Data ownership in the air cargo supply chain depends on the agreements and contracts in place between stakeholders. Typically, the party that generates or collects the data, such as an airline, freight forwarder, or ground handler, holds ownership.

However, sharing data with other stakeholders, such as customs authorities, is often necessary to ensure efficient goods movement and regulatory compliance.

 

 

 

Challenges of Withholding Data Sharing

When data service providers refuse to share information with entitled parties, they expose themselves to significant risks. From a legal perspective, non-compliance with contractual or regulatory data-sharing requirements can result in fines, lawsuits, and reputational harm. Beyond legal ramifications, refusing to share data undermines trust between stakeholders, damaging relationships with partners and clients.

This reluctance can also disrupt the efficiency of the supply chain. Without open communication and collaboration, errors, delays, and inefficiencies become more likely. Furthermore, the refusal to share data stifles innovation and limits opportunities for businesses to develop competitive advantages. In a highly dynamic market, this lack of adaptability can hinder long-term growth and relevance.

The Role of Protocols in a Competitive and Collaborative Industry

Protocols play a crucial role in fostering collaboration and maintaining fair competition in the air cargo supply chain. By establishing standardized procedures and guidelines, protocols ensure that all stakeholders operate on an equal playing field, reducing the risk of monopolistic practices or anti-competitive behavior.

When protocols are absent or poorly implemented, dominant players can create closed systems, or “walled gardens,” that exclude smaller stakeholders. This exclusionary approach not only stifles innovation but also restricts competition, leading to inefficiencies and potentially higher costs for all parties involved.

Standardized protocols promote transparency and equitable participation, enabling stakeholders to share data, track shipments, and coordinate activities seamlessly. This reduces friction within the supply chain and creates opportunities for collaboration. Moreover, open protocols encourage innovation by providing a framework for developing new technologies and business models that benefit the entire industry, rather than a select few.

IATA ONE Record: A Unified Data Model for Collaboration

The IATA ONE Record data model addresses the inefficiencies caused by fragmented and siloed data in the air cargo industry. It introduces a standardized framework that simplifies data sharing among shippers, freight forwarders, ground handlers, airlines, and customs authorities.

This model supports collaboration by providing a common language that ensures smoother communication and minimizes delays. It also enhances visibility, offering real-time tracking of shipments and enabling stakeholders to make informed decisions quickly. Furthermore, by providing end-to-end visibility, the ONE Record model empowers stakeholders to proactively manage risks and ensure compliance with regulations.

The adoption of ONE Record lays the groundwork for greater efficiency, lower costs, and improved competitiveness, while fostering a collaborative environment that discourages anti-competitive practices.

 

Addressing Challenges in Airport Operations

Effective communication and data sharing are critical for air cargo stakeholders, yet many airports operate using unique and disconnected systems. This lack of standardization creates barriers, particularly for road feeders who must interface with numerous systems across different airports to secure loading or unloading slots. With over 300 airports in Europe alone, the inefficiencies of such a fragmented approach are clear.

Standardized protocols can address these challenges by ensuring all stakeholders can connect and share data through open systems. This eliminates silos and encourages digital transformation, allowing the industry to build the capacity necessary for future growth while maintaining fair competition.

The Risks of Anti-Competition in Closed Systems

If data-sharing protocols are not implemented or enforced, there is a significant risk of creating closed systems that exclude certain stakeholders. Such systems can lead to monopolistic control by larger players, hindering smaller operators and preventing equitable access to resources and opportunities. This anti-competitive environment can reduce overall efficiency, increase costs, and limit the industry’s ability to innovate.

By adopting and enforcing open, standardized protocols, the air cargo industry can ensure that innovation thrives in a competitive yet collaborative environment, where all stakeholders have equal opportunities to contribute and benefit.

CargoHub’s Vision for Fair and Efficient Collaboration