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   Vol. 14  No. 24
Monday March 16, 2015

DGR Track Lifts WCS Finale

Berlin Brandenburg Gate     Words & Music—While Miros, the hurdy-gurdy man, plays in spring-like weather in front of the Brandenburg Gate in Berlin, Germany, delegates at IATA World Cargo Symposium in Shanghai learned that WCS would be held in Berlin next year.
     After several sessions were presented in Mandarin this week, some wonder whether the same will hold true for a 2016 event spoken in German . . .

DGR Track Lifts WCS Finale

     IATA World Cargo Symposium (at least the public portion) concluded Thursday, with the morning dedicated to further “subject matter tracks,” while the afternoon belonged to the closing plenary.
     The “China International – Entering Chinese Market” track—in the English language—was all about entering, accessing, and competing in the Chinese air transport market.
     China as the current world’s largest economy is a market forwarders, integrators, and airlines cannot do without.
Ulrich Ogiermann     Ulrich Ogiermann, (left) chief officer cargo at Qatar, provided invaluable insights about the challenges foreign enterprises face when seeking access to the vibrant Chinese market and the strategies to employ in order to cover the specific needs of this market as well as making Chinese business a sustainable and lasting one.
 Gert Jansen    Carlos Tornero, IATA legal counsel, briefed the audience about freedoms of the air and current developments in regard to Open Sky agreements as well as multilateral agreements.
     Gert-Jan Jansen, (right) managing director, Seabury Group provided some background about future trends and developments in China’s air cargo market while Liao Zhi Yong, IATA manager Business Process and Standards, outlined the entry requirements for foreign forwarders into the Chinese Market, the requirements for incorporating in China as well as obtaining a Cargo agencyship.
     The subject of partnering with existing Chinese forwarding companies and thus expanding one’s reach into China without setting up branches was explained by David Yokeum, CEO of the WCA forwarding network of independent forwarders.


Action DGR & Cargo Ops Standout

     Topping the list of important tracks were “Cargo Operations and Handling” and the “Dangerous Goods” tracks.
     The Cargo Operations and Handling track featured some high-caliber industry expertise from Emirates Manager Cargo Global Operations Pichuyer Balasubramanian, BFS GM Cargo David Ambridge, Air Canada VP Cargo Lise-Marie Turpin, and Nordisk VP Industry Affairs Bob Rogers.
     This was all about handling—best practices to be employed, industry and customer expectations, legal and operational challenges, as well as how to deal with and properly streamline the increasingly complex processes of handling.
     Chaired by David Ambridge, COAG (IATA Cargo Operations Advisory Group) delivered an update and benchmarked the progress and achievements since WCS 2014 in LAX, which included detailed outlines regarding the implementation of IGOM (IATA Ground Operations Manual), the adaption of the SGHA (IATA Standard Ground Handling Agreement) to a much needed modernization, and the Facility Capability Matrix.
     Briefly touched were the subjects of air mail and its future in the times of e-commerce as well as an update about the most neglected part in airline operations: The ULD. Delivered by Bob Rogers of Nordisk, this was essentially an expanded version of the update delivered during Wednesday’s “Regulations” track.
     A panel discussion covered “Supply Chain Optimization” and drove a lively exchange of arguments and down-to-the roots work on how to achieve the 48 hours reduction in transit time IATA had proposed.
     The Dangerous Goods Track was dedicated to the most controversial and disputed issue in air transport currently: The transport of Lithium batteries by air.
     Teun Muller from the Dutch Ministry of Infrastructure provided a state-of-the industry runabout, focusing on the switch to “Competency Based Training” (CBT) currently underway; the recommendations made by the multidisciplinary Working Group on Lithium batteries by air and the changes that took place in the multimodal UN Recommendations.
     Competency Based Training or CBT is one of the industry’s high hopes in order to improve compliance with the regulations and avoid accidents: A combination of knowledge, skills and attitude will, at least in theory, result in a (more) superior job performance. As Mr. Muller explained, CBT is function driven—main benefits are the support of SMS (Safety management Systems) and improved on-the-job performance, and is designed to ensure that trainees can perform the job at hand.
     Further restrictions loom on the horizon for shippers of Lithium batteries. For the time being, while further restrictions applicable to Lithium batteries packed with or installed in equipment are still disputed at the UN level, the exemption from having equipment with so-called excepted batteries installed to be marked and documented will be further restricted as no more than two packages per consignment will be permitted to be shipped without the Lithium Battery handling label identifying the nature of the cargo to the carrier.
     Jason Abbott, director Engineering at AmSafe Bridport answered what was probably the most pressing question of the audience and industry: What can be done to mitigate the risks of shipping Lithium batteries by air? In a detailed and knowledgeable presentation, Mr. Abbott provided insight about the efficiency of both passive and active fire containment systems—passive containments, such as thermal covers (FCC), and active containments such as fire resistant cargo Containers (FRC), are able to contain a fire for up to six hours—likely sufficient time to divert the aircraft and make a safe landing, thus avoiding fatalities as in the case of UPS006 in 2010.
Peteer Hunt      Peter Hunt, (left) Airline Ground Safety manager for Cathay Pacific Airlines delivered a likewise knowledgeable presentation about Risk Mitigation Strategies. He did not fail to emphasize at the very beginning of his presentation that “Lithium batteries are everywhere”—and, especially in the case of Hong Kong, this means they’re also in the mail, mostly undeclared, and often counterfeit.
     The issue of intentionally undeclared or misdeclared shipments by willfully non-compliant shippers was addressed by Mr. Hunt in no unclear words.
     Last but not least, Dave Brennan, assistant director Special Cargo Standards, explained the options regarding “Automation to improve customer experience, taking the paper out of the (DG Shipping) process.”


e-cargo & other final tracks

     The e-cargo track was, naturally, all about e-cargo. Speakers and panelists represented the drivers of IT development throughout the industry such as Uwe Glaser, Cargomind; Scott Sangster and Jos Nuijten from Descartes; Sandeep Fernandes, Mercator; and Thilo Schaefer, Lufthansa.
     Whether it was “Behavior of the digital customer,” “e-link: delivering great customer experience,” or the “Role of Cargo 2000 in building a Digital Industry”: No digital stone was left unturned.
     A panel discussion “What is the next step in e-Cargo transformation” identified the current state of digital processes within the industry and provided a look at what is to come and how it will affect the cost base, interaction with the customers and other stakeholders, as well as streamline efficiency.
     Subtitled “Thriving in the Digital Age: Elevated Experiences, Interactions and Analytics,” this track was about opportunities and chances as well as synergies, cost reductions, and efficiency gains created by modern software solutions in the cargo industry.


Exit Doors To The Left

     The overabundance of compressed subject matter information may have worn out the delegates—attention to mobile devices went up again during the closing plenary—among those who participated, at least, since many delegates had either already left or were quietly conducting business in the corners.
     James Woodrow, director Cargo at CX and chairman of the IATA Cargo Committee, provided a brief update about the major results from the executive meetings, which took place during the WCS—the CES Cargo Executive Summit, the Cargo Committee meeting, and the C2K Board meeting.
     Again, the most notable message Mr. Woodrow sent was about the omnipresent Lithium batteries.
     Stating “IATA can’t do it alone,” Mr. Woodrow called for greater efforts and diligence all throughout the supply chain and involving all stakeholders; another major result of the executive meetings were resolutions to further push e-freight and in particular the e-AWB.
     While obviously many attendees found the lengthy FACES session about “Identifying and nurturing the future leaders of air cargo” overly long, attention went up when it was time for the “innovation awards.” These were, who would have thought, presented by Des Vertannes, former IATA Head of Cargo and currently un-retired from his retirement just a year ago.
     A rather unintended consequence of Mr. Vertannes presentation might have been that Mr. Hughes, IATA’s current head of cargo, looked rather dull compared to the much more lively Des Vertannes.
FACES finally kicked off and miraculously, all three finalists (out of 25 candidates in total) who had been invited to Shanghai came from the Netherlands—something which prompted Mr. Vertannes to underscore that IATA had no hand in that.
     The three finalists were:
          CANTrack by Floris Kleijn, CHEP Aerospace Solutions;
          CLIVE by Niall Van de Wouw, CLIVE;
          Cargo Claims by Kiona van de Burg, Cargo Hub
     The 1st prize award of $20,000 USD was won by CANTrack of Chep Aerospace Solutions, featuring a ULD Tracking solution powered by small solar panels generating the power for OnAsset ULD tracking devices, which will avoid the cumbersome process of recharging batteries or replacing them frequently.
     IATA announced the location of the next WCS in March 2016; this time, it will be in Berlin, Germany, and we are eager to see whether IATA will continue the practice of providing tracks in the local language.
     Another update came after WCS 2015 had already been wrapped up: The WCS app (which most delegates seem to have installed on their mobile devices) provided the following announcement:
     “As a WCS delegate, you may have received a mobile charging device as a giveaway. Please be sure to pack this device in your carry-on.
     “In accordance with rules, do not place in your checked luggage.
     “Have a safe flight!”

     FlyingTypers must categorically deny that our report of the WCS Power bank giveaway two days ago had anything to do with this announcement.
Don Vito


If You Missed Any Of The Previous 3 Issues Of FlyingTypers
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