LISBON, Portugal November 2017
AEROSPACE LOGISTICS GROUP ACCREDITED AS
GLOBAL BEST IN CLASS AEROSPACE FREIGHT FORWARDING NETWORK
The Global Institute of Logistics Accredits Aerospace Logistics Group ‘Global Best in Class Aerospace Freight Forwarding Network’
The Global Institute of Logistics has announced that the Aerospace Logistics Group has been accredited with Best-in-Class status, in recognition of the network’s outstanding contribution to the development of best practice in vertical specific freight forwarding networks (VSFFN)
The announcement of ALG’s accreditation as “Global Best in Class Aerospace Freight Forwarding Network” comes, as a result of, the Institute’s ongoing research on independent freight forwarding in global logistics.
ACCREDITATION FROM KIERAN RING FOUNDER GLOBAL INSTITUTE OF LOGISTICS
One of the significant early findings of the Institute’s research is the importance of networks. Network membership enables freight forwarders to form relationships with other freight forwarding companies, gain access to their resources and link with their activities, all critical in connecting beneficial cargo owners to international supply and distribution networks.
A key observation arising from our initial research is the existence of vertical-specific freight forwarding networks (VSFFN) which invites further examination and analyses of their specific role and value.
VSFFN are defined as freight forwarding networks which service specific industries, offering a tailored logistics solution which meets the requirements of that vertical. VSFFN are strategically managed collaborative networks, the members of which enjoy a higher level of communication, coordination, and control when compared with their generic counterparts. This greater degree of communication, coordination, and control is essential to provide tailored solutions for customers in niche verticals which demand higher service levels.
The aviation and aerospace industries are some of the most demanding verticals for suppliers of logistics and freight services. Demand is derived from three key drivers’; globalization, maintenance, repair and overhaul (MRO) and aircraft on the ground (AOG).
Globalization has fueled deregulation, and open skies agreements have made it possible for airlines to build global networks. This has led to increasing demand for freight and logistics services to match the lengthening supply chain.
The Maintenance, Repair, Overhaul (MRO) Market which includes the overhaul, repair, inspection or modification of an aircraft was valued at US$135.1 Billion in 2015, three-quarters of the US$180.3 Billion aircraft production market. The freight and logistics support needed to keep the MRO supply chain operating on target and on time is astounding and pushes logistics service providers to the pinnacle of performance.
The costs of an aircraft on the ground (AOG) is estimated to be $1 million per day, including passenger compensation which must be paid for delayed and canceled flights. Responding to these emergencies results in the ultimate demonstration of time-critical shipment ability and demands the highest levels of communication, coordination, and control in the logistics process to get aircraft back in the air.
Such is the level of complexity in aviation and aerospace MRO logistics support, the Institute chose the role of VSFFN in this vertical for special focus in the report on independent freight forwarding in global logistics.
CITATION
Having reviewed the development of networks in the vertical, the Institute chose the Aerospace Logistics Group as its benchmark and recipient of Global Best in Class Aerospace Freight Forwarding Network.
Founded ten years ago, ALG is the pioneer VSFFN in the aviation and aerospace industry. It has grown to become a global network of independent providers, who together have built up a unique and uniform offering to their customers drawing on their combined expertise.
The principal reasons for the Institute’s accreditation:
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- The ALG network:
Are innovators in Aviation and Aerospace MRO logistics.
Is a trusted global network with local market knowledge.
Is comprised of dedicated members specifically chosen for their exceptional performance and customer service.
Demonstrate network standards which guarantee effective hands-on management.
Members demonstrate a commitment to relationships which over time leads to the development of interdependent activities, increasing the level of mutual productivity.
Relationships are founded on strong conviction and mutual commitment to excellent service when dealing with the handling of their client’s needs.
Members have developed personal relationships through informal daily contacts, and through formal network meetings, which in turn has generated ties that contribute to the creation of a sense of belonging and commitment to the network.
Members can provide the range of services demanded by the vertical and deliver them to an exacting and time-sensitive standard. This includes for example:
24 Hour Service
Specialist Handling Equipment
Tarmac/ Airside License Permit
Specialist Vehicles
Specialist Insurance
Specialist Customs Clearance services.
Access to Priority Scanning
On Board Courier Capability (visas)
Spare Parts in inventory
- The ALG network:
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- Carries out an extensive verification process on the information and references submitted by new applicants, to assure that new companies can comply with the existing network profile.
Speaking in response to the announcement Roberto Colucci of World Cargo Italy and a founding member of the Aerospace Logistics Group said:
“I would like to thank the Global Institute of Logistics on behalf of the board and our members for bestowing the honor of Best in Class on our network. I know I speak for each member company when I say that we are truly passionate about what we do. We realize how fortunate we are to play the role we do in one of the world’s most exciting industries; we have worked tirelessly to stay ahead of our customer’s needs, we know that this is a truly global industry and we have developed our network in line with that.
We also appreciate that the aerospace/aviation industry is subject to the highest standards and expectations by its passenger base and that we as vendors, need to exceed expectations first time every time. We keep the world moving, and we will continue to do so. Best in Class accreditation encourages us to work harder, smarter to remain ahead and to continue to deserve this accolade. Thank You”.
Speaking at today’s Press Conference, Kieran Ring CEO and Founder of the Institute said:
“I am delighted to present Aerospace Logistics Group with its accreditation as ‘Global Best in Class Aerospace Freight Forwarding Network’, our research on vertical-specific freight forwarding networks enabled us to get an insight into different freight worlds. Freight worlds with unique demands and specific vertical requirements. No vertical is more demanding than the aerospace/aviation vertical where fright logistics is driven largely by the economy of speed.
In no other vertical have we witnessed the premium placed on velocity, airlines simply cannot afford to have aircraft on the ground for any longer than is humanly possible. This has led to some initiatives by airlines including pooling their resources, sharing spare part inventory, etc., however, no matter how optimized the spare part distribution network, the final mile still poses the greatest challenge. This is where the Aerospace Logistics Group and its members come in.
ALG members quite literally operate on a 24/7 basis reflecting the mission-critical nature of their work. KPI’s in this industry are measured in minutes, so much so that parts frequently travel accompanied by onboard couriers who are fully licensed, insured and security cleared to deliver parts directly to aircraft on the apron. Failure is not an option and to survive and thrive in this world dependability is the key.
Combine the agility needed to deliver mission-critical with the other challenges faced by ALG members including jet engine delivery and spare part logistics needed for the MRO process, and you begin to see that freight forwarder who specialize in this vertical are a different breed to their generic counterparts.
The Aerospace Logistics Group has done a great job in matching the global reach of their customer base with their worldwide footprint. In 10 years they have succeeded in building a global network of like-minded best of breed independent freight forwarders who are committed to meeting the exacting standards of both their peer group and their customer base. The network operates to stringent standards and mutual accountability, which underpins its entire operation.
Freight forwarders who wish to occupy a seat at this table know the ground rules, there is nowhere to hide, planes are waiting, people need to get home and every hour saved means $100,000 straight to the bottom line. There are no second chances and from what we can see ALG members don’t need them”.
NOTES TO EDITORS
ABOUT THE AEROSPACE LOGISTICS GROUP:
Aerospace Logistics Group was founded in January 2007 by a group of international freight forwarders. The ALG specializes in providing value-added services specifically meeting the needs of the aviation and aerospace industries. The Aerospace Logistics Group provides a high class, worldwide service – around the clock!
All members are independent companies with many years’ experience in the aerospace industry – joined together to provide seamless global coverage.
In the demanding aviation and aerospace industry, the requirements of our individual customers are wide-ranging and vary from AOG shipments, charters and couriers to routine sea and road freight. We are well placed to fulfill their needs, through the flexible and durable solutions made possible by our members combined global operations and wealth of experience.
It is through our unique set up, our high membership standards, and the combined expertise of our members around the globe that our customers can enjoy a continuity of service, on both a local and regional level, rarely offered by our competitors. We speak your language, with members who are experienced in the complex logistics of aerospace parts, both large and small. We appreciate the concepts of “just in time” and inventory reduction. We understand the difference between routine, critical and AOG – and only ship as AOG when it is truly needed, saving client’s time and money. And we know an FAA8130 from an EASA Form 1.
Our goal is to deliver an impeccable service with tailored procedures to ensure the fast and safe arrival of your freight.
Information on the Aerospace Logistics Group can be found HERE
ABOUT GLOBAL INSTITUTE OF LOGISTICS
The Global Institute of Logistics (GIL) was established in 2003 under the Chairmanship of renowned US logistician and author Robert V. Delaney in response to the global logistics industry’s call for “joined up thinking” amongst stakeholders in the global supply chain. GIL looks to resolve the challenges facing the global logistics chain of managing single transport modes, modal systems, and targets which are set on stand-alone operations to create a seamless global logistics system.
Acting as a think tank within the sector, GIL brings together thought-leaders and thought-followers as part of a global knowledge network committed to building up the information base, best practices and standards needed. This, in turn, creates a platform through which knowledge is shared, best practice is adopted and trade developed. Today the Institute is a community of organizations and professionals from across the world that share a commitment to collaborating on global logistics solutions.
The Institute’s mission is to ‘Network the Global Logistics Community’
For further information, visit www.globeinst.org
For further information,
Contact the Institute’s Media Director:
mediadirector@globeinst.org
For Aerospace Logistics Group
Steven Alves General Manager: admin@aerologgroup.com
