Dec 21, 2012

Top Ten Supply Chain Topics of 2012

Supply Chain
3 min
We take a look at some of the top stories of 2012

2012 has been quite the year for the Supply Chain industry. Having endured a number of challenges over the past 12 months, we have lost some industry giantsgained some new players, and made some unusual collaborations.

 It is now time for the industry to look forward to the range of fresh approaches, emerging markets and revolutionary technologies that 2013 has in store, with the help of some of our best articles on the biggest topics from over the last few months.

1.       New Technologies:Whether it concerns user interfaces, new devices or the potential effects of 3D Printing, 2012 has seen a range of new technology, which combined is likely to promote major changes in the operation of the global supply chain.

2.       A new approach to procurement: Sustainable & Ethical Procurement are at the forefront of any good Supply Chain Manager’s mind following the consumer-led call for reform which has occurred over the last few months. With scorecard systems and industry accreditation for sustainable and ethical practice on the rise, it is important to check your procurement methods are squeaky clean.

3.       Pay attention to life cycles:The product life cycle is in decline, according to Karsten Horn, of supply chain optimisation specialist INFORM, which has added a whole new slant to demand planning.

4.       The rise of rail freight: The future looks bright for those in the rail freight industry, as rail enjoys a new found popularity, becoming the eco-friendly freight method of choice for a number of retailers and experiencing an oil boom in Canada.

5.       Couriers enjoy a rise in online ordering: Couriers across the world are enjoying a rise in online shopping, leading to increased demand for next day delivery. With companies looking into more and more innovative ways to sate the next day demand, it is important to evolve your operations to respond to orders ASAP.

6.       The new dawn of outsourcing: With the need for increased cost cutting and a focus on the most efficient processes, outsourcing is the future for supply chain companies, according to Ahmed Mazhari from Genpact. Make sure you look into the best ways to embrace your outsourcing opportunities.

7.       Green Transportation:The focus is on green energy for 2013, with the shippingtrucking and aviation industries all racing to get ahead in the conversion to low CO² operations. Make sure you’re up-to-speed with all the options available!

8.       Port Investment: With a number of investments occurring in ports and distribution centres across the world, freight channels are increasingly connected across a range of vehicle options, it seems huge ‘logistics districts will be a development in the future, encouraging multi-location distribution.

9.       Arctic Shipping:Whether you are pro or against Arctic Shipping it is clear that new routes through the Northern Sea it will stay in our headlines for a while to come. Following the first Chinese ship to cross the Arctic just a few months ago, it is important to weigh up the environmental responsibility of crossing these challenging routes.

10.   Industry leaders: Finally, Supply Chain Digital has ventured behind the scenes of some very influential supply chain companies and associations over the past few months, offering you the chance to learn some more from the experts! Look forward to more revealing reports in 2013! 

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Aug 24, 2018

Top 10 air freight carriers

Supply Chain
James Henderson
5 min
Supply Chain |Digital runs down the world's top 10 air freight carriers
10. Cargolux Group

10. Cargolux Group

The Luxembourgish freight carrier Cargolux Group (comprised of Cargolux Airlines and Cargolux Italia, established in 2008) remained in the number 10 spot, with a total reported FTK (Freight Tonne Kilometer) equaling 7.45 bn, which represents a 7.7% expansion year-over-year. The carrier group currently operates a fleet of 30 aircraft (26 through Cargolux Airlines and an addition four through Cargolux Italia), primarily variants of the Boeing 747.

9. Korean Air

Headquartered in Seoul, Korean Air provides cargo and passenger services to over 100 destinations in 44 countries. The carrier fell from eighth place in the previous year’s rankings, with a total FTK of 7.66 bn, representing a 7.1% decrease year-over-year. Korean Air reported a net revenue of $10.7bn in 2017, also reporting a return to profitability for the first time in five years, according to Forbes.

 8. Air France-KLM

The Air France-KLM freight carrier group was founded in 1947. The group is comprised of Air France, KLM, and Martinair, and is based in Paris, France. Falling from seventh place in the Freight 50 rankings, the carrier reported a total FTK of 8.13 bn, which represents a 9.2% decrease in traffic year-over-year. The group reported a net revenue of $29.08bn at the end of 2017 and is ranked #28 on Forbes Magazine’s list of Best Employers.

7. Qatar Airways

Qatar Airways, the nationally owned airline of the Kingdom of Qatar is based in Doha, and ascended two places in the Freight 50 rankings, with a total FTK of 9.22 bn, representing a 19.6% increase in comparison to the previous financial year. The carrier’s Cargo division recently launched facilities at its hub in Doha to provide a “Seamless Cool Chain”, comprised of a “2,470 square metres Climate Control Centre situated at the airside… equipped with segregated temperature-controlled sections for storing pharmaceuticals and perishables.” This end-to-end supply chain control is expected to further improve Qatar’s standing as a leader of Middle Eastern air freight.

6. Lufthansa Group

Based in Cologne, Germany, the Lufthansa Group (comprised of Lufthansa, Swiss, Austrian, and Brussels Airlines) fell from the fourth position in the Freight 50, with a combined FTK of 9.46 bn. While this represents a 1.6% increase in traffic, year-over-year, the carrier was forced down the list by drastic growth from other German freight company, DHL. According to Forbes, Lufthansa’s revenue and net profits ($41.5 bn and $2.78 bn, respectively) in 2017 are both the highest reported by the company over a ten-year period.

5. Cathay Group

The Cathay Group (composed of Cathay Pacific Airlines and Dragonair) is headquartered in Hong Kong and its Cargo division accounts for 21% of the airline’s total revenue. The company’s first dedicated cargo flight between Hong Kong, Frankfurt, and London, was established in 1981, according to the official site. Now, Cathay Pacific’s Cargo Division services over 47 destinations worldwide. The carrier fell from the fourth position on the Freight 50 ranking, as its total FTK fell by 3.6%, to 10.21 bn. According to Forbes, Cathay Pacific experienced a second year of unprofitability, although the airline’s asset portfolio reached a record high in 2017, with a net value of $24.1bn.

4. DHL Express Group

Operating as the largest European carrier group, DHL Express Group (composed of DHL Air, DHL International, Air Hong Kong, Polar Air Cargo, ABX Air, Southern Air, Aerologic, and EAT Leipzig) rose two positions in the Freight 50 rankings. The carrier reported a total FTK of 10.56 bn, which represents an increase of 15.1% year-over-year. In 2018, at the Farnborough Air Show, DHL Express announced the purchase of 14 Boeing 777s, part of a new strategy to modernise its fleet.

3. UPS Airlines

Headquartered in Atlanta, Georgia, UPS Airlines is part of United Parcel Service, Inc. Founded in 1908, UPS is the oldest company in the Top Ten, and retained third place in the Freight 50 rankings, with a total FTK of 11.26 bn. This represents a 3.9% increase year-over-year. The Company as a whole reported a net revenue of $67.7 bn, according to Forbes, representing a continuation of a ten-year trend of continuous growth. Forbes also ranks UPS among the world’s top 100 most-innovative companies, and the world’s top 50 most-valuable brands.

2. Emirates Skycargo

The state-owned air freight carrier for the UAE, Emirates Skycargo remains in second place on the Freight 50, with a total FTK of 12.27 bn, representing a 0.4% decrease year-over-year. The carrier’s central hub in Dubai allows its 259-strong fleet to reach over 1.5 bn consumers in under eight hours. Current purchasing plans are underway for Emirates Skycargo to almost double its fleet size. According to Albawaba, “In response to increasing demand from its customers, Emirates SkyCargo introduced a range of air transport solutions specific to industry verticals including Emirates Pharma, Emirates Wheels and Emirates Fresh.” Emirates Wheels has transported close to 150 cars per month since the program’s inception.

1. FedEx Express

Founded in 1998, FedEx Express is both the youngest and largest air freight carrier worldwide, with a total FTK of 15.71 bn. Haulage decreased by 0.9% year-over-year, while revenue increased to $60.5 bn in 2016, and again to $63.8 bn in 2017, continuing an eight-year growth trend. FedEx employs 395,000 members of staff, with FedEx Express operating across twelve transport hubs globally. The carrier purchased an additional 24 Boeing 777 variants in 2018, maintaining their company’s position as the largest airline in terms of cargo haulage.

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