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Defining the problem
The Washington Dulles International Airport does not currently capture air cargo business that sufficiently utilizes its current and projected operational capacity.
Research
• Operations Group• Regional Studies• Market Studies• Interviews• Site visits• Publications• Freight forwarder survey
Customer
Consolidation Center
Air Carrier
Consignee
Air Freight ForwarderConsolidation Center
Truck TransportTruck Transport Shipping Instructions
Load Plane Unload Plane
Air Freight Cargo Flow
Critical Factors
• Modal Choice and “Value Propositions”• Development of Inland Ports• Freight Forwarders• Air Freight Cargo Flow• Known Shipper Regulations• Household Goods, Personal Effects
Market
Proposed Alternatives
• Develop VIP-IAD Relationship
• Current Operations• “Milk Run”• Build Airfreight
Consolidation Facility
• Cost Incentives Plan• Freighter Service• New Customer• Niche Market• IAD Freight
Forwarder Study
Develop VIP-IAD Relationship
• Cargo movements are increasing
• Import/Export Ration is 2:1
• VIP not handling time sensitive shipments
• Not much opportunity for operational link
• Marketing link is possible
Freighter Service
• Current lack of capacity
• Not subject to “Known Shipper” rules
• Cargo volume must be guaranteed
• Demand determines service
New Customer
• Manufacturer• Freight Consolidator• Freight forwarder or
integrator• Costs could be
shared by several stakeholders
Develop Niche Market
• Household and personal effects market
• Approval for a TSA Known Shipper waiver program
• Get Known Shipper status for certain U.S. Government employees
Freight Forwarder Study
• Research and focus on freight forwarders
• Bring new customers to IAD
• Understand the needs and risks of the business
• Establish a forum for cargo development
Recommendations
• Build a relationship of mutual understanding and operations with regional freight forwarders
• Develop the resources and environment necessary to encourage a new major air freight customer to relocate to the region
Recommendations
• Facilitate growth of a niche market centered on movement of household goods and personal effects
• Continue efforts to attract the operation of a freighter service at IAD
Conclusion
• Not mutually exclusive alternatives• Freight forwarders are critical• Develop demand for air freight• Results will require time and patience
Practicum Participants
Kristen Bass William Bowden
Michael Broadus Randolph Butler
James Colyar Christie Dawson
Scott Faulk Melanie Frisch
Matthew Lesh Chris Loring
Lance Murray Nicholas Nies
Boris Populoh Tracy Sell
John Serra Angela Stubblefield
Morgan Turrell Clark Woods
Xin Zhou