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Evolving Distribution Strategies
Sandeep FernandesManager Market Development
Cargo@ Mercator
Air Cargo Africa22-24 February 2011
Past worst recession
Increasing costs
Eroding yields
Customers want faster,
cheaper, reliable service
Source Boeing
Cost containment will be
key…
Air Cargo industry situation
Air Cargo industry situation
Cost containment will be
key…
Air Cargo industry situation
Time Compression will be
key…
Industry response: Electronic Integration
Vertical Integration
Electronic Integration
Non Integrated Supply Chain
Electronic Integration Benefits
Reduce processing costs
Reduce processing errors
Improve delivery times
Better customer service
…Increased industry profitability
Challenges to achieve electronic integration
Standardization Vs Flexibility
– Limited Richness
– Limited Reach
‘distribution control’ > intermediaries
– CCS
– ‘industry’ Portals
Intra organisation integration
The Solution: “Insource” distribution capability
Inflexible standards -> Richness and
Reach?
Power of information distribution?
e-freight dilemma?
Inter/intra organisation integration?
Future proofing?
Increased Richness and Reach, through
open standards
Power of information distribution retained
e-freight benefits achieved
Inter/intra organisation integration ready
Future proofed
The tool: Integrated Message Broker
Sits “on-top” of the cargo application
Receives data and transmits data
Multiple Media: SMS, Email, FTP, MQ….& Type b
Multiple Formats: <enter your format here>
…An integral part of SkyChain
Message Broker Benefits
Combat emerging cost pressures & mode switching through:
– Lower processing costs
– Lower communication cost
– Increased Reach & Richness
Quicker delivery times
Improved Customer Service
Retain power of distribution
Choice & Freedom
…Have
Data? …Can
Connect!