The global flow of goods and services is taking place and is becoming a multi-trillion dollar opportunity. The air express industry is enjoying the benefits of this opportunity. Placing the consumer who is the king in middle of all that the industry is doing, the industry is moving from B2B focus to addressing b2C-related requirements. The carriers and other stakeholders in the express industry continue to see surge in the e-commerce shipments handled, unmoved by foray of e-tailers such as Amazon into logistics space.
The air logistics industry has largely seen two eras: pr(e)-commerce era and post e-commerce era.In the pr(e)-commerce era, logistics was all about transporting goods from one place to another with no transparency or product tracking option provided to the shippers or the consumers. Suppliers passed on the raw material to the manufacturers who then distributed finished goods to consumers via distributors or retailers.
Contrary to the conventional supply chain, post e-commerce era has brought unprecedented zeal in the sector. Consequently, the business landscape of the entire parcel and air express industry shifted gear from a pure Business-to-business (B2B) focus to also including Business-to-consumer (B2C)-related requirements. In this highly competitive industry, effective and efficient logistics are critical success factors. E-commerce players can succeed only when they are customer-centric, fast and transparent; this has resulted in parcel traceability and speed becoming the new standards in e-commerce logistics.
Supply chain giant UPS says it has passionately adopted technology to smoothen its supply chain as they become more customer-centric.
“Supply chains certainly are becoming more customer-centric, and UPS is meeting that challenge with $2 billion in capital investment so far in 2017 to increase capacity and enhance operational technologies. From an air cargo standpoint, we are seeing an increase in volume from freight forwarders, who have the expertise to assist e-commerce shippers navigate the often complex rules for international shipping. Air cargo enables e-commerce shipping across borders at reduced cost through consolidation of multiple shipments,” said Jim Mayer, Public Relations manager, UPS Airlines.
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AVIATION INDUSTRY: FUELING THE FUTURE WITH SUSTAINABILITY
Following rising concerns about climate change and the urgent need to reduce greenhouse gas emissions, the aviation industry is building a well-established strategy for sustainability. Thanks to technological advancements, innovative practices, and a strong commitment to environmental stewardship, sustainable aviation is emerging as the path to a greener future.
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Up until five years ago, the air cargo industry was considered less digitally mature than other sectors marked by rigid legacy systems. But with the onset of Industry 4.0, innovation is on every business manager’s agenda and exciting changes are transforming this industry. Also, as consumer habits change and customer expectations grow, clients demand end-to-end visibility of their delivery. With emerging technologies like Blockchain, Artificial Intelligence and IATA’s initiatives One Record and Interactive Cargo, technology is definitely making changes to efficiency.
WAITING TO BE FILLED AIR CARGO CONTINUES TO BE IN THE DOLDRUMS
Global air cargo industry continues to suffer across all regions and the demand decline experienced in 2019 is the steepest drop since 2009 during the global financial crisis. Airline association IATA predicts that air cargo demand will increase by two percent in 2020; however there are several ifs and buts for the industry to get back to growth momentum.
TRADE WAR ADDS CANADIAN FLAVOUR INTO CHINESE CUISINE
The surging lobster business in Canada built on the trade war between the US and China shows the capability of Nova Scotia in addressing the supply chain issues of stakeholders, at a time when China demanded more lobster than the province exported earlier. By exporting around 22 tonnes from January-October 2019, one of the three maritime provinces of Canada is confident to face the aftermath if trade war ends, by foraying into new markets.
INDUSTRY RISES AGAINST DANGERS OF ROGUE LITHIUM SHIPMENTS
As the threat of mis-declared or ill-packaged shipments carrying lithium batteries looms large, the aviation industry is joining forces to fight the menace. As e-commerce and demand for cleaner technology grows, the demand for lithium batteries is also seeing an upward trend. It’s time this industry affair got more attention to make aviation safer.
GECAS, IAI Launch The B777 Freighter Conversion Programme, Freighter To Enter Service In 2022
GECAS and Israel Aerospace Industries (IAI) have launched the Boeing 777-300ER freighter conversion programme.
From Booking Middlemen To Strategic Partner
Founded in the united kingdom in 1994, Air Logistics Group (ALG) has developed significantly from the traditional ‘general sales agent’ to a strategic partner offering the highest level of value added services to its airline and forwarding partners. As ALG completes 25 years, Stephen Dawkins, founder & chief executive officer of ALG, speaks to Reji John, about many more exciting years ahead providing airlines and forwarders with a reputable, financially sound partnership that can deliver in terms of revenue, network coverage, digitalisation and manpower. Edited excerpts.
FLA-PLA 2019 Call For Embracing Technology, Sustainability, Better Infrastructure
Sustainability and need for collaboration dominated the narrative of the latest Flower & Perishable Logistics Africa conferences in Nairobi, Kenya. Attendees discussed the importance of infrastructure development, exploring new markets, and looking beyond the traditional avenues.
Raising The Stakes On Perishable Logistics
When dealing with fresh produce and other food items intended for human consumption, there is no wiggle room when it comes to freshness and quality. For the food to reach one’s plate, there is a lot that happens along the way – this includes harvesting crops at the right time, maintaining proper temperatures, and of course, on-time delivery from farm to fork. As consumption patterns change, regulations vary, customer expectations rise, industry players are converging to create a seamless supply chain.
Connecting Intelligently For Cargo Mobility
The air freight industry, which has remained traditional in its processes and business models for a very long time has seen a perceptible shift on the back of advances both in operation and information technology in the last few years. For the industry to work more efficiently, the supply chain needs to generate a constant stream of data that can be collected, analysed and used to optimise productivity.
