Application to Global Executive MBA November 2014Javier Olaso Escoriaza

Express your self Question “D” – Part I

Example of when my leadership had an impact or changed a certain situation

Grounding of Motor Vessel “Fedra”

Punta Europa (Gibraltar)10th October 2008

DWAT ABT 64,000 MT ON 13.084 M (PANAMAX VESSEL TYPE)FLAG: LIBERIA PORT OF REG: MONROVIABUILT : OCT 1984 BURMEISTER & WEIN COPENHAGEN LOA : 224.87 M BEAM: 32.24 M

CALL SIGN: A8JD9IMO NO: 8208713 TYPE/ENGINE : MAN B&W 4L 80 GBGEAR: GEARLESSHO/HA: 7/7CLASS SOC: GERMANISCHER LLOYDP+I CLUB: AMERICAN CLUBTYPE OF HATCH COVERS: SIDE ROLLING MC GREGOR HATCH SIZES: (1-7) 14.40 M X 15 M

Situation:

Vessel lost power and steering possibilities when hit by a storm in Gibraltar area while waiting for bunkering operations

The worst was about to happen…

Nothing could stop vessel running aground at Punta Europa

Luckily the environmental risk was limited to the fuel on board which was low as previous cargo was clinker which was discharged in Ferrol prior to grounding

MV Fedra finally split in two becoming a total loss

Summary:

Tramontana Shipping was commercial manager and operator of motor vessel “Fedra” under a contract with Cementos Occidentales for the transport of Clinker cement cargoes from China to North Spain (Ferrol)

I was the individual responsible for the deal and as Managing Director of the company I did assumed the risk of chartering the vessel to deliver the contracted cargoes to the customer

Due to the unfortunate grounding following discharge operations in Ferrol, I had to negotiate with Suppliers of the cargoes in China and also negotiated with Receivers (Cementos Occidentales) in order to cancel the remaining contracted cargoes

My leadership had an impact and changed a certain situation by finally getting the parties together defending each other´s legal rights and avoiding arbitration (extra costs) and delayed potential solutions

I also did manage the settlement of all claims between Suppliers, Receivers and Owners including liabilities from grounding (2 years)

Application to Global Executive MBA November 2014Javier Olaso Escoriaza

Express your self Question “D” – Part II

Justify how an IE Master’s Degree program would help you to strengthen or improve this competence.

I hope not to face similar situations in my professional career but when I confronted the grounding of Motor Vessel Fedra I felt I had a lack of experience in terms of:

o Corporate finance to analyze the costs involved together with financial management and accounting

o Communicationo Strategy to deal with the events and people involvedo Legal knowledge to defend the parties in such a situationo Corporate Governance to asses the parties involved on the incident

Things did finally end up in a solution where parties where reasonably satisfied, but the result of the operation did affect Tramontana earnings significantly together with a massive loss on future earnings.

The positive outcome was the learning on all of the above subjects, but, I strongly consider I should improve such knowledge, especially because of the challenges the Shipping market will face in relation with Oil and Gas, Energy and Finance sectors.

Challenges I face in my sector of expertise (Shipping)

o Supply and demandOversupply of old tonnage

o Efficiency on engineering designInvestments in technology restricted due to high costs, environmental performance

o Cost managementRising fuel cost and consumption versus new commodities (LNG)

o Human resources (ashore and offshore)Work conditions for seafarers, training of new generations, social performance

o Project financeMatch financing needs with cash flow generation. Reduce currency risk and Asset value exposure

o SustainabilityContraction of trades in specific regions, changes in market demand impacting shipping routes

How can the Global Executive MBA help me

Subject to ImproveHuman Resources

Special SituationManagement

Emerging Economies

Global Markets Impact

Going Beyond Business

Corporate Finance

Companies and Asset Valuation

Management Performance

IE GXMBA competenceAlumni expertise, team building in four different environments, exchange of cultural concerns.

Learn to develop best practices and personal leadership through faculty and colleagues experience

Encourage Growth and protect resources by facing social inequalities

Understanding of evolving business climate in Asia

Obtaining a wider vision of value creation and sustainability together with the understanding of the cultural, social, political and scientific changes that are transforming our world

Understand business and investment value together with the potential results to be obtained

Learn how to evaluate in different ways an asset and appreciate the risks and potential returns

Obtain the necessary skills to run a global business either for third party or an individual project

Where I want to be in the future and how I believe I can implement the knowledge acquired?

Becoming a Prestigious Shipping Entrepreneur either with third party support and/or working for an established company, with the aim of establishing a successful Social Responsibility program

Options

Shipping Consultancy

Third PartyOil Major – Trader

Ship Owner

Business Development