IATA’s World Cargo Symposium (WCS) , having made a quick pivot less than a month ago away from a scheduled WCS in Istanbul in favor of the Emerald Isle is taking place in Dublin this week.
     The IATA move was thought needed, when it appeared not many were going to show up at IST, appears to be a good one. For now several hundred people are expected to show up, mostly from Europe and the Middle East with some expected from the Americas, but very few from Asia.
     Of notable interest, here is Lionel van der Walt, Global Chief Commercial Officer and others of the PayCargo Team.
     PayCargo has been on fire building their exclusive better way to pay program worldwide including a recently completed mega-arrangement with giant FIATA, the world organization of freight forwarders that as you read this is busy offering an inspired new program with PayCargo branded Freight Pay.
     “We are here in Dublin ready, willing and able to take things farther for all industry stakeholders,” Lionel told FlyingTypers.
     Looks like that PayCargo ban from participating at IATA events was short-lived.
     In fact, back in the fold, Lionel is slated to moderate the “Challenges and Opportunities: Air Cargo Transformation” session scheduled to take place during the opening plenary on Tuesday October 12.
     Panelists include usual suspects Michael Steen, EVP & CCO – Atlas Air Worldwide and Peter Penseel, COO Airfreight at CEVA Logistics.
     What we like about Lionel van der Walt, aside from his great passion for our industry, is his brilliant mind and ability to figure things out that in the end seems to always benefit everyone. The van der Walt package also includes a thoughtful, quiet spoken, very decent and eminently approachable human being.
     Always public spirited and willing to pitch in to get things done, Lionel has continued to act local and think global from his years serving at IATA that included a short stint with very positive results as President of IATA CNS.
     So as air cargo week begins in Dublin, here Lionel talks straight from the shoulder and shares what’s on his mind October 11, 2021.
     “Air cargo, all of us included, needs to do a better job of promoting the importance of our industry as the engine driving local, national and global economic growth and sustainability.
     “The light is shing brightly on our industry right now and has generated significant investment and progress towards modernizing our outdated systems and procedures.
     “However, this attention will not last forever and I fear is already starting to fade as the passenger side of the business starts to come back to life.
     “It is therefore essential that we use this window of opportunity effectively to drive the much needed change to modernize systems and procedures.”

The PayCargo Revolution

     “Most people think of PayCargo in simple terms as an online payment platform, which is absolutely correct.
     “However, when I think about PayCargo, I think in terms of the role we play in facilitating trade, economic growth and sustainability by way of industry payments transformation.
     “By speeding up payments we speed up the flow of goods and trade, which also has a positive down the line impact on aspects such as truck dwell times, fuel usage and emissions.
     “By introducing new technologies to replace outdated manual paper-based processes, we are driving sustainability.
     “I firmly believe this social responsibility viewpoint is key to the industry's future, but is not always recognized and taken into consideration.
     “When companies choose to do business with us they know they are partnering with a team that is focused on contributing to the future success and sustainability of the broader value chain.
     “This is just as important as our objective to be recognized as the industry’s online payment platform of choice,” Lionel Van der Walt declared.
Geoffrey

     Several years ago, in the saloon of a Las Vegas hotel where an air cargo industry convention was being held, a lusty debate took on the proportions of a high-decibel shouting match. The subject in shrill dispute: has the air cargo industry achieved a solid state of maturity? The question rocked the barroom.
     The peaked voices raged for perhaps an hour. But then the inevitable thirst for liquid refreshment gradually, one by one, had the effect of dampening the enthusiastic ventilation, with the question about maturity unresolved, forgotten, left for another day.
     Forgotten, but not for long. The question vaulted back in my mind when I received the news of Jan Krems’ as President of United Airlines Cargo and his team having reached the staggering sum of 11 million Pfreighter shipments whilst achieving unexpected levels of air cargo revenue for UAL during the darkest days of the COVID-19 pandemic.
     It struck me at once that Krems’ international crossover from Air France-KLM to the highest rung on the cargo ladder at one of the United States’ greatest airlines was nothing short of an act of industry maturity—a mirror of events in a globalized marketplace.
     Now as the world gathers at World Cargo Symposium in Dublin, Ireland this week, Jan Krems stands shoulder to shoulder amongst the top five most dynamic and results-driven cargo executives in the world during the past decade.
     This week Jan can only smile, as United announced that it is going gears up, relaunching most of its fleet promising most of its airplanes and all that needed belly-lift back into the air during the next couple of months.

FT:  What are you saying about priorities at United Cargo right now?
JK:  We have two main goals to get us through the pandemic—to provide unsurpassed quality in our air cargo services and to stay close to our customers. Early in the pandemic, when passengers travel levels dropped overnight, we kept our planes flying filled with cargo around the world. Our customers continued to support us through the most difficult time in our business, and we were able to sustain operating because of their support. Although the industry will likely continue to face limited capacity, we will support our customers with quality service as they have shown their support for us.

FT:   What lies ahead for United Cargo as 2021 winds down and you ready yourself for 2022?
JK:  As our cargo business unit has functioned uninterrupted and thrived during the pandemic, we have been able to do more with less resources. However, our priorities remain the same and there are a lot of things we are working on over the next few months. As you know, we recently launched our new website. Our eStrategy project is only getting started. We are going to introduce new features and capabilities over the next months that will allow us to remain the number one belly carrier. Customers will be able to book their orders online and we will be entering new marketplaces—but more on this to come.

FT:  What would be a perfect day in your work experience and kindly list a couple of those times in recent memory?
JK:  A perfect day for me is to have a motivated group of employees working for you on the projects that have a positive impact on the company. A perfect day is to hear that United Airlines is on track and performing above expectations. A perfect day is to see that the world is opening up again. A perfect day is to do work that has a positive impact on the world—to ship vaccines to the people who need it most—to hear that COVID cases are going down—and to see a light at the end of the tunnel. Perfect days are coming again.

FT:  What have we learned from the pandemic?
JK:  We’ve learned that cargo is important to an airline—and to the world. We have had to keep the global supply chain moving. As a company, we have learned that we need to work together as different business groups to get things done.
     United Cargo would not be as successful without the help from operations, scheduling, technology, and all the other business groups we work with every day.      What we have all learned is that we are vulnerable, the world is vulnerable and could grind to a standstill. We cannot take anything for granted. We’ve learned that there are a lot more things that are more valuable than work.

FT:  What can air cargo do better that is easily within reach but perhaps overlooked?
JK:  The one thing that we can all do better in air cargo is to work more effectively together—to cooperate. When there is a problem that is affecting the whole world, we need to work together to solve it. Take the vaccine for example—we can transport the vaccine much faster if we have cooperation between governments, companies, entities, airlines, countries, etc. Cooperation between different air cargo companies are the links in the chain and we can work better if we work together for a common goal.

FT:  Why are you passionate about what you do?
JK:  I am passionate about people and I get to work with some truly amazing people. I get to work with the amazing people from across the globe with different cultures, viewpoints, and skills that they bring to the table. No day is the same at United Cargo, and that excites me. If I come into work and there are 50 tons available capacity on a flight, I know that I will be able to fill it. I also like working for a company where my business unit has its own profit and loss. I am able to take ownership and celebrate the wins with my team and work on areas that need additional support.

FT:  As leader of United Cargo top air cargo in the world, what is the most surprising thing have you have learned about yourself since 2019?
JK:  The number one thing that I have learned in the last two years is that you need to surround yourself with the right people. The right diversity, the right skillsets, the right leadership . . . I have learned that there are so many things that I cannot do, but if you have the right team, you will get them done. You have to give people credit for the job that they do, you have to give them the freedom to do the work, and you have to let others shine around you. You can only get so far by yourself—but if you have the right team around you, you will be unstoppable.

FT:  Where do you expect to be in fives years -as United Cargo, as an industry and if possible to project yourself into this thought stream as well?
JK:  United Cargo is primed to be the global leader in five years’ time. With our digitization and eStrategy, we will be thriving in new markets. Our technology, our fleet and our processes, forecasting, and planning will be unrivaled. We will also be a cleaner, greener airline with our investments in sustainable fuels and electric aircraft.
     As an industry, I believe we will make more progress in five years than we have in the last 15 years. The industry will be more cost-effective, more technologically advanced, and more progressive. But, we do need to make more progress in aligning governments, countries, agencies and airlines across the globe. It’s an exciting time to be in the air cargo industry.
     Where will I be in five years? I will be excited to see United Cargo to grow and thrive from a distance. Perhaps I will be enjoying my life making wine in Spain. I hope to see United Cargo continue to be the number one belly carrier in the world from Spain behind a good glass of wine.
Geoffrey

     The quick move of IATA’s World Cargo Symposium from a venue in IST to DUB at last minute brought to the fore the always engaging agility and ability of Ireland to not only handle a big show on short notice but also to have some bright and brighter people ready, willing and able to share point of view.
     Ian McCool may not be on the program at WCS, but lucky for air cargo we caught up with him last week.
     The McCool family has been architects of Irish air cargo almost since the form was invented.
     Ian is here offering some pride of place, but more importantly to attendees of WCS this week and others tuned in worldwide, Ian brings a sense of what’s up and matters and what is next in Irish Air Cargo.
     Ian is Too Cool McCool when it comes to organized logistics in Ireland.
     He is informed, so you be informed.
     “My father Sean McCool,” Ian said, “founder of our company and pioneer in Irish aviation history is now 90 years old and nearly retired after having started work at Shannon Airport in 1958.
     “I am very fortunate to have learned from one of the best transport minds in the industry,” Ian McCool said. “My father set up the business in 1989 and I have had the pleasure of working with him for over 30 years.”
     International Airline Marketing (IAM) is Ireland’s largest Air Cargo General Sales and Service Agent (GSSA), responsible for approximately a quarter of all freight from Ireland.
     Working on behalf of numerous world leading airlines including American Airlines, Etihad Airways, Air Canada and All Nippon Airways, IAM forms the core of an expanding group, which includes cargo trucking, handling and training divisions.
     “I am also very fortunate to be working with one of the best teams in the industry.
     “We see the clouds are starting to clear and we are in for a good few years ahead. One of the things the pandemic has taught me is that nothing is certain or static.
     “I always try to prepare for the unexpected. This is even more the case based on the experience we have gained over the last 18 months.
     Air cargo had not been at the “top table” for many years in Ireland, but was now back again.
     “Everybody talked of the importance of air cargo but as a commodity, with over supply in certain parts of the world, it was historically undervalued.
     “This was mainly driven by the basic economics of supply and demand and some lack of understanding of the value of the product.”

The IAM Team Effort

     “The change in our team at IAM over the last 18 months has simply amazed me. I am so proud of what our team has achieved.”

Staying Alive & New Streams of Business

     “Initially it was about keeping the show on the road but we quickly moved at a rapid pace and developed so many new streams of business.
     “We are now above pre-pandemic market share levels. In recent months we have moved 30% of the air export tonnage from Ireland as per the IATA stats.
     “The support of our customers, principals, suppliers and all the team at IAM has made this phenomenal achievement possible,” Ian Mc Cool assures.

The IT Advantage

     “We were well established with our IT platforms, pre-pandemic, to ensure we had the ability to adapt swiftly to remote operations.
     “IAM, as others, will continue to refine this as well, as accelerating our e-freight and digital service offerings in 2021 as a priority.
     “But for us the term – “There is no I, in Team” — has never been more relevant than in the last 18 months.
     “Everyone at IAM pulled together to ensure IAM adjusted to the new world.”


Setting Paperless & Other Goals For Air Cargo

     “I look forward to the day where we are completely paperless,” Ian McCool said.      “I think we are very nearly there and have seen great strides over the last 5 years but there is still some bureaucracy holding back some key trade lanes.
     “The developments in the drone sectors changing the final mile sectors of the supply chain will be very dramatic. The technology is improving swiftly and the regulatory bodies are close to finalizing the controls for large-scale commercialization.
     “The drive to go ‘green’ is key and has moved forward at pace over the last two years. The great saying—There is no Planet B— has to filter down into every organization and also requires more pressure from big business on governments.
     “The majority of airports have generated most of the revenue from passengers up to March 2020. Cargo has been a bi-product for most airports and thus has had very little investment. Cargo should get more of a hearing and far more consideration on investment plans of many airport authorities. This should be the case for the near future and may be become the new norm,” Ian McCool said.

How To Work Better

     “On the work front, I am loving the changes in the industry over the last 18 months and the fact that air cargo and logistics have been a key part how we have survived the pandemic and kept the world spinning.
     “We get great pleasure from seeing a shipment of life-saving pharmaceuticals taking off from DUB and knowing it is making a massive difference to someone’s life.
     “I love the fact that I am always learning and even though I have 30 years plus experience, every week holds a different challenge to be overcome.”

What’s Next?

     “Long term planning is difficult at the moment, but it is getting a bit clearer.
     “We have had a few people approach us over the years to see if they could buy us, but we are not interested in selling at the moment.
     “When you enjoy what you do and have a very successful business, we see no reason to change.”

Too Cool McCool

     “Ireland as a country is about to embark on the next stage of the transition.
     “The proposed harmonization of the global tax rates may reduce Ireland’s tax advantage, but there are many factors still very much in Ireland’s favor.
     “With the UK outside of the EU, it leaves Ireland with a strong advantage as the only EU member state with English as its first language.
     “Our skilled workforce, security, stability, legislative system, quality of living, access to markets and established relationships are key advantages,” Ian McCool assures.
Geoffrey