Cargo IQ, or C2K, is an industry initiative sponsored by IATA that aims to implement a new quality management system for the global air cargo industry. The goal of Cargo IQ is to improve the efficiency and customer service of the air cargo industry by implementing processes and quality standards that are measurable and can be improved upon. Cargo IQ re-engineers the door-to-door air cargo supply chain by reducing the number of individual processes from 40 to 19 and using electronic data interchange (EDI) to track the progress of shipments through each step of the process. These steps, called milestones, are reached when a set of conditions are fulfilled, and they help to ensure that shipments are handled efficiently and consistently throughout the supply chain.
For example, for air transport the seven milestones are:
FWB = | The shipment is booked at the airline, next an electronic air waybill is generated by the agent (forwarder) ; this creates the so-called route map in C2K in which all the steps are followed |
RCS = | Cargo and documents are received 'Ready For Carriage' and accepted by airline (handler) |
DEP = | Cargo and documents departed at airport of origin |
ARR = | Cargo and documents arrived at airport of destination |
RCF = | Cargo has arrived in the cargo bay at final destination ; cargo and air waybill are administratively received in the system |
NFD = | Cargo and documents ready for pick-up at airline (handler), the customer (forwarder) is notified |
DLF = | Cargo and documents delivered to customer (forwarder) |
In each of these steps something may go wrong, which has its consequences for the following steps and / or the planned throughput time of the shipment ; these occurrences are logged.
Here C2K uses two key performance indicators (KPI's) to determine whether the air transport process is going as planned:
FAP = | Flown As Planned (the complete shipment has flown at or before the last planned flight with a maximum 12-hour delay) |
DAP = | Delivered As Promised (NFD in full and on time statuses are achieved) |
Measuring all these steps make it possible to track & trace shipments, and provide quality performance reports to all parties involved.
Evaluation of the performance will then lead to process improvements where necessary.
More and more customers now choose Cargo IQ companies among their preferred suppliers as it provides quality performance backed by reliable data.