OECD foreign bribery report highlights issues in transport and storage industries

IN the previous edition of AirCargo Asia-Pacific my commentary focused on the effect of world–wide sanctions regimes on the transport and cargo sectors, writes Andrew Hudson

However, corruption and anti–bribery issues also impact the supply chain.  Breaches can occur in relation to conduct in Australia or overseas and expose affected parties not only to domestic charges, but also to international penalties and prosecution.  There is also the very real risk of imprisonment following prosecution.

Andrew HudsonGovernments here and overseas continue to emphasise the importance of a comprehensive compliance program to avoid the possibility of any breach, seeking advice on proposed conduct before it is undertaken, regular audits and reporting of compliance within companies together with early disclosure of potential breaches to minimise adverse impacts.

The threats of prosecution are not illusory. Prosecutions are being brought in Australia, often facilitated by “whistleblowers” who seek protection from liability by being the first to disclose the offending conduct.  There are regular prosecutions in the US with financial penalties in the millions and jail terms for those involved in the offences.

The need to take positive steps to address liability has been emphasised again with the release of the OECD’s 2014 Foreign Bribery Report.  The Report was based on an analysis of bribery offences concluded between the commencement of the OECD Anti–Bribery Convention on 15 February 1999 and June 1 2014.  The provenance of the Report is enough to suggest that it warrants close attention.

Of particular interest to industry is that 15 per cent of all foreign bribery cases were in the transport and storage sector which includes much of the shipping and logistics industry.  According to the Report, customs officials were said to be the second–most likely employees to be offered, promised, or to take a bribe with 11 per cent of all bribes made or given to Customs officials over the survey period.  The Report also suggests that the purpose of such bribes were to effect the Customs clearance of goods.  

While many may suggest (with reason) that such actions are unlikely to arise in Australia, there is no doubt that many in industry are faced with the scenario overseas: Goods not cleared and the request for a “special fee” to ensure clearance; or a request for an additional fee to be paid to a government official to ensure that there is a guarantee of capacity at a busy time of the year; or the request for a “normal” payment to help secure a contract.  

And even though the payment is made overseas, the party making the payment is at risk of contravening Australian law, especially where the limited “trade facilitation” defence is not available.

So, what can be done?  
1.    Be aware that it is a real issue and a real problem.

2.    Ensure that a company (however small) has a policy to deal with bribery issues, much in the same way that a company has policies to deal with compliance with the requirements of various government agencies for other aspects of the business such as Customs, workplace safety and competition law.  The policy should provide examples of what is and is not permitted and have reference to the government agency responsible for the area – together with a “hot line” number where an employee can seek help even outside the business.

3.    Ensure that clients, contractors and service providers are aware that the business will not engage in behaviours which may be seen as bribery – and that the business will report and dubious practices immediately.

4.    Make sure that the policy is observed and reiterated regularly as compliance fatigue can reduce the effectiveness of any program.

5.    Ensure that business owners are engaged with the issues and appreciate the risks.

6.    Regularly review the risks and report problems.

7.    Ensure that any due diligence on any new business, business partner, business area, employee, contractor or acquisition includes coverage on bribery and corruption – as with tax and corporate issues.

I appreciate that many would see this as an expense and complication without corporate benefit.  However, you will find that many customers and government agencies will expect evidence of recognition of issues and compliance with their obligations.  It would be bad business not to comply, let alone the costs and business interruption associated with breaches of the provisions and prosecution by government agencies whether here or overseas.  Sounds boring, but I would much prefer to keep you out of trouble as opposed to spending your time and money managing liability and prosecutions, let alone extradition!

Profitability a challenge for AAPA members – but not the only one

Association of Asia Pacific Airlines (AAPA) member carriers reported “significant” growth in both cargo and passenger traffic during their recent assembly in Tokyo.  

Andrew-Herdman-AAPABut while the mood of the meeting - including future prospects - was definitely upbeat, no-one was downplaying the challenges ahead.. “With Asia continuing to rise on the global stage, the long term prospects for the region’s carriers are still very positive,” said Andrew Herdman (left), AAPA’s director general.

But, he noted, there was heavy pressure on the airline leaders “to make decisions that ensure this optimistic outlook becomes a reality.

“For many, a return to profitability in the near future is a particular challenge that is not made any easier by the current series of economic and political uncertainties prevailing around the world.”

Safety was a major topic at the meeting, its priority status borne out by recent incidents in Indonesia and the Philippines.

One of the challenges under discussion during the Tokyo gathering, Herdman reported, was the need for more attention to infrastructure.
Although Asia Pacific airlines continue to invest heavily in the latest generation of fuel-efficient aircraft to meet traffic growth demands, there is an increasing concern about the need for corresponding long term investments in related aviation infrastructure, including airport terminals, runways and air navigation services, AAPA members noted in a post-assembly report.

Governments have key roles to play in coordinating such investments and ensuring that the necessary regulatory oversight of the industry keeps pace with growth, they said.

Environment remains another key issue for Asia-Pacific carriers, with industry committed to sustainability targets including 1.5 per cent annual fuel efficiency improvements and the development of a global market-based measure to achieve carbon-neutral growth from 2020 onwards.

No less important as a priority for many Asia Pacific carriers is an early return to profitability. Collectively, Asian carriers have seen a dip in yields this year as a result of intense market competition and signs of surplus capacity.

AAPA member airlines are reviewing their fleet and network development plans while maintaining a tight rein on costs in a bid to restore profitability and sustain further investments for the future.

On a more positive note, the leaders reported that after many years of stagnant market conditions in the wake of the global financial crisis, air cargo volumes are picking up.

Herdman said that AAPA continued to play a critical role in addressing the key policy issues that affect all carriers in the Asia-Pacific region, including safety, security, infrastructure, environment, passenger facilitation, and “unjustified taxation”.

AAPA is the trade association for scheduled international airlines based in the Asia Pacific region.  Its permanent secretariat is in Kuala Lumpur, complemented by representation in Brussels and Washington.

On the web: www.aapairlines.org

Caution, caution: Social media can be dangerous territory

Brisbane coffee king and philanthropist Phillip Di Bella is a man with strong passions. So when he disagreed with the referee and commentators during the second 2014 State of Origin game he reacted strongly.  On Twitter.

It was spur of the moment stuff and he quickly apologised.  But the words were on record and had been read extensively and retweeted. A media website published them, too, along with earlier Facebook comments on welfare.

Di Bella was stripped of his Telstra Queensland Business of the Year Award, bestowed the day before his Twitter rant. (He’d also been appointed chair of Brisbane’s CBD Development Board on the day of the game.)

It wasn’t all bad news.  Lots of people supported him, including premier Campbell Newman.  And he later sold his coffee business for mega bucks.
But that moment of e-rage could have destroyed him.

ss-mediaUnwise use of social media has certainly affected many other businesses.

When you tweet, you’re going on record.  Usually without much thought and with no peer review, such as might likely happen on a corporate Facebook page.

Social media provides wonderful opportunities for sales, marketing, personal interaction, information, fast-breaking news and useful comment. but on the other side of the ledger are daily outrage, real or forced, plus irrelevance, time wasting, nastiness.

Wellington blogger, biologist and author Danyl Mclauchlan generated supportive feedback when he posted recently he’d been off Twitter for a few weeks to “free up some mental space”.  This made him realise that “somewhere along the way Twitter became completely awful and not constantly exposing myself to – and participating in – this endless cacophony of advertising-soaked, shrill, mean-spirited outrage is a wonderful experience”.

Are your staff wasting their time on Twitter or the other social media channels, posting about their morning’s sandwich purchase or following the mindless activities of somebody ‘famous for being famous’?

Worse, are they or others saying something inaccurate about your company?  And have you shot off your mouth about another forwarder, airline staffer, Customs broker or Customs officer?

Corporate Facebook pages can be a boon for keeping customers up to date on services, news (yours or other things you feel would be useful to share) and even CSR activities, sponsorships or whatever.  Plus a light-hearted graphic or two.  As long as there’s a peer review system of sorts in place.

And as we’ve commented before, there’s nothing sadder than a Facebook page left to languish, the last cobwebby post months before. 

Nothing sadder?  Well maybe a semi-abandoned web site could eclipse it.

-  Kelvin King

Qantas Freight moves to maximise its strengths and add value for customers and other partners

Alison Webster has more than 20 years’ experience in the aviation industry. She currently is executive manager for Qantas Freight and Qantas Catering Group, responsible for the operations of a A$1.5b division that serves the Qantas Group as well as external customers.


AliWebster-QFPrior to joining Qantas in 2004, she held a range of senior positions with British Airways in both Australia and the UK. There, roles included Sales, Marketing and Brand Management, and from 1997 to 2004 she was senior manager Terminals 3 and 4 at London Heathrow.


Webster was appointed as head of Cabin Crew at Qantas in 2005 and led a significant cultural transformation program across the 6,500 worldwide cabin crew community. This included establishing two new subsidiary companies for new crew employment opportunities.


Prior to taking on her current role in early 2014, she spent four years as executive manager Customer Experience.  There, her portfolio included responsibility for the strategic planning, design and implementation of the end to end customer experience, Inflight Services - Procurement and Supply Chain Management, International Cabin Crew, International Airports and Lounges and the Global Customer Care and Baggage Services team.


Your career bio shows a strong role in passenger operations with Qantas. How have you found the transition from passenger to freight?

The core principles of the passenger and freight businesses are very similar. In both businesses it’s about placing the customer at the heart of everything we do, using technology to drive better service at lower costs for our customers, and being relentless in the focus on safety and operational reliability.  It has been great to get to know the diverse customer base we have around the world and to spend time with our talented employees understanding what they need in order to deliver to our customer and operational goals.


There have been major changes to Qantas Freight’s staffing during 2014. Is the re-structure complete or is it a work in progress?
The Executive Lere
adership team we have in place across Freight and Catering is working effectively and I’m really pleased with the progress we’ve made in 2014. As our customer needs continue to evolve we of course remain open to adapting our structure so that we are best placed to meet their needs.
Freighter services a
becoming less relevant on more routes as belly capacity on passenger aircraft increases. What Australian routes look solid for freighters for at least the next two years?
Qantas Freight operates a fleet of 11 freighters to supplement capacity on key domestic and international routes. While some global carriers are cutting back on freighter capacity in their local markets, we continue to see good demand for our freighter network.  Our 140 weekly overnight domestic freighter services are heavily utilised by postal authorities and large consolidators, and our international freighter network continues to be well supported on the Australia – China – USA triangle and across the Tasman.


Are you aware of any developments at Boeing and/or Airbus that would see belly capacity on passenger aircraft further enhanced?
While there are continually new developments, I’m not aware of anything in the pipeline for the Qantas Group fleet at this point in time.


Food miles still is a vexing question for many retailers globally. What food exports will dominate ex Australia next year and what countries will they go to?
One of our most exciting developments in 2014 has been establishing a supply chain to deliver fresh Australian milk into China. In 2014 Qantas Freight was the first air freight carrier to carry fresh Australian milk into China, and today it carries the largest quantity of milk between the two countries. Qantas Freight has uplifted 33 bulk shipments this year, and has proven that we have the pioneering spirit and expertise needed to meet the complex quality assurance protocols in the perishable cold chain logistics market.


Do you have any plans to boost your temperature-controlled capabilities? If so, where?
Qantas Freight’s network of 22 freight terminals is already well equipped with temperature-controlled capabilities. We’re pleased to be investing in other terminal equipment that reiterates why Qantas Freight is Australia’s industry leading terminal operator.  Our Australian fleet of tow tractors and forklifts is in the process of being completely updated, and we’re proud that we will have the first environmentally-friendly battery electric fleet operating in Australia. A new main deck loader just arrived in our Sydney International freight terminal, demonstrating our commitment to delivering reliable freight services.


Does the group’s international relationships with Jetstar’s regional Asian fleets include freight agreements?
Qantas Freight markets the belly space of the Jetstar Asia (3K) network based out of Singapore, including Valuair. We regularly sell 3K shipments that connect onto and from the QF and JQ international networks.


Qantas Freight made a financial year profit contribution of A$33 million (FY13/14) to the group. The seasonal run up to Xmas almost always sees an improvement in freight volumes, but is there more substance to the current market conditions?

We have been encouraged by the strong volumes leading up to Christmas this year. Our domestic and international networks are doing well and our wholly-owned JETS Transport Express trucking network has seen strong volumes; and we are growing our trailer fleet in response to this demand.


How do you see 2015-16 shaping up for freight operations now that the AUD:USD exchange rate is around 82 cents and forecast to continue falling to around 75 cents?

The lower AUD is good news for Australian exporters and we are still seeing healthy demand in the consumer e-tail space.


Qantas and Emirates appear to operate separate cargo agendas. Can we expect to see further synergies developed?

Qantas Freight has a solid partnership in place with the Emirates SkyCargo team and you can expect to see the partnership continue to develop and deepen in 2015.

QF 0955
Qantas Freight has indicated greater use of technology in the years ahead. I understand you recently completed installation of self-service kiosks at your terminals with the four main international terminals now on line with e-processing and regional centres across the country have been connected electronically to Qantas Freight’s central operating system. Terminal staff now carry out the check-in sequence and rely on touch screen tablets which process information for each shipment in real time. Have the  touch screen tablets in terminals has been as effective as anticipated?  What other innovations are planned?

I think we’ve completely revolutionised the customer experience in our Australian air freight terminals. We’ve eradicated old bottlenecks, improved visibility of freight in the supply chain and drivers are spending considerably less time waiting at our terminals. Our suite of online tools and smartphone apps gives customers the ability to book and track freight across Australia and the world. In December we enhanced our domestic tracking tool to include even more milestone notifications and the option to set proactive email alerts, so our customers can really keep an eye on where their shipments are.


Recent Free Trade Agreements with Korea and China should assist Australia’s exports. Will Qantas Freight have to make major adjustments to schedules to access the potential?

We continually track customer demand, so if we believe a change is necessary we will respond accordingly.


How have recent global trade embargoes and restrictions to places like Russia impacted Qantas Freight sales?

There has been very little impact for Qantas Freight. Russia is not a core market for Qantas Freight.


Qantas is acquiring more A380 aircraft for long-haul routes. The A380 has a relatively poor freight capacity when carrying full passenger loads, how will the new aircraft’s shortcomings affect Qantas Freight fleet planning? Are you considering more full freighter options, particularly if the market improves as expected?

Our approach has always been to maximise the belly space available on the Qantas Group fleet, and then to supplement capacity on popular cargo routes with additional freighter services. This approach continues to work well for Qantas Freight.


Will the B767 freighter continue on trans-Tasman operations, given the withdrawal of the passenger B767s?  Might it perhaps be replaced by B737 freighters?

Yes, the freight B767-300 aircraft continues to operate and is a valued part of our freighter fleet. There are no plans to replace it with a B737 freighter.


PNG has not been as large a major freight market as anticipated, with QF surrendering cargo capacity on the route in June.  Was this due to competition by other scheduled carriers and charter operators, soft market or sales efforts not being as effective as they could be?

Competition on the route intensified and demand dropped, so we made a call not to continue scheduled services to PNG.


Falling aviation fuel prices have not yet been reflected in Qantas Freight surcharges. Why have they not been adjusted to reflect the current costs? Is there a timetable for your surcharges to drop?

Qantas Freight lowered its fuel surcharge on 1 December 2014. Our fuel surcharge takes into account global fuel prices but we also factor in the Qantas Group fuel hedging program as well as foreign exchange movements, meaning that our cost of fuel does not necessarily mirror global fuel price indices. On some routes regulatory requirements determine the fuel surcharge level and we comply with such government regulations.


Finding scheduling opportunities for freight ops in a relatively over-serviced market must be challenging. What routes if any offer opportunities for development?

Yes there has certainly been more capacity added on many global freight lanes which makes things more challenging, but we really focus on our strengths. We work hard to be the leading air freight supplier into, out of and around Australia. We know our markets well and find that price isn’t the only driver of customer choice. Our customers choose Qantas Freight because they know we can be relied on, and are committed to our markets. For example we’re the only carrier offering dedicated freighter services between Sydney and Shanghai, and we’ve continued to service this route for more than 10 years.  We have a dedicated team in Shanghai. This gives our customers confidence that we know the dynamics of this route, and can be a reliable part of their supply chain.


There has been market talk of an expanded alliance with a major Chinese carrier. If so, any progress?

Qantas International already has passenger code-share agreements with China Eastern, China Southern and China Airlines. We continually review our opportunities for alliances and partners linked to market growth expectations.

Virgin Atlantic's Karen Kerslake looks back at her top campaigns

Karen KerslakeWINNING ‘best global advertising campaign for a cargo airline’ was always on the cards for Karen Kerslake (right), UK-based marketing communications manager for Virgin Atlantic.

Earlier campaigns created by her included a famously risque campaign with a photocopier that created critical attention among the cargo fraternity, but any campaign remembered three years after the fact obviously achieved its objective and then some.

Kerslake has been with Virgin Atlantic most of her working life and will celebrate her 20th anniversary with the UK-based carrier later this year.

“You could say I was in the right place at the right time,” said Kerslake. “The airline was founded in June 1984 and was just hitting its straps when I joined the marketing department. It has been an incredibily-successful story and I am fortunate to have enjoyed a wonderful career seeing the airline develop and telling the world how good we are.”

Creating ‘advertising campaigns that sell’ depends of them being noticed. Airlines spend relatively big budgets in a very competitive market and need to cut through other types of promotion to educate the consumer or client on the value proposition.

“Spending often large promotional dollars on creative and advertising placement demands a return for that investment.  I want our customers to look at and remember a Virgin ad campaign, not just glance over it.  Having an impactful image, keeping copy short and to the point and having a call to action are the vital elements of a successful campaign,” said Kerslake.

“Obviously we also take a lot of care in picking the right platforms to showcase our advertising because that is as key, if not more important, than the actual design. A great ad is only effective if it reaches your customer audience.”

Creating good advertising is often said to be 10 per cent product and 90 per cent inspiration. Kerslake says loving the cargo industry and the people gives her inspiration. “At Virgin, we have a terrific brand that is recognised all over the world and great people who offer a brilliant service. We like to promote the fact we are different in our approach both in the service we offer but also in our marketing activity. I like to have fun, get noticed and leave people wanting more from our marketing.  Anyone can create an ad, creating one that is memorable is the biggest challenge.”

Many marketing pundits say the market has changed and that social media is the new driving force in marketing, but Kerslake doesn’t agree.

“Social media just gives airlines another platform to use for their marketing and communication activity. It also offers a great platform for customers and people interested in cargo to get in touch and express their views. Obviously from a news point of view, information moves much faster and is spread more widely thanks to the web. I take and use social media to advantage but it is all relative. The airline is very active via social media and in cargo, it is something we will be looking more closely at in 2015 because there is no doubt it has to form part of the overall marketing mix,” she said.  

campaignACWhen it come to specific campaigns Kerslake prefers visual impact over information/editorial style advertising.

“How often do any of us read an ad that has a lot of copy?” said Kerslake. “I believe it is the image and headline that captures your attention. Personally, heavy copy ads turn me off.”  

What impresses Kerslake in good advertising copy other than her own creative?

 “These days technology is setting a cracking pace and marketing departments can call on some really incredible ideas to get the message out. When it comes to other airlines, there are two who stand out, Emirates and Thai.”

What advertising works best for Virgin? Print, radio, tv, digital, cinema, direct mail, famils etc etc?

“The best form of marketing/advertising is face to face and this is what Virgin focuses on most of all. I also think direct mail is vital and print/online advertising is the icing on the cake to reach a greater audience.”

Wexco trio clock up 150 years – and a lot of successes- in Australian and world air freight, passenger services

David-Williams-PhotoFew – if any -Australian air freight companies can boast having a dedicated team where three of them – including the boss – have clocked up a total of 150 years in the aviation industry, writes John Newton.

In 2014, David Williams - chairman of Sydney-based airline cargo sales and general sales agent Wexco Aviation Services - along with company director Russell Freeman and West Australian cargo manager Geoff Lord all achieved the milestone of 50 years in the industry.

Wexco chief executive officer David Williams is a third-generation industry player and his long list of  achievements was rewarded with an Order of Australian Medal (OAM) for his services to international trade, especially in the field of transportation and freight forwarding.

“At the age of five, I was going around the Sydney wharves with my grandfather and father. My grandfather started a customs brokerage – Hull & Co – after returning from the First World War. At 12, I was working in the business in my school holidays and after completing my education started full-time, later obtaining my Customs brokers licence. A third generation Customs broker, Hull & Co was one of the pioneer freight forwarders, representing Pension Airfreight, a New York-based air freight forwarder.”

In1970, TNT acquired the family business and Williams worked for Rudders, then the international arm of TNT.  “TNT joint ventured with Schulman , a US-based air freight forwarder. “I moved to the joint venture and at 24 was heading up its operations and marketing.  I set up the TNT network of agents in Europe, giving TNT a global forwarding presence.

According to Williams, at that time there were only narrow-bodied aircraft and it was the start of the high-tech boom in Australia. “We chartered 707F and DC8Fs to move the outsized computers. B747 came to the market and I left TNT to start Fliway with Kevin Wymes - providing the high tech industry with door-to-door solutions using specialist trucks in Australia. Fliway expanded to New Zealand, Hong Kong and Singapore with a combined staff of 1500 in 18 offices, making it the largest privately-owned freight forwarder in Australia.

“The company grew and we did a joint venture with Fritz companies in the US and sold out to them in 1995. I moved to the US as senior vice president Fritz Customs and trade consulting with the aim of integrating door-to-door operations and to cut out the silos. When UPS bought Fritz, I headed up UPS TMS, the trade management consulting group of UPS. They wanted me to move to Atlanta and I wanted to return to Australia, so we agreed to go our separate ways.”

A former chairman of the Australian Federation of International Forwarders (AFIF) – just one of an impressive list of other major industry roles, as well as government boards and regulatory commissions - Williams joined the Wexco team on his return to Australia. “We worked hard to get where we are today,” he added.

Russell-FreemanAI first for Freeman
Russell Freeman started his career in 1964 as an office junior with Air India and for the next 10 years worked his way through reservations and ticketing before joining the airline’s sales department.  Air India used Boeing 707 aircraft and had services operating between Nandi/Sydney/Perth and on to India. In 1975, Freeman joined JAT Yugoslav Airlines when the carrier started an online service to Australia using Boeing 707s before changing to DC-10 aircraft. He held the positions of Australian sales and marketing manager/cargo manager and airport manager. “They were mostly at the same time, which is something I valued as it allowed me to experience all facets of airline operation,” he said.

“During my 17 years I was the company delegate in the commencement of both BSP and CASS, as well as an original member of the Board of Airline Representatives. However, in July 1992, the airline withdrew service from Australia due to US sanctions imposed by the crisis in the Balkans. I had a short stint of six months with JES AIR which operated Airbus services to Australia from Bulgaria before it withdrew service from the market.

“After that, I joined Aeroflot Russian Airlines as station and cargo manager when it had online services to Sydney from 1993-1996.
Freeman’s involvement with Wexco began in 1979 when working with JAT and meeting David Williams for the first time. “David had arranged with the airline’s head office to consolidate European freight and use the service of the airlines to perform the task. In turn, Wexco was appointed to represent the needs of JAT with air freight from Australia – so after my time with the airlines ceased in 1996 I commenced work with Wexco Airfreight, as it was known, becoming a director and business partner.

“I believe with my airline background and David’s unmatched career in freight forwarding that we have created a cargo GSA of great strength and knowledge. Just looking at the150 years of experience between myself, David and Geoff it makes me feel old, but it has been a great privilege to work in the aviation industry that has given me fond memories.”

Dramatic change

geoff lordLike Freeman, Geoff Lord, who set up Qatar Airways’ cargo operation in Perth, said he’d seen many changes in the air cargo industry in the past 50 years – the biggest being the development of aircraft.

“In the 60’s, a freighter was likely to be a DC3 with little payload little more than three tonnes and a range not more than 300 miles – a bit different to our freighters of today with payloads upwards of 130 tonnes and the capability of flying non-stop half way round the world. And probably the biggest change has been in reservation systems, which today are highly sophisticated and effective. If I recall correctly, in the 60s there were no systems – a brief notation in a diary and that was it!

“I’ve been lucky, some amazing experiences and a great privilege to work with so many different cultures,” said Lord, who has worked in airport management, passenger sales and marketing and more recently, in international air freight, with spells in wholesale travel, inclusive tours and freight forwarding.  At one, time he was even contracted to the West Australian government.

The genial Scot began his career as a traffic officer at Edinburgh airport with British United Airways – later to become British Caledonian (BCal) – after which he went on to serve in a number of overseas postings with the airline in West Africa, the Middle East and Singapore.  

“Sadly, BCal began to fall on tough times and I was made redundant in 1975, but there were always other opportunities including a stint in Liberia with the French logistics agent SCAC. But after a series of coups I decided it was time to leave!

“Another spell in Edinburgh as marketing manager with third level carrier Air Ecosse also ended abruptly when it went bust.

“Finally, before deciding to emigrate to Australia I got a job as marketing development manager with YBA Kanoo in Bahrain – the first and largest IATA travel company in the Middle East and GSA to British Airways, Singapore Airlines, Qantas, American Express and Hilton hotels.”

Lord arrived in Australia in 1982 and joined Singapore Airlines in passenger sales, later moving into air freight and becoming cargo manager for the carrier. In 1994, he successfully tendered for a six-year contract as chief executive officer to the Airfreight Export Council with the WA government. Following this, he joined DHL as airfreight export manager, then in 2005 was awarded a six-year contract with Emirates as cargo manager WA, after which he planned to retire.

However, in 2012, Wexco offered Lord the position to start up and establish Qatar Airways’ cargo operation in Perth. The industry journeyman is still with Wexco and “thoroughly enjoys working with a highly professional and dedicated team”.

OECD foreign bribery report highlights issues in transport and storage industries

IN the previous edition of AirCargo Asia-Pacific my commentary focused on the effect of world–wide sanctions regimes on the transport and cargo sectors, writes Andrew Hudson

However, corruption and anti–bribery issues also impact the supply chain.  Breaches can occur in relation to conduct in Australia or overseas and expose affected parties not only to domestic charges, but also to international penalties and prosecution.  There is also the very real risk of imprisonment following prosecution.

Andrew HudsonGovernments here and overseas continue to emphasise the importance of a comprehensive compliance program to avoid the possibility of any breach, seeking advice on proposed conduct before it is undertaken, regular audits and reporting of compliance within companies together with early disclosure of potential breaches to minimise adverse impacts.

The threats of prosecution are not illusory. Prosecutions are being brought in Australia, often facilitated by “whistleblowers” who seek protection from liability by being the first to disclose the offending conduct.  There are regular prosecutions in the US with financial penalties in the millions and jail terms for those involved in the offences.

The need to take positive steps to address liability has been emphasised again with the release of the OECD’s 2014 Foreign Bribery Report.  The Report was based on an analysis of bribery offences concluded between the commencement of the OECD Anti–Bribery Convention on 15 February 1999 and June 1 2014.  The provenance of the Report is enough to suggest that it warrants close attention.

Of particular interest to industry is that 15 per cent of all foreign bribery cases were in the transport and storage sector which includes much of the shipping and logistics industry.  According to the Report, customs officials were said to be the second–most likely employees to be offered, promised, or to take a bribe with 11 per cent of all bribes made or given to Customs officials over the survey period.  The Report also suggests that the purpose of such bribes were to effect the Customs clearance of goods.  

While many may suggest (with reason) that such actions are unlikely to arise in Australia, there is no doubt that many in industry are faced with the scenario overseas: Goods not cleared and the request for a “special fee” to ensure clearance; or a request for an additional fee to be paid to a government official to ensure that there is a guarantee of capacity at a busy time of the year; or the request for a “normal” payment to help secure a contract.  

And even though the payment is made overseas, the party making the payment is at risk of contravening Australian law, especially where the limited “trade facilitation” defence is not available.

So, what can be done?  
1.    Be aware that it is a real issue and a real problem.

2.    Ensure that a company (however small) has a policy to deal with bribery issues, much in the same way that a company has policies to deal with compliance with the requirements of various government agencies for other aspects of the business such as Customs, workplace safety and competition law.  The policy should provide examples of what is and is not permitted and have reference to the government agency responsible for the area – together with a “hot line” number where an employee can seek help even outside the business.

3.    Ensure that clients, contractors and service providers are aware that the business will not engage in behaviours which may be seen as bribery – and that the business will report and dubious practices immediately.

4.    Make sure that the policy is observed and reiterated regularly as compliance fatigue can reduce the effectiveness of any program.

5.    Ensure that business owners are engaged with the issues and appreciate the risks.

6.    Regularly review the risks and report problems.

7.    Ensure that any due diligence on any new business, business partner, business area, employee, contractor or acquisition includes coverage on bribery and corruption – as with tax and corporate issues.

I appreciate that many would see this as an expense and complication without corporate benefit.  However, you will find that many customers and government agencies will expect evidence of recognition of issues and compliance with their obligations.  It would be bad business not to comply, let alone the costs and business interruption associated with breaches of the provisions and prosecution by government agencies whether here or overseas.  Sounds boring, but I would much prefer to keep you out of trouble as opposed to spending your time and money managing liability and prosecutions, let alone extradition!

Profitability a challenge for AAPA members – but not the only one

Association of Asia Pacific Airlines (AAPA) member carriers reported “significant” growth in both cargo and passenger traffic during their recent assembly in Tokyo.  

Andrew-Herdman-AAPABut while the mood of the meeting - including future prospects - was definitely upbeat, no-one was downplaying the challenges ahead.. “With Asia continuing to rise on the global stage, the long term prospects for the region’s carriers are still very positive,” said Andrew Herdman (left), AAPA’s director general.

But, he noted, there was heavy pressure on the airline leaders “to make decisions that ensure this optimistic outlook becomes a reality.

“For many, a return to profitability in the near future is a particular challenge that is not made any easier by the current series of economic and political uncertainties prevailing around the world.”

Safety was a major topic at the meeting, its priority status borne out by recent incidents in Indonesia and the Philippines.

One of the challenges under discussion during the Tokyo gathering, Herdman reported, was the need for more attention to infrastructure.
Although Asia Pacific airlines continue to invest heavily in the latest generation of fuel-efficient aircraft to meet traffic growth demands, there is an increasing concern about the need for corresponding long term investments in related aviation infrastructure, including airport terminals, runways and air navigation services, AAPA members noted in a post-assembly report.

Governments have key roles to play in coordinating such investments and ensuring that the necessary regulatory oversight of the industry keeps pace with growth, they said.

Environment remains another key issue for Asia-Pacific carriers, with industry committed to sustainability targets including 1.5 per cent annual fuel efficiency improvements and the development of a global market-based measure to achieve carbon-neutral growth from 2020 onwards.

No less important as a priority for many Asia Pacific carriers is an early return to profitability. Collectively, Asian carriers have seen a dip in yields this year as a result of intense market competition and signs of surplus capacity.

AAPA member airlines are reviewing their fleet and network development plans while maintaining a tight rein on costs in a bid to restore profitability and sustain further investments for the future.

On a more positive note, the leaders reported that after many years of stagnant market conditions in the wake of the global financial crisis, air cargo volumes are picking up.

Herdman said that AAPA continued to play a critical role in addressing the key policy issues that affect all carriers in the Asia-Pacific region, including safety, security, infrastructure, environment, passenger facilitation, and “unjustified taxation”.

AAPA is the trade association for scheduled international airlines based in the Asia Pacific region.  Its permanent secretariat is in Kuala Lumpur, complemented by representation in Brussels and Washington.

On the web: www.aapairlines.org

Caution, caution: Social media can be dangerous territory

Brisbane coffee king and philanthropist Phillip Di Bella is a man with strong passions. So when he disagreed with the referee and commentators during the second 2014 State of Origin game he reacted strongly.  On Twitter.

It was spur of the moment stuff and he quickly apologised.  But the words were on record and had been read extensively and retweeted. A media website published them, too, along with earlier Facebook comments on welfare.

Di Bella was stripped of his Telstra Queensland Business of the Year Award, bestowed the day before his Twitter rant. (He’d also been appointed chair of Brisbane’s CBD Development Board on the day of the game.)

It wasn’t all bad news.  Lots of people supported him, including premier Campbell Newman.  And he later sold his coffee business for mega bucks.
But that moment of e-rage could have destroyed him.

ss-mediaUnwise use of social media has certainly affected many other businesses.

When you tweet, you’re going on record.  Usually without much thought and with no peer review, such as might likely happen on a corporate Facebook page.

Social media provides wonderful opportunities for sales, marketing, personal interaction, information, fast-breaking news and useful comment. but on the other side of the ledger are daily outrage, real or forced, plus irrelevance, time wasting, nastiness.

Wellington blogger, biologist and author Danyl Mclauchlan generated supportive feedback when he posted recently he’d been off Twitter for a few weeks to “free up some mental space”.  This made him realise that “somewhere along the way Twitter became completely awful and not constantly exposing myself to – and participating in – this endless cacophony of advertising-soaked, shrill, mean-spirited outrage is a wonderful experience”.

Are your staff wasting their time on Twitter or the other social media channels, posting about their morning’s sandwich purchase or following the mindless activities of somebody ‘famous for being famous’?

Worse, are they or others saying something inaccurate about your company?  And have you shot off your mouth about another forwarder, airline staffer, Customs broker or Customs officer?

Corporate Facebook pages can be a boon for keeping customers up to date on services, news (yours or other things you feel would be useful to share) and even CSR activities, sponsorships or whatever.  Plus a light-hearted graphic or two.  As long as there’s a peer review system of sorts in place.

And as we’ve commented before, there’s nothing sadder than a Facebook page left to languish, the last cobwebby post months before. 

Nothing sadder?  Well maybe a semi-abandoned web site could eclipse it.

-  Kelvin King

Qantas Freight moves to maximise its strengths and add value for customers and other partners

Alison Webster has more than 20 years’ experience in the aviation industry. She currently is executive manager for Qantas Freight and Qantas Catering Group, responsible for the operations of a A$1.5b division that serves the Qantas Group as well as external customers.


AliWebster-QFPrior to joining Qantas in 2004, she held a range of senior positions with British Airways in both Australia and the UK. There, roles included Sales, Marketing and Brand Management, and from 1997 to 2004 she was senior manager Terminals 3 and 4 at London Heathrow.


Webster was appointed as head of Cabin Crew at Qantas in 2005 and led a significant cultural transformation program across the 6,500 worldwide cabin crew community. This included establishing two new subsidiary companies for new crew employment opportunities.


Prior to taking on her current role in early 2014, she spent four years as executive manager Customer Experience.  There, her portfolio included responsibility for the strategic planning, design and implementation of the end to end customer experience, Inflight Services - Procurement and Supply Chain Management, International Cabin Crew, International Airports and Lounges and the Global Customer Care and Baggage Services team.


Your career bio shows a strong role in passenger operations with Qantas. How have you found the transition from passenger to freight?

The core principles of the passenger and freight businesses are very similar. In both businesses it’s about placing the customer at the heart of everything we do, using technology to drive better service at lower costs for our customers, and being relentless in the focus on safety and operational reliability.  It has been great to get to know the diverse customer base we have around the world and to spend time with our talented employees understanding what they need in order to deliver to our customer and operational goals.


There have been major changes to Qantas Freight’s staffing during 2014. Is the re-structure complete or is it a work in progress?
The Executive Lere
adership team we have in place across Freight and Catering is working effectively and I’m really pleased with the progress we’ve made in 2014. As our customer needs continue to evolve we of course remain open to adapting our structure so that we are best placed to meet their needs.
Freighter services a
becoming less relevant on more routes as belly capacity on passenger aircraft increases. What Australian routes look solid for freighters for at least the next two years?
Qantas Freight operates a fleet of 11 freighters to supplement capacity on key domestic and international routes. While some global carriers are cutting back on freighter capacity in their local markets, we continue to see good demand for our freighter network.  Our 140 weekly overnight domestic freighter services are heavily utilised by postal authorities and large consolidators, and our international freighter network continues to be well supported on the Australia – China – USA triangle and across the Tasman.


Are you aware of any developments at Boeing and/or Airbus that would see belly capacity on passenger aircraft further enhanced?
While there are continually new developments, I’m not aware of anything in the pipeline for the Qantas Group fleet at this point in time.


Food miles still is a vexing question for many retailers globally. What food exports will dominate ex Australia next year and what countries will they go to?
One of our most exciting developments in 2014 has been establishing a supply chain to deliver fresh Australian milk into China. In 2014 Qantas Freight was the first air freight carrier to carry fresh Australian milk into China, and today it carries the largest quantity of milk between the two countries. Qantas Freight has uplifted 33 bulk shipments this year, and has proven that we have the pioneering spirit and expertise needed to meet the complex quality assurance protocols in the perishable cold chain logistics market.


Do you have any plans to boost your temperature-controlled capabilities? If so, where?
Qantas Freight’s network of 22 freight terminals is already well equipped with temperature-controlled capabilities. We’re pleased to be investing in other terminal equipment that reiterates why Qantas Freight is Australia’s industry leading terminal operator.  Our Australian fleet of tow tractors and forklifts is in the process of being completely updated, and we’re proud that we will have the first environmentally-friendly battery electric fleet operating in Australia. A new main deck loader just arrived in our Sydney International freight terminal, demonstrating our commitment to delivering reliable freight services.


Does the group’s international relationships with Jetstar’s regional Asian fleets include freight agreements?
Qantas Freight markets the belly space of the Jetstar Asia (3K) network based out of Singapore, including Valuair. We regularly sell 3K shipments that connect onto and from the QF and JQ international networks.


Qantas Freight made a financial year profit contribution of A$33 million (FY13/14) to the group. The seasonal run up to Xmas almost always sees an improvement in freight volumes, but is there more substance to the current market conditions?

We have been encouraged by the strong volumes leading up to Christmas this year. Our domestic and international networks are doing well and our wholly-owned JETS Transport Express trucking network has seen strong volumes; and we are growing our trailer fleet in response to this demand.


How do you see 2015-16 shaping up for freight operations now that the AUD:USD exchange rate is around 82 cents and forecast to continue falling to around 75 cents?

The lower AUD is good news for Australian exporters and we are still seeing healthy demand in the consumer e-tail space.


Qantas and Emirates appear to operate separate cargo agendas. Can we expect to see further synergies developed?

Qantas Freight has a solid partnership in place with the Emirates SkyCargo team and you can expect to see the partnership continue to develop and deepen in 2015.

QF 0955
Qantas Freight has indicated greater use of technology in the years ahead. I understand you recently completed installation of self-service kiosks at your terminals with the four main international terminals now on line with e-processing and regional centres across the country have been connected electronically to Qantas Freight’s central operating system. Terminal staff now carry out the check-in sequence and rely on touch screen tablets which process information for each shipment in real time. Have the  touch screen tablets in terminals has been as effective as anticipated?  What other innovations are planned?

I think we’ve completely revolutionised the customer experience in our Australian air freight terminals. We’ve eradicated old bottlenecks, improved visibility of freight in the supply chain and drivers are spending considerably less time waiting at our terminals. Our suite of online tools and smartphone apps gives customers the ability to book and track freight across Australia and the world. In December we enhanced our domestic tracking tool to include even more milestone notifications and the option to set proactive email alerts, so our customers can really keep an eye on where their shipments are.


Recent Free Trade Agreements with Korea and China should assist Australia’s exports. Will Qantas Freight have to make major adjustments to schedules to access the potential?

We continually track customer demand, so if we believe a change is necessary we will respond accordingly.


How have recent global trade embargoes and restrictions to places like Russia impacted Qantas Freight sales?

There has been very little impact for Qantas Freight. Russia is not a core market for Qantas Freight.


Qantas is acquiring more A380 aircraft for long-haul routes. The A380 has a relatively poor freight capacity when carrying full passenger loads, how will the new aircraft’s shortcomings affect Qantas Freight fleet planning? Are you considering more full freighter options, particularly if the market improves as expected?

Our approach has always been to maximise the belly space available on the Qantas Group fleet, and then to supplement capacity on popular cargo routes with additional freighter services. This approach continues to work well for Qantas Freight.


Will the B767 freighter continue on trans-Tasman operations, given the withdrawal of the passenger B767s?  Might it perhaps be replaced by B737 freighters?

Yes, the freight B767-300 aircraft continues to operate and is a valued part of our freighter fleet. There are no plans to replace it with a B737 freighter.


PNG has not been as large a major freight market as anticipated, with QF surrendering cargo capacity on the route in June.  Was this due to competition by other scheduled carriers and charter operators, soft market or sales efforts not being as effective as they could be?

Competition on the route intensified and demand dropped, so we made a call not to continue scheduled services to PNG.


Falling aviation fuel prices have not yet been reflected in Qantas Freight surcharges. Why have they not been adjusted to reflect the current costs? Is there a timetable for your surcharges to drop?

Qantas Freight lowered its fuel surcharge on 1 December 2014. Our fuel surcharge takes into account global fuel prices but we also factor in the Qantas Group fuel hedging program as well as foreign exchange movements, meaning that our cost of fuel does not necessarily mirror global fuel price indices. On some routes regulatory requirements determine the fuel surcharge level and we comply with such government regulations.


Finding scheduling opportunities for freight ops in a relatively over-serviced market must be challenging. What routes if any offer opportunities for development?

Yes there has certainly been more capacity added on many global freight lanes which makes things more challenging, but we really focus on our strengths. We work hard to be the leading air freight supplier into, out of and around Australia. We know our markets well and find that price isn’t the only driver of customer choice. Our customers choose Qantas Freight because they know we can be relied on, and are committed to our markets. For example we’re the only carrier offering dedicated freighter services between Sydney and Shanghai, and we’ve continued to service this route for more than 10 years.  We have a dedicated team in Shanghai. This gives our customers confidence that we know the dynamics of this route, and can be a reliable part of their supply chain.


There has been market talk of an expanded alliance with a major Chinese carrier. If so, any progress?

Qantas International already has passenger code-share agreements with China Eastern, China Southern and China Airlines. We continually review our opportunities for alliances and partners linked to market growth expectations.

Virgin Atlantic's Karen Kerslake looks back at her top campaigns

Karen KerslakeWINNING ‘best global advertising campaign for a cargo airline’ was always on the cards for Karen Kerslake (right), UK-based marketing communications manager for Virgin Atlantic.

Earlier campaigns created by her included a famously risque campaign with a photocopier that created critical attention among the cargo fraternity, but any campaign remembered three years after the fact obviously achieved its objective and then some.

Kerslake has been with Virgin Atlantic most of her working life and will celebrate her 20th anniversary with the UK-based carrier later this year.

“You could say I was in the right place at the right time,” said Kerslake. “The airline was founded in June 1984 and was just hitting its straps when I joined the marketing department. It has been an incredibily-successful story and I am fortunate to have enjoyed a wonderful career seeing the airline develop and telling the world how good we are.”

Creating ‘advertising campaigns that sell’ depends of them being noticed. Airlines spend relatively big budgets in a very competitive market and need to cut through other types of promotion to educate the consumer or client on the value proposition.

“Spending often large promotional dollars on creative and advertising placement demands a return for that investment.  I want our customers to look at and remember a Virgin ad campaign, not just glance over it.  Having an impactful image, keeping copy short and to the point and having a call to action are the vital elements of a successful campaign,” said Kerslake.

“Obviously we also take a lot of care in picking the right platforms to showcase our advertising because that is as key, if not more important, than the actual design. A great ad is only effective if it reaches your customer audience.”

Creating good advertising is often said to be 10 per cent product and 90 per cent inspiration. Kerslake says loving the cargo industry and the people gives her inspiration. “At Virgin, we have a terrific brand that is recognised all over the world and great people who offer a brilliant service. We like to promote the fact we are different in our approach both in the service we offer but also in our marketing activity. I like to have fun, get noticed and leave people wanting more from our marketing.  Anyone can create an ad, creating one that is memorable is the biggest challenge.”

Many marketing pundits say the market has changed and that social media is the new driving force in marketing, but Kerslake doesn’t agree.

“Social media just gives airlines another platform to use for their marketing and communication activity. It also offers a great platform for customers and people interested in cargo to get in touch and express their views. Obviously from a news point of view, information moves much faster and is spread more widely thanks to the web. I take and use social media to advantage but it is all relative. The airline is very active via social media and in cargo, it is something we will be looking more closely at in 2015 because there is no doubt it has to form part of the overall marketing mix,” she said.  

campaignACWhen it come to specific campaigns Kerslake prefers visual impact over information/editorial style advertising.

“How often do any of us read an ad that has a lot of copy?” said Kerslake. “I believe it is the image and headline that captures your attention. Personally, heavy copy ads turn me off.”  

What impresses Kerslake in good advertising copy other than her own creative?

 “These days technology is setting a cracking pace and marketing departments can call on some really incredible ideas to get the message out. When it comes to other airlines, there are two who stand out, Emirates and Thai.”

What advertising works best for Virgin? Print, radio, tv, digital, cinema, direct mail, famils etc etc?

“The best form of marketing/advertising is face to face and this is what Virgin focuses on most of all. I also think direct mail is vital and print/online advertising is the icing on the cake to reach a greater audience.”

Wexco trio clock up 150 years – and a lot of successes- in Australian and world air freight, passenger services

David-Williams-PhotoFew – if any -Australian air freight companies can boast having a dedicated team where three of them – including the boss – have clocked up a total of 150 years in the aviation industry, writes John Newton.

In 2014, David Williams - chairman of Sydney-based airline cargo sales and general sales agent Wexco Aviation Services - along with company director Russell Freeman and West Australian cargo manager Geoff Lord all achieved the milestone of 50 years in the industry.

Wexco chief executive officer David Williams is a third-generation industry player and his long list of  achievements was rewarded with an Order of Australian Medal (OAM) for his services to international trade, especially in the field of transportation and freight forwarding.

“At the age of five, I was going around the Sydney wharves with my grandfather and father. My grandfather started a customs brokerage – Hull & Co – after returning from the First World War. At 12, I was working in the business in my school holidays and after completing my education started full-time, later obtaining my Customs brokers licence. A third generation Customs broker, Hull & Co was one of the pioneer freight forwarders, representing Pension Airfreight, a New York-based air freight forwarder.”

In1970, TNT acquired the family business and Williams worked for Rudders, then the international arm of TNT.  “TNT joint ventured with Schulman , a US-based air freight forwarder. “I moved to the joint venture and at 24 was heading up its operations and marketing.  I set up the TNT network of agents in Europe, giving TNT a global forwarding presence.

According to Williams, at that time there were only narrow-bodied aircraft and it was the start of the high-tech boom in Australia. “We chartered 707F and DC8Fs to move the outsized computers. B747 came to the market and I left TNT to start Fliway with Kevin Wymes - providing the high tech industry with door-to-door solutions using specialist trucks in Australia. Fliway expanded to New Zealand, Hong Kong and Singapore with a combined staff of 1500 in 18 offices, making it the largest privately-owned freight forwarder in Australia.

“The company grew and we did a joint venture with Fritz companies in the US and sold out to them in 1995. I moved to the US as senior vice president Fritz Customs and trade consulting with the aim of integrating door-to-door operations and to cut out the silos. When UPS bought Fritz, I headed up UPS TMS, the trade management consulting group of UPS. They wanted me to move to Atlanta and I wanted to return to Australia, so we agreed to go our separate ways.”

A former chairman of the Australian Federation of International Forwarders (AFIF) – just one of an impressive list of other major industry roles, as well as government boards and regulatory commissions - Williams joined the Wexco team on his return to Australia. “We worked hard to get where we are today,” he added.

Russell-FreemanAI first for Freeman
Russell Freeman started his career in 1964 as an office junior with Air India and for the next 10 years worked his way through reservations and ticketing before joining the airline’s sales department.  Air India used Boeing 707 aircraft and had services operating between Nandi/Sydney/Perth and on to India. In 1975, Freeman joined JAT Yugoslav Airlines when the carrier started an online service to Australia using Boeing 707s before changing to DC-10 aircraft. He held the positions of Australian sales and marketing manager/cargo manager and airport manager. “They were mostly at the same time, which is something I valued as it allowed me to experience all facets of airline operation,” he said.

“During my 17 years I was the company delegate in the commencement of both BSP and CASS, as well as an original member of the Board of Airline Representatives. However, in July 1992, the airline withdrew service from Australia due to US sanctions imposed by the crisis in the Balkans. I had a short stint of six months with JES AIR which operated Airbus services to Australia from Bulgaria before it withdrew service from the market.

“After that, I joined Aeroflot Russian Airlines as station and cargo manager when it had online services to Sydney from 1993-1996.
Freeman’s involvement with Wexco began in 1979 when working with JAT and meeting David Williams for the first time. “David had arranged with the airline’s head office to consolidate European freight and use the service of the airlines to perform the task. In turn, Wexco was appointed to represent the needs of JAT with air freight from Australia – so after my time with the airlines ceased in 1996 I commenced work with Wexco Airfreight, as it was known, becoming a director and business partner.

“I believe with my airline background and David’s unmatched career in freight forwarding that we have created a cargo GSA of great strength and knowledge. Just looking at the150 years of experience between myself, David and Geoff it makes me feel old, but it has been a great privilege to work in the aviation industry that has given me fond memories.”

Dramatic change

geoff lordLike Freeman, Geoff Lord, who set up Qatar Airways’ cargo operation in Perth, said he’d seen many changes in the air cargo industry in the past 50 years – the biggest being the development of aircraft.

“In the 60’s, a freighter was likely to be a DC3 with little payload little more than three tonnes and a range not more than 300 miles – a bit different to our freighters of today with payloads upwards of 130 tonnes and the capability of flying non-stop half way round the world. And probably the biggest change has been in reservation systems, which today are highly sophisticated and effective. If I recall correctly, in the 60s there were no systems – a brief notation in a diary and that was it!

“I’ve been lucky, some amazing experiences and a great privilege to work with so many different cultures,” said Lord, who has worked in airport management, passenger sales and marketing and more recently, in international air freight, with spells in wholesale travel, inclusive tours and freight forwarding.  At one, time he was even contracted to the West Australian government.

The genial Scot began his career as a traffic officer at Edinburgh airport with British United Airways – later to become British Caledonian (BCal) – after which he went on to serve in a number of overseas postings with the airline in West Africa, the Middle East and Singapore.  

“Sadly, BCal began to fall on tough times and I was made redundant in 1975, but there were always other opportunities including a stint in Liberia with the French logistics agent SCAC. But after a series of coups I decided it was time to leave!

“Another spell in Edinburgh as marketing manager with third level carrier Air Ecosse also ended abruptly when it went bust.

“Finally, before deciding to emigrate to Australia I got a job as marketing development manager with YBA Kanoo in Bahrain – the first and largest IATA travel company in the Middle East and GSA to British Airways, Singapore Airlines, Qantas, American Express and Hilton hotels.”

Lord arrived in Australia in 1982 and joined Singapore Airlines in passenger sales, later moving into air freight and becoming cargo manager for the carrier. In 1994, he successfully tendered for a six-year contract as chief executive officer to the Airfreight Export Council with the WA government. Following this, he joined DHL as airfreight export manager, then in 2005 was awarded a six-year contract with Emirates as cargo manager WA, after which he planned to retire.

However, in 2012, Wexco offered Lord the position to start up and establish Qatar Airways’ cargo operation in Perth. The industry journeyman is still with Wexco and “thoroughly enjoys working with a highly professional and dedicated team”.