Cargo Handling in Airports

Cargo- General Information

What is Cargo?
• Cargo, often known as freight, refers to the transportation
of products or produce from one location to another via
water, air, or land.
• Historically, "cargo" refers to commodities being loaded
onto a vessel.
• Today, cargo refers to various forms of goods, including
those transported by rail, van, truck, and intermodal
container.
• Cargo transport is mainly for commercial purpose for
which an air waybill, bill of lading or other receipt is
issued by the carrier.
What is Cargo?

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Types of Cargo Transportation
• There are four major types of freight transportation
available for shippers to use in the world of freight
shipping.
• The primary ones are by ground (road), rail, ocean,
and air.
• Although these are the main categories of freight
transportation, each method has their own processes
that differ from one another.
Types of Cargo Transportation
Road Transportation of Cargo
• Road Freight is the physical process of transporting
cargo by road using motor vehicles.
• In this case, road is a lane/route between the point of
departure and the point of destination.
• Compared to other types of transport system such as
sea and air, the cost of maintaining roads is cheaper.
• Road freight can be in certain cases, the only way of
transport in/to rural areas where other mode of
transports is not available.
Rail Freight Transport
• Rail freight is a mode of transport in which rail cars
carry goods on land via tracks.
• Shipments can be in one rail car or can even be
arranged in an entire train depending on the goods and
needs of the shipper.
• Individual rail car shipments can be carried by many
different types of specialty rail cars like triple decker
car carriers, intermodal cars, and ore cars.
• They are limited to carrying freight only where there
are tracks
Rail Freight Transport

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Rail Freight Transport
• Maintenance is one of the major factors in keeping
railways working efficiently.
• Until the 20th century, there was not any mechanized
equipment available to maintain the railroads.
• The equipment used before then were basic picks and
sledge hammers.
• Today there are several different types of equipment
that are key in railway infrastructure maintenance.
This equipment includes 
Railway Infrastructure Management Equipment

• Today there are several different types of equipment

that are key in railway infrastructure maintenance.
This equipment includes .
• Ballast cleaners: a machine that specializes in cleaning
the railway track ballast of its impurities.
• Undercutters: similar to ballast cleaners except instead
of cleaning the stone it scoops it up so it can be
replaced.
Railway Infrastructure Management Equipment

• Tampers: machine used to pack the track ballast under

the railway tracks to make the tracks more durable.
• Rail grinders: maintenance vehicle or train used to
restore the tracks and remove irregularities and extend
the life of the rails.
Ocean Freight Transport
• Ocean freight (or sea freight) is the most common
form of transport for importers and exporters,
accounting for 90% of goods transported globally
Ocean Freight

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Ocean Freight Transport- Advantages
• Cost Effective – transporting containers of goods by ship is the
one of the most cost effective forms of transport, which is
important supply chain management and operations within a
business and can help keep the price of goods competitive for
the end customers.
• Heavy goods – for items that are big or heavy, shipping might
be the only way to get goods overseas, as airlines can restrict
form of transport and shipping ports generally have large
storage capabilities.
• Environmentally Friendly – ocean freight is the most
environmentally friendly form of transport for cargo, which can
help boost the companies brand and reputation.
Types of Ocean Freight
• There are four major types of shipping terms that you
should know about, also known
as incoterms (International Commerce Terms), which
set out clear definitions for where the goods are
dispatched from, and to.
Types of Ocean Freight
• EXW, or ExWorks means the supplier transports the
goods to the factory or manufacturer.
• FOB, or Free on Board, which delivers to the port or
terminal in the country of the supplier.
• CIF, or Cost, Insurance and Freight, which covers
transport to the buyer’s country
• DAP/ DDU, or Delivery at Port / Delivery and
Duty, Unpaid, which delivers all the way to your
facility or warehouse, excluding the cost of tariffs and
taxes
Air Cargo
• Air cargo, commonly known as air freight, is collected
by firms from shippers and delivered to customers.
• Aircraft were first used for carrying mail as cargo in
1911. Eventually manufacturers started designing
aircraft for other types of freight as well.
• There are many commercial aircraft suitable for
carrying cargo such as the Boeing 747 and the
bigger An‑124, which was purposely built for easy
conversion into a cargo aircraft.
Air Cargo
• Such large aircraft employ standardized quick-loading
containers known as unit load devices (ULDs),
comparable to ISO containers on cargo ships.
• ULDs can be stowed in the lower decks (front and
rear) of a number of wide-body aircraft, and on the
main deck of some narrow-bodies. Some dedicated
cargo planes have a large opening front for loading.
Air Cargo
• Most nations own and utilize large numbers of military
cargo aircraft such as the C‑17 Globemaster III for
logistical needs.
• Popular commercial aircraft transformed to a cargo
aircraft such as Saab 340A is designed for high revenue
and profitability in short / medium haul operations.
• Precious Cargo: Precious Cargo refers to the shipping of
valuables like gems and jewellery safely. In today's
changing times there are many companies that specialise
in dealing with such shipments.
Aircraft Types
• Different cargo can be transported by passenger, cargo
or combi aircraft:
• Passenger aircraft use the spare volume in the
airplane's baggage hold (the "belly") that is not being
used for passenger luggage—a common practice used
by passenger airlines, who additionally transport cargo
on scheduled passenger flights.
Aircraft Types
• Cargo can also be transported in the passenger
cabin as hand-carry by an “on-board courier”.
• Cargo aircraft are dedicated for the job—they carry
freight on the main deck and in the belly by means of
nose-loading or side loading.
• Combi aircraft carry cargo on part of the main deck,
before or after a passengers’ section, with side loading,
and in the belly.
Types of Cargo Transported
• The global shipping industry transports goods all over
the world, connecting commerce and businesses
across continents.
• In today’s fast-paced world, the speed and capacity of
ships have increased.
• Transporting goods through seaborne vessels has
become one of the cheapest means of transporting
goods, on the basis of-
• The cost per ton, and The fuel per ton transported
Types of Cargo Transported
• From machinery and equipment to foodstuff and
vehicles, ships are modified to handle various types of
goods.
• Crude oil, fuel gases such as LNG and CNG, minerals,
and ores require their own types of vessels that are
specially constructed to cope up with the challenges
that these volatile goods possess.
Types of Cargo Transported
• The danger of transporting cargo through non-
optimized means i.e., vessels not built to handle that
articular cargo, includes volatile behaviour, fire,
spoilage of foods, bacterial and fungal growths etc.
• Thus, care must be taken when hiring or leasing
vessels for transportation to ensure that the appropriate
type of vessel is chosen.
Types of Cargo Transported
• The various goods and cargo commonly transported
through shipping are as follows.
• Food Stuff
• Transportation of Livestock and Animals
• Transportation of LNG, CNG, and Other Gas-Based
Fuels
• Shipping Cars and Other Vehicles
Types of Cargo Transported
• Transportation of Machinery, Equipment, and Factory
Parts
• Shipping Dry Bulk Cargo
• Shipping Liquid Bulk Cargo
• Safe Transportation of Chemical, Hazardous, and
Toxic Products
What Goods Are Shipped via Air Freight?

• A wide variety of goods are shipped by air, but some

of the most frequently shipped air cargo are:
• Plants
• Drugs, vaccines, and pharmaceuticals
• Perishable foods
What Goods Are Shipped via Air
Freight?
• Spare parts for land vehicle and aerospace industry
• Live animals
• Intercontinental mail 
• Luxury goods
• High-end consumer goods
• Artwork
• eCommerce
Air Cargo Tariff
• Air cargo tariffs are determined by each air carrier, or at
the industry level. They are openly accessible, and are
also referred to as “General Cargo Rates (GCR), “TACT
Tariffs”, or “TACT Rates”.
• Airlines have to, for most countries, file tariffs with the
relevant air transportation agency. 
• Tariffs will also be used for Airwaybill rating; serve as a
base for the calculation of special commodities (live
animals; human remains; valuables; vulnerables…); and
be used for airline interlining activities, under the MITA
convention. 
Air Cargo Tariff

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Air Waybill
• An airway bill or AWB is a document that accompanies
goods shipped by an international courier, which allow
for tracking.
• It serves as a receipt of goods by an airline, as well as a
contract of carriage between the shipper and the carrier.
It’s a legal agreement that’s enforceable by law.
• AWBs are non-negotiable instruments and must include
the shipper's name and address, consignee's name and
address, destination airport, and value of contents,
among other things.
Airway Bill

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Requirements for an Air Waybill

• The International Air Transport Association (IATA)

designs and distributes air waybills.
• There are two types of AWBs—an airline-specific one
and a neutral one.
• Each airline AWB must include the carrier’s name,
head office address, logo, and air waybill number.
Neutral air waybills have the same layout and format
as airline AWBs; they just aren’t prepopulated.
Requirements for an Air Waybill
• Before goods are shipped, an air waybill must be filled
out. Once the air waybill is signed by the shipper and
carrier involved, it becomes an enforceable contract.
• Because it is a legally-binding document between
parties, the details must be filled out clearly and
accurately.
Functions of AWB
• The air waybill serves many functions, including:
• Evidence of receipt of goods by an airline
• Contact information among all parties
• Contract of carriage between shipper and carrier
• Freight bill
• Customs declaration
• Description of the goods
• Guide for handling and delivering goods
• Tracking of shipment
Features and Format of AWB
• An AWB is typically a one-page document that is
packed with important information.
• The bill is designed and distributed by the IATA and is
used in domestic and international shipping.
• The document itself is issued in eight sets of different
colors, with the first three copies being the original.
• The first original (green) is the issuing carrier’s copy.
• The second (pink) is the consignee’s copy.
• The third (blue) is the shipper’s copy.
Features and Format of AWB
• The fourth copy is brown and functions as the receipt
and proof of delivery. The other four copies are white.
• The air waybill may come with an airline logo at the
top right corner or it may be a neutral AWB.
• The two are essentially identical outside of the airline
logo and prepopulated information for the airline.
• Each air waybill must include the carrier’s name,
office address, logo, and AWB number, which is an
11-digit number that can be used to make bookings
and track the status and location of the shipment.
Features and Format of AWB
• The top-left quadrant of an air waybill document will
contain information for the shipper, consignee, agent,
airport of departure, and airport of destination.
• The top-right quadrant will contain the information for
the airline – either in the form of printed and
prepopulated text and logos or manually-entered
information.
• The top-right section will also contain information
about the declared value for carriage and declared
value for customs.
Features and Format of AWB
• The middle of the page will contain information on the
contents of the shipment, including the number of
pieces, gross weight, chargeable weight, total charge,
and the nature and quantity of goods.
• The bottom portion of the air waybill will contain
additional charges and taxes, an area for the signature
of the shipper or agent, and an area to enter the date,
time, and place of execution.
Electronic AWB
• An electronic air waybill (e-air waybill or e-AWB)
was introduced in 2010, and on January 1, 2019, it
became the default contract of carriage for all air cargo
shipments.
• Paper air waybill documents are still accepted,
but IATA mostly uses the e-AWB nowadays.
Electronic AWB
• The electronic version requires and communicates the
same information as the paper version.
• The transportation of cargo requires a decent amount
of paper for each shipment, which means that paper
must be kept track of and sent around.
• Storing the documents electronically keeps things safe
and organized and reduces the need for paper.
Air Waybill vs Bill of Lading
• The air waybill and bill of lading are similar, but they
come with distinct differences. The two should not be
in place of each other.
• Both are important documents for international trade.
• They are legal documents between the shipper of the
goods and the carrier, and the two documents provide
details on the goods, how to handle them, and what
destination they are headed to.
Air Waybill vs Bill of Lading
• The main difference between the air waybill and bill
of lading deals with the title to goods. 
• A bill of lading is a document of title to goods.
• It is a receipt of the goods by the shipping company
with an agreement to deliver the goods at the
destination only to the party the bill of lading is
consigned to.
• On the other hand, an air waybill is a receipt of goods
by a carrier or agent showing the place of delivery.
Bill of Lading

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Environmental Impacts on Cargo Transport
Weather Conditions and Transportation
• Climate change is projected to increase the frequency and
intensity of some extreme weather events.
• Specifically, heat waves will likely be more severe, sea level rise
could amplify storm surges in coastal areas, and precipitation
will likely be more intense. 
• These changes could increase the risk of delays, disruptions,
damage, and failure across our land-based, air,
and marine transportation systems.
• Most transportation infrastructure being built now is expected to
last for 50 years or longer. 
• Therefore, it is important to understand how future climate
might affect these investments in the coming decades.
Weather Conditions and Transportation
• Climate changes may impact airplanes, airports, and
airstrips, affecting air travel and infrastructure.
• Periods of extreme heat can affect aircraft performance and
may cause airplanes to face cargo restrictions, flight delays,
and cancellations.
• However, warmer weather in winter will reduce the need
for airplane de-icing.
• In the winter and spring, increased rains and flooding may
also disrupt air travel.
• Climate change may increase the frequency of these events
and the number of airports that are affected.
Impacts of Transportation on Environment
• While air cargo accounts for a very small portion (less than one
per cent) of world-wide freight, it is growing rapidly.
• Moreover, with increasing concern about global warming, concern
about aircraft emissions has grown. Air freight therefore warrants
consideration beyond its current importance as a means of
transport.
• Air transportation can threaten the environment in three important
ways. Aircraft emissions at take-off and landing contribute to
both conventional air pollution and global warming.
• Emissions during flight contribute to global warming. Noise,
pollution, congestion, and other land-use issues pose major
problems around airports.
Impacts of Transportation on Environment
• Establishing a link between these impacts and air cargo is
difficult, however. An estimated two thirds of air freight
is carried in commercial passenger flights, and projected
increases in air freight are expected to be distributed in
much the same way.
• For the one-third of air freight carried in cargo planes,
allocating the air pollution and noise costs is
straightforward.
• For the two-thirds carried in passenger craft, however, it
is hard to know which externalities to assign to cargo and
which to attribute to passenger travel.
Low altitude air pollution
• Low-altitude aircraft emissions include nitrogen oxides, carbon
monoxide, and hydrocarbons. They are converted into ozone and
other compounds that comprise smog.
• While aircraft emissions are minor relative to road traffic, and even
relative to other means of transporting goods, they are rising faster
than other emission sources, with the growth of air travel and air
freight.
• Low-level pollution is emitted during the aircraft's landing and take-
off cycle (LTO).
• An LTO comprises the descent or approach of the plane from 915
meters (3000 feet), its touchdown, landing run, taxi in, idle and
shutdown, start-up and idle, checkout, taxi out, take-off, and climb-
out to 915 meters.
Global Air Pollution
• Aircraft emissions during high-altitude flight are a significant source
of greenhouse gases, although both their quantity and their exact
impact are still matters of considerable scientific debate.
• Global aviation accounts for more than two per cent of total
anthropogenic carbon dioxide emissions. The altitude at which CO2
is emitted (i.e. during landing and takeoff or while in flight) has no
bearing on its environmental impact.
• In contrast, NOx interacts quickly with other atmospheric chemicals,
so its impact depends on the composition of the atmosphere where it
is emitted.
• In the upper troposphere (up to 10 kilometres), where most aircraft
miles are logged, NOx emissions may react with other gases to form
ozone, which is a potent greenhouse gas at this altitude.
Global Air Pollution
• Although aviation accounts for only two per cent of global NOx
emissions, their discharge directly into the upper troposphere
may greatly increase their impact on ozone formation.
• Water vapour emitted into the upper troposphere can form ice
crystals which may enhance formation of cirrus clouds that trap
heat, acting in much the same manner as greenhouse gases.
• In the stratosphere (from 17 to 30 or 40 kilometres), where
some 20 per cent of aircraft fuel burn may occur, the impact of
NOx emissions on ozone can be positive or negative, depending
on altitude, latitude and season; little is known about the
dynamics of these interactions.
Airport Externalities
• Airports are a major nuisance to those who live or work in their
vicinity.
• The major problem is the noise generated by planes taking off and
landing.
• A second problem is the air pollution generated by the planes
themselves, by road vehicles bringing passengers and freight to the
airport, and in some areas by related industrial development which
may spring up around the airport.
• A third issue in some places is the road traffic congestion created by
those needing access to the airport.
• All of these issues combine in the problem of land use planning
around airports, and particularly the conflicts which arise when
airports must expand to satisfy increasing demand.
Airport Externalities
• Several general strategies are available to address the
externalities created by airports. One is to reduce the
noise generated at landing and take-off.
• Noise standards categorise aircraft into two "chapters".
• Chapter 2 aircraft are those which were certified based
on prototypes built before 1977, while Chapter 3
aircraft were certified based on later prototypes.
• Chapter 2 aircraft are being phased out gradually, and
are expected to be out of use by 2002.
Airport Externalities
• However, US and European efforts to ban Chapter 2
aircraft from their airports in the late 1980s met with
resistance from Third World airlines, which are more
likely to be flying the older planes.
• An ICAO-negotiated compromise set the 2002 date
and ensured that each individual plane would have a
flying life of 25 years.
• Thus airport noise should begin to decline as we
approach 2002 and the older, noisier planes are no
longer in use.
Shipping Containers
What is a Shipping Container?
• A shipping container is a container with strength
suitable to withstand shipment, storage, and handling.
• Shipping containers range from large reusable steel boxes
used for intermodal shipments to the
ubiquitous corrugated boxes.
• In the context of international shipping trade, "container"
or "shipping container" is virtually synonymous with
"intermodal freight container" (sometimes informally
called a "sea can"), a container designed to be moved
from one mode of transport to another without unloading
and reloading.
Intermodal Freight Containers
• Freight containers are a reusable transport and storage unit for
moving products and raw materials between locations or countries.
• There are about seventeen million intermodal containers in the
world, and a large proportion of the world's long-distance freight
generated by international trade is transported in shipping containers.
• In addition, it is estimated that several million of these containers
have now been discarded due to the shipping cost of sending them
back to their port of origin.
• Their invention made a major contribution to the globalization of
commerce in the second half of the 20th century, dramatically
reducing the cost of transporting goods and hence of long-distance
trade.
Intermodal Freight Containers
• Specialized shipping containers include: high cube
containers (providing an extra 1 ft (305 mm) in height to
standard shipping containers), pallet wides, open tops,
side loaders, double door or tunnel-tainers, and
temperature controlled containers.
• Another specialized container, known as Transtainer, is a
portable fuel and oil freight container. The hybrid bulk
fuel tank is originally intended for the construction,
mining, logging and farming sectors. The tank can be
used to transport and store bulk fuels as well as
dangerous liquids, by road, rail and sea.
Intermodal Freight Containers
• Reusable steel boxes for use as truck-sized shipping
containers first came into use around 1956. It took some
time for businesses to devise a structured process to
utilize and to get optimal benefits from the role and use
of shipping containers.
• Over time, the invention of the modern
telecommunications of the late 20th-century made it
highly beneficial to have standardized shipping
containers, and made these shipping processes more
standardized, modular, easier to schedule and easier to
manage.
Corrugated Box
• Corrugated boxes are commonly used as shipping
containers (more than 90% of all shipping containers
are of this type).
• They are made of corrugated fibreboard which is
lightweight, recyclable, and strong enough to ship a
variety of products.
Wooden Box
• Wooden boxes are often used for shipping heavy and
dense products. They are sometimes specified for
shipments of government or military shipments.
Crate
• A crate is a large container, often made of wood, used
to transport large, heavy or awkward items. A crate has
a self-supporting structure, with or without sheathing.
• Reusable plastic versions include:
• Euro container
• Systainer, for shipping tools.
Intermediate Bulk Shipping Container
• An intermediate bulk container (IBC, IBC Tote, IBC Tank) is a
multi-use container employed for the general transport, storage,
and handling of bulk fluids and materials.
• IBC tanks are compatible with, and resistant to, an extensive list
of chemicals, acids, caustics, as well as inert materials and food
grade consumables.
• IBCs are commonly manufactured from the following materials:
– Plastic (High-Density Polyethylene)
– Composite: Steel & Plastic
– Carbon Steel
– Stainless Steel (304 & 316/316L SS grades)
Bulk Box
• A bulk box, bulk bin, skid box, or tote box is
a pallet size box used for storage and shipping of bulk
quantities.
Drum
• Drums are cylindrical shipping containers made of
steel, plastic or fiber. They are often used for liquids
and granular materials.
Reusing of Shipping Containers
• The widespread availability and relative cheapness of
used intermodal shipping containers meant that
architects began to consider them as an alternative to
traditional building materials. Used shipping
containers have been converted for use in housing, and
as retail and office spaces.
• It has however been pointed out there are problems
with recycling shipping containers, that it may not be
as ecologically friendly or cheap an option as it might
appear.
Reusing of Shipping Containers
• The containers may be coated with harmful chemicals such as
chromate, phosphorus, and lead-based paints, while its wooden
floors may be treated with toxic insecticides, and some cost and
effort are involved in modifying containers to make them habitable.  
• Others have noted various issues such as space constraint, insulation,
and structural weakness if too much steel is cut out of the containers.
• Shipping containers are used in the film and television industry for
building temporary sets.
• Shipping containers can be stacked on top of each other and used as
reinforced scaffold that large-scale film sets can be built against. An
example can be seen at Leavesden Studios, England; an area of the
studio backlot is allocated to spare containers when not in use.
Cargo Handling
What is Cargo Handling?
• Cargo Handling Refers to the Transportation Activities
in Warehouses and Logistics Centres as a whole.
• Cargo handling refers to the actions that occur in
warehouses and logistics centres, including loading
and unloading cargo, conveying cargo, storage,
picking, and sorting.
Source
• https://www.iata.org/en/publications/newsletters/iata-k
nowledge-hub/what-to-know-about-air-cargo-handling
/#
• Suwanwong, Tipavinee, et al. "Evaluation of air cargo
connectivity and policy in Thailand." Transport Policy
72 (2018): 24-33.
How it works?

https://youtu.be/GhsCX3vynAA
Key Steps in Cargo Handling
• The primary tasks involved in cargo handling include:
• Classification/assortment,
• Stacking/inventorying,
• Transportation,
• Storage (allocation),
• Sorting,
• Picking.
• These tasks have a significant impact on the efficiency and
quality of logistics. Cargo handling is a crucial aspect of
logistics, because cargo handling losses significantly raise
logistics expenses.
Source
• https://www.keyence.com/ss/products/auto_id/logistic
s/role/function-safekeeping.jsp
• Belbag, Sedat, Muhammet Deveci, and Ahmet Serhat
Uludag. "Comparison of two fuzzy multi criteria
decision methods for potential airport location
selection." International Conference on Operations
Research and Enterprise Systems. Vol. 2.
SCITEPRESS, 2013.
• Derigs, Ulrich, Stefan Friederichs, and Simon Schäfer.
"A new approach for air cargo network planning."
Transportation Science 43.3 (2009): 370-380.
Assortment
Receiving Inspection
• First, items, numbers, and quality are assessed against the
incoming cargo list. If there is no fault with the received
shipment, the products are warehoused. 
• Later, the commodities are kept, distributed, and
packaged. Warehouse and inspection data management
may be recorded in a ledger if the volume is minimal, but
in big warehouses and logistics hubs, portable computers
are used.
• Data from a portable computer used to check and store
goods may be used for inventory management from
storage to transportation.
Receiving Inspection

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Material Handling
• Material handling machines help in assortment,
loading and unloading, transportation, and sorting. It
refers to machines that make freight handling easier.
• Carts, pallets, forklifts, conveyors, industrial robots,
and automated warehouses save labour and loading
times.
• Material handling comprises automated picking
machines, product management equipment employing
RFID tags, and automated conveyance and sorting
devices.
Material Handling

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Source
• https://www.keyence.com/ss/products/auto_id/logistic
s/role/function-safekeeping.jsp
• www.youtube.com
Inventorying
Taking Inventory
• Taking Inventory involves checking the amount, kind, and
condition of all things. Even modest retail establishments may
take inventory before shutting.
• The quantity of remaining items in inventory and their worth are
tallied to determine profit properly for business choices.
Inventory and company management need taking stock.
• All items must be scrutinised, which requires a lot of effort,
time, and money at a warehouse or logistics centre. During
inventory taking, all or part of operations must cease.
• Adding up daily data from proper warehouse management may
lessen the strain of conducting inventory taking. Real-time
inventory management speeds corporate decisions.
Picking
What is Picking?
• Picking involves gathering things to send while
verifying item numbers and amounts on a shipping
form (picking list).
• Single picking collects items separately for each
shipping destination, whereas total picking sorts
products by shipping destination in advance.
Order Picking- Job Description

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Types of Picking
How order picking process works?

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Single Picking Method
• The single picking method is the most typical method in
which the products written on the shipping instruction
form (picking list) are searched for and then shipped.
This is also called order picking, and it is used to send a
wide variety of products to many shipping destinations.
• This picking method is suitable to mail order and other
businesses because it is very flexible and products can
be shipped immediately after they are picked.
• Drawback- It takes time and effort for workers to look
for products in the warehouse.
Total Picking Method
• The total picking method is also called assort method.
This method is optimal for shipping a large amount of
a few types of products to a small number of
destinations.
• Products are collected in bulk so the burden on
workers can be lessened, but space is required to sort
the products.
• Disadvantages to this method- It is difficult to know
the status of sorting products and handle sudden
additions of products.
Other types of order picking
• Cluster Picking
• Zone Piking
• Wave Picking
Understanding Order Picking Methods

https://youtu.be/yXK4eSKzNCo
Understanding Order Picking Methods

https://youtu.be/Xey1SLCVaa4
Understanding Order Picking Methods

https://youtu.be/5tTSJfil3P8
Understanding Order Picking Methods

https://youtu.be/VSe5dHo3t0k
Picking Systems
• List Picking- A person looks at the shipping instruction form
(picking list) and searches for the merchandise. This
approach is straightforward to implement, but it relies on
worker accuracy and speed, and worker-caused errors rise.
Before shipping, barcodes are inspected to avoid errors.
• Digital Picking System (DPS)- Digital displays are linked to
racks that hold freight and merchandise, and items are picked
according to the displays. This method allows employees to
choose items without expertise by looking at indications,
reducing worker-caused errors. This technology is extremely
convenient since displays may be added to any storage place.
Picking Systems
• Barcodes- This approach turns shipping instructions
into barcodes and reads product barcodes. If the
incorrect product is chosen, the barcode scanner or
portable computer beeps or vibrates.
• RFID Tags- Attach RFID (radio frequency identifier)
tags, with which information can be exchanged over
the wireless network, to product racks to prevent the
wrong product from being picked. The advantage is
that nothing needs to be read like a barcode, which
makes this effective for implementing speedy work.
Source
• https://www.keyence.com/ss/products/auto_id/logistic
s/role/function-safekeeping.jsp
• www.youtube.com/businessfocus
Sorting
Types of sorting
• Sorting is, like picking, a crucial aspect of shipping
activity. Sorting is the separation of things based on
their kind or delivery destination.
• There are two major classifications of sorting
techniques: manual sorting and automated sorting. The
distinction is whether humans or robots execute the
sorting. Sorters are mostly used for automatic sorting.
• Sorting is roughly divided into three categories based
on how cargo is delivered to the sorting area.
Types of Sorting
• Inventory Type (Distribution Centre)- The logistics
centre holds inventory and cargo picked from the
inventory is sorted.
• Pass-Through Type (Transfer Centre)- The logistics
centre holds no inventory and sorts received products.
• Distribution Processing and Inventory Type
(Processing Distribution Centre)- Products
manufactured in a factory are brought in as-is and
sorted.
Inventory Sorting Automation

https://youtu.be/U-YEYCSqRYM
Types of Sorting
Source
• https://www.keyence.com/ss/products/auto_id/logistic
s/role/function-safekeeping.jsp
• www.youtube.com
Transportation
Shipping Inspection
• Similar to the receiving inspection, the shipment's contents
are scrutinised for errors prior to shipping. The term for this
is shipment inspection.
• Develop a shipping instruction form (picking list) for the
order's contents.
• Select the items in accordance with the shipping instruction
form (picking list).
• Distribution processing is performed.
• Inspect.
• Package.
• Ship.
Shipping Inspection
• Create a shipping instruction form (picking list) for the order's
contents, and have the worker choose the items in accordance
with the shipping instruction form (picking list).
• After the items have been selected, distribution processing is
completed as necessary, a shipping inspection is conducted to
identify any issues with the products prior to packaging, and the
products are then packed and delivered.
• The same data is captured during picking and shipping
inspection as during receipt.
• When incoming items are assigned a barcode or 2D code on a
mobile computer, warehouse management and inventory
management may be handled properly.
Packaging and Labelling of Cargo
Packaging
• Packaging refers to the various activities that are
carried out for designing and developing a suitable
package for a product, which may be in the form of a
container, wrapper, box, tube, plastic bottle, tetra pack
or tin etc.
• The packaging must be properly and solidly done so
that it can protect the product from contamination,
leakage, evaporation, spoilage or damage during its
storage, transportation and promotional activities.
Packaging
• Packaging is more than just a container prepared to be
filled by a product; it includes every aspect of a
complete product package that establishes the identity
of the product and the manufacturing entity with
which it is associated.
• It includes the overall design, look and feel of the
package in which the product is to be put and
presented for sale in the market. Hence, it serves as a
means of advertisement and promotion by
creating brand identity and awareness.
Packaging
• In case of a shampoo bottle, for example, packaging is
concerned with the materials used to build and shape
the bottle, the color of the bottle and the places
specified for different parts of labelling etc.
• Packaging is an important part of companies’
overall marketing efforts because an attractive and
high quality packaging presents a favorable
impression of the product inside the package, wins
customer’s trust and can positively influence his or her
purchase decision.
Labelling
• Labeling is done on the product packaging and
presents all important information about the product
and its manufacturer. It is often made part of the
product package but, if necessary, the information can
also be printed on the product itself.
• Labeling helps manufacturers communicate the
product details to their customers who can use this
information to perform a comparison with similar
products and then decide their preferred product to 
buy.
Labelling
• For example, labeling presents information about the
content in the package (i.e., the actual product
including accessories etc.), features, price, name of
manufacturer, date of production, expiry date, weight,
usage instructions and suggestions regarding storing
or disposing of the product etc.
• All this information enables the customer to decide
whether or not the product inside the package can
meet his or her needs.
Labelling
• Labelling must also comply with certain legal
requirements of the jurisdictions in which the product
is being sold.
• Many countries have regulatory bodies that
consistently develop policies requiring companies and
manufacturers to present certain information as the
part of their product labelling.
Labelling
• Companies and manufacturers are, therefore,
responsible for adhering to all the labeling requirements
imposed by their regulatory authorities.
• For example, in most countries, the labeling of food
products should include the different amounts of fats,
proteins, carbohydrates, sugar and calories values for a
given serving.
• In addition, they need to specify whether a product
contains any ingredient that some people may be
allergic to; for example, peanuts, soybeans, lactose, etc.
Safety of the Goods
Importance of Safety Measures in Transportation of Cargo

• Safety of cargo involves safe packaging of cargo in

containers, prevention of tampering of the cargo
container and safely transporting of the container
to its final destination.
• The shipper is responsible for the packaging and
labelling of the cargo to protect the contents from
damage during transportation.
Cargo Safety
• The transportation of goods, people and property in an
aircraft requires the movement of packaged items,
airmail, company material and passenger or crew
baggage.
• Entities involved in this transport move items from
shipper to final destination, and include shippers, freight
forwarders, aircraft operators, ground handlers and
airplane manufacturers.
• They may use equipment in the transport of cargo, such
as unit load devices, tracking devices, and powered
devices to monitor and effectively transport the goods.
Cargo Safety
• The cargo supply chain is complex, and risk can be introduced at
any point along it.
• Entities in the transport chain that handle or process general
cargo can play a role in preventing the introduction of risks and
mitigate them to an acceptable level of safety.
• Each entity has an opportunity to apply a mitigation strategy.
• Regulations are in place to mitigate transport risks. Compliance
with regulations is always required and is the first line of
defence in safety.
• There are regulations that address specific aspects of air cargo
transport, such as the packaging of hazardous materials and the
operating limitations of the aircraft.
Cargo Safety

https://youtu.be/kY4X60NCAaE
Cargo Security Technologies
Shipment Tracking

• The most sophisticated electronic shipment tracking systems are

customized, interactive, transparent, available 24/7 and allow users at
any time to see where a shipment is and what it consists of — down to
individual item descriptions, quantities, product codes, vendor or
consignee identities, and countries of origin and destination.
• They provide automatic alerts for key events (loading, sailing, arrival
and delivery) and allow customers to query their shipments online
using purchase order numbers and SKU product codes.
• Such systems are password-protected and encrypted for added security.
As a result, shippers always know the status of the shipment and can
immediately identify any disruption that requires remedial action.
Geofencing
• The use of this technology is becoming more
widespread. In it, the carrier essentially puts a virtual
“fence” around the route the load is scheduled to travel
from pickup to delivery.
• A Global Positioning System tracking device allows the
carrier and shipper (marine, truck or rail for intermodal
methods) to follow the load along the route.
• All parties are alerted the moment the load veers off the
planned route or the device itself is impacted, initiating
immediate remedial action to recover the shipment.
Electronic Seals
• These high-alert devices send an instant alert to the security team
monitoring a shipment if container or transport vehicle seals are
breached.
• Units incorporate industry standard security seals and bolts and
typically use a combination of the global system for mobile
communications and the GPS system for tracking and positioning.
• Devices can be fitted to any standard container, offer weeks of
operation before recharging is needed and provide immediate
notification if a shipment or seal has been tampered with.
• The best devices are part of a fully managed tracking system
through a control center to monitor and act on alerts as they occur.
ISO 28000
• The International Organization for Standardization 28000
standards series on supply chain security management
provides a comprehensive framework to address theft,
terrorism or piracy.
• It specifies the requirements for a security management
system and offers certification and registration of
conformity either by an accredited third-party
organization or through self-determination of conformity.
• ISO 28000 can be used by organizations of all sizes and
with all transportation modalities to address strategic and
operational security issues.
Coordinated Best Practices
• Practical application of ISO standards must be
coordinated for each transportation mode.
• In truck shipment, for example, loads should travel in
an ISO container instead of a more vulnerable trailer.
• Seals should be placed on the container to demonstrate
the shipment hasn’t been compromised.
• Use of an air cuff lock on the tractor (which prevents
the truck’s brakes from being released) is an additional
precaution.
Cargo Security Systems- X-ray Scanner

https://www.youtube.com/watch?v=Y33otMlnomw&ab_channel=TacticalSolutionsLtd
Cargo Handling Equipment
Definition
• Cargo Handling Equipment refers to any off-road, self-
propelled vehicle or equipment used at a port or
intermodal rail yard to lift or move container, bulk, or
liquid cargo carried by ship, train, or another vehicle, or
to perform routinely scheduled or predictable process
upset-related maintenance and repair activities.
• Mobile cranes, rubber-tired gantry cranes, yard trucks,
top handlers, side handlers, reach stackers, forklifts,
loaders, sweepers, aerial lifts, excavators, and dozers
are among the equipment available.
Types
• Dollies
• Tugs and tractors
• Container loaders
• Transporters and transfer vehicles
• Salve pallets
• Roller conveyors
• Ball decks
Cargo Handling Equipment

https://youtu.be/UK-j5R5r0Gg
Factors Affecting Cargo Handling
• Nature of cargo
• Handling cost, general safety and reliability
• Resources available at the airports
• Weather conditions
• Airport Area
• Cargo Security
• Manpower
Sources
• Evaluation of factors affecting air cargo terminal
operation performance during COVID-19 Tipavinee
Suwanwong Rodbundith , Apichat Sopadang.
Proceedings of the 11th Annual International
Conference on Industrial Engineering and Operations
Management Singapore, March 7-11, 2021.
• https://www.lawinsider.com/dictionary/cargo-
handling-equipment
Cargo Handling Systems
Definition
• Cargo Handling System is a training environment for
cargo flow management, analysis, and optimization
utilising conveyors, SCADA, and PLC control.
• Maintenance of cargo handling systems, including
mechanical subsystems, control environments, bus-
systems, electric drive systems, and pneumatics.
Cargo Handling Systems

https://youtu.be/0kyPXHarMIk
Automation in Cargo Handling Syetem
• Improved mechanisation and an information environment are necessary for
the implementation of automation.
• The information environment is determined by the degree of automation
integrated with the handling agent's business activities.
• Automation serves business needs for sophisticated operational planning and
optimum use of all resources available to service providers at the highest
level. This requires knowledge of the overall business environment and
resource availability.
• Engineering and building an automated handling system is only one aspect of
the issue; delivering improvements to the IT and operational business
processes simultaneously is the only way to guarantee a good conclusion.
• This necessitates both programme management of the integration as well as
project management of the engineering and construction project and related
project risks.
Source
• Branch, A.E. (1986). Cargo-handling equipment. In:
Elements of Port Operation and Management.
Springer, Dordrecht.
https://doi.org/10.1007/978-94-009-4087-1_4
• https://www.keyence.com/ss/products/auto_id/logistic
s/role/function-safekeeping.jsp
• https://www.iata.org/en/publications/newsletters/iata-k
nowledge-hub/what-to-know-about-air-cargo-handling
/
• https://www.lawinsider.com/dictionary/cargo-
handling-equipment
Future of Air Cargo
Future of Air Cargo

https://youtu.be/ZxPlhXuDKVQ
COVID 19 Impacts on Air Cargo Handling
• Global international air cargo capacity was down -5% (vs.
2019) between July 18-31, 2022
• Actual and scheduled passenger belly capacity are
increasingly out of sync, due to airport and airline
disruptions
• Global passenger demand and capacity had fallen 70.3%
and 58.6%, respectively, over the same period
• While broadly destructive for aviation, the pandemic has
also hastened a global transition to ecommerce in a way
that is destined to benefit all providers of cargo
transportation
COVID 19 Impacts on Air Cargo Handling
• Just 1% of global trade moves by air, but that 1%
represents 35% of global trade by value, according to
IATA
• The pandemic helped operators to grow the airport’s
cargo ecosystem (there have been nights where they
were handling over a million parcels) and prepare for
the future. 
COVID 19 Impacts on Air Cargo Industry

https://youtu.be/CxZbekE2bhQ
Air Cargo Industry- After COVID-19
• The pandemic accelerated digitalization in some areas as
contactless processes were introduced to reduce the risk from
COVID-19 transmission.
• We need to build on this momentum not only to drive
improvements in operational efficiency but to meet the needs of
the customers.
• The biggest growth areas are in cross-border e-commerce and
special handling items like time and temperature sensitive
payloads.
• Customers for these products want to know where their items
are, and in what condition, at any time during their transport.
That requires digitalization and data
Modernizatation
• IATA highlighted three major projects moving the industry
towards digitalization and the progress being made in each:
• E-air waybill is at 75% now and is expected to achieve
100% by the end of 2022.
• IATA’s ONE Record vision, enabling the whole supply
chain to work together off one standardized and
exchangeable set of data has 17 pilots in progress
involving 145 companies and 3 customs authorities.
• IATA’s Cargo XML messaging standards are being
accepted by an increasing number of customs authorities.
E-Air Way Bill

https://youtu.be/bk1HYrzneKk
IATA- ONE RECORD VISION

https://youtu.be/OAnwMQ7DM8s
IATA- Cargo XML

https://youtu.be/OAnwMQ7DM8s
Major Threats
Issues and Challenges faced by the Air Cargo Industry

https://youtu.be/uKzXRsvyZRg
Rising and Unstable Fuel Prices
• The price of oil, and aviation fuel with it, has risen
significantly since 2020. Oil prices hit a 13-year high
in March 2022, although they has fallen back since
then.
• Fuel is one of the main costs of airline operation
(around 30% by some estimates), and any increase has
the potential to significantly affect profitability.
Global Instability and Threat of War
• Of course, one of the major events in 2022 has been
the war in Ukraine. This escalated quickly, with
sanctions and bans on Russian airlines, of course
having an effect on aviation.
• The closure of airspace has also given many operators
flight planning issues and increased operating costs.
• There is growing political instability in the Middle
East and Asia too.
• In a connected world, conflicts can have more far-
reaching effects too.
Global Instability and Threat of War
• Security concerns and airspace restrictions can affect
airlines far from the conflict zone.
• Terrorism likewise remains a threat, and the risk
increases with more political instability. Aviation
remains a high-profile terrorism target.
Staff Shortages and Changing Demographics
• There are several reasons for this. Firstly, the aviation
industry has rebounded post-COVID much faster than
many anticipated.
• Recruiting staff into the industry quickly has been
difficult.
• Added to this, many workers have preferred not to
return to the industry.
Staff Shortages and Changing Demographics
• Many felt they were not well treated and have moved
to look for work in other growing areas.
• Added to this, sector wages remain low and the cost of
living is increasing.
• Higher wages are the way out of this, but most airlines
and operators are not in a position to offer this now.
Airport Capacity Issues
• Linked to staff shortages, there are growing problems
with the busiest airports reaching capacity.
• This is particularly worrying for the industry, as it is
very much outside airlines’ control.
• Shortages of ground staff, including security, cargo
handling, and cargo agents, have led to significant
delays in processing cargo and in handling flights.
Pilot Shortages
• This was an issue before the pandemic and, especially in
some regions, will be worse after.
• Many pilots have left the industry over the last two years
with the reduced activity seen.
• In 2018, Boeing predicted demand for 790,000 new pilots
over the next 20 years. This was due both to expansion in
aviation globally and a high proportion of older pilots
reaching retirement age.
• It has stuck with this view post-COVID – starting in July
2022 that it sees the need for up to 6,000 new pilots per
year for the next 20 years just in Europe.
Climate Change
• Climate change is a big topic currently, and it will affect the
aviation industry in many ways.
• Pledges to half carbon emissions are leading to changes in
aircraft technology, fuel, and even aircraft tracking and spacing.
• Despite its efforts to lower its impact, the industry, of course, is
well exposed to the effects of climate change.
• The past few years have seen increasing levels of flight
disruption due to extreme weather events, and more of this
remains a real risk.
• Changing wind patterns will also lead to more turbulent flights
– and potentially more complex flight planning.
Aircraft Safety and Regulation
• Aviation is a well-regulated and protected industry. This has
always presented a risk to operators and continues to do so.
• In particular, airlines remain subject to restrictions in aircraft
operations and safety that remain outside of their control.
• The technical issues, and subsequent grounding, of the Boeing
737 MAX is a very good example of this.
• Although the MAX is now flying again, issues are coming up
once again with Boeing’s latest and largest MAX 10 aircraft.
• If it is not certified soon, it may need cockpit changes that will
restrict its commonality and limit its appeal to many airlines.
Source
• https://www.flightworx.aero/blog/current-risks-and-
threats-to-the-aviation-industry/