Not all air shippers on same page with e-commerce, study shows

The global survey of some 450 freight forwarders was conducted jointly by the International Federation of Freight Forwarders Associations, and The International Air Cargo Association
image
By Patrick Burnson, Executive Editor
January 31, 2011 - SCMR Editorial

Freight forwarders need to see “realizable and significant value” added to the airport-to-airport portion of the air cargo supply chain before making a commitment to e-commerce, said two major shipper associations.

The global survey of some 450 freight forwarders was conducted jointly by the International Federation of Freight Forwarders Associations (FIATA), and The International Air Cargo Association (TIACA).

Freight forwarders from 84 countries responded to FIATA and TIACA’s poll to ascertain their views on e-commerce with the largest number of participants from Australia, Canada, Egypt, India, Netherlands, Pakistan, Singapore, South Africa, Spain, Taiwan, United Arab Emirates, United Kingdom, United States, Vietnam and Zimbabwe. 

According to the survey, some 55 percent of respondents stated they were aware of the e-freight program championed by the International Air Transport Association (IATA), yet less than 20 percent said they were participating in the initiative.

“The initial findings clearly show a positive shift in forwarders’ attitudes to e-commerce with forwarders willing to invest only if airlines do likewise,” said Bill Gottlieb, immediate past president of FIATA, who helped lead the research. “They see themselves evolving and becoming more recognized as the carrier’s customer in the air cargo supply chain and pursuing modernization of the documentary process to entice them towards technology led industry initiatives.”

At the same time, the National Industrial Transportation League (NITL) was not among those groups objecting to e-freight.

“Quite frankly, we are caught by surprise on this objection,” said NITL air freight committee chair, Richard Macomber. “We’ll have to speak with our members on this to find out if similar opinions are shared by our members.”



About the Author

image
Patrick Burnson
Executive Editor
Patrick Burnson is executive editor for Logistics Management and Supply Chain Management Review magazines and web sites. Patrick is a widely-published writer and editor who has spent most of his career covering international trade, global logistics, and supply chain management. He lives and works in San Francisco, providing readers with a Pacific Rim perspective on industry trends and forecasts. You can reach him directly at .(JavaScript must be enabled to view this email address).

Subscribe to Logistics Management magazine

Subscribe today. It's FREE!
Get timely insider information that you can use to better manage your
entire logistics operation.
Start your FREE subscription today!

Recent Entries

Even though China’s costs have risen and the U.S. has now surpassed Mexico as the preferred locale for relocating offshored manufacturing, advantages can be fleeting and the challenges great

Memphis-based FedEx reported solid fiscal second quarter earnings results today. Quarterly net income of $616 million was up 23 percent annually, and revenue, at $11.9 billion, was up 5 percent. Operating income at $1.01 billion was up 22 percent.

UPS said this week that it has added significant space to some of its North America-based distribution facilities, which the company increases the total size of its supply chain solutions network size by roughly 1.2 million square-feet. The company’s total global supply chain solutions network is comprised of 596 facilities and about 32.8 million square-feet. UPS offers various services at these facilities, including: warehousing and fulfillment inventory, transportation and returns management; custom kitting and packaging; and store-ready displays.

A week ago, the average price per gallon of diesel gasoline saw its steepest decline in more than two years, when it fell 7 cents to $3.535. This week took that decline a step further, with the Department of Energy’s Energy Information Administration (EIA) reporting that the average price this week fell 11.6 cents to $3.419 per gallon.

With an eye on further expansion of its e-commerce business and related reverse logistics processes, transportation and logistics bellwether FedEx last night announced it has inked an agreement to acquire Pittsburgh-based GENCO, a third-party logistics (3PL) services provider specializing in product lifecycle and reverse logistics.

About the Author

Patrick Burnson, Executive Editor
Patrick Burnson is executive editor for Logistics Management and Supply Chain Management Review. Patrick covers international trade, global logistics, and supply chain management. He lives and works in San Francisco, providing readers with a Pacific Rim perspective on industry trends and forecasts. Contact Patrick Burnson

Comments

Post a comment
Commenting is not available in this channel entry.


© Copyright 2013 Peerless Media LLC, a division of EH Publishing, Inc • 111 Speen Street, Ste 200, Framingham, MA 01701 USA