The president sayswcaworld.com/Common/images/mag/WCA Nov05 low res.pdf · “‘hectic’. I am...

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Transcript of The president sayswcaworld.com/Common/images/mag/WCA Nov05 low res.pdf · “‘hectic’. I am...

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2 / November 2005

The president says:

There’s no doubt that the future is brighter for the members of WCA Family of Logistic Networks thanfor those forwarders who try to go it alone. Every day I personally meet or communicate with manymembers that really appreciate all that we try and do for our membership. The vast majority of our

members have gained a lot from being part of the WCA Family and we are extremely proud of what wehave been able to achieve on their behalf in such a short period of time.

Today the WCA Family has an infrastructure that is designed to provide even more value-added servicesfor our members. In everything we do, our sole and simple motivation is to benefit as many members aspossible. Because of the tremendous response to the first edition of InterActive we are confident thispublication will grow to be yet another great benefit for our members. We will be placing morefeatures about members all round the world and we’ll talk with them about their needs forthe future. We feel this will help employees of our member companies betteracquaint themselves with fellow members, as well as helping them to put a faceto the name of many of the people they deal with from day to day. We alsoplan to provide you all with ongoing tips and education about how to workeven more effectively with fellow members. We feel this will help improvemember to member relations and help the entire staff to realise how they canbest work with members. Areas like legal liability insurance, cargo insurance,sales leads, rate requests – and others – can all be made even more efficient,providing we educate everyone as to what is expected and needed to createbetter relations between members.

It all starts here, with three members featured and some hopefully useful newson technology developments. I hope you enjoy this edition and I very much valueyour input about future editions.

David L Yokeum, president, WCA Family of Logistic Networks

Update for everyone in the WCA Family of Logistic Networks

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The Advanced Professional LogisticsNetwork really lived up to its name inSeptember, when the third annual

worldwide conference was held in Bangkok,Thailand. Not only was there a record turnoutof members keen to take advantage of theopportunity to meet and negotiate with theircounterparts, but the amount of solid businessconducted also grew dramatically.

Everyone went away happy. “We had somany thank-yous from the attendees,” saidAPLN president David Yokeum. “Members havealways been most complimentary, butcompared to last year, the reaction surprisedeven me.”

APLN showed it has come of age this year,with evidence of the tremendous relationshipsbeing built among the network’s large andmainly regional logistics service providers. Oneof the most noticeable aspects of theconference was the way in which agents in thegroup are giving more of their shipments tofellow members, demonstrating how APLN hasmatured into a very strong and solid group.“This is a great group of agents – veryaggressive, in the most positive way,”commented executive vice president MarkMairowitz.

A typical reaction was that of MackenzieFribance, general manager and chief operatingofficer of OCS Express Freight & Logistics, whomade the trip from Canada to be in Bangkok forhis second APLN meeting. “I was once againvery impressed with the quality andorganisation of the conference. It was firstclass – all the way,” he said.

the latest annual meeting of APLN was thebiggest and best yet

BOOM TIME

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4 / November 2005

“Upon returning home, we have beenreceiving a great deal of communicationwith partners we met in Bangkok andhave generated new business, leads andsubstantial opportunities in no lessthan fifteen countries since wereturned. This is all new businessopportunities as a result of themeetings and all in just one week. I amvery excited about the coming year andconfident that we will begin to developmore than just solid agents but actuallyform some true partnerships that arefocused on regular and sustainablebusiness growth.”

Based at the Plaza Athenee hotel inthe Thai capital, the APLN meetingfollowed the usual pattern of a fewshort presentations on new developments for members and items

of topical interest, with as much timeas possible devoted to enablingattendees to get to know each otherbetter.

There was a cocktail reception, agolf tournament, a day of sightseeingand a gala dinner which brieflytransformed Bangkok into a Western-style saloon, but the feature mostdelegates most liked was – as before– the unique on-on-one meeting

At the cocktail reception:(left to right) PeterHalpaus (IFF), AnderLerclerc and Moira Leslie(Advantex) and EdZarach (EZI Logistics)

(above and below) The one-on one meetings werea great success as usual

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planner which meant they could maximise the timespent at the conference.

Indeed, one or two members were left reeling atthe sheer energy of the event. MehernoshCurrawalla, director of FAK Cargo Dynamics inIndia, summed up the conference in one word as“‘hectic’. I am wondering if [the organisers] couldweave in some way of slowing the pace a bit. Thenet effect was that I was not able to sleep for morethan four or five hours each night. One wanted toget the maximum from the conference, and thus apunishing schedule wasimperative.”

But even Mehernosh wascertain the effort was worthwhile.“Without doubt a fantasticplatform [for generating newbusiness] and just what I wanted,”he enthused.

The APLN organisation wasenhanced this year with staffmembers being brought in fromregional offices around the worldboth to look after their “local”member delegates and to learnmore about just what goes onbehind the scenes at these events.“That was quite an investment,”said David Yokeum, “but we needed to make it sothat our staff could experience for themselves whatit takes to make a successful event. Also, they haveto remain close to the members – although APLN isgrowing, it must never grow distant from themembership.”

The general mood of the meeting was perhapsbest summed up by John Ford, president of CaribExWorldwide, whose comment was short and to thepoint. “Again, and again, and again….excellentmeeting. Your folks really have the whole thingdown. Very productive trip for us.”

Given APLN’s commitment to finding more top-quality agents to enhance the network even further,basing selection on the criteria that to become amember you need to show you are willing to giveyour shipments to fellow members, next year’sannual worldwide conference will undoubtedly bean even greater success. It is scheduled forSeptember 13-16, 2006, to take place as before inBangkok.

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The main focus of WCA andThe main focus of WCA andThe main focus of WCA andThe main focus of WCA andThe main focus of WCA andCGLN member TCGLN member TCGLN member TCGLN member TCGLN member TranssphereranssphereranssphereranssphereranssphereInternational is RussianInternational is RussianInternational is RussianInternational is RussianInternational is Russiantraffic. Within the group,traffic. Within the group,traffic. Within the group,traffic. Within the group,traffic. Within the group,freight forfreight forfreight forfreight forfreight forwarding is carriedwarding is carriedwarding is carriedwarding is carriedwarding is carriedout by ZAO Tout by ZAO Tout by ZAO Tout by ZAO Tout by ZAO TranssphereranssphereranssphereranssphereranssphereInternational and OYInternational and OYInternational and OYInternational and OYInternational and OYTTTTTranssphere Ltd. The latterranssphere Ltd. The latterranssphere Ltd. The latterranssphere Ltd. The latterranssphere Ltd. The latterhas its base in Vhas its base in Vhas its base in Vhas its base in Vhas its base in Vantaa,antaa,antaa,antaa,antaa,Finland, strategically placedFinland, strategically placedFinland, strategically placedFinland, strategically placedFinland, strategically placedfor the borderfor the borderfor the borderfor the borderfor the border, which is, which is, which is, which is, which isthe busiest border in allthe busiest border in allthe busiest border in allthe busiest border in allthe busiest border in allof Russia, while ZAO hasof Russia, while ZAO hasof Russia, while ZAO hasof Russia, while ZAO hasof Russia, while ZAO hasits headquarters in Stits headquarters in Stits headquarters in Stits headquarters in Stits headquarters in StPetersburg, with aPetersburg, with aPetersburg, with aPetersburg, with aPetersburg, with arepresentative office inrepresentative office inrepresentative office inrepresentative office inrepresentative office inMoscow which opened inMoscow which opened inMoscow which opened inMoscow which opened inMoscow which opened in20032003200320032003

The group was founded in1996 by Sergei Shidlovsky andEsa Heikkinen. Shidlovsky’sknowledge of Russia’s logisticsmarket and Heikkinen’s 20 yearsof experience made it possibleto achieve the aim of providingtransportation of consolidated

ACROSS THE BORDERcargos from Finland for Russiansmall and middle businesscompanies. In the first year,Mikhail Shidlovsky and SergeySkorik joined the management todevelop the company into aleader in the Russian market.

In 2004 Transsphere got

together with Moscow-basedSPSR-Express, a major Russiancourier service delivering expressmail nationwide, with 52branches and 40 representativeoffices covering some 2,500cities.

Now the group is building the

Mikh

ail Shid

lovsky

Sergey Skorik

WCAF executive vice president Mark Mairowitz (centre) in Helsinkirecently with Petri Aalto (left) and Eugene Apassov, Transsphere’sdirectors of marketing and international traffic in Finland andRussia respectively

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November 2005 / 7

Transsphere Terminal customsand logistics complex in StPetersburg. The project isscheduled for completion in 3phases, starting with a customsterminal which will be put inoperation in the fourth quarter of2005. This will include awarehouse, a three-storyadministrative building with acustoms station and customsbrokers, café, conference room,customs warehouse, parking for200 heavy road-trains and fullsecurity, modern monitoringsystems turning the territory ofthe complex into a customscontrol zone.

The second phase will include

a hotel for drivers, distributors’warehouses, a container terminalwith a parking for 50 refrigeratorcontainers and a utility zone,while the third phase will includea branch railway line from Ruchystation to the warehouses.

The company says the mainadvantage of the terminal is itslocation in the vicinity of KAD (thering road) close to the railwaynear Ruchy station. The station tohandle freight from Finland will belocated at the entrance to St

Petersburg and access ways to therailway will allow handling inter-modular freight, transferring itfrom road to railway transportand vice versa.

“Altogether in TranssphereGroup we have about 1,700people working, which is not badin 9 years! Our company is veryactive all the time and we aredeveloping our business areasconstantly,” says Petri Aalto,

director of marketing andinternational traffic.

“In Transsphere we have atthe moment about 200 peopleworking in freight forwarding.Additionally in the Transspheregroup we have a separateairfreight company specialising inRussian domestic air freightwhich is also GSSA for Finnair inRussia and General Agent forPulkovo.”

FACTBOX1996 - foundation of Transsphere International and OY

Transsphere Ltd.2002 - Transsphere International was appointed an official

consultant of the St. Petersburg Administration fortransportation logistics

2003 - foundation of Transsphere Air2004 - Transsphere Group of Companies was joined by the

largest Russian express-mail operator SPSR-Express2005 - opening of Transsphere Terminal logistics complex

Serg

ey Shid

lovsky

Esa Heikkinen

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The China International FThe China International FThe China International FThe China International FThe China International Freight Freight Freight Freight Freight ForororororwarderswarderswarderswarderswardersAssociation (CIFAssociation (CIFAssociation (CIFAssociation (CIFAssociation (CIFA), under the sponsorship ofA), under the sponsorship ofA), under the sponsorship ofA), under the sponsorship ofA), under the sponsorship ofthe Chinese ministrthe Chinese ministrthe Chinese ministrthe Chinese ministrthe Chinese ministry of commerce, is they of commerce, is they of commerce, is they of commerce, is they of commerce, is thelargest freight forlargest freight forlargest freight forlargest freight forlargest freight forwarder association inwarder association inwarder association inwarder association inwarder association inChina and represents more than 5,000China and represents more than 5,000China and represents more than 5,000China and represents more than 5,000China and represents more than 5,000forforforforforwarders. CIFwarders. CIFwarders. CIFwarders. CIFwarders. CIFA is also the exA is also the exA is also the exA is also the exA is also the exclusive agentclusive agentclusive agentclusive agentclusive agentin the People’s Republic for CGLN, the WCAin the People’s Republic for CGLN, the WCAin the People’s Republic for CGLN, the WCAin the People’s Republic for CGLN, the WCAin the People’s Republic for CGLN, the WCAFamily network designed to bring ChineseFamily network designed to bring ChineseFamily network designed to bring ChineseFamily network designed to bring ChineseFamily network designed to bring Chineseand foreign logistics providers togetherand foreign logistics providers togetherand foreign logistics providers togetherand foreign logistics providers togetherand foreign logistics providers together.....

To a large extent the close cooperation betweenCGLN and CIFA has been the result of the goodrelationship between the presidents of the twoorganisations – David Yokeum of CGLN and LuoKaifu of CIFA. The partnership is a world first in theindustry; CGLN and the WCA Family are the first andonly networks ever to receive such a significantendorsement.

Luo has immense experience of the industry. He

has lived and worked in the US and waschairman of the huge Sinotrans group,controlling some 70,000 staff. DavidYokeum regards Luo as his mentor. Luotold InterActive recently in Beijing thatforwarding in the world’s most dynamiceconomy is fast catching up with therest of the world.

“Freight forwarding in China has along history – since the founding of ourcountry – but from the point of view ofmodern logistics it is young, having

started around 10-15 years ago,” saysLuo, who is also a vice president of FIATA.

“Because of the great potential of themarket – both exports and imports are

growing at maybe 20-30 percent each year – theindustry is growing very fast, not only in terms ofmodernisation but also revenue and profitability.Twenty five years ago there was only one – stateowned – freight forwarder, which was Sinotrans.

“Officially we say there are about 6,000registered freight forwarders today.” But Luoexplains that since the registration process wasrelaxed in July 2005, now there could be “more than20,000 in total – nobody knows how many, it’s verydifficult to get exact numbers.”

Today, if the industry in mature markets,especially the US, Europe and Japan, is on a level of10, “China probably stands at a level of maybe 6 to7. That means [in terms of] knowledge, experience,operational skills and ways of transportation,service and IT systems. So far, in my judgement, weare modernising very quickly.

“Because most Chinese forwarders realise it isvery important for them to reform from thetraditional [mode of] transportation to modernlogistics. You can see almost every forwarder inChina training their people. They spend a lot ofmoney on training – either knowledge or IT – andare also spending a lot of money to reformmechanics – for example they use GPS on trucking[and] on ocean-going vessels.” For more than sevenyears Luo was chairman of the board of Sinotrans

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November 2005 / 9

and he points out that thishuge operator was using GPS10 years ago, while all Coscoocean-going vessels have hadGPS for “at least” a decade.

The dominating driverbehind the Chinese freightforwarding industry’s desirefor reform and improvementhas been the country’s entryinto the World TradeOrganisation, says Luo. Sincethen, “most of the big worldoperators – we call them the‘jumbo’ forwarders – havecome into China. That’s a bigburden, [it represents] greatercompetition than ever before.

But Chinese are noted fortheir ability to respond fastto pressure and Luo agreesthat things can move fasterthan in more establishedmarkets in the west. In termsof ‘catching up’ with theindustries in US, Europe orJapan – achieving the level of10 – he believes it “could behalf a year, could be one year– but not 5 or 10. That wouldbe too long. [CIFA members]are very quick because theypay good money to train theiremployees.”

Until China opened up afew years ago, there was littleunderstanding of western-style customer service butthat has rapidly changedthroughout the economy andLuo is sure freight forwardershave embraced service just asother industries have. Theolder concept was that, say,15 years ago, if you talk aboutservice in China, it was reallyrubbish” – he likens it to theformer Soviet Union – buttoday service has improvedvery much though in someareas there is still a need to

Luo Kaifu: “the industry is growing very fast, not only in terms ofmodernisation but also revenue and profitability”

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improve.” But he is convinced there is the will tomake that improvement.

The links between CIFA and WCA Family are“very good for our members because of our mutualcooperation,” says Luo. In particular, the Sino-International conferences have been “so successful.The information we got from our members was that90 percent say they were ‘very good’, very useful tothem. We make a good platform for Chineseforwarders and freight forwarders from all over theworld to meet and talk with each other, to learnfrom each other and make a good partnership.”

As for networking, he believes most Chineseforwarders understand the need for it but they arenot all aware of how to achieve it. “They know theyneed it but don’t know how to get it. I think theyneed WCA [Family] as a platform [and] to get mostof the members of CIFA to understand it’s good forthem, it will help them to make their business moreefficient, more safe and also lower their cost, whichis very important. You must tell them how to savemoney and get a good network.”

Luo says the upcoming Sino-Americas conference

in Vancouver (early April 2006) “is a good conceptby David Yokeum. It will be the first time to havesuch a meeting outside China. At CIFA we will doour best to get more Chinese forwarders toparticipate – same as at Dalian [at the second SinoInternational conference organised by CGLN whichattracted more than 830 delegates] where we didour best to persuade more members of CGLN inChina to participate.”

Luo says he is convinced that the future is brightnot only for freight forwarders in China but also forthose outside wishing to do more business withChina. The role of CIFA will be greater and oneimportant factor is that the government in Beijingpays great attention to trade bodies “because itneeds them to play a great role – to help thegovernment to improve the industries.” It relies onthem to make industries “more healthy, grow fasterand support the national economy.” Of freightforwarding in China, Luo says: “Long term, from thewhole direction, maybe in 10-20 years time it willbe better, bigger and more healthy. And truly worldclass.”

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How did you get into the business?How did you get into the business?How did you get into the business?How did you get into the business?How did you get into the business?

Born in Istanbul, I am celebrating my 20th year inthe cargo industry. Fresh from university I joinedthe giant Turkish shipping group Zihni and aftertwo years of involvement in freight forwarding Iwas assigned as regional manager for East Europe,stationed in Romania.

Late 1988 I joined Genel Transport, at that timea small company dealing with transittransportation via Black Sea ports in Turkey to Iran.

Within two years we got almost 70 percent share inthat market segment.

In 1990 I took over full management and theshares of the company and in the coming yearsGenel was transformed form a niche player to aworldwide logistics service provider with fouroffices throughout Turkey. Our corporate office is inIstanbul and we have branch offices at IstanbulAirport, Izmir and Mersin employing 45 people.Genel has received the WCA Superior Service Awardin two consecutive years.

AT THE CROSSROADSLLLLLong-time WCong-time WCong-time WCong-time WCong-time WCA member Genel TA member Genel TA member Genel TA member Genel TA member Genel Transport likransport likransport likransport likransport likes to call itself the ‘es to call itself the ‘es to call itself the ‘es to call itself the ‘es to call itself the ‘world’s favourite Tworld’s favourite Tworld’s favourite Tworld’s favourite Tworld’s favourite Turkishurkishurkishurkishurkishforforforforforwarderwarderwarderwarderwarder ’. InterActive caught up with its managing director T’. InterActive caught up with its managing director T’. InterActive caught up with its managing director T’. InterActive caught up with its managing director T’. InterActive caught up with its managing director Turgut Erkurgut Erkurgut Erkurgut Erkurgut Erkeskin recently andeskin recently andeskin recently andeskin recently andeskin recently andasked a few questions.asked a few questions.asked a few questions.asked a few questions.asked a few questions.

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YYYYYou are a member of CGLN and Aou are a member of CGLN and Aou are a member of CGLN and Aou are a member of CGLN and Aou are a member of CGLN and AWS as wellWS as wellWS as wellWS as wellWS as wellas WCA – how does that work and is it ofas WCA – how does that work and is it ofas WCA – how does that work and is it ofas WCA – how does that work and is it ofas WCA – how does that work and is it ofbenefit to Genel?benefit to Genel?benefit to Genel?benefit to Genel?benefit to Genel?

It is obvious that our membership of WCA Familyof Logistic Networks has great impact on ourbusiness development.

Our main business focus is on product designand development and our strength comes fromcreative performance in business and service. Bothare only achievable when you have reliable anddiligent partners with whom you can establishservice channels which lead to continuous trafficwhich then can be considered as a product to sell.Having a handling agent somewhere at aninternational port is just not enough to increaseyour market impact by developing and managinglogistics products, you should be in the conditionof sharing a common ‘faith’. This is what makes aflourishing business network, as it is the case of theWCA Family of Networks.

WWWWWe also understand you were the firste also understand you were the firste also understand you were the firste also understand you were the firste also understand you were the firstEurope member of the original WCA: can youEurope member of the original WCA: can youEurope member of the original WCA: can youEurope member of the original WCA: can youEurope member of the original WCA: can yourecall what made you decide to join up?recall what made you decide to join up?recall what made you decide to join up?recall what made you decide to join up?recall what made you decide to join up?

When we first joined World Cargo Alliance, itwas just a small network base with only eightmembers. What made us join the system and investin its strategies was the great vision and theimpeccable enthusiasm of David Yokeum. Since westarted in 1998 as the first European member we

FFFFFACTBOACTBOACTBOACTBOACTBOXXXXX:

- Member of UTIKAD, TurkishFreight Forwarding Association

- Member of Istanbul Chamber ofCommerce

- Member of Istanbul ShippingChamber of Commerce

- Member of FIATA

- IATA Licensed Air Freight Agent

- ESC Partner from Turkey

walk together, with every day bringing moremotivation and possibilities, not to forget thesuccess and the opportunities for everyone whowishes to benefit from.

TTTTTurkurkurkurkurkey has an enormously strategicey has an enormously strategicey has an enormously strategicey has an enormously strategicey has an enormously strategicposition. Is it Europe or Asia – and wouldposition. Is it Europe or Asia – and wouldposition. Is it Europe or Asia – and wouldposition. Is it Europe or Asia – and wouldposition. Is it Europe or Asia – and wouldmembership of the European Union be usefulmembership of the European Union be usefulmembership of the European Union be usefulmembership of the European Union be usefulmembership of the European Union be usefulto Genel?to Genel?to Genel?to Genel?to Genel?

As a country naturally and historically placed atthe crossroads between Asia and Europe and withits dynamic and highly motivated population,Turkey has tremendous strategic potential and theEU perspective just underlines the global positionof its overall logistics importance. In the last tenyears of the Customs Union with the EU, goodstraffic to and from Turkey increased four timeswhich shows the direction in which things will bedeveloped in the coming period from which notonly Genel Transport, but all members of the WCAFamily will surely benefit.

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WCA Familyis proud to announce

the inaugural SINO-AMERICAS REGIONAL FREIGHT

FORWARDERS CONFERENCE, which isscheduled for the first week of April 2006 in

the beautiful Canadian city of Vancouver.Not only will this event be the first ever planned

meeting between agents in the two regions, but itwill mark the start of a series of such regionalevents, requested initially by freight forwarders inChina, at which their counterparts around the worldwill have the opportunity to get to know and buildrelationships with agents in the world’s mostdynamic economic powerhouse.

The choice of Vancouver – almost the nearestpoint on the American continent to China unlessyou count Alaska, which would be less of a draw fordelegates – means that not only Chineseforwarders but agents from both North and Central/South America will be able to attend. WCAF expectsa turnout approaching 600 delegates.

The idea of a Sino-Americas conference, to berun along the same lines as the immensely

successful Sino-International meeting in Dalian,China in June 2005, became a reality followingWCAF president David Yokeum’s extended “shuttlediplomacy” between China and the Americas.During lengthy negotiations he managed to secure adeal with the two “see-fahs” – the powerful ChinaInternational Freight Forwarders Association (CIFA,represented by its president Lu Kai Fu) and theCanada International Freight ForwardersAssociation (talking with CIFFA and FIATA pastpresident Chris Gillespie, chairman of FIATA’sMultimodal Transport Institute and president ofGillespie-Munro in Montreal). The Americas is themarket most sought after by Chinese logisticsproviders.

Further details of this exciting event will bemade public soon. WCA Family members in theAmericas interested in doing business with Chineseagents should start making plans to visit Vancouver,a dynamic, multicultural city set in a spectacularnatural environment which was voted “Best City inthe Americas” for 2004 by Condé Nast Travelermagazine and will be host of the 2010 WinterOlympics.

ROAD SHOWComing soon: a unique opportunity for forwarders inthe Americas to do business with top agents in China

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Recently WCA Family sent four top stafffrom three regional offices all the way tothe Russian capital Moscow to attend theannual world congress and exhibition

ON A MISSION

organised by international freightforwarding trade body FIATA.

It’s an event where WCAF, as a memberof FIATA, represents all its membercompanies and one which is well worthattending, as president David Yokeumexplains. “Every time we attend the FIATAconference it’s very beneficial to themembership – you never know in advancequite what will happen there but alwayswe find some new opportunities.”

One of those opportunities was thechance for David and WCAF to cement thedeal to bring a regional Sino-Americasconference to Vancouver next April (seepage 13) as the top representatives of all

CIFA president Luo Kaifuwith WCA Family marketingdirector Khun Or

(left to right) Mark Mairowitz and David Yokeum(executive vice president and president of WCAFamily), Farid Saffarazadeh of WCA member BarBaran of Iran and Dominic Wang (CGLN generalmanager)

FIATA’s annual event visited Russia - and so did WCA Family

the organisations involved were in Moscow for theshow.

Another was the chance to meet up with adelegation of 60 people from CIFA in China and

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discuss with them prospects for thenext Sino-International conference inGuangzhou in June 2006. WCAF’s Chinageneral manager Dominic Wang madethe journey from Shanghai and wasglad he did. “Now I understand moreabout the significance of WCAF’s ownconferences and how their structurecan benefit our members. I also sawfor myself that the FIATA conference isanother stage to make moreforwarders know us.”

“There was tremendous traffic atthe WCAF booth in the exhibition,”confirms executive vice presidentMark Mairowitz, who flew from theMiami office for the event. “Giventhe calibre of WCAF and itsmembership we have an obligationto be at such an event and it washighly successful for us. It was verygratifying to note just how manypeople came to see us not only fromRussia but everywhere in the world.It shows how well the WCA Familyname is known among industrypeople, who want to speak to usand learn more about us.”

An opportunity for Bangkok-basedWCAF marketing director Teerada

Boonpojanasoontorn (known by her Thai name,Khun Or) was to experience her first FIATA event. “Ilearned a lot from it, because it was also a chanceto meet a lot of people in the industry. It was goodto meet so many members – from a wide variety ofcountries – and get the latest news and views fromthem. It’s remarkable how even in such a largegathering of forwarders, WCAF members were soprominently represented. Also, it was a chance tolearn more about their wants and needs, so we canprovide them with the benefits they require.”

Or was also able to take a brief first look at thefascinating and historic city of Moscow during herhectic eight-day stay in the Red Square area. Shefound the weather in September very pleasant andnot as cold as she had expected for her first trip toRussia. She was able to take a little time to go seesome of the sights. “There is so much beautiful

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FIATA (the InternationalFederation of FreightForwarders Associations) is anon-governmentalorganisation representing anindustry coveringapproximately 40,000forwarding and logistics firmsthat employ around 8-10million people in 150countries. It is the largestnon-governmentalorganisation in the field oftransportation. It aims tofamiliarise trade and industryand the public at large withthe services rendered byfreight forwarders and toimprove the quality ofservices rendered by freightforwarders by developing andpromoting uniform forwardingdocuments, standard tradingconditions, etc.

(left to right) Three presidents:Luo Kaifu (CIFA), DavidYokeum (WCAF) and ChrisGillespie (CIFFA)

architecture to see, and theMetro [underground railway] isan extraordinary place too.”

For members of WCAFnetworks, one of the bestreasons for David to attend theFIATA conference and exhibitionwas that many Russia- and CIS-

based freightforwarders visited.“I am extremelyconfident we will beable to welcomecapable newmembers who willstrengthen ournetworks’representation inthis fast-growingregion.”

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18 / November 2005

On the 22nd birthday of EESFreight Services Pte Ltd,managing director Gilbert Tjonglooked out across the expanse ofthe bustling Port of SingaporeAuthority. “To most people thoseare just boxes,” he said,indicating the stacked rows ofcontainers awaiting shipmentfrom one of the world’s busiestports. “But to us, it’s business.”

Gilbert (above) and fellowdirector Jean Chuang set up EESin 1983 and gradually increasedthe paid-up capital up to onemillion Singapore dollars acouple of years ago. “Here,anyone can issue a bill of lading,”he explains, “not likeneighbouring countries. It’s vitalto look at whether the paid-up

capital of a forwarder is reallywhat it is claimed to be.”

In 1983, he admits, “thebusiness was a little easier thanit is now.” There were only ahandful of other companies inthe tiny but prosperous city-stateon the equator. But now there aresome 2,000 freight forwarders inSingapore.” starting up isrelatively easy, but “you need alot of drive and motivation tokeep ahead of the others.”

At first EES was simply anNVOCC but 12 years ago itacquired a medium-sizedairfreight business and has sinceexpanded. Gilbert employs 28staff on the seafreight side and22 people in airfreight. Thecompany operates from a main

office in the shadow of theskyscrapers of Raffles Place, inSingapore’s business hub, andfrom an airfreight office andwarehouse inside the air centreat Changi airport which isbonded and under lease from thegovernment which is constantlypromoting Singapore as aregional logistics hub.

EES has ISO9001:2000certification, one of relativelyfew in Singapore, and hasinternal rules which insist on allimport cargoes upon receivingdocuments from airlines and acommitment to deliver tocustomer’s door-steps within sixhours. For all export airfreightcargos, it will be zero missedguaranteed pick up within office

Forwarding on the Equator

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November 2005 / 19

hours. EES is also an accreditedMultimodal Transport Operator(MTO), the top of three grades offorwarder under the guidelines ofthe Singapore LogisticsAssociation, and a member ofFIATA. Regular cargos includegarments, plane engines,sportswear, footwear, optical andliquid gases, electronics, books,used cars and DGR shipments,while EES is also doing graduallymore project cargo work.“Projects dropped off but it’s nowan area of growth,” says Gilbert.

More importantly from ourpoint of view, EES has been amember of World Cargo Alliancefor more than five years. Gilbertexplains that the returns frommembership were not startling inthe first two to three years, but“we first started by givingbusiness to other members andnow we find we are getting itreturned. It takes time to build upserious relationships.” Now, hesays, membership of the networkis extremely useful. Operations

director Paul Chuang agrees,adding that “reliability is the keyto selecting overseas agents. Wewould rather deal withexperienced members.” Inaddition, “WCA has beenextremely useful in those ‘unusualmarkets’” where it can be difficultto find suitable agents.

By definition, given its smallsize, Singapore is essentially aone-branch country, so would EES

like to expand beyond itsborders? Gilbert would rathernot, though. “It’s much moreeffective to use the WCA networkthan set up your ownoperations.”Gilbert Tjong of EES with thestaff at his office in centralSingapore (above) and theairfreight centre at Changiairport (below). Airfreightoperations director Paul Chuangis on the right

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20 / November 2005

New WCAF member serviceKnow about RFID? Maybe not. You may not

even know what RFID stands for – or you mayalready be using it. If your company is already

on board the RFID bandwagon, we ask you to bearwith us for a moment as we bring the rest of themembers up to date, because the WCA Family ofLogistic Networks is entering into a new strategicpartnership in order to ensure that all members willbe able to benefit from expertise in a field which isfast becoming one of the major technology issuesfacing the logistics industry.

In the United States one of the multinationalintegrators is already advertising RFID to the generalpublic via TV. It’s unlikely most other markets are readyfor such a campaign, but Radio Frequency IDentificationis already know to many. It’s the system of fittingproducts with a small tag which can be read orinterrogated by an appropriate reader. Think barcodesof the future, but highly “intelligent” barcodes able toprovide a vast range and amount of information aboutthe status, location and possibly even the condition ofa product or shipment in a supply chain. Slow progresstowards a global standard for RFID technology, couplein some countries with concerns about privacy issues(which are largely irrelevant since most RFID readersoperate only over a very short range) have hinderedthe spread of such tagging systems but as the industryresolves these, many millions are already in operation.Certainly if you want to supply to Walmart – or shipgoods to its stores – you already need to know allabout RFID.

WCA Family is pleased to announce thatWCA Family is pleased to announce thatWCA Family is pleased to announce thatWCA Family is pleased to announce thatWCA Family is pleased to announce thatLXLXLXLXLXComm Ltd has joined as a network partnerComm Ltd has joined as a network partnerComm Ltd has joined as a network partnerComm Ltd has joined as a network partnerComm Ltd has joined as a network partner.....LXComm has been active, especially in the Asia-LXComm has been active, especially in the Asia-LXComm has been active, especially in the Asia-LXComm has been active, especially in the Asia-LXComm has been active, especially in the Asia-Pacific region, since 1998, providingPacific region, since 1998, providingPacific region, since 1998, providingPacific region, since 1998, providingPacific region, since 1998, providingtelecommunications, RFID and IT sertelecommunications, RFID and IT sertelecommunications, RFID and IT sertelecommunications, RFID and IT sertelecommunications, RFID and IT services tovices tovices tovices tovices toclients that include state-clients that include state-clients that include state-clients that include state-clients that include state-owned telecoms. Itowned telecoms. Itowned telecoms. Itowned telecoms. Itowned telecoms. Itis also negotiating with top Chinese authorities.is also negotiating with top Chinese authorities.is also negotiating with top Chinese authorities.is also negotiating with top Chinese authorities.is also negotiating with top Chinese authorities.

LXComm will provide all WCA Family members withan introduction to RFID and an opportunity to learnmore about it from a business and technology aspectand will act as a platform for members to discuss

their specific RFID requirements. LXComm will giveinitial advice and guidance for any specific RFIDprojects that members may be contemplating, designhigh-level scenarios for such projects and provide ameans for members to gather information in relationto RFID project costs.

Such services and advice will be free of charge toWCA Family members. If the member wishes toproceed on a project it will be up to them whether tohire LXComm for any aspect of the project.

LXComm’s executive vice chairman Bob Turner issure that “this pro-active RFID awareness programmewill place WCA Family members’ business in a strongand strategic position when it comes to makingdecisions related to RFID technology. Thisprogramme will also help members stay competitiveand well prepared for the changes that RFID will bringto our industry.”

David Yokeum, WCA Family president, agrees. “It’sa vital part of WCAF’s job to ensure our members areright up to date with any significant moves intechnology which affect our industry. RFID is going tobe a huge issue very soon – and if our members arewell prepared, they can make the most of what willbe a massive marketing opportunity. This partnershipwill enable them to be prepared better than any otherfreight forwarders in the world.”

As an introduction to the world of RFID and toLXComm’s service, a new section is being set up on WCAFwebsites which contains an FAQ section, industry newsand details of conferences or seminars that may interestforwarders. There will also be a regular e-newsletterdevoted to developments in this field and InterActivewill be bringing you regular items featuring all membersneed to know about the exciting – and challenging –prospects for a future forwarding industry which willwithin a few years have to be fully RFID-capable.

But WCA Family will definitely not be setting up anyform of RFID-enabled network. WCA Family wants to providemembers with the resources they will need to deal with RFIDand make it into a powerful sales and marketing tool nowor in the near future.

AMERICAS OFFICE1725 Main St, #207Weston, Florida 33326 USAtel: +1 954 742 9595,fax: +1 954 742 9688

EUROPE OFFICESingel 146,1015 AG Amsterdam,The Netherlandstel: +31 20 779 7712fax: +31 20 620 2734

INDIA SUBCONTINENT OFFICE106, Matharu Arcade, SubhashRoad, Vile Parle (East) Mumbai400057 Maharashtra, Indiatel: +91 22 5586 6551/55866552/5621 2024/5621 2030,fax: +91 22 2684 4780

CHINA OFFICE20th Floor Unit M, Cross RegionPlaza, No. 899 Ling Ling Road,Shanghai 200030, Chinatel: +86 21 6487 0601/ 64870766 ext.16,fax: +86-21 6487 0929

WCA Family of Logistic Networks - Regional Service CentersASIA OFFICE152 Chartered Square Building15th Floor, North Sathorn Road,Silom, Bangkok 10500 Thailandtel: +66 2 637 8383-7,fax: +66 2 637 8388

www.wcafamily.com [email protected]