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   Vol. 13 No. 85  
Saturday October 11, 2014


TIACA Faces Bleak Winter

TIACA Faces Bleak Winter

Now that the lights were out, the bags were packed, and everyone was making their way home from the 27th TIACA ACF in Seoul, there is one takeaway for the cargo community to consider, and it involves the bleak winter ahead for the venerable air cargo organization.
     Our opinion is that ACF Seoul did not fill the bill.
     In 2014, there are still too many trade shows, and that fact no doubt accounted for the less than stellar turnout in Seoul.
     This beloved industry needs to rally around TIACA and support it.
     Available options are slim indeed.
     The slew of self-interested, publication-driven events should be considered at arm’s length.
     When you shake things out, in terms of air cargo event options, there is IATA World Cargo Symposium (WCS), at which the airlines are mandated to show up, and some other greater and lesser trade events.
     There is CNS, the American show recently taken over in a large way by IATA, FIATA, Air Cargo Americas, and the always interesting and huge Transport Logistik in Munich, where air cargo has gained some traction over the past couple of years.
     Then there is a growing list of specialty shows like the Berlin Flower & Veggie Show or the Boston Cold Chain event and similar events, gaining strength as places for air cargo to go and find business.

“It Was You, Fredo”

     TIACA's current leadership can only point the finger at itself for apparently having severely damaged the main revenue stream of the organization— the ACF—and it does not appear that there is a viable plan coming out of Seoul to replace it.


What Issa Said

     “Sadly, TIACA’s leadership during the past few years has continued the focus on their own narrow interests rather than the interests of the membership as a whole,” said ultimate insider Issa Baluch, when he quit the TIACA board in 2013.
     “The assets of the many, earned over many years, are now appropriated to fund the agenda of the few,” Issa Baluch lamented.
     The alarm was sounded—FlyingTypers alone reported it—but did anybody before this week actually consider what was said?

The New Deal?

     FlyingTypers has learned from a source that a plan was hatched and discussed “a few years ago, that might dramatically change TIACA altogether.”
     Suspend disbelief, and read on.
     “The plan would axe the ACF (too messy) as TIACA’s main revenue source and raise membership dues so that only a small, elite group of companies sustain TIACA.
     “Under the proposed plan ACF would be contracted out or possibly eliminated entirely,” the source said.
     “The group controlling TIACA would be small, maybe 20 or 30 companies paying $100K or so each for the position.
     “An underperforming ACF in Seoul was factored as a foregone conclusion,” the source added.
     It's telling that 50 percent of the board, including the chairman's company, didn't even have a token presence on the exhibition floor.
     “TIACA, in its current state, is finished, so unless new leadership arrives soon and realizes what the plan is, and takes TIACA back to its original mission, the outcome is clear,” the source concluded.

Issa Baluch Comments     We spoke to Issa Baluch today post-ACF 2014 and he had this say:

My memory flashes back to the previous ACFs and how each one broke records.
     This 2014 edition takes us to the old warning . . . do not meddle with something that is functioning well.
     The result this year has an engineering connotation but dwells as well on organization.
     It is OK to tweak, every organization needs to adapt, but to wholesale overhaul has proven to be risky.
     TIACA has not kept sight of what is most important to it, versus what is important to some individuals in the organization.
     This is a very crucial question that needed honesty in tackling.
     I remain steadfast in my views that the way TIACA has moved forward with changes has invited a disturbance to a fine organization, and now it has detracted in the offering, leaving members concerned.
     I can only hope the organization gets back on track, but this will take some serious soul searching . . .

Chairman Elect Jumps Ship

     As TIACA Seoul week wrapped, FT learned that the TIACA board is getting smaller: reportedly two board members, including the next chairman, are quitting.
     Talking about members gone missing, what happened to WCA guarantee that would bring at the very least 200 new forwarder members?


Shot Through The Foot

Daniel Fernandez and Geoff Bridges     We think in firing Daniel Fernandez, who was rather brilliant at driving sales and organizing ACF, TIACA shot themselves through the foot.
     FlyingTypers believes that TIACA's original mission—to give a voice to all parts of the industry—is still a sound objective.
     The ACF was a way to fund that noble mission, which harkens back to the very beginnings of modern air cargo, all the way to a time when our industry had no voice and no strong association to look out and stand up for air cargo interests.
     Despite a lot of self-serving bally-hoo, that situation remains more or less the same in 2014.


Some Ideas

     The truth is, TIACA's current board "fixed" something that wasn't broken. This has brought the organization to a crossroad. Is TIACA going to be a small lobby group of a few large companies, or the broad-based membership association that was built by dedicated industry leaders over the decades? Those who have a stake in TIACA need to wake up and make their voices heard.

TIACA Historic Composite

Can Yesterday Be Today?

     I knew John Emery Jr., who served several terms as IACA Chairman.
     John helped build the organization that TIACA became by inspiring people like Bob Arendal of Cargolux and Bill Spohrer of Challenge Air, showing them that it was worthwhile to bring the first TIACA ACF to Luxembourg. It was there that delegates met in a small, bright hall in the daytime and repaired up to a castle on a hill to drink wine and eat Raclette from a roaring fireplace all night long, as IACA became TIACA in 1992.
     In 1996 Ram Menen and His Highness Sheikh Ahmed bin Saeed Al Maktoum of Emirates brought TIACA to Dubai, where the organization hit the big time and filled its coffers with lots of money, and was sent off on a ride that continued through the ACF in Atlanta two years ago.
     Maybe TIACA should spend some funds to mount a talent search to find a few good people to join the team and bring ACF and the organization back.
     We remain ever hopeful.
     One more thing . . .
     Credit IATA for bringing back the oldest dance in air cargo at ACF this week.
     Talking about targeting transit times down 48 hours from 6 days is a conversation that has continued in our business since Richard Malkin invented air cargo reporting in 1942.
     But once again in Seoul, Korea, IATA—without many solutions—wound up the old Victrola and out came the 48-hour “two-step,” as the band played on.
     Fox trot anyone?
Geoffrey




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