Panalpina awarded GDP certification in Colombia

Panalpina Bogota has been certified to WHO Good Distribution Practice (GDP), the company’s 31st location to obtain the standard for distribution of medical products for human use.

The unit in Colombia’s capital completed a two-day audit by inspection, verification, testing and certification company SGS.

Colombia is Latin America’s fourth largest pharmaceutical market after Brazil, Mexico and Panama, with most major international pharmaceutical companies doing business in the country.

Among the top 20 pharmaceutical companies in terms of revenue, there are also a handful of Colombian players with domestic production, mainly of generic medicinal products, with 82 per cent of Colombian pharmaceutical imports and 47 percent of exports travelling through Bogota.

Panalpina managing director for Colombia, Angelo Dotto says, “We are proud about this achievement, and this is great news for our healthcare customers who demand strict quality and temperature control measures in the supply chain to ensure the safety and integrity of their products.”

Panalpina entered the Colombian market in 1962 and has its head office in Bogota, with offices in Medellin, Cali, Cartagena, Barranquilla and Pereira, as well as an agent office in Buenaventura.

The company offers pharma companies with international air and ocean freight as well as value-added logistics services, with Dotto commenting: “We see great growth potential in this business area, considering that the growth rate of this industry in Colombia is five percent per year.”

India’s woes in transporting pets

The rise of the middle class in India has paved the way for a boom in the pet care industry with the Pet Food Manu-facturers Association estimating the country’s pet population at over 54 million this year.

Of the figure, about 8.5 million are dogs and some 8 million are cats. And Indians have the propensity to spoil their four legged friends in terms of food or wellness needs, spurring more growth to the Indian pet market valued at over US$800 million in 2012. In 2016, cat and dog food alone generated sales of more than US$102 million.
But while there have been significant improvements on how pets are treated in India, many pet owners still encounter challenges in transporting them across the country with very limited options available.

Limited options

“I have to carry my cat in Air India’s flight. His weight is 4 kg and I am assuming that the crate will be 2-3 kg. So, will they allow me to take my pet in the cabin as the weight will be over 5 kg. Should I approach Air India cargo for that? Please guide me.”

“Hi. I have a Lhasa Apso puppy weighing 3 kg and I want to take her to Delhi from Bangalore. What is the most feasible option? I don’t want to send in cargo as she is too small and I am not sure about air pressure and temperature.”

“Hi! I am coming on transfer of residency from Hong Kong and I want to bring my 3 year old dog, can I do the paperwork myself or should I get to a pet relocation service? Which airlines are pet-friendly?”

Questions like these and many more pop up often on forums, not just in India but the world over, with no airline exclusively flying pets.

There was once in Florida known as Pet Airways but its operation was short lived—only two years. The same company is reportedly planning to come back via a crowd-sourced funding.

Air Horse One is another freight carrier tailored for animals but it only specializes on carrying horses across the United States using a leased Boeing 727-200 aircraft.

Clearances for India

Unlike in the West, where pet travel by air is a lot more common, in India it exists but one runs into unknown waters for clearances and that is a big challenge in itself. First the clearances and the next worrisome part is – whether the pet will be able to take air travel and the answer to that is anybody’s guess.

Here are some basic guidelines for those wanting to relocate their pets into India from different overseas locations.
Indian authorities permit up to two dogs and cats per person to enter the country with their owners on transfer of residency. Other Indian citizens on a short visit to India can obtain a license from the Director General of Foreign Trade (DGFT) to bring their pet to India as long as their pet departs with them. Dogs are not permitted to enter India for breeding or commercial purposes.

Microchips for pets

There are several rules and regulations that pet owners have to follow to bring their pets into India. First the pet should be microchipped with an ISO 11784/11785 certification and it should be non-encrypted.

For cats or dogs entering India due to a change in ownership, 30 days of quarantine in an approved quarantine facility in the originating country is required. All pets entering into India with their owners must be issued a no objection certificate (NOC) from the Animal Quarantine Station in India whether accom-panied or unacco-mpanied, prior to entering India. The NOC must be applied for in person by the owner, owner’s representative or an agent.

Vaccination a must

Importantly, the pet cat or dog must be vaccinated for rabies between 30 days and 12 months prior to entry. Dogs must be vaccinated against Distemper, Hepatitis, Parvovirus, Leptospirosis and Parainfluenza and for cats it is Feline Enteritis and Feline Pan Leukopenia.

Dogs must show no signs of any clinical sign of any disease including rabies, canine distemper, parvo virus infection, leptospirosis, Infectious Canine Hepatitis, Scabies and Leishmaniasis.
Pets must enter India either as checked baggage (accompanied cats or dogs) or air cargo (unacco-mpanied cats and other animals). The entry points for pets are limited to these cities – Delhi, Mumbai, Bangalore, Chennai, Hyderabad and Kolkata.

Unlike US, pet air travel in India is limited

While there are few challenges with immigration authorities, there are other issues to do with airlines. Within India, not all airlines allow for pet travel as it is not a lucrative business and then there are issues of pet accidents and deaths which have their own backlash on the airlines.

In the US, it is said to be a growing business. United Airlines in 2017 transported 138,178 pets in the cargo hold, up by 42 percent since 2015.

The sad part, however, was that United reported an above-average number of animals that were injured, died or lost while in its custody. In 2017, 1.3 out of every 10,000 animals, the carrier transported in cargo holds died. The overwhelming majority of deaths was due to previously unknown medical conditions or involved animals that were not acclimatized to their crates. It is highly advisable not to sedate your pets for travel.

In India, travel norms for pets in various airlines are more or less the same. Presently, Air India, Jet Airways, SpiceJet and Vistara allow pet travel.

Only Air India allows pets in the cabin but only a limited number while others allow pets in the cargo hold. Air India states that small inoffensive domestic pets such as dogs, cats and birds, accompanied by valid Health and Rabies vaccination certificates, are accepted in the cabin or in the cargo hold, but at the owner’s risk and subject to requirements of the carrier.

Air India allows a maximum of two pets per flight and passenger accompanying such pet will be seated in the last row of booked cabin class and that the pet will not be allowed to occupy a passenger seat.
It is advisable that the passenger taking the pet along in the cargo hold inform the pilot of the same such that they make provision for enough oxygen to flow into the cargo hold.

No pets on non-stop long haul flights

Air India does not permit pets on non-stop flights from India to the US, the only exception being for service dogs required to assist the blind or deaf, which may be carried in the cabin.

The same policy applies to other destinations and all en-route transiting countries. Pets getting located to the UK can enter through LHR airport only if it has an airway bill. The containers and handling requirements have to be as published in the IATA (international Air Transport Association) Live Animals Regulations.

SpiceJet does not allow the following dogs for carriage – all Boxers, Bulldogs, Mastiffs and Spaniels; Akita; Brussels Griffin; Chow Chow; Dogo Argentino; Fila Brazillero; Japanese Chin; Lhasa Apso; Pekinese; Pit Bull; Rottweiler; Shar Pei; Shih Tzu and Tosa. Similarly, cat breeds such as Burmese; Exotic; Himalayan and Persian are not allowed on board.

While departing from India, all pets must have up-to-date vaccination records, a health certificate issued no more than 10 days prior to departure and a rabies vaccination certificate that most be at least one month old but no more than one year old at the time of departure.

All pets most be cleared through India’s Animal Quarantine Certification Service office in Kapashera, if the transit is from Delhi. The challenges of pet travel by air will remain as pets are not priority for airlines, hence, the pet owner runs the risk of injury or death of the pet and needs to be prepared.

CSQ Tool: Designed to raise new global standards for the air cargo industry

The global air cargo market is expected to reach a valuation of US$130.12 billion by the end of 2025. During the forecast period of 2017 and 2025, the global market is expected to surge at a CAGR of 4.9%.

Prior to the 90s, customer satisfaction was rarely proposed as the key organizational goal, however, in recent years, it has become a lead indicator that predicts future consumer behavior.

As many industry players mature, competitive advantage through high quality service has increasingly been an important weapon for any cargo business survival.

Keeping this in mind, the air cargo industry has adopted firm quality management approaches to ensure customer satisfaction and quality of service is maintained at all times.

As the prospects of reaching out to global markets becoming more and more of a reality, the demand for air cargo movements will continue to grow as part of an expanding logistics system that emphasizes higher processing speeds, greater efficiency, more specialized customer services, time definite delivery and reduced costs.

Market size

The air freight segment of the global air cargo market is estimated to bring in revenues of nearly US$98.81 billion by the end of 2020.

Factors such as rapid development of businesses, building of cargo hubs, and rapid growth of the e-commerce business model are expected to drive the prospects for growth in this market segment.

The global air cargo market is expected to reach a valuation of US$130.12 billion by the end of 2025. During the forecast period of 2017 and 2025, the global market is expected to surge at a CAGR of 4.9%.

The global air cargo market has been segmented on the basis of type, service, end-user, destination, and geography. On the basis of type, the market is segmented into air freight and air mail. Out of these, the air freight segment is likely the lead the global market in the coming years. The market is further segmented on the basis of service, the service includes express and regular.

Cargo yields are expected to improve by 4.0% in 2018 (slower than the 5.0% in 2017). While restocking cycles are usually short-lived, the growth of e-commerce is expected to support continued momentum in the cargo business beyond the rate of expansion of world trade in 2018.

Cargo revenues will continue to do well in 2018, reaching $59.2 billion (up 8.6% from 2017 revenues of $54.5 billion), analysts said.

CSQ Tool

The International Air Cargo Association (TIACA) has recently developed a new online Cargo Service Quality (CSQ) tool to help improve visibility and facilitate global standards across the air cargo supply chain – a step towards providing shippers with the ability to view the quality of service delivered in the air cargo supply chain.
“Cargo Service Quality (CSQ) is a special measure that has been initiated by The Inter-national Air Cargo Association (TIACA) with a vision of driving global standards and raising the profile of air cargo. The ultimate aim is to map the Cargo Service Quality delivery by each player in the cargo supply chain. The launch of the 1st phase of implementation will assess the quality of the services offered by the cargo terminal operators (CTO)’s to the customers (freight forwarders),” said Sanjiv Edward, TIACA’s board director and Head of Cargo business at Delhi, in an email interview with Air Cargo Update.

The initiative was launched at TIACA’s 2017 Executive Summit in Miami, and comes after a year of research undertaken by TIACA board members – led by chairman Sanjiv Edward himself, and Cheemeng Wong, senior vice president of cargo services at SATS.

Edward says: “In my interactions with shippers it has been reaffirmed that the lack of visibility and absence of uniform global standards results in air freight business deals being limited by cost considerations, lack of product improvements, and perceived lack of value for money.”

CTOs are being assessed in the areas of process, technology, facilities, regulators, general airport infra-structure, and others. The project is being driven with an online tool launched by TIACA, which provides 100 percent transparency, and all the assessments are recorded in the system without any manual inter-vention.

“We have recently concluded the pilot phase of the CSQ project with 18 cargo terminals (CT)’s as participants. The response has been overwhelming with 179 freight forwarders completing the assessments”.

Facilitating global standards

Participants will be able to fill out an online ‘Cargo Quality Assessment Form’ either every quarter, or every six months, and will have access to a customized ‘Quality Dashboard’. Key benefits of taking part include gap analyses in order to identify strength and improvement areas, and best practice sharing.

“Firstly, it improves visibility for CTOs since they will have the ability to see customer feedback on all service components. Additionally, each of the 51 questions will give them an in-depth understanding on the areas in need of improvement.

“Also post the pilot phase i.e., from next assessment, the global launch will happen and different CTs around the globe will be able to see at an aggregate level their quality score compared to other CTs. This healthy practice will create an environment, which will be conducive for driving the service quality level up.”

For the recently concluded pilot phase, the results of assessments for a cargo terminal has been shared with that respective cargo terminal “only as we wish to give an opportunity of improvement for the cargo terminals before the next assessment. However even in this pilot phase the participating cargo terminals have been provided with visibility on average and highest category scores.”

Integrating quality aspect

The ultimate aim of CSQ is to integrate the quality aspect in the complete air cargo supply chain. As briefed earlier, in the first phase customers, freight forwarders, are assessing the services offered by CTOs.

Going forward the services offered by the freight forwarders will also be assessed. With the visibility of CSQ scores, shippers will have the ability to choose based on the level of quality they desire on the performance of freight forwarders, airlines, and cargo terminals. This will help shippers in planning the logistics in the most efficient way.
“CSQ is a special online tool that integrates the quality aspect all along the air cargo supply chain in an online platform. CSQ provides the participant with the visibility of their performance and their comparison with the best in industry. With the scores split into categories the areas of improvement and opportunities of improvement can be specifically pinpointed,” Edward said.

Unavailability of a uniform cargo quality assessment tool triggers the need to have an online solution to measure the level of quality delivered along the entire air cargo supply chain.

The end results facilitate global rating and rank for the participant based on the feedback given by the customers.
The outcomes from these results can facilitate the following, but is not limited to:
1. Benchmark parameters;
2. Gap analysis – identification of strength and improvement areas;
3. Visibility of service quality of other operators;
4. Optimization of investments
5. Sharing the best practice

Rate and review

Rating and ranking is based on the answers submitted by the customers through an online portal. The questions for the assessment have been designed in the various categories and they cover all the processes and the interfaces that form part of the air cargo supply chain.

With total of 51 questions split into the fields/category of process, technology, regulators, general airport infrastructure, and facilities, all the elements required for the processing of cargo are covered. Each and every element of the above mentioned fields are being assessed in terms of quality of service being delivered.
The questions are objective in nature with nil element of subjectivity in them. Detailed analysis of the assessment not only tells the participant their stand in the industry but also let them know the key areas of concern/improvement as perceived by the customers.

“With the vision to integrate quality aspect all along the supply chain of air cargo, going forward in the long run, the performance of the participant in the CSQ scores will not only determine the quantum of business being handled by them but will also provide them the ability to benchmark their own performance with the industry best.
“Shippers will have the ability to choose the service provider based on the quality of service delivered by them through CSQ score and for the first time the cargo players will have the opportunity to be rewarded and recognized for their high level of quality service delivery”.

Business and operational benefits

The objective of the CSQ tool is to continuously improve the levels of service quality delivered in the supply chain. The TIACA Quality Council, headed by Edward and comprises of Cheemeng Wong, Amar More, Steven Polmans and Ramesh Mamidala, will be constantly looking at feedback and areas of improvement to enhance the effectiveness of the tool.

The process for collecting feedback from the pilot participants has already started and useful suggested modifications will surely be implemented before the global launch.

“With the outcome of the assessment, cargo terminals can work upon the areas of improvement which will not only raise the quality bar in the processes they follow but will also simplify the operational processes and hence will bring the operational excellence. Optimization of investments and resource allocation can be planned as per the voice of the customer reflected in the CSQ scores”.

With the aim to be the best in industry cargo terminals will take their performance to the next level, which has, potential to provide them with incremental business and expand their customer database.

The days are not far when the air cargo business deals will be determined on the quality scores achieved by the stakeholders not on the cost consideration, which is currently determining the deals.

Quality improvement starts with quality measurement and TIACA has already launched the CSQ to measure the quality score for the services delivered.

Embracing the change

TIACA recently rolled out a new look with a fresh logo and redesigned websites to “underpin its new vision supporting the development of an efficient, modern and unified air cargo industry”.The rebranding of our association goes hand in hand with the need to appeal to and continue to support a rapidly evolving global air cargo industry.

“From disruptive innovation, to Blockchain and Big Data, as well as new entrants who are changing the face of the competition, means we are having to rethink the way we conduct ourselves and our businesses in order to stay ahead in the game, said Sebastian Scholte, TIACA Chairman in an email interview with Air Cargo Update.

“Our new logo embraces a fresh, engaging look that better reflects our new vision to show we are forward thinking and will do all we can to represent, support, and inform every element of an efficient, modern, and unified global air cargo industry. I have often emphasized the need for us to attract and retain the next generation of logistics leaders.
“Our new vision and mission sends a message that we are ready to embrace the younger demographics and stay relevant in a business landscape where their needs, as well as ours, are changing all the time. It represents a stronger, more focused, and a more agile Association”.

In recent months TIACA has partnered up with a number of organizations and associations around the world, and is acting as a unifying platform in which supply chain stakeholders from everywhere can network, learn from each other, and share best practice.

“We have also been reaching out to new regions to increase our visibility as well as explore how we can support and represent the interests and goals of emerging air cargo hotspots.TIACA has been supporting and championing the air cargo industry for over 28 years, and we are determined to continue doing so by staying engaged, relevant, and valuable to our existing (and future) members,”explains Sebastian.

The launch comes at the perfect time, with Air Cargo Forum in Toronto, Canada this year only just around the corner, where TIACA will be bringing together stakeholders from across the global supply chain like never before.
Vladimir Zubkov, TIACA’s Secretary General told Air Cargo Update, “Before writing these notes, I went to the web and checked how many companies ever changed their logos. Remarkably – a lot! Sometimes – radical changes, sometimes only cosmetic, but there is always a reason, often reflecting changes in the strategy, customers base coverage and the environment in which the company works.

“TIACA’s reason is no different. Early last year we started a campaign for expansion of TIACA’s regional coverage, adding new members, partners and Board members from Africa, Asia, and Latin America. We are becoming more global. That’s why the new logo includes a globe drawn using a 3D version of the kinetic lines in the original version.The emergence of new challenges and technologies firmly making their way into the air cargo industry, like blockchain, backbone, IT, and data exchange innovations simply can’t leave us in the era of flat designs and plain texts. So, now the TIACA acronym is more imaginative, with the final A drawn as the wing of an airplane. We have not changed much the color scheme, it simply has been adapted from the original, introducing a stronger shade of blue. It’s for consistency”.

The new look of the logo is coming hand in hand with the redesigned websites, which is reflecting the TIACA’s new vision and new developments in supporting an efficient, modern, and unified air cargo industry.

Robust yet challenged filled air cargo industry and logistics chain

By Venkat Das, General Manager, Al Reyami Shipping and Logistics LLC

Demand for air freight has been boosted since mid-2016 with stronger economic and trade backdrop, by bottlenecks in manufacturing supply-chains and a broader inventory restocking cycle.

It’s been a great start to the year. Al Reyami Shipping & Logistics has seen robust air cargo growth throughout 2017
which continued unabatedly over the course of Q1 2018.

ARSL saw the demand for air cargo which continued to be strong, with 9.8 percent growth in February. The positive outlook for the rest of 2018, however, faces some potentially strong headwinds, including escalation of protectionist measures, into a fullblown trade war.

As we have noticed, the logistics sector is gaining momentum as more and more newcomers have started setting up their companies in the UAE in various industries.

The UAE market has a blend of conventional logistics players which are offering the cheapest rates and services to win their airfreight customers. The challenge now remains on how the existing players can face competition from
startups which are more equipped in terms of latest technology, offering transparency at a click of a button, as against traditional logistics companies which are accustomed to the old methods of networking.

Air freight appears to have entered a period of sustainable growth with steadily increasing volume from the e-commerce and pharmaceuticals sectors over the past few years leading to a decoupling of air cargo demand
from goods trade growth and muddying the research waters in the process.

Demand for air freight has been boosted since mid-2016 with stronger economic and trade backdrop, by bottlenecks in manufacturing supply-chains and a broader inventory restocking cycle.

Although this is good for airline margins, the strong demand has been a nightmare for shippers with record high freight rates and severe shortages of space at peak periods.

The growth of e-commerce is brightening the outlook for global air freight demand this year against a dire background of escalating trade tensions and rising fuel costs.

2017 was a big year for e- Commerce in the UAE. Amazon bought, the biggest e- Commerce brand in the country and Emaar Properties launched Noon. Al Reyami, incidentally, has also started its exposure with Noon.

New appointment in Volga-Dnepr Group

As part of its air charter business leadership strategy, Volga-Dnepr Group has appointed Konstantin Vekshin as Executive President, Charter Cargo Operations (CCO) for Volga-Dnepr Airlines, effective from August 2018.

Konstantin Vekshin will focus on achieving the airline’s strategic objectives, managing its international operating bases and regional sales offices – including the UK, Russia, Germany, USA, UAE, China and Ireland – and building up a multinational management team for the company’s charter operations.

Konstantin Vekshin has a vast experience of working with Volga-Dnepr Group as well as in the air cargo industry. He joined Volga-Dnepr in 1997 and developed his career from sales executive to vice president, charter business sales and marketing. Between 2013 and 2016, he worked as vice president, charter & government division with Centurion Cargo Airlines and as vice president of air freight charters with Bertling Logistics. In October 2016, he was appointed managing director of CargoLogicManagement, a UK-based Volga-Dnepr Group company specializing in management consulting services provided to international airlines.

In his new role, Konstantin Vekshin will be based in London.

Bryan Thompson appointed CEO of Abu Dhabi Airports

Bryan Thompson has been appointed as the Chief Executive Officer of Abu Dhabi Airports.

Thompson brings with him more than 25 years of international experience in various areas of airport management and operations, including ANS, terminal operations, strategy and planning, in addition to infrastructure and corporate development. In his previous role as Senior Vice President – Development at Dubai Airports, he led the development of Dubai International Airport as well as Dubai World Central. He was also involved in the strategic planning of Dubai 2020 and 2050.

Commenting on the announcement, Abubaker Seddiq Al Khouri, Chairman of the Board of Directors of Abu Dhabi Airports, said, “We are delighted to announce the appointment of Bryan Thompson to lead the Abu Dhabi Airports at this critical stage in our journey to becoming the world’s leading airport group. I am confident that his vast experience and excellent leadership will take Abu Dhabi Airports beyond the delivery and opening of one of the region’s most ambitious infrastructure projects and for further establishing Abu Dhabi as a destination of choice for tourism, business travel and transit.”

In turn, Thompson said, “I feel honored to have been invited to join Abu Dhabi Airports at this remarkable time, as we prepare to unveil our ground breaking project to the world and further highlight everything that our unique brand of Arabian hospitality has to offer. My focus will be to build on the strong foundations that already in place, further cementing the Abu Dhabi Airports’ role as a leading world hub and ensuring the company’s growth in constructive partnership with all relevant stakeholders.”

Prior to joining Dubai Airports, Thompson served in a number of key executive roles across the Asia and Pacific regions. He was the CEO of Launceston Airport, General Manager of Strategy, Planning and Development and General Manager of Assets and Infrastructure Planning at Melbourne International Airport.

Prior to this, he held the positions of Director of Airport Operations and VP Terminal Management at Mumbai International Airport.

Thompson started his career in the aviation industry as a Principal Air Traffic Controller, and later on he was appointed as Assistant GM for Airport Operations at Johannesburg International Airport. He holds a Master’s Degree in Business Administration, Strategy and Finance from the University of South Africa.

SEKO Logistics’ CTO looks to the future of demand chain technology

Mike Powell has joined SEKO Logistics as Chief Technology Officer tasked with taking the company’s award-winning technology suite to the next level to support customers’ global demand chains.

He previously spent four years with SEKO as Vice President, Information Technology and as a member of its leadership team before leaving in 2010 to become co-founder of a cloud-based logistics software company used by global and domestic third-party logistics companies, trucking companies, and brokers. In 2014, he joined RIM Logistics as Vice President, Technology Solutions, where he was responsible for crafting and executing the company’s corporate technology strategy and streamlining its operations to increase productivity.

At SEKO, he has oversight and leadership of all matters relating to its technology strategy, products, solutions, and operations as well as the development of the next generation of the MySEKO platform in coordination with Board Sponsor and Global Chief Commercial Officer, Mark White.

“Technology has always been a differentiator for SEKO in the eyes of its clients. SEKO has been providing technology solutions for many years that some newcomers to the market are only just starting to shout about. While they are doing that, we will continue to push the digital boundaries of the global supply chain process. I’m excited to build on the existing technology solutions that are adding value in global trade management, delivering proven Software-as-a-Service (SaaS) solutions with extensibility and exploring how blockchain and other disruptive technologies can be a catalyst to add value to the bundled, customizable suite of products we have ready to ‘plug and play’ today,” he said.

Mark White, SEKO’s Global Chief Commercial Officer, added, “Clients’ expectations of their transportation and logistics providers have gone up; as they should. This is setting a new standard for technology in our industry and will define who shippers do business with. Today, we do not think about supply chains, our technology solutions fit the needs of customers’ demand chains, where everything they do starts with the consumer and works back from there. Mike Powell not only brings a wealth of technology expertise to help us realize our ambitions, he is also very active in terms of client engagement and start-up experience. He understands the customer perspective and why everything we do must be friction-less to improve the way they do business.”

SEKO Logistics offers a suite of customizable technology solutions, including its award-winning Transportation Management System (TMS), Warehouse Management System (WMS) and PO Management/Demand Chain Management System (DCM) as well as solutions for eCommerce, Omni-Channel Logistics, White Glove solutions, asset management, global trade management and more, all accessible through a single login to the MySEKO portal.

Roy Azevedo replaces Richard R. Yuse as president, space and airborne Systems

Raytheon Company chairman and CEO Thomas A. Kennedy recently announced the appointment of Roy Azevedo as president, space and airborne systems, effective immediately. Azevedo, 57, has been elected a corporate officer and has been named to the Raytheon Corporate Leadership Team. He succeeds Richard R. Yuse, who informed the company of his intention to retire from Raytheon in December. Yuse will serve as a senior advisor to the company during the interim period prior to his retirement.

“We have entered a period of significant change and opportunity in the space and airborne systems area, fueled by global demand and exponential advancements in technology,” said Thomas A. Kennedy, Chairman and CEO of Raytheon. “Over the course of his nearly 30-year career at SAS, Roy has developed a deep understanding of our SAS portfolio and customers. This, combined with his extensive experience in leading new and emerging strategic technologies in the company, will serve us well as we grow this mission area globally.”

Azevedo most recently served as vice president and general manager of the Intelligence, Surveillance and Reconnaissance Systems mission area within SAS, where he was responsible for electro-optical/infrared sensors, active electronically scanned array/scanning radars, and various special mission aircraft solutions to provide customers with actionable information for strike and persistent surveillance.

Since joining Raytheon in 1989, Azevedo has served in roles of increasing responsibility for the Space and Airborne Systems business. He has held several Raytheon leadership positions over the course of his Raytheon career, including vice president and general manager of the Secure Sensor Solutions mission area, where he oversaw development and production of airborne fire control radars, GPS/GNS products and secure processors. Prior to his role at S3, he was vice president of Advanced Concepts and Technology, a focus area within SAS responsible for the development and implementation of new and emerging system concepts, products and strategic technologies. Earlier, Azevedo served as deputy vice president and general manager for the Electronic Warfare Systems business area within SAS. EWS is a world leader in the development and production of electronic warfare solutions for strategic and tactical aircraft, helicopters and surface ships for the U.S. Air Force and Navy, and their international counterparts. While serving in EWS, Azevedo oversaw product lines including towed decoy systems, radar warning receivers, self-protect jamming pods, infrared missile warning sensors and integrated electronic warfare suites.

Azevedo received his bachelor’s degree in electrical engineering from Northeastern University in Boston. He currently serves on the board of directors for Raytheon Saudi Arabia.

Curran to head Boeing AvionX

Boeing named Brendan Curran president of Boeing AvionX, an organization formed last year to pursue the development and production of avionics and electronics systems.

Brendan Curran will lead Boeing AvionX, an organization formed last year to pursue the development and production of avionics and electronics systems.

Curran, who has more than 20 years of aerospace industry leadership, joins Boeing from Crane Co., where he served as president of the Aerospace & Electronics Group.

In this newly-created position, Curran will work across Boeing’s commercial, defense and services businesses to further mature the company’s aftermarket strategy. He will help advance overall capabilities of the Boeing AvionX organization to provide greater value to customers while driving long-term services growth.

Curran will report to Stan Deal, president and CEO of Boeing Global Services.

“The success of Boeing AvionX depends on aftermarket technologies and innovations that exceed our customers’ needs, as well as developing avionics products that add value to our commercial and government platforms,” said Deal. “Brendan’s extensive expertise, especially as it relates to aftermarket strategies, will enable us to harness incredible opportunities so we can provide our customers more value throughout the lifecycle of their investments.”

Prior to Crane Co., Curran was vice president of Business Development, Strategy and Partnerships for commercial engines at Pratt & Whitney, a United Technologies Company. Before that, Curran was vice president and general manager of Repair and Supply Chain for Hamilton Sundstrand, a United Technologies Company.

Curran will be based in Plano, Texas, home to Boeing Global Services headquarters.

Illinois a leader in aerospace and aviation technology

Illinois’ aerospace cluster is centered around the northern and northeastern portion of the state. The Rockford area alone has more than 70 companies in the aerospace supply chain, employing 7,000 people, says the Illinois Department of Commerce and Economic Opportunity.

If you include Chicago and southeastern Wisconsin, “there are more than 200 companies in the aerospace cluster, including giants such as AAR Corp., Northrop Grumman and Boeing,” DCEO says.

Illinois is home to prime contractors and subcontractors that together supply the U.S. military, NASA, Boeing, Airbus and smaller airplane manufacturers with numerous systems and components.

In fact, it’s been estimated that there’s no commercial jet in the air today (apart from those made in Russia) that does not have Illinois-made parts and systems on it.

Why northern Illinois? Sagar Patel, president of aircraft turbines at Woodward Inc. in Loves Park, explains.

“Over time we have built the ecosystem here, with companies that planted their roots here long ago and have adapted to the changing technologies successfully,” says Patel.

In 2016 Woodward, founded 147 years ago in Rockford, built a $300 million factory to manufacture jet engine fuel systems that can be found on most jets. The new, 440,000-square-foot plant, which is gearing up to employ more than 1,000 people, is the company’s second in Loves Park. The first one, built in 1941, continues to operate.

The northern Illinois aerospace ecosystem of companies is recognized as having “solid research and development, staying ahead of the competition from around the world,” Patel said. “If you continue doing that, you’ll continue to be relevant and strong,” he said, adding, “as long as we don’t get complacent.

“Customers are looking for continued innovation, quality improvement and cost reduction. If you rest on success, you begin to decline.”

Illinois parts are in outer space, too.

Precision gears made by Roscoe’s Forest City Gear are working today on the surface of Mars.

In 2013, NASA’s $2.5 billion Mars Curiosity Rover was the first robot to drill into the surface Mars to find evidence of wet environmental conditions in the distant past.

According to Forest City Gear’s website, “More than 70 gears produced and manufactured by Forest City Gear helped actuate Curiosity’s mobility systems and the robotic arm responsible for all critical drilling operations.”

Forest City Gear also produced gears for the Spirit and Opportunity Rovers that landed on Mars in 2004. The firm’s parts are also on the International Space Station.

Rockford’s UTC Aerospace helped design and build the space shuttle for NASA, and has made torpedoes for the Navy for decades. The firm also built a $50 million testing facility for the Boeing 787 Dreamliner, and has been a key subcontractor for Boeing. It employs nearly 2,000 people in Rockford.

Boeing, one of the world’s largest corporations, moved its corporate headquarters from Seattle to Chicago in 2001. The company is in a 36-story building at 100 North Riverside Plaza in the West Loop.

In 2016, Wood Dale-based AAR Corp. opened a maintenance, repair and overhaul facility at Chicago Rockford International Airport, which is now servicing aircraft from major airlines.

Rockford also boasts UPS’ second-largest air hub for parcel sorting.

In addition to aviation manufacturing, Illinois’ airports provide jobs for 337,419 people, either directly or indirectly, according to an Illinois Department of Transportation study. Altogether they earn $12.8 billion.

From commercial airlines that serve 11 Illinois airports to the variety of general aviation services found throughout the state, the aviation industry creates more than $40 billion in economic activity, according to IDOT.

Illinois also boasts one of the world’s busiest airports, Chicago O’Hare, which in 2016 handled 867,635 flights, according to the FAA. Chicago Midway handled 253,046 flights during the same year.