Menzies Aviation implements measures to expand foothold in air cargo market
UK-BASED multinational handling agent Menzies Aviation has made new appointments to its management team, after strengthening its cargo moving structure in Asia, in a bid to increase its share of the air freight market
UK-BASED multinational handling agent Menzies Aviation has made new appointments to its management team, after strengthening its cargo moving structure in Asia, in a bid to increase its share of the air freight market.
Executive vice president cargo Robert Fordree is the chief orchestrator of a strategy that saw the handler put greater emphasis on standardising services, with the dual objectives of boosting performance and fostering closer relationships with customers beyond the level of individual stations, reported London's Loadstar.
The roll-out of the standardised approach has been wrapped up, but to take this further it was necessary to build up an executive cargo management team that can lead the process, Mr Fordree was quoted as saying.
Menzies is now working more closely with customers, he added, which has created new opportunities for collaboration and paved the way for contracts that cover multiple locations.
Menzies' push for standardisation was aimed at accomplishing a consistent service recognised as 'best in class'. To measure and reflect this, the handler joined Cargo iQ as an associate member and uses its parameters as a basis for setting service level agreement targets with clients.
'We'd rather have the procedures and processes in place with Cargo iQ,' said Mr Fordree.
Menzies has felt the downturn in global cargo traffic, both in terms of volumes and a stronger emphasis on cost among its customer. In the summer, Menzies warned that profits would be lower this year than last, on the back of weak cargo volumes and a reduced flight schedule.
However, the firm is expanding. Its cargo footprint is set to expand early next year with a move into a new building at Budapest Airport and the company is also expanding its cargo terminal at Bucharest.
The expansion projects in Budapest and Bucharest will usher in more automation, but this is no solution to cope with the labour shortage and cost problems, Mr Fordree noted.
'There won't be a massive amount of hi-tech automation,' he said, adding that the mix of carriers and the rapid growth of e-commerce required flexibility and the necessary space to make it work.