Amar More, CEO of software provider Kale Logistics Solutions, is spending a lot of time with airport authorities around North America these days. Kale has implemented a cargo community system (CCS) at Hartsfield Jackson Atlanta International airport and is currently embarking on installations at several other air cargo gateways.
Philadelphia, Boston, Rockford and Vancouver have signed up for Kale’s platform to connect air cargo stakeholders.
In recent years North American authorities, which used for the most part to contend themselves with a landlord role as far as cargo was concerned, have taken a more active interest in air freight. This trend started before the pandemic, but the experience of the past couple of years, in which cargo was the main engine of activity, has accelerated the process.
One way in which this more active engagement has manifested itself is in cargo infrastructure development. Construction of new air freight facilities has increased significantly, with new buildings springing up at most major airports.
However, airport authorities have also pushed increasingly for digitization to improve data flow between cargo stakeholders in their community and are looking to CCSs to deliver this connectivity.
Chicago Rockford Airport (RFD) is looking to ensure cargo handlers receive real-time updates on estimated cargo arrival times and that they can coordinate truck arrivals at their terminals through advance slot booking capabilities in order to eliminate wait times and enable efficient resource allocation.
“Kale will allow us to further streamline the digitization and movement of cargo at RFD today and to keep up with the demands of our growing cargo operations in the future,” says Mike Dunn, the airport’s executive director.
At Vancouver, Kale is starting a six-month proof of concept phase which will kick off with a truck slot booking module, followed by four or five other elements like electronic docket, track and trace and electronic proof of delivery.
Truck slot booking has been a popular starting point before airports consider other elements from the CCS menu. “Two years ago, the main problem at many airports was trucking,” recalled More.
Today Philadelphia, Rockford and Vancouver want the full system functionality, he noted.
“People think of a CCS as a system now, a single window for cargo operation,” he observed.
Implementation is carried out in stages, though, usually starting with four or five features. More said that a phased approach works best, as taking on the full spectrum in one go can be overwhelming.
The full roll-out in Vancouver will take about two years, he said, culminating in manifest filings to customs.
In the initial phase, several handlers will be involved as well as a few forwarders and truckers. The handlers have been very interested, according to More, which is promising.
“Handlers are a big part of it. If they’re on board, that’s a big win,” he said.
Forwarders and truckers may need a little preparation for the use of a CCS, but access to the system itself should be without problems. Kale has developed some solutions for small forwarders that are lagging in technology.
Those who cannot transmit electronic air waybills can send a system-generated PDF of the document by e-mail to the platform, where it will be converted.
There have been issues with system integration between logistics firms and beneficial cargo owners, but there should be no problem along these lines with the data flow through a CCS.
“Interoperability should not be an issue. The air cargo industry has standards; the fundamentals are the same,” More said.
Airports that have implemented CCSs can look to hook up with each other for a seamless end-to-end flow of data. The establishment of such digital corridors makes it possible to convey information about any changes or relevant developments at the origin to flow directly to parties at the receiving end. If a shipment or a flight is delayed for some reason, a handler at the destination will have this information in real-time and can make arrangements accordingly, such as changing staffing rosters and rescheduling truck windows for pickup.
“A digital corridor is a next step,” said More.
“It’s more for phase two, but it can be easily established if you have CCSs on both sides.”
Vancouver, Philadelphia and Rockford are bent on creating digital corridors, he reported. Dallas/Fort Worth, which picked a CCS from Belgian provider Nallian, has also set its sights on digital corridors.
Three elements are necessary to set up a full-fledged digital corridor, according to More. A local CCS must be able to track shipment status, shipment data capture has to be in place, and e-customs and e-certificates of origin are required, he said.
Some airports that are located near gateways for ocean cargo are looking to set up data corridors to the ports through CCSs, he reported.
He also sees the potential to include marketplace functionality in CCSs that allow participants to offer and seek services. A trucker bringing cargo to the airport could use this to market the empty capacity on the return leg, he said.
By Ian Putzger
Air Freight Correspondent | Toronto
