What is an “intelligent
“An intelligent cargo airline is one that operates independently
from the passenger business; develops its dedicated book of rules
and procedures, and its own domain of knowledge, catering to its
special set of needs and to its unique customer base.”
With the air cargo business now touching US$80 billion globally,
and more freight moving on to “main deck” freighter
aircraft, the “intelligent cargo airline” is here to
provide a bespoke offering to serve this trade.
The value proposition of an “intelligent” cargo airline.
To steadfastly promote the business case for all airlines, integrators,
freight forwarders, shippers and government agencies to “outsource”
the operation of all cargo aircraft to specialized “main deck”
freighter aircraft operators.
LONG TERM CONTRACTS:
To encourage stability, innovation and eventually cost savings,
promote the move towards very long term contracts of 10-12 years
or more among shippers and forwarders.
To de-risk “long term” contracts, encourage the introduction
of “micro/Nano contracts” of as little as “one
kilo segments” which allow for risk diversification and mitigation.
Leverage the use of information technology to aggregate and consolidate
these contracts and trade them on exchange.
SPECIAL CARGO AIRCRAFT RELATED FINANCING
Encourage the movement of cargo aircraft financing away from traditional
passenger aircraft financing structures such as finance and operating
leasing, towards “tradable forward micro-space contracts”.
Pioneer the creation of a tradable marketplace for these bespoke
Work with aircraft manufacturers and conversion companies towards
creating more efficient and dedicated aircraft for the air cargo
business, while at the same time re-designing newer passenger aircraft
for passengers and their bags only, and not for freight.
DEDICATED CARGO AIRPORTS:
Promoting the use of “lower cost” dedicated cargo airports
as a long term solution for all types of cargo, and for dedicated
freighter aircraft only.
Working with Wall Street research analysts to create a separate
set of metrics and a distinct investment class for the air cargo
business. This transparency will eventually create a path for venture
capital and institutional funding to enter the air cargo business.
AIR CARGO SHIPPERS/FREIGHT FORWARDERS:
Encourage these players to sharpen their game, by studying the dynamics
of each type of air cargo product and air cargo customer, and promote
specialization, branding, and product differentiation in the transportation
and handling of each product category. Develop a seamless transportation
chain for air cargo, including “end to end” Temperature-Controlled
Global Transportation Solutions.
MRO’s & PARTS SUPPLIERS:
Work with MRO’s and parts suppliers under “long term
contracts” to create bespoke parts and maintenance manuals
and procedures more in tune with the unique operating cycles of
dedicated cargo aircraft.
To promote freighter aircraft as valuable long term assets among
the investing community, work with aircraft appraisers and valuation
agencies to develop newer standards for dedicated freighters, both
new builds as well as conversions.
PARTNERSHIPS WITH INFORMATION TECHNOLOGY
Explore and expand partnerships with IT solutions providers to streamline
and optimize all processes in airline operations as well as across
the supply chain.
Develop new standards for cargo ground handling, and encourage technology
up gradation through the provision of “longer term”
COMPONENTS OF AN “INTELLIGENT” CARGO
In this website we intend to identify and study each and
every aspect of the all-cargo business and the business of running
a modern day cargo airline. We will identify and develop expertise
in each of these areas, with “white paper” contributions
from the best minds in the business, to raise the bar of intelligence
and knowledge in this business.
Some of the areas that we intend to profile will include:
-Aircraft Conversions (737’s,747’s, 757’s, 767’7,
777’s, A300-600’s, A310’s, A320’)
-New build Freighter Aircraft
-Cargo Handling Systems
-Temperature Track & Trace
-Cargo Airline Investing
-Bespoke Engine Technology
-“Cool” container technology
-Maintaining & Overhaul of Cargo Aircraft
-Dedicated Cargo Airports
-Transporting & Handling Perishables
-Pallet Building Technology
-Cargo claims & Loss Prevention
-Cargo Bi-lateral agreements