• From bringing about an industry-wide cohesion when it comes to defining standardization within air cargo to putting it into practice, collaboration is key at the “Standardisation in Air Cargo: Necessity or Constraint panel at the EU
• Cross-Border e-commerce Forum in Liege, Belgium.
• Panellists: Jin Zhao, General Manager, Air China Cargo, Benny Smets, Chairman, Ninatrans, Alain Guerin, CCO, CMA CGM Air Cargo, moderated by Reji John, Editor, STAT Publishing Group

From cross-border interpretation of regulations to internal data procedures, the goal of standardising segments of air logistics operations requires close communication and collaboration to achieve any standardisation aims.

“Standardisation, well there is no standard answer, [apart from safety] no one will compromise on safety” was the opening line from Jin Zhao, General Manager, Air China Cargo, which was echoed by his fellow panellists. Underlining the complexity of standardisation as a concept, changing customer expectations, fragmented customs regulations and focusses alongside complications with digitalisation are just some of the challenges being faced by those calling for uniformity across air cargo.

With the context of standardisation being in a comparatively data rich era, current challenges with digitalised standardisation infer that more can be done in harnessing technology to bridge these gaps. Any future vision of standardisation must incorporate all stakeholders to optimise its capabilities. “It is very important to consider all the seats on the table, both the airlines and all other parties involved,” stated Benny Smets, Chairman, Ninatrans, when explaining that digital communication cannot be siloed and must instead be transferable to other stakeholders that require the same level of understanding to fulfil their roles.

The reality of interoperable systems is then balanced by the investment that is required, and present this as a tangible benefit to operators. This is in turn affected by e-commerce, with 10,000’s of individual packages instead of consolidated air freight changing the game and requiring agility from handlers on an unprecedented scale.

The question remains as to what extent this change, as well as changing consumer habits, will push the industry towards a wider drive for standardisation up and down the chain. How will customs adapt to the new environment across regions, and co-operate to achieve a working standardisation. For example, even different codes are required either way on the Europe-China lane, an eight-digit code required for goods entry into the European Union compared to the ten-digit code required by Chinese customs authorities.

The reality of air cargo’s operating environment, also, makes uniformity a more difficult prospect to achieve “You must take it with a little pinch of salt, make it without local conditions, local geographies. As much as standardisation is required as a must in such a heavily regulated environment as the airline business, you still have to think locally, and that is the challenge,” said Alain Guerin CCO, CMA CGM Air Cargo, “That is the challenge of standardisation, it is not a destination, it is a journey.”

The post INDUSTRY STANDARDISATION A PIPE DREAM WITHOUT COLLABORATION appeared first on Air Cargo Week.