out or

Case Study for Kodak

1495 words - 6 pages 1101IBA- Management Concepts Assessment 2: Report Report on Strategic Management at Eastman Kodak Prepared by: Alisiya Bell S2944536 Due Date: Tuesday, 23 September 2014 Word count: 1426 Introduction: Once a great leader and legendary brand in the photographic film industry, Eastman Kodak is now fighting to recover from a tech revolution that is strangling its core business. Kodak Chief Executive Antonio M. Perez is

Hr on Employee Voice

2063 words - 9 pages Building Guidelines is reviewed regularly to ensure continuous improvement and to focus on the objectives such as carbon footprint, energy consumption, water management and generation of waste. Frameworks for Environment, Community and People has been setup for the vision, mission, policies, method/action plan, strategic goals to be taken and the stakeholder engagement. This helps to give accountability and a target set towards goal

Identity and Access Management Market by Component

1030 words - 5 pages management include cloud based IAM solutions, IAM as a service, hybrid model for deployment of IAM solutions. The availability of cloud deployment options for Identity and access data has further given a boost to the demand for application based solutions across many verticals. Furthermore, APAC is gaining high market traction due to increasing economic and cloud adoption. For complete report please visit :

Related Essays

Lenovo Case Essay

1179 words - 5 pages • Trust-building work sheet list • Yearly status report • Manufacturingvs.-partnering analysis • Cultural-fit evaluation form • Alliance-contract • Alliance-contact • Alliancestructure guidelines • Termination checklist • Due-diligence team • Alliancecommunication infrastructure • Terminationplanning work sheet • Alliance-metrics framework Selected Performance Criteria for Strategic Alliance If the Alliance

To Identify Leadeship Style Essay

3121 words - 13 pages . * Leadership: How the leader support the team in achieving results. Effective teams are always aware of and responsive to both their internal and external environment. The following factor plays an important role: CLEAR ROLES AND RESPONSIBILITIES: * Organisation structure * Job description * Accountabilities * Competencies * Resources POSITIVE RELATIONSHIPS * Mutual Respect and trust * Support * Inclusion

Analysis And Synthesis Of Prior Research

1266 words - 6 pages and difficulties with the project will report the problem without excessive micromanaging of the project (Waples, & Culbertson, 2011). There must be an atmosphere of trust and a climate that encourages reporting without fear of reprimand, and senior management must respond promptly and appropriately to all reported concerns (Waples, & Culbertson, 2011). Closing According to Morris and Pinto (2007), “a program manager is the organizational

Knox Case Essay

6464 words - 26 pages : A Preliminary Statement”, American Sociological Review, 25(2), pp. 161-178 Gulati, R. 1995. “Does Familiarity Breed Trust? The implications of repeated ties and for contractual choice in alliances”, Academy of Management Journal, 38(1), pp.85-113 Holmlund, M. and Törnroos, J.A. 1997. “What are the Relationships in Business network?” Management Decision, 35(4), pp.304-309 Hynes, N. & Mollenkopf, D. A., 1998. Strategic Alliance Formation