Revolutionizing Air Cargo: 50 Years of Stalled Innovation

Looking back over five decades in this business, I often reflect on what has truly changed. We have replaced the typewriter with laptops and the rotary dial telephone with mobile devices, but what real innovations have we seen?

The almost useless paper AWB is, for me, the most glaring example of an industry that resists change. We designed a process over a decade ago that would have virtually eliminated it, yet it was never adopted. Why?

“Air cargo is crucial to the global economy every day, not just during crises like SARS and COVID-19. Without it, the world would be a very different place”

CIMP messaging, if my memory serves me correctly, began in the 1980s. A decade or more later, CXML emerged but was not widely adopted. Now, the latest innovation is ONE Record. I don’t claim to understand ONE Record fully, but I sincerely hope it will be adopted more widely than CXML.  I hope it truly represents innovation, not just another electronic messaging system, and that it will help us finally enter the digital era I’ve heard so much about. We still struggle, at times, to get simple FWB/FHL messages sent, often requiring threats of financial penalties to ensure compliance. Again, why?

We’re all pleased that we no longer visit travel agents for tickets and can manage most of the process online, arriving at the airport with minimal hassle. So why is air cargo so different? While some might argue that air cargo is more complex, requiring invoices, certificates of origin, DG certificates, etc., are these challenges insurmountable? Of course not!

Air cargo still spends much more time on the ground than in the air. Why?

How is it that FedEx, DHL, UPS, and Amazon can clear shipments through customs before they arrive, while air cargo often begins this process hours after arrival—or even not until Monday if it’s the weekend? Why hasn’t the air cargo industry pushed customs authorities for similar efficiencies? Why do shipments arriving on Friday often sit until Monday or Tuesday before being collected, leading to complaints about storage charges?

Air cargo is crucial to the global economy every day, not just during crises like SARS and COVID-19. Without it, the world would be a very different place.

A few final thoughts: Cargo should not be accepted at any cargo terminal more than 24 hours before departure. This would enable GHAs to plan their operations based on historical data and efficiently manage a single day’s production. Queues, especially on Friday evenings, would be significantly reduced, and the business flow would become more manageable.

Import storage charges should be applied immediately after the NFD is sent but should not be charged if the GHA is closed at night or on weekends. Fair is fair.

Let’s measure and publish RCS to DEP times and NFD to DLV times. This would provide total transparency on dwell times, as opposed to just flight times. We did this many years ago in COAG/ICHC, and the results showed that cargo sits in cargo terminals for far too long.

Five decades is a long time, and it’s been a fascinating journey. This is the best business in the world to be part of, though it can be immensely frustrating at times. I know that collectively we can do much better in the future.