One of the many things I’ve learned after decades of writing about superyachts is…there’s always more to learn. And that’s why I’m so excited Arrow Monaco owner and CEO Yerin Hobson agreed to talk to me recently. Arrow Monaco is yacht and project management company with a team of 40 people (in offices in Monaco and Ft. Lauderdale) who are currently managing almost 20 new builds and five refits.
And since they handle everything from helping an owner find the right yacht designer down to the finest construction cost and detail, I’ve learned just how important they are in the superyacht industry even though they usually operate behind the scenes and below the radar. With roots in the practical skills needed for day-to-day large yacht operations at sea and on shore Yerin’s team can do “almost anything.” And as Yerin explains, when it comes to managing every aspect of superyacht design, construction, and operation, being able to have the technical know-how and experience to do “almost anything” comes in handy on a regular basis.
BS: I’ve been to plenty of shipyards. And I’ve visited lots of yacht design studios. But I never really understood how critical companies like Arrow Monaco are to the superyacht industry. Can you give me an example of how Arrow Monaco manages a new build?
YH: Absolutely. A good example is an 80 meter new build project we signed the day before the Monaco Yacht Show started in September last year. We were appointed at ground zero, so one of the first things we did was write the technical specification along with interior and exterior designer for the entire project.
Then we approached three different shipyards and selected one based on the price and the technical information that they came back with. After that, we entered a four-month R&D phase that includes all the technical documentation and to signing of the build contract. The importance is the detail. Writing the specification from the very start of the project helps us protect the client against future issues. And as of today, there has not been one single variation to contract or cost change on this project.
BS: can you tell me a little bit about how you formed the relationship with a client that allows you to sort of have that ability to be so exacting right from the beginning?
YH: Trust is everything. For this specific client, I went to meet with him when he was chartering a large yacht in the Caribbean. When it comes to building trust, nothing compares with sitting across the table with the client, designers, and shipyard reps.
When the client understands that we really know what we are doing, and you have a team that has been doing this for a long time, it’s key. Trust is everything because this relationship is for life. It’s not just building the boat. It’s then operating the boat. Dealing with refits. It’s a lifelong relationship. They can also trust us became we are not brokers and have zero commissions.
BS: So, what happens after you successfully navigate a owner through a multi-year new build phase? They love the boat. Then what? What do you do next?
YH: The next phase actually starts as the management team gets involved on the operational side about two years prior to launch. We help the owner find the right captain and crew along with many other details. And then finally at six months out, the entire crew arrives for training and familiarization.
Naturally, if we have built the boat and know every detail, every change, every system, then logical that we’re the right people to manage the yacht. That way if we have a problem, we supervised most of the systems installation alongside the shipbuilder so we can give the owner all necessary information to find efficient solutions.
BS: You do way more than just new build management, right?
YH: It’s broken down into five categories: operational management, crew management, financial management, technical management and safety and security management. The client should be able to see where every cent is being spent, and it should be managed by somebody. I say this because this is our business model is similar to a family office style of operating a yacht that’s 100% transparent. All our accounting, compliance and crew systems are online so our client’s always have the information they need in real time.
I guess the real success story of Arrow how we deal with people. We value our relationships. We respect the people we work with and we strive to keep everybody happy while always getting the job done and most of all, protecting our clients every step of the way.