Vol. 12 No. 88                       THE GLOBAL AIR CARGO PUBLICATION OF RECORD                  Tuesday October 16, 2013
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THE AIR CARGO NEWS THOUGHT LEADER  



FIATA Week In Singapore

lyingTypers recently had the rare pleasure of chatting with a senior industry figure possessed of the intellectual dexterity and conversational chutzpah to link the glamour of Hollywood to bills of lading, and compare the content of a forthcoming conference to lovemaking.
No mean feat, readers!
     This gem of an interview was with none other than the ever-charming Stanley Lim, President of FIATA. To read interview click here.


     Speaking on the eve of FIATA’s Annual World Congress at Singapore’s Suntec Convention and Exhibition Center, which opened this week, October 15-19, Lim admitted the meeting would take place amid an “uncertain” business climate.
     He believes it is FIATA’s job to push for global industry reforms that help facilitate trade and therefore ease the lives of members and their peers in the transport industry.
     “I know that it is hard times for many and, believe me, I do feel for both airlines and forwarders and others who might be in difficulty,” he said.
     “Our work is to try to put instruments at their disposal to make their business more efficient, so that they can afford new services and approach untapped streams of revenue.
     “My feeling is that this is FIATA’s duty and we are doing our best in this regard. There are pilots running and soon we shall see whether these instruments work well. If they do, this will bring advantages to all members, as well as our supply chain counterparts. Let us try to keep a positive and proactive approach to what needs to be done.”
     Lim is an optimist on the global economy and sees signs of economic improvement not only in emerging markets such as Africa but also among OECD members.
     “Some say that the next 10 years will be African; well, if you look at demographics and the resources under their feet, my feeling is that it will be difficult to see anything more expansive than the African market,” he told FlyingTypers.
     “There are still many areas of concerns—mostly because of the persisting lack of harmonization in security and Customs—but our approach is practical. Put one issue after the other in the right sequence and you get to deal with them all, if not lightly, at least with solutions in sight.”

     Lim is upbeat about Europe, and expects the European Union to bounce back after a long period of stagnation. He also believes the increasing power of emerging economies will soon start to be recognized in global trading and political institutions.
     “The EU cannot decline forever and they have still sufficient wealth to put on the table to make a difference,” he said. “I see the U.S. and China eye-to-eye soon on who has the biggest GDP and the BRICs becoming more and more influential, especially at WTO level.”
     According to Lim, FIATA’s role in improving the global trade system is as a facilitator of new initiatives that open up markets, and as an advocate for industry in relevant decision-making forums.
     The FIATA message to governments and inter-governmental bodies is simple: “If you do not invest in trade, there is poor growth, and if you do not invest in logistics, there is poor trade,” he said. “This means that if one does not invest in logistics in the end one loses out. We shall try to make this message clear at a political level. It is necessary for governments to invest in logistics and trade facilitation to ensure sustainable development. This is a clear, simple priority. Politicians say that goods do not vote. Well, FIATA will try to give the goods a voice.”
     FIATA has now been serving the global forwarder and transport industry for almost nine decades. Lim believes a lot has been achieved, but more needs to be done.
     “In recent times, after the introduction of containers, I think the FIATA multimodal bill of lading is perhaps the most important single contribution that FIATA has made in favor of trade facilitation and logistics efficiency,” he said. “I cannot see another one-only item that puts so many elements of change and success on the table.
     “We are now working to make the FBL electronic and I am sure that the digital version of the FBL will be also very important in the future digital markets, but I do not exclude that many of the ideas that came to our discussion table will bring more innovation and perhaps even some surprising new developments.”
Sky King

hey are smart, connected, and a growing force in the air cargo business right now and into the future.
But if presenting the story of the women at Delta Cargo in Atlanta is perhaps overdue, their words makes it clear that the path (at least in some quarters) is paved for more women to place themselves front and center in the conversation.
     These ladies are not just “other voices,” but rather part of a growing, collective sensibility about air cargo that balances our industry and is an obvious critical element to any success we hope to achieve as business moves forward.
     Best of all, much of what is said here makes good common sense, and reads well.
     To a generation of air cargo industry types who grew into this business when men dominated, reading this story recalls the 1930s movie actor Ginger Rogers who starred in countless film epics as dance partner to Fred Astaire.
     Ginger did everything Fred did, but she did it backwards—and in high heels.
     We begin our story from that point of view.



     “There is now critical mass around e-freight in a difficult marketplace, shipper needs are changing and we need to change too,” said Dana Sample, Manager Distribution Planning and ecommerce, a big time responsibility that encompasses the implementation of e-freight and the deployment of the go-to dedicated website—deltacargo.com.

     “It’s a case of lead or be dragged; Delta Cargo will lead,” Dana said.
     She went on to state “we are using strong standards and innovate so that we can work smarter.”
     Dana managed re-launch of the website, which is now also available in Japanese, German, and Spanish. Phase II—which is a significant investment—involved adding more functionality, including customer specific login and an overall more robust customer experience.
     She and her team can now prioritize enhancements to the website independently.
     Dana joined Delta Air Lines four years ago after holding positions at Booz Allen Hamilton and as account manager for a B2B software solutions company.
     She holds a BA in Public Policy Studies from Duke University and an MBA from Emory’s Goizueta School of Business.
     A mother of two, Dana resides in Atlanta with her husband.
     Asked what is the biggest misconception about Delta Cargo when she speaks with customers, Dana was spot on:
     "They are not aware of the capabilities that our investment over the last two years has brought about and how far we have shot forward—just look at messaging,” she said.



     Kristen Jones is Manager Strategic Partners for key accounts, having joined Delta Cargo one and a half years ago.
     Kristen is Chicago-based but, at 26, flexible enough to—as she puts it—“Live on an airplane.”

     Kristen is in charge of two global and five domestic high-value accounts, and she travels 60-70 percent of the time.
     She comes from a transportation family; her mom has been working in the industry for over 20 years.
     Kristen decided early on she wanted “to be in cargo” and while studying as a pharmacy student, worked part-time in freight forwarding as import coordinator. Prior to joining Delta Cargo, she worked for a GSA representing 19 airlines as regional sales manager southeast.
     “I am the corporate contact to the key decision makers in those companies,” Kirsten says.
     “I enjoy working for an airline more than for a forwarder—there are more opportunities and options; I enjoy the culture of Delta Air Lines.”
     Kristen Jones said that she focuses on making it her business to know what other carriers are doing that Delta might not be not doing, and how to make things better all around.
     “Look at how far we have come in a few short years, she said.
     “Things are changing—not all at once, but we need to be tenacious and customer driven.”


Danita Waterfall
     Danita Waterfall-Brizzi is Director Cargo Sales and Service Europe, Middle East, India, and Africa, based in Frankfurt am Main, Germany. FlyingTypers visited Danita and her team last summer.

     Now with the advantage of some perspective, as she has been at her post since 2009, Danita says “our evident network strategy is not a ‘phase’; the alliance strategy has worked well and is focused on year-round wide body service that corresponds to customer needs.”
     One look at Delta’s fleet choices underscores that statement.
     Meeting shipping needs are reflected in Delta’s fleet choice over the transatlantic. “Working out a much closer relationship with the passenger side has benefited our operational capabilities.”
     “We don’t wait for headquarters to invent everything for the world—we optimize ancillary businesses.
     “We are proud of our best resource—our people and the relationships with our customers, and we work to constantly maximize those.”
     “Delta Cargo continues to enhance operational processes and to harmonize with our joint venture partners [AF/KL and AZ] in an all-out effort to streamline the quality of our combined offering to our customers.”
     “For example, Delta’s Equation Express [Equation is an international flight-specific express small package service] is the hottest product, however, there is also a different demand in the current market conditions, as the pharma business is now a prime business driver.
     “So Delta Cargo has established a master lease agreement with Envirotainer to provide temperature controlled ULDs to its customers, making it simpler for them. “Elsewhere, tests are ongoing in India for CASS and there is work in progress on enhanced key accounts in Europe.
     “Also the textile business from India, Sri Lanka, and Bangladesh serve as feeder cargo for Dubai and Europe flights,” she said.
     During our conversation, Danita makes her points in English, but she can also speak Russian, German, Italian, and French.
     Danita served Delta Air Lines in management roles on the passenger side based in Frankfurt, London, and Moscow before joining cargo in 1996, but, of her cargo experience, she has “never looked back!”
     In her current post she oversees GSA and Delta staff at 50 on and offline stations in 33 countries.
     Danita hails from Seattle, Washington, is married, and has one daughter.


     Lisa Lindsey joined Delta 17 years ago and has been Manager Strategic Partners for the last 3 years, based in Atlanta.
     With a customer service and sales background, she looks after global accounts in Europe and the U.S.
     “Global business attracts me the most—I find the personal relationships make this a gratifying position,” Lisa insists.
     “Delta is a corporation with a vision and a plan and we are successful at what we do.”
     Born in Seoul, South Korea, Lisa has lived and worked in Hawaii, Arizona, and Atlanta. She speaks fluent Korean and enjoys travel and exploring different cultures, with the belief that “roots and language are important.”
     About the current business climate, Lisa admits “it has been a tough and challenging year that Delta is working on turning into a positive one,” and mentioned pharma as such an opportunity to add some buoyancy to the cargo mix.
     Another is “educating the customers on the benefits of paperless cargo,” she said.
     “But communication is key—we all get along much better when everyone knows what to expect,” Lisa Lindsay assures.


     Leticia Mikovenyi is Delta Cargo Manager U.S. Domestic Revenue Management.
     Talk about expanding ones horizons, Leticia was born in Rio de Janeiro, Brazil, and although she speaks native Portuguese, her married name is Hungarian!

     Leticia holds an MBA from Lancaster University in the UK and a BS in Economics from the Federal University of Rio de Janeiro, and holds a not-so-secret passion about business.
     “I am a numbers girl,” she assured.
     Leticia joined Northwest Cargo in 2006 in revenue management and moved to Atlanta in 2009.
     She previously worked for United Airlines in passenger revenue forecasting and pricing, and in Brazil as a management consultant with Arthur D. Little as pricing analyst for Shell Oil.
     “The job has changed a lot from when I started at Northwest.
     “Today Delta Air Cargo serves a domestic market double the size of NWA.”
     In her current position, “cargo moves mostly point-to-point and consists of express and perishables,” Leticia said.


     Alexandra Clayton's move from the ocean freight business to air cargo occurred when she first met Ray Curtis, Vice President, Delta Air Lines Cargo Global Sales, during “Super Ray’s” term at United.
     “I got the cargo bug passion,” she declared.


     Alex has spent time with BA Cargo and Polar Air Cargo by following her husband’s career moves with some pretty nifty activities of her own.
     Alex was born and raised in Japan and came to the U.S. when she was thirteen.
     She holds an MBA from the University of Denver and a Master of Education and Human Resource Studies from Colorado State University and is a certified Six Sigma Black Belt.
     Alex joined Delta Cargo as Regional Sales Manager West Region one year ago; her responsibilities were recently expanded to include Minnesota and other mid-west U.S. States.
     Today Alex has Delta Cargo responsibility for export generation across 11 states including Alaska, California, Colorado, and Hawaii.
     But whatever the area, business once again comes down to one simple fact, as Alex says:
     “Air cargo thrives on relationships with the customers.
     “Our success is also very much a team effort.
     “We are always looking for ways to be more effective in every aspect of our cargo business.
     “Delta Cargo thinks the best is yet to come,” Alex smiled.


     Natasha Hill is Manager U.S. Space Control, a position she took over four years ago when she moved to Atlanta from her previous occupation at Northwest in network planning and analysis.
     Her experience included revenue management and analyzing pricing and yield for export cargo to Europe, the Middle East, India, and Africa as well as export and import for Latin America.

     In essence, Natasha’s role is to ensure the optimal balance between service commitments and maximizing revenue by managing available capacity.
     This effort requires much intradepartmental coordination and constant tracking of cargo bookings and trends, forecasting capacity, and ongoing validation of the space control model.
     Natasha Hill fields a team of six flight analysts who are at this job seven days a week.
     “There is close coordination with the revenue management group,” Natasha said.
     Natasha hails from Chicago and holds a Bachelor’s degree in Economics and Sociology and MBA from the University of Notre Dame in Corporate Finance and Investing.
     Interestingly, prior to going into the airline business, Natasha worked in the gaming industry for Harrah’s Entertainment.
     “At Harrah’s I learned much about slots management, loyalty marketing, planning, and analysis.
     “Air cargo is a multifaceted, complicated, and fascinating business.
     “Every day we take into account a multitude of competing factors using a priority guide by product, adding rules to reflect changing conditions such as weather and detailed post-departure analysis in evaluating forecast versus actual performance,” Natasha said.
Ted/Geoffrey/Flossie



Tell the industry about a female at any level that you know, or have known about in air cargo. Write a short essay about what that woman means to air cargo. Pictures are welcome.

To send the story click here
.
 


Women At Kingfisher



ndia has not been able to create a recognizable global address, a must to utilize aviation hub in all these years since its independence in 1947. But during that same time period, Dubai, Singapore, Bangkok, and Hong Kong have taken away cargo and passengers from India by the plane load in ever increasing numbers.
     But now, along with Hyderabad, two airports in the south—Bengaluru and Chennai—have entered the ring with the single-minded desire to become hubs.



     At the country’s IT hub in Bangalore, the Bengaluru International Airport (BIAL) is gearing up to become a ‘gateway’ to south India.
     Led by the hands-on Sanjay Reddy, (left) Managing Director, BIAL (he is also Vice Chairman of GVK Power and Infrastructure) and Hari Marar, CEO, the airport is ahead in its expansion plans that comprise the integration of the existing structure with the new one under construction.
     There are, in fact, several phases of the project.
     With the enhancement, BIAL will be a step closer to its vision of becoming the gateway to South India.
     As for cargo and passenger, figures have been going up: the airport saw 7,741 domestic aircraft movements in April this year, growing 3.2 percent over the same period last year while on the carrier front, Malaysia Airlines, Silk Air, and AeroLogic Cargo increased their frequencies from the airport last year.
     For the moment, however, the airport is “keen to anchor a home base carrier and is in conversations with Indian carriers to create their secondary hub at the airport,” Sanjay Reddy said.
     Marar (left) echoed similar sentiments when he said, “airline marketing is a part of our efforts, again which is not linked with the terminal opening.
     “Anybody who is willing to operate is welcomed,” he added.
     The airport has indeed been talking to quite a few airlines around the world that might be primed to come to Bengaluru.
     “I think the Australian market is greatly underserved.
     “So is the Asia, Indonesia, China, Japan, Korea markets.
     “Africa also has very poor connectivity.
     “Some of the big airlines that we are talking to right now are in these areas, and we are telling them we need to launch flights to Bengaluru now,” said Marar.
     As for the question of transforming the airport into a hub, Marar said that BIAL’s vision statement was clear.
     “We would like to be the gateway to South India; we would like to be the hub for the entire southern peninsula.
     “I believe that we have the potential for it.”
     Marar’s colleague, Girish Nair, (right) Assistant VP and Head – Airline Marketing and Aviation Contracts is thinking air cargo.
     “In cargo, we now have a dedicated team in terms of focusing on business development.
     “Our vision is to make Bangalore a gateway to the South Indian economies or global economies as a gateway to south of India in terms of cargo,” said Nair.
     “In terms of passenger it is just a matter of a couple of flights here and there, and we will beat Chennai,” said Nair.
     “However, in cargo, Chennai has a huge advantage over us.
     “Our vision is to be the number three airport in cargo in the country in 2018, and to be the number one airport in south of India,” emphasized Nair.
     “This year,” said Nair, “we are going to look at having a perishable handling center especially focusing on pharmaceuticals.” Though the airport has a dedicated pharmaceutical zone facility, plans are afoot to establish an exclusive perishable handling center somewhat on the model of Coolport at Changi.
     Secondly, a dedicated sales team has started working to move cargo away from Chennai back to Bengaluru.
     “Chennai,” agreed Nair, “has its advantages because of the seaport, but we are working on a project for having exclusive road feeder service connectivity, which will be a partner of the airport,” said Nair.

     Some distance away, Chennai Airport, with its newly opened domestic and international terminals, is not only getting used to welcoming the world, but also building toward its future as a hub.
     The airport’s current capacity utilization is up-ticking nicely to around 12.5 million passengers, out of a capacity of 23 million. The airport will reach 100 percent utilization by 2017-18, after which it will expand and the capacity will increase to 40 million.
     Ever since the inauguration of the terminals in January this year, the Airports Authority of India (AAI)-operated, government-run airport has been receiving offers from airlines-—both national and international—that want to make it their hub for the South East Asia region.
     Among them were Emirates and the yet-to-start Air Asia India.
     Said AAI Chairman V. P. Agrawal (right):
     “We are looking at this and are open to any airline for such an arrangement.”
     A major factor that is an attractive proposition for national and international carriers are the lower levies than those charged at the privately owned Hyderabad and Bengaluru airports.


     On the cargo front, too, the airport has a dual advantage: it has the Sriperumbudur industrial region—known as the Detroit of India (obviously alluding to autos and not municipal activities)—that locates automakers and auto ancillary units and the Chennai port just a hop away.
     It is little wonder that Chairman Agrawal is optimistic about the success of the airport as a hub.
     “With the newly built terminals and better sea connectivity, Chennai airport could become a hub mainly to connect the South-East Asian countries,” he pointed out.


     Agrawal also mentioned that Chennai was in a better position to become a cargo hub since Hyderabad and Bengaluru were nowhere near a port.
     “Both have difficulty in intermodal transfers.
     “So, high value items or medium value items first have to be transported by ship to the port and are then transferred to land.
     “Chennai Airport has the advantage of intermodal transfer; that is why it can be developed as a hub,” said Agrawal.
     “One of the issues that metro airports in India—especially Delhi and Mumbai—suffer from is air traffic congestion.
     “Chennai will have none of that,” assured Agrawal.
     “We have two runways already in place and we have systems available that are going to address such types of issues (like congestion).
     “Congestion issues will not be there and Chennai has one of the best Air Traffic Systems in the country, in fact, in the world,” he said.
Tirthankar Ghosh


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