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Airline Pharma Products Report Are Carriers Delivering the Goods?

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Airline Pharma Products Report Are Carriers Delivering the Goods? QUALITY AND BEST PRACTICE IN AIR LOGISTICS OPERATIONS Forwarder focus: Panalpina Lucas Kuehner on the ‘controlled’ network Handling focus: CPSL Airline interview: Jan Krems Kelvin Ko on third-party growth United on the road to quality Airline pharma products report Are carriers delivering the goods? World Cargo Symposium report CNS conference report Shippers tear into air freight Cyber-crime: the hidden threat 6800(5WWW.CAASINT.COM 41 FREIGHTERS ARE IN THE HOUSE Over 40 All-Cargo Airlines Operate at Miami International Airport, Serving 96 Freighter Destinations Around the World. MIA is The #1 International Freight Gateway In The USA & The #1 Gateway to Latin America & the Caribbean CARE TO JOIN OUR FAMILY? MIAMI INTERNATIONAL AIRPORT Leading The Americas In International Air Cargo www.miami-airport.com iflymia VISIT US AT AIR CARGO EUROPE 2015 / STAND #343 QUALITY AND BEST PRACTICE IN AIR LOGISTICS OPERATIONS PARVEEN RAJA The customer’s Forwarder focus: Panalpina Lucas Kuehner on the Publisher ‘controlled’ network Handling focus: CPSL Airline interview: Jan Krems Kelvin Ko on third-party growth United on the road to quality [email protected] Airline pharma products report Are carriers delivering the goods? World Cargo Symposium report CNS conference report Shippers tear into air freight Cyber-crime: the hidden threat 6800(5WWW.CAASINT.COM perspective SIMON LANGSTON ue to popular demand, CAAS has increased the level of Business Development Manager input from freight forwarders in the magazine – everyone [email protected] wants to hear what their customers are thinking, after PAM LATTY all. This issue features an in-depth interview with Lucas US Sales Director Kuehner, head of air freight at Panalpina (pages 16- [email protected] D22), in which he outlines the company’s latest thinking – particularly in regard to its ‘controlled’ air freight network and the extent to which BHAVI ATUL the tight control it provides over the air logistics chain is valued by Conference Coordinator its customers. Enough to expand the network, he says. But also very [email protected] interesting is his thinking on engaging more with air cargo handlers, EDITOR’S NOTE to see where processes can be streamlined and improved. The SHOBHANA PATEL ususal absence of a direct contractual relationship between freight Head of Finance forwarders and handlers is often seen as a stumbling block in terms fi [email protected] of improving the air logistics chain, and applying lessons learned from Panalpina’s ‘controlled’ network could bring valuable insights. CHARLOTTE WILLIS Input from forwarders is also to the fore in the ‘Airline pharma Events Administrator products report· SDJHV WKH ÀUVW RI LWV NLQG WR H[DPLQH WKH [email protected] solutions on offer from carriers and the extent to which they meet the needs of end customers. SHELDON PINK End customers also had their say during this year’s World Cargo Creative Director [email protected] Symposium in Shanghai, and the ‘WCS report’ on pages 34-38 replays the highlights of that debate between shippers and members of the air cargo sector. Shippers may be frustrated at the slow pace of change in air cargo, although this is not entirely new in itself – and their frustrations are shared by many in the sector. Nevertheless, speakers at the WCS – and cargo owners responding to IATA’s 2015 Shipper Survey – provided Address changes and subscription both a long list and a shortlist of proposed improvements, and IATA has orders to: [email protected] promised to review progress at the next WCS. ISSN 2054-8958 Elsewhere, the GSA/GSSA report (pages 28-32) explores the role of VDOHVDJHQWVLQWKHTXDOLW\DQGHIÀFLHQF\RIDQDLUOLQH·VFDUJRRIIHULQJ EDITORIAL CONTRIBUTORS and asks whether possible concerns among GSAs about losing control Martin Roebuck, Mike Bryant and Michael Webber of the booking process may be delaying efforts to modernise and digitalise the sector. There seems to be no clear evidence that it is PUBLISHED QUARTERLY BY currently, although it is a phenomenon worth keeping an eye on. EVA International Media Ltd And something else worth keeping an eye on is cyber crime, an issue Boswell Cottage, 19 South End discussed at the recent CNS Partnership Conference, as recorded in Croydon, London, CR0 1BE, UK our CNS Conference report on pages 44-48. Some of the trends and Tel: + 44 (0) 20 8253 4000 incidents discussed are astonishing – for example, that most companies Fax: + 44 (0)20 8603 7369 are unaware of a breach until hackers have been inside their system for Website: www.evaint.com six to nine months! And one speaker makes this sobering observation: There are two types of companies – those that have been hacked, and PRINTED BY those that don’t think they have. Time for a check-up, perhaps….Q Headley Brothers The Invicta Press, Lower Queens Road Ashford, Kent, TN24 8HH, UK DISTRIBUTED BY Asendia WILL WATERS EVA INTERNATIONAL MEDIA LTD PUBLISHERS & EVENTS SPECIALISTS Editor [email protected] Issue 9 © 2015 | www.caasint.com & [email protected] Content may not be reproduced in any format without written permission from EVA International Media Ltd 6XPPHU CARGO AIRPORTS AIRLINE SERVICES 1 4 4 AIRLINE PHARMA PRODUCTS REPORT: Highly productive Are carriers delivering as promised? Mike Bryant asks their customers 16 FORWARDER FOCUS: Panalpina maintaining control Lucas Kuehner explains the recent changes to the forwarder’s ‘controlled’ air freight network 24 AIRLINE INTERVIEW: United Cargo Jan Krems outlines the carrier’s strategic and operational priorities 28 GSA/GSSA FOCUS: Flexible working Is the use of GSAs affecting quality, effi ciency, and digitalization? asks John McCurry 34 WORLD CARGO SYMPOSIUM REPORT: ‘Slow and unresponsive’ Shippers in Shanghai have their say, and air freight attempts to respond 40 HANDLING FOCUS: Cathay Pacifi c Services Limited Kelvin Ko discusses the challenge of fi lling a 2.6 million tonne cargo mega terminal 44 CNS REPORT: Cyber-security; Attracting new blood: #Aircargoissexy Keri Forsythe-Stephens reports from the 25th CNS Partnership Conference in Orlando, Florida 2 CARGO AIRPORTS AIRLINE SERVICES 6XPPHU www.bahrainairport.com Highly productive As airline hen a new cargo remains at a steady temperature during its handling facility care. Numerous airlines now offer their own temperature- opens at an airport, specialised pharma transport service, which controlled there is inevitably each boast their own capabilities to maintain a period of overca- the necessary environmental conditions. ‘products’ or Wpacity until volumes, hopefully, grow and These include active and passive cooling ‘solutions’ multiply, begin to catch up with the new capacity or temperature-control techniques, ranging available. But adding a new facility that from specialised active containers with full can they guarantee alone has a capacity of 2.6 million tonnes environmental monitoring to insulated boxes the integrity of – more capacity than most airports have in and insulated pallet covers, while some AIRLINE PHARMA AIRLINE PHARMA total – would seem to be an extraordinary aircraft – particularly newer types such as PRODUCTS REPORT pharma shipments? challenge. However, Hong Kong is not most the B787 and B747-8F – offer temperature Mike Bryant asks airports, and with the local government selection in their cargo compartments to recently giving the go-ahead for a third run- varying degrees. And on the subject of vary- their customers way, the world’s busiest international cargo ing degrees, the temperature bands offered DLUSRUWDQGLWVKRPHFDUULHU&DWKD\3DFLÀF by the various airline pharma and cool-chain could now be seen as preparing sensibly services and products also differ, although for the future. Even if those preparations there is some alignment among those that cost Cathay HK$5.9 billion. have developed their products in coopera- PRODUCT UPDATE Growth in demand from the pharmaceu- tion and consultation with their customers. WLFDO VHFWRU KDV EHHQ RQH RI WKH GHÀQLQJ AMERICAN AIRLINES CARGO trends within the air cargo business in recent Fit for purpose? Product outline: American’s ExpediteTC° Active Solution employs advanced, years, going some way towards compensat- But do these airline pharma and cool-chain temperature-controlled containers to ing for declines in other commodity types products provide the service that the indus- actively regulate temperature levels. The Passive side of our solution protects that had previously been shipped by air. try needs? Some within the air cargo sector pre-packaged shipments that require But with modal competitors to air working observe that there may be a wealth of airline additional control during transport. Cold packs or dry ice used in packaging hard to win this business and with increas- temperature-controlled ‘solutions’, but only are aided by our expert handling and ing amounts of regulation from global au- a little more than a handful are genuinely temperature-controlled environments along the cold chain. thorities, the industry is under pressure to do worthy of the title and can honestly guar- In both cases, key features include more to meet the ever-more rigorous custom- antee the integrity of a pharma shipment Highest Boarding Priority, 100% Money er demands regarding the integrity of their throughout its time with the carrier. Phil Back Guarantee, High Visibility Monitor- ing, 24/7 Resource Desk, Detailed pharma goods. And if these expectations are Abbate, global vice president for pharma- Checklist/Control Record for each not met, air cargo risks losing the opportunity ceutical & healthcare at US forwarder and shipment, Structured Contingency Plan- ning, Active Container Management presented by the huge pharmaceutical logis- logistics group UTi, estimates the number at (ACM) areas for container plug-in, and Re-icing & Battery Maintenance (Active tics market, which IATA estimates is worth a only around half a dozen. t2 units). We have also implemented staggering US$60 billion a year. “There are still numerous temperature an Extensive Worldwide Cold Chain Training Program. Our vast network However, transporting such time- and incursions involved with many pharma ship- capability is coupled with the robust temperature-sensitive cargo requires a ments,” he points out.
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